3 Wobbly 7%+ Dividends You Must Sell Now

Our Archive

Search completed

You’ve probably noticed that we’ve been spending a lot of time digging into closed-end funds lately.

The reason is simple: These ignored investments can set you up for 7%+ dividends and quick double-digit upside in one buy!

(In fact, Michael Foster, chief strategist of our CEF Insider service, just held a free webcast where he revealed his 5-step CEF picking system and 2 explosive new high-yield picks. If you missed it, click here to view a rebroadcast.)

But that doesn’t mean all of the 500+ CEFs out there are great. In fact, many boast dividend payouts they just can’t cover with earnings (see dangerous CEF No.…
Read more

Read More

If I’ve heard it once I’ve heard it a thousand times: if you want big dividends, you can forget about getting big price upside, too.

Clearly, whoever came up with this “wisdom” is clueless about closed-end funds, where hefty 7%+ yields are common. Fast double-digit gains, too—especially if you follow the one true CEF profit indicator I’ll show you now.

It’s called the discount to net asset value (NAV), and you can find it on any online fund screener. In plain English, it’s the difference between a CEF’s market price and its “true” value—or what its underlying assets are worth.

Sounds simple, right?…
Read more

Read More

Remember when I said there were more than 2,400 closed-end funds, mutual funds and ETFs beating the S&P 500?

Well, today we’re going to dive into three of those funds. Unlike many of their cousins, these aren’t one-hit wonders.

All three boast outsized dividend payouts far larger than those of any S&P 500 stock: all the way up to 8.3%!

They also give you instant diversification and world-class management. You can see that in each fund’s stock-picking prowess, which is translating into gains that crush the S&P 500 SPDR ETF (SPY):

Leading the Index by a Mile

So let’s dig deeper to see how these funds tick and what place they might have in your portfolio.…
Read more

Read More

I’m going to get straight to brass tacks. Let’s discuss 2 closed-end funds with up to 18% upside in the next 12 months, plus yields up to 5.8%. Both are leading a blockbuster trend almost everyone has missed.

I say “almost” because if you’re a canny contrarian (and if you’re reading this I’m betting you are), you probably know what I’m going to say.

I’m talking about the quiet rebound in actively managed funds (that is, funds with real humans in charge), including CEFs.

So far this year, more than half of active managers are beating their benchmarks. And when human stock pickers take the lead, they keep it, like they did from 2001 to 2011.…
Read more

Read More

Today I’m going to show you how to get in on America’s hottest real estate with zero fees and commissions.

And you can buy from the convenience of your brokerage account. Simply by typing in a few stock tickers.

Think about this “zero fee” thing for a moment: with the average realtor whacking clients with 6% in fees and commissions, we’re talking thousands of dollars of savings here!

Instead of paying these commissions, you’ll be able to collect them as monthly or quarterly payouts (or dividends) to fund your retirement. Here’s what you need to do first.

Your Job: Collect the Income

The fat rent checks from the properties we’re going to invest in (more on them below) will soon have you yielding double digits on your original buy.…
Read more

Read More

When the “Bond God” Jeffrey Gundlach speaks, we income seekers listen. And recently,  the preeminent yield guru on the planet shared his favorite stock idea with a private audience.

I’ll share the specifics on his recommendation in a moment, including the exact “pair trade” that Gundlach likes. But first, let’s recap why we care what he says.

His Profitable Contrarian Calls

When Gundlach speaks, he often takes heat from his peers and the media because his calls run contrary to popular belief. But he’s usually right – and profitable:

  • In 2007, he warned investors to get out of subprime mortgages just before the credit markets melted down.


Read more

Read More

The financial media is churning out doom-and-gloom stories 24/7—and that’s keeping many folks on the sidelines when they should be buying.

Sure, you could say that about almost any period in history, but it’s especially true in 2017, when stocks have done this:

A Steady Ride Up

Consider this chart for a moment. This gain came during the Russia scandal, the North Korea nuclear threat and environmental and humanitarian disasters caused by Hurricanes Harvey and Irma.

Can you see any of those events in the chart above?

I can’t.

In reality, stocks aren’t political and they’re not emotional. The truth is, they only go up and down if a major news story also has a major financial impact.…
Read more

Read More

Fee-obsessed investors continue to pile into exchange-traded funds (ETFs).

Don’t follow them.

Because there’s another—much less popular—group of funds that will hand you much better returns (and double the dividend payouts). And swapping your ETFs for them is easy.

I’m talking about closed-end funds (CEFs). (If you’re not familiar with CEFs, click here to check out a primer I recently wrote on them.)

Now even though I just said CEFs are less popular than ETFs, that doesn’t mean they’re totally ignored. The truth is, they’re getting more attention from investors of late, for reasons I’ll dive into in just a moment.…
Read more

Read More

It’s a whopper many investors believe—you may even be one of them.

It’s simply this: all fees are evil.

After all, the more you shell out to line fund managers’ pockets, the worse your return will be, right?

It sounds right. It makes sense. But it’s totally wrong, particularly when it comes to the world of high-yield closed-end funds, which I’ll get to in a moment.

Truth is, you don’t have to go further than the darlings of “cheap” investing—exchange-traded funds—to see how bogus the so-called “wisdom” on fees is. Check out this chart showing the seven-year performance of two nearly identical ETFs—the Vanguard S&P 500 ETF (VOO) and the SPDR S&P 500 ETF (SPY), and keep in mind that VOO has always had lower fees than SPY:

The Cheap Fund Is … the Loser?
Read more

Read More

With stocks looking choppy—and toppy—and more chaos flowing out of DC seemingly every day, you may be pondering taking some money off the table these days.

I have one word for you.

Don’t.

Because as I wrote on August 10, US companies are killing it on the earnings front, and that great-news story is getting completely lost in the breathless coverage of Trump’s latest tweet and saber rattling from North Korea.

At times like these, it’s best to remember the words of the world’s most successful investor, Warren Buffett: “Be fearful when others are greedy and greedy when others are fearful.”

That goes double for us dividend investors, because the recent market dip has bumped up dividend yields as prices head down—making now the time to buy!…
Read more

Read More

About Author

Brett

Hi, I’m Brett Owens – and I’m a financial junkie. My “problem” started incollege, when I got a little dose of the stock market – man, was I hooked…in no time, I was reading the Wall Street Journal religously.

Sign up for our Newsletter

Categories