Bargain Buys for the Next Oil Gusher (With 7%-9% Yields!)

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Bargain Buys for the Next Oil Gusher (With 7%-9% Yields!)

If you’re as bullish on oil as I am, let’s look past vanilla bean favorites like Exxon Mobil (XOM) and Chevron (CVX). Great companies but a bit pricey, as they only yield 3% to 4%.

We’re better off with diversified energy funds that dish dividends up to 9%. Now we’re talking!

The conditions are right for another push ahead in energy’s crash-‘n’-rally cycle. The Middle East (‘nuff said). The Federal Reserve careening towards a “no landing” scenario. And the People’s Bank of China (PBoC) joining the global money printing party.

It could be high time for Texas tea’s next leg higher.… Read more

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15 Huge Dividends (7.6%+) That Are “Too Good to Be True”

With stocks back in “climb” mode (at least for now!), it could seem like a good time to look for a hedge against the next downturn.

If you’re looking for hedges that also pay big dividends, you might be considering resource funds—especially those in oil and gas, or maybe even gold.

Today I’m going to show you why you should resist this strategy, or at least be very careful about it. Closed-end funds (CEFs), which yield 8.3% on average today, are my beat at my CEF Insider service, so I’ll use CEFs (which we love, especially outside the resource space!)… Read more

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2 Oil Funds (Yielding Up to 10.2%) to Sell Now

If you made money investing in oil this year, congratulations! But I have a warning: now is the time to take profits—especially if you hold the two oil funds we’ll discuss below.

Before we get to those, let’s talk a little more about oil’s big year. If you bought earlier in 2022, you managed to pick up on the only sector in the green this year—and well into the green, too: the Energy Select Sector SPDR ETF (XLE), a good benchmark for oil stocks, has climbed 55% so far in 2022, while the S&P 500 has headed the other way, dropping some 20%.… Read more

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How to Get 4%-6% Energy Yields at 8%-13% Discounts

Nearly two years ago, our Contrarian Income Report service picked up cheap oil dividends that, at the time, yielded nearly 11.8%. With oil trading at negative prices (meaning producers were paying people to take barrels off of their hands), our purchase didn’t feel warm and fuzzy. But then again, most successful contrarian trades don’t.

We recognized that oil prices were likely in the midst of a “Crash ‘n’ Rally” pattern. This is an oil-price phenomenon that has played out several times before.

We discussed this back in 2021:

Energy prices tend to “crash ’n’ rally.” The crash is quick, while the ensuing rally lasts for years.… Read more

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A 10.6% Dividend (with 156% upside) Hiding in Plain Sight

We’re going to push aside overdone recession fears today, so I can show you one fund you can buy for triple-digit upside. And this unsung dividend play spins off a big income stream, too: a 10.6% yield.

It comes from a sector few people check for high yields: energy.

But this investor “blind spot” is why this 10.6% dividend opportunity exists. Read on and I’ll show you how to time your move (if you were to buy this fund or invest in energy generally).

First off, forget the jarring headlines you’ve seen about a corporate-earnings slowdown in the US. When you dive into the sector level, you see that the outlook is rosy in plenty of places, with energy leading the way, according to the analyst crowd.… Read more

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The 7 Steps I Always Follow for 8% Dividends in CEFs

Today, the 10-year Treasury pays just 2.4%. Put a million bucks in T-Bills and you’re banking $24,000 per year. Barely above poverty levels!

Hence the appeal of closed-end funds (CEFs), which often pay 8% or better. That’s the difference between a paltry minimum-wage income of $24,000 on a million saved or a respectable $80,000 annually.

And if you’re smart about your CEF purchases, you can even buy these funds at discounts and snare some price upside to boot!

The market’s fast run-up since January 1 has made cheap CEFs just a bit harder to find. And some CEFs have become so pricey that, if you hold them, you should consider selling before their premiums fall to earth.… Read more

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