Miss These Cheap 12%+ Dividends Now and You’ll Kick Yourself in ’23

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This selloff has set up a very rare opportunity to bag 12%+ yields in closed-end funds (CEFs). I’ll reveal three names and tickers you’ll want to target now in just a second.

This chance to kickstart a steady 12%+ income stream exists because CEF buyers are a conservative bunch, so these funds’ downdrafts have been amplified this year. (This also means that income-hungry CEF buyers tend to buy back in quickly, driving these funds to fast upside after a drop).

The upshot here is that all 500 or so CEFs in existence are sporting an average discount to net asset value (NAV, or the value of their underlying portfolio) of 7.5%—making them cheaper than they’ve been in nearly a decade.… Read more

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A lot of closed-end fund (CEF) investors—particularly new ones—wonder how CEFs can sustain huge 8% dividends in a 2% (if we’re lucky!) world.

It’s actually pretty easy. Below we’ll look at three ways CEFs make these retirement-changing payouts happen. And, in response to a question I’m hearing a lot from CEF Insider subscribers these days, we’re going to zero in on one particularly sticky subject: return of capital (ROC).

Contrary to what many people think, ROC isn’t a fund simply handing your cash back to you—and charging a fee for doing so. It’s actually a dividend-investor’s dream! Let’s set up our deep dive into ROC with a snapshot of how easy it can be for CEFs to hand us those rich 8%+ dividends.… Read more

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