America’s in a dividend desert, and that’s forcing income hunters to get creative. Are 10.1% paying mREITs the answer?
The S&P 500 hasn’t yielded this poorly (1.7%) in roughly a decade. T-notes deliver a fractional yield. Worse, even areas of traditionally elevated yield are offering just so-so payouts right now. At less than 4% on average, high-yield stocks and real estate investment trusts (REITs) will put retirement investors well short of their income goals.
The good news? A pair of market niches—business development companies (BDCs) and mortgage REITs—can put 3x that amount of money into our pockets.
I recently pointed readers to a “3-click” BDC portfolio yielding 10.9%, which is a little less than the BDC average of 12%.… Read more