These 2 “ETF Clones” Pay Up to 9.7% (and Are Perfect “Dip Buys”)

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Our favorite dividends are now on sale—but we still need to make sure we’re buying this dip the right way.

That means zeroing in on rich payers that not only throw off big divvies, but cushion our downside, too.

I’ve got two closed-end funds (CEFs) for you that do just that—and throw off rich 7%+ yields, too. And they avoid the deadly mistake most investors are making now.

Index Funds Pay Little, “Bargain” Techs Even Less

That mistake? Most investors are looking to beaten-down tech stocks (which pay zilch—or close to it!) or they’re grabbing a “plain vanilla” index fund, like the SPDR S&P 500 ETF Trust (SPY)—current yield: 1.1%

One-point-one-percent!Read more

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I know, I know. This levitating stock market feels like a bubble that will burst any day.

So I get it if you’re nervous. And that’s actually a good thing. It pays to be wary when everyone else is throwing money at any asset—stocks included.

My take? Well, it might surprise you, but it’s this: We’re not in a bubble—AI-driven or otherwise.

But I get the fear—which is why we’re going to look at a two-step move that addresses it. This “best of both worlds” play gives us yields up to 8.2% and a hedge if, say, bullish analysts (like me!)… Read more

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Volatility is back! And we contrarians know what to do: Get ready to buy.

And we don’t have to try to time the depths of the next selloff, either, because the three 7%+ paying, “volatility-loving” dividends we’re going to talk about are perfect for this market.

They’re all closed-end funds (CEFs) that see their cash streams grow when markets get skittish. Their secret? They sell covered-call options on their portfolios.

This is a smart, low-risk way they can generate extra income—and send it our way as 7%+ dividends. That’s because these funds charge investors a “premium” for the “option” to buy their holdings at a fixed time and date in the future.… Read more

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Volatility is back! And we contrarians know what to do: Get ready to buy.

And we don’t have to try to time the depths of the next selloff, either, because the three 7%+ paying, “volatility-loving” dividends we’re going to talk about are perfect for this market.

They’re all closed-end funds (CEFs) that see their cash streams grow when markets get skittish. Their secret? They sell covered-call options on their portfolios.

This is a smart, low-risk way they can generate extra income—and send it our way as 7%+ dividends. That’s because these funds charge investors a “premium” for the “option” to buy their holdings at a fixed time and date in the future.… Read more

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Fire Powell? Keep him around? The question never seems to go away—and the markets, fueled by the so-called “TACO” trade (“Trump always chickens out,” as the acronym goes), are shrugging it all off.

But what if Trump calls Wall Street’s bluff? Luckily, there are not one but three ways for us to hedge ourselves from the “TACO trade” going cold. Below, we’ll look at all three and I’ll name my favorite of this trio. Plus we’ll grab ourselves tidy dividends of 7%+, too.

Powell Has Been On His Way Out (or Not!) for Months

If you’re experiencing déjà vu, it’s because this same story happened back in April, and it sent stocks plunging back then.… Read more

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Well, that didn’t last long.

A few months ago, all we heard from the mainstream media is that the “sell America” trend was going to stick around for a long time.

Nowadays, we’re still hearing that. But one corner of the market—closed-end funds (CEFs)—is telling us something interesting: That investors are starting to turn their attention back to the US.

That’s given us an opportunity to front-run this quiet shift now, while it’s still early, with some high-yield CEFs trading at attractive discounts. In a second, I’ll walk you through the signal we’re getting from two of the biggest US-focused CEFs—one holding stocks, the other corporate bonds.… Read more

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Plenty of investors miss out on the huge yields (often north of 8%) that closed-end funds (CEFs) offer. There’s one simple reason why: They get way too hung up on management fees.

We’re going to look at a few reasons why that is today—and one easy way you can make those fees disappear entirely.

But first, just how high are the fees we’re talking about? Well, the average fee for all CEFs tracked by my CEF Insider service is 2.95% of assets. In contrast, the largest ETF on the planet, the SPDR S&P 500 ETF Trust (SPY), has a fee of just 0.09%.… Read more

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I get it: For many people, the rough start to 2025 conjures (painful!) memories of 2022.

It’s an easy comparison to make. But we must resist doing so. Because unlike in 2022, today’s volatility is caused by panic alone. That’s the kind of situation we contrarians love!

Nonetheless, I get it if you still want to be cautious. With that in mind, I’ve got a fund that gives us full market exposure with a key “hedge”—and a growing 8.1% dividend, too.

But I’m getting ahead of myself. Let’s first talk about what’s causing this “Chicken Littleism” in the first place.… Read more

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Trade tensions ratcheted up to 11 this week, and I know that for many readers the wild swings we’re seeing can feel sickening.

To you, I say that times like these are exactly why we hold the closed-end funds (CEFs) in our CEF Insider portfolio. Their high, steady dividends (more than 10% on average across the portfolio) let us collect our income while stocks regain their footing.

We also avoid the trap of panic selling, then seeing the story whipsaw the other way, locking in our losses (which would’ve happened if you’d hit the sell button first thing Monday morning).… Read more

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With the new administration now in full swing, market events are coming our way at a furious pace.

One thing that’s clear about the next few years? Volatility is likely to tick up, especially with stock valuations stretched. Now more than ever, we need to be diversified, so we’re set up to offset any shocks to any one sector while we collect our high closed-end fund (CEF) dividends.

So that’s what we’re going to do today. And CEFs are the best tool to do it. Through just three funds (see tickers below), we’ll give ourselves access to some of the top blue-chip stocks, real estate investment trusts (REITs) and high-yield bonds out there.… Read more

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