This 68% Dividend Is the Worst Gift You Could Get This Christmas

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There’s one 68% (!) paying fund out there that will give us a lump of coal this Christmas, if we’re not careful enough to avoid it.

I’m talking about the YieldMax Ultra Income Strategy ETF (ULTY), which we last discussed in September. Its 68% payout is so ridiculous that you could be forgiven for wondering if I missed a period between the 6 and the 8.

It’s easy to see how one could fall for a payout like that. As 2025 wraps up, we’re looking at a third straight year of double-digit gains for the S&P 500. Nothing breeds complacency like a levitating stock market!… Read more

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It’s a trap I see investors fall into all the time: pouncing on yields that are so high as to be, frankly, absurd. Case in point: the 89% (not a typo!) yielder we’re going to talk about today.

I get where the temptation of a payout like that comes from. Inflation is sticking around. The job market? Precarious, to say the least, with AI replacing humans at an accelerating pace. Another disappointing jobs report, released on Friday, sure doesn’t help here, either.

At a time like this, an 89% annualized payout sounds like a dream, especially if you’re looking to get to (and hopefully stay in!)… Read more

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Every so often here at Contrarian Outlook, we get questions from readers about investments sporting yields that are, frankly, ridiculous. 

Case in point: The 85% forward yield (as of this writing) on a fund called the YieldMax Ultra Income Strategy ETF (ULTY): Eighty. Five. Percent.

Think about that for a second: With a 85% yield, you’re getting your entire upfront investment back in about a year. Pretty sweet deal, right?

Well, not so fast.

Before I go further, I should say that when it comes to dividends, one thing we demand at my Contrarian Income Report advisory is that a stock or fund at least “returns its yield.”… Read more

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