This 8.5% Dividend Is the “Comeback Kid” of 2025

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We contrarians love a beaten-up corner of the market—especially these days, when cheap stocks (and funds) are so thin on the ground.

Right now, real estate investment trusts (REITs) are that corner of the market: unloved, cheap and boasting high, stable dividends. And they have even more appeal with interest rates stabilizing and likely to move lower over time.

We’re not taking advantage of this opportunity by purchasing our REITs individually or through an ETF, though. Instead, we’re looking to REIT-holding closed-end funds (CEFs). These income machines, kicking out 8%+ dividends, are no less than my top contrarian income plays for 2025.… Read more

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2020 is finally in the books, and many REITs (real estate investment trusts) remain in the bargain bin. Is it time to buy these generous dividend payers and bet on a 2021 rebound?

Savvy contrarians that we are, we’re focusing on REITs because they are the one part of the market that was left behind as everyone rushed back into stocks in the back half of 2020.

Normally, REITs more or less track the blue-chip index, but when COVID-19 crushed these landlords’ tenants, that changed in a big way: investors sold REITs—and they’re still on the mat.

REITs Fall Behind

That orange line is the price return of the benchmark Vanguard Real Estate ETF (VNQ), which yields 4% today—a massive payout in today’s zero-point-nothing interest-rate world.… Read more

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Real estate investment trusts (REITs) and their typically high dividend yields are a key part of a payout-powered retirement portfolio that’s built to dish out higher and higher dividends every single year.

The five REITs we’ll discuss today will pay you 4% to 7.3% per year in dividends alone. And this income stream will only grow as time passes, because these firms have growing cash flow streams they must pass on to shareholders in order to keep their privileged REIT status.

REITs may not get much mainstream coverage, but the academics are starting to catch on to these dividend machines. Last year, I pointed you to a study from Wilshire Research that showed “dramatic” results when REITs were added to a retirement portfolio.… Read more

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