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

Our Archive

Search completed

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

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

Read More

5 Monthly Dividends Yielding 7.9% to 18.3%

To paraphrase the great Jerry Maguire:

Show me the money. Monthly!

I don’t know about you, but my bills come every 30 days. So, I demand the same from my dividends.

Monthly dividend payers are a “must have” in retirement. After all, who has the time to track down a quarterly payment? Afternoons are for craft cocktails, not accounting.

(My buddy makes a dangerously tasty absinthe old fashioned. Would wait until after sundown on that one.)

Speaking of bitters, that’s life as a quarterly dividend receiver (sorry, couldn’t resist). Monthly payouts are magical, and not just for passive income. These income vehicles also hold three core advantages against all other stocks and funds that pay less frequently:

  1. Better overall returns thanks to compounding: If all else (performance and yield) is equal, a monthly dividend stock, with dividends reinvested, will always return just a little more over time than stocks that pay quarterly, semiannually or annually because you can put your cash to work sooner, which means it can compound faster.

… Read more

Read More

A 3-Fund Portfolio for 10% Dividends

This “stocks-up, yields-down” market is clobbering income investors. With stock prices floating higher, yields are crumbling to dust: with the 1.3% payout on the typical S&P 500 stock—a 20-year low—you’d need to invest $2.2 million to get just $2,500 a month in dividends!

(And let’s not forget that the typical S&P 500 stock pays dividends quarterly, not monthly, so your lame income stream would also be pretty lumpy!)

The 10-year Treasury note—long an income go-to—isn’t much better. With a 1.6% yield, you’d still need $1.8 mil to get that same $2,500 a month.

An Oasis in the (Dividend) Desert

Of course, none of this is a surprise to anyone who’s been investing for income over the last decade or so—it’s a slightly worse version of the same old story.… Read more

Read More

These 3 Funds Are Headed for a Crash. Do You Own Them?

The 2019 rebound has done a lot to revive most people’s portfolios. But there’s a new trap you need to dodge as the market ticks up: the risk you’ll stumble into an overbought stock (or fund).

But don’t take that to mean stocks are pricey—far from it! The S&P 500 is barely up from the start of 2018 and still far from its all-time highs, which is ridiculous when you consider last year’s near-20% earnings growth.

So it’s pretty easy to see that stocks are still ripe for buying.

But there is one sector I am worried about—and it brings me to the first of 3 closed-end funds (CEFs) I want to warn you about today.… Read more

Read More

These 3 Funds Are Headed for a Crash. Do You Own Them?

The 2019 rebound has done a lot to revive most people’s portfolios. But there’s a new trap you need to dodge as the market ticks up: the risk you’ll stumble into an overbought stock (or fund).

But don’t take that to mean stocks are pricey—far from it! The S&P 500 is barely up from the start of 2018 and still far from its all-time highs, which is ridiculous when you consider last year’s near-20% earnings growth.

So it’s pretty easy to see that stocks are still ripe for buying.

But there is one sector I am worried about—and it brings me to the first of 3 closed-end funds (CEFs) I want to warn you about today.… Read more

Read More

Categories