JamesBrey Investing in high-yield, low-risk dividend stocks is a popular strategy with many retirees and conservative-oriented investors due to its focus on generating dependable passive income while simultaneously preserving or even growing principal over the long term. In contrast to growth stocks that generate their entire total return through capital appreciation, dividend stocks generate total…
Morsa Images/DigitalVision via Getty Images The BlackRock Corporate High Yield Fund (NYSE:HYT) offers investors exposure to high-yield fixed-income securities focusing on “junk bonds” and bank loans through a closed-end fund (CEF) structure. The attraction here is the fund’s monthly distribution which currently yields 10%, making HYT a compelling vehicle for income-focused investors. This is a…
In this article, I offer a trade idea: short junk bonds with put options. I also suggest a hedging strategy that should help mitigate the cost of the trade. I think this is a very low-risk trade with big potential upside. After explaining the details of the trade, I will discuss the economic assumptions that…
DKosig Written by Nick Ackerman, co-produced by Stanford Chemist. BNY Mellon High Yield Strategies Fund (NYSE:DHF) is a diversified, high-yield-focused closed-end fund. In our prior coverage, we compared the fund to the Credit Suisse High Yield Bond Fund (DHY), given its many similarities. We noted that DHF looked like the better value and had stronger…
erdikocak CEFA: Welcome to CEF Insights, your source for closed-end fund information and education, brought to you by the Closed-End Fund Association. Today we are joined by Tony Huang, Portfolio Manager with Advent Capital Management. Advent manages the Advent Convertible and Income Fund (NYSE:AVK). We’re happy to have you with us today, Tony. Tony Huang:…
Dilok Klaisataporn Long-time readers know I’ve been bullish on CLO ETFs since these first appeared on the market, due to their strong yields and effectively zero rate risk. Of these, the Panagram BBB-B Clo ETF (NYSEARCA:CLOZ) offers a particularly compelling 9.6% yield, with strong returns since inception, and since I first covered the fund. CLOZ’s…
PM Images/Stone via Getty Images Introduction By now, I doubt that it may come as a surprise to many readers when I say that I have started to like the midstream industry a lot in recent years. While the industry was total dead money before 2021 due to elevated capital spending and subdued income, it…
Christian Adams/The Image Bank via Getty Images Investment Thesis Patria Investments (NASDAQ:PAX) is successfully executing an ambitious consolidation strategy of the Latin American alternative asset management landscape, delivering economies of scale through sustained AUM growth. Its recurring revenue base is set to be bolstered by significant performance fees as the capital markets’ environment recovers, driving…
DNY59 Co-produced by Austin Rogers Dividend investors have been dealt a pretty bad hand in recent years. Numerous factors are weighing on various dividend stocks’ performance. Steadily falling oil and gas prices have pushed down energy stocks (XLE), including midstream pipeline companies (MLPX). Slowing consumer spending on most categories is making growth harder to achieve…
eyetoeyePIX/E+ via Getty Images High-yield corporate bond ETFs offer investors strong, growing dividends, and the potential for moderate capital gains as interest rates and economic conditions stabilize. Four high-yield corporate bond ETFs seem particularly strong right now. The SPDR Portfolio High Yield Bond ETF (NYSEARCA:SPHY), with the highest 7.3% dividend yield, and lowest 0.05% expense…
tum3123 I last wrote about the VanEck Emerging Markets High Yield Bond ETF (NYSEARCA:HYEM) in late 2022. In that article, I argued that HYEM’s strong dividend yield and prospective dividend growth made the fund a buy. Since then, returns have been mediocre, as market interest rates have risen. On the other hand, the fund has…
Olivier Le Moal We cover a plethora of regional banks, and we were asked about FNCB Bancorp (NASDAQ:FNCB), which has a nice history of growth. Right now you can collect and attractive dividend yield of 5.8%. Overall, we believe this is a fine bank stock, but it is likely to trade sideways until the overall…
Darren415 In this article we discuss our recent allocation to the Credit Suisse Asset Management Income Fund (NYSE:CIK). We last covered the fund in June, in the context of the relative value strategy which we discuss in the article. The fund continues to be a very strong performer in the sector and has recently moved…
Moussa81 This article was co-produced with Kody Kester of Kody’s Dividends. ——————————————————————————— Achieving your financial goals doesn’t require a genius IQ, but you need the emotional stability to stand by said strategy in tough times. Johnson & Johnson (NYSE:JNJ) is a legendary healthcare company with a renewed focus on its pharmaceutical and medtech segments, making…
Smederevac/iStock via Getty Images During the latest market downturn that began in August and continued into the first week of October, I have been reading and studying up on several high-yield investments that I own in my Income Compounder portfolio. I recently retired from my full-time career and received a pension payout as well as…
Deagreez Welcome to the great ratepocalypse of 2023. Daily Shot In over 20 years, we’ve never had a quarter where long-term rates rose faster than in Q3. As a result, utilities have been hammered, experiencing their 4th worst bear market in the last quarter century. Ycharts In fact, on Monday, October 2nd the entire utility…
claudiodivizia/iStock via Getty Images Friends, Romans, countrymen, lend me your ears; I come to bury Caesar, not to praise him. -William Shakespeare, from Julius Caesar. High Yield In this case, “Caesar” represents many high-yield investments. High-yield investments get a lot of play on Seeking Alpha and many other investing sites. After all, it’s an easy…
More than the risks to its financial reserves, and all the news about withdrawals, there is yet another reason that currently ticks off investors about Huobi. In June, Justin Sun floated a brainchild project that was targeted at crypto investors who had a knack for very high yields. Per his pitch, the project promised returns…
Torsten Asmus I last covered the Fidelity High Yield Factor ETF (NYSEARCA:FDHY), an actively managed high-yield corporate bond ETF, in late 2022. In that article, I argued that FDHY’s above-average, growing 7.4% yield made the fund a buy. FDHY has outperformed its benchmark since then, as expected. On the other hand, dividends have been cut,…
SvetaZi Written by Sam Kovacs. Introduction There’s less than two weeks until the Fed’s next interest rate decision. While the consensus remains that the Fed will keep their target rates stable at 5.25%-5.5%, there is some uneasiness in the market with an 8% (non-zero) probability that rates will be increased. Futures markets this morning signaled…
anyaberkut For those who love generous, safe, and steadily growing dividends, there are few better single-ticker retirement solutions than Schwab U.S. Dividend Equity ETF™ (NYSEARCA:SCHD). Currently, the economy and stock market are at a potential inflection point. Very smart people on Wall Street are arguing persuasively that stocks will rip 10% to 20% higher or…
Torsten Asmus Leading business development company, or BDC, Main Street Capital (NYSE:MAIN) investors have done well since the bottom from the massive fear-induced selloff that led to a capitulation in mid-October 2022. Based on a total return basis, MAIN has outperformed the S&P 500 (SP500) since my initial article in September last year. Notwithstanding the…
Kameleon007 The PIMCO 0-5 Year High Yield Corporate Bond Index Exchange-Traded Fund ETF (NYSEARCA:HYS) is a simple short-term high-yield corporate bond index ETF. Although the fund sports a reasonably strong, growing 6.1% dividend yield, it is quite expensive for an index ETF, with a 0.55% expense ratio. Most of HYS’s peers are cheaper, with the…
Deagreez Option-based stock exchange-traded funds, or ETFs, like the JPMorgan Equity Premium Income ETF (NYSEARCA:JEPI) were red hot last year because they fell less in a painful market and generated maximum yield when volatility was highest. YCharts Well, volatility has been collapsing all year. So several Dividend Kings members asked me to follow up on…