Will Stocks Drop Again? Here’s My Take (and an 8.5% Dividend to Profit)
Michael Foster, Investment StrategistUpdated: August 7, 2025
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