This “Crisis-Resistant” Fund Yields 6.7% (and crushed stocks)

Michael Foster, Investment Strategist
Updated: November 29, 2019

Today we’re going to dive into a corner of the market where 6%+ dividends are everywhere. What’s more, the funds behind these payouts have crushed the S&P 500 for decades—even during the financial crisis.

I’ll also introduce you to a specific fund that’s throwing off a 6.7% payout every month, and should be on any income investor’s radar. More on that shortly.

First, I’m talking about real estate—and in particular a group of closed-end funds (CEFs) that hold high-yielding real estate investment trusts (REITs), companies that own properties ranging from seniors’ homes to cell towers.

Yes, real estate—the sector at the heart of the subprime-mortgage crisis.… Read more

Beating Bezos: Dividends That Grow 155% to 163% with Amazon

Brett Owens, Chief Investment Strategist
Updated: November 27, 2019

If you flip on the financial news this Friday, or click over to your favorite stock website, you’re going to see headlines about retail stocks. After all, they can’t have a Black Friday without weighing in on immediate winners and losers!

In recent years, the retail sector has produced many more losers than winners. Amazon (AMZN) is blamed as the brick-and-mortar-killer, taking down not only unimaginative retailers but also the landlords that rent to them.

The carnage even extends to shopping center rentiers like Macerich (MAC). It promises a 10.2% yield, but this inflated payout is due to a stock that split “the wrong way”—halving in price without the increase in sales!… Read more

3 Incredible 8% Dividends No One Talks About

Brett Owens, Chief Investment Strategist
Updated: November 26, 2019

I run into far too many investors who think the best way to build their bond income is to buy through an ETF.

It makes sense. After all, buying corporate bonds “direct” means playing in the murky over-the-counter market, or forking over a hefty brokerage commission.

What’s more, the media—with help from ETF providers’ marketing departments—has most folks believing an “automated” ETF always beats a human manager.

So it follows that more people are buying ETFs like the Bloomberg Barclays SPDR High-Yield Bond ETF (JNK). With one click, you’re getting a portfolio of corporate bonds throwing off a nice 5.6% dividend yield—and charging just 0.4% of assets.… Read more

How These 7%-Yielding Funds Charge $0 in Fees.

Michael Foster, Investment Strategist
Updated: November 25, 2019

Members of my CEF Insider service often tell me they’d love to know a lot more about the people at the helm of closed-end funds—the good, the bad and the ugly.

It makes sense: after all, when you buy a CEF, these folks play a huge role in whether you notch a big gain (and income stream) or, well, not so much.

An Insider’s View

As one of the few analysts who focuses solely on CEFs—especially smaller CEFs, with market caps of $1 billion or less—I’ve had several conversations with managers at CEF companies from across the market.

A common theme?… Read more

4 Mini-Aristocrats Yielding Up to 6.6%

Brett Owens, Chief Investment Strategist
Updated: November 22, 2019

Some of the stock market’s best dividend stocks are hiding in plain sight. But today, I’m going to introduce you to four long, longtime dividend-growing powerhouses that yield up to 6.6%.

Wall Street has naturally slept on these companies simply because they’re not easily covered mega-caps like Coca-Cola (KO). That’s too bad because in many cases, their returns have shredded many blue chips with similar dividend histories.

Just consider this “mystery” company:

This global chemical firm was founded in 1932, and currently boasts 18 manufacturing locations across the world. Like many industrial companies, it’s boring but makes our everyday lives better.… Read more

2 Investment Worries To Shrug Off (and Profit From) in 2020

Michael Foster, Investment Strategist
Updated: November 21, 2019

I’ve been getting worried emails from investors lately, and most are about one of two big fears:

  1. That a 2008-style market collapse and recession are on our doorstep, and …
  2. America’s spiraling debt will drive it into bankruptcy.

So today I’m going to give you my take on both.

Investor Worry No. 1: Is a Recession Looming?

The first question: are we headed for a recession? This one nearly broke my inbox during the late 2018 pullback, when I said that drop was a timely buying opportunity.

Not only has growth remained above 2% this year, but low unemployment, rising sales for US companies and higher incomes have all continued, without triggering inflation.… Read more

6 Steps to Fast 60% Returns From Safe Dividend Stocks

Brett Owens, Chief Investment Strategist
Updated: November 20, 2019

This week we’re going to get a bit greedy (responsibly, of course) and discuss fast double-digit gains from safe dividend stocks. Many of you probably sat back and enjoyed Arbor Realty Trust’s (ABR) “parabolic” move to the upside in recent weeks. Since we purchased Arbor for our Contrarian Income Report portfolio in July 2018, we’ve enjoyed epic 60% total returns!

This Tree Might Grow to the Sky

We paid $10.85 per share and have already collected $1.51 in dividends, about 14% of our initial capital—in 16 months!

Payouts alone have provided a solid return, but it’s been the price gains that have really made this stock a winner.… Read more

Why 2020 Is 1996 All Over Again (and 3 Dividend Payers With 27%+ Upside)

Brett Owens, Chief Investment Strategist
Updated: November 19, 2019

Looking for a 27%+ gain in 2020? Then you’d better buy now. But you won’t want to go near the media darlings most folks gamble on: I’m looking at you, Tesla (TSLA).

Instead, we’ll ride to 27%+ gains with some of the sleepiest stocks out there! I’m talking about dividend payers—and better yet dividend growers. I’ll show you three names and a powerful (and simple) strategy you can start using now shortly.

First, let me tell you why, even with the S&P 500 popping new records daily, there’s still plenty of upside left as we roll into 2020.

2020 Market Drivers: The Election and the Fed 

The first?… Read more

17 “Crash-Proof” Funds Yielding 8.1%+ (with upside)

Michael Foster, Investment Strategist
Updated: November 18, 2019

There’s nothing worse than watching your cash drain away in a downturn—especially if you’re near retirement and don’t have the time to bounce back. That’s why I’m hearing so much fear these days that 2020 could be another 2008.

Luckily, there’s a simple way to protect your nest egg. It involves 17 unique funds that let you hold the S&P 500 companies you know well, but with two key differences:

  • Steady returns: These 17 funds have delivered an annualized 8%+ in dividends and gains over the past decade.
  • Massive dividends: at an 8.1% average dividend, these 17 funds hand you cash payouts 4.5-times bigger than the average S&P 500 stock.
Read more

Are These “Brand Name Dividends” Up to 20% for Real?

Brett Owens, Chief Investment Strategist
Updated: November 17, 2019

Big brand names can’t rely on their past “glory days” forever. Today we’re going to make sure you don’t hold any “household name has beens” in your retirement portfolio.

I’m talking about washed up brands like Tupperware (TUP). The yesteryear firm’s shareholders just received yet another brutal reminder of the fickleness of brands in 2019.

Earlier this month, I pointed out the danger in blindly diving into high yields like Tupperware’s, which only hit double digits because its stock had been pelted so badly. Mere days later, shares of the ubiquitous container company sank to new all-time lows as Tupperware did the inevitable.… Read more