From time to time, we like to share investment-related questions/ideas from our readers. Today's "Members’ Mailbag” comes from John W. Specifically, John asks:
"What is your thinking on KMI now that they have announced a schedule for future dividend increases? Their preferred shares have 4 dividend payments before conversion so would it be smart to simply invest in KMI-A as a way to begin a long position in KMI?"
Thanks for that question John, and we have a pretty strong opinion on this one…
New Residential: Weighing the Risks Ahead
New Residential Investment Corp (NRZ) is a unique mortgage REIT (think "MSRs") that is loved by many because of its big steady growing dividend payments (it currently yields 12.9%). However, this big yield does not come without risks as we’ve seen the shares fall 11% in the last three months. This article provides a brief review of the high-level risks facing NRZ, and then shares our views on the right way to think about NRZ.
Despite the Fear, We Like This High-Yield Investment (Double-Digit Yield)
Top 5 High-Yield Investments Worth Considering
This report is a continuation of our free public article titled “Market Top Coming: Top 10 High-Yield Investments Worth Considering," however this members-only version includes the Top 5. For some color, three of the Top 5 are high-yield bonds, and two are high-yield preferred stocks. Without further ado, here is the list...
Members Mailbag: Variable Rate, Fixed-Income, Closed-End Funds
From time to time, we like to share investment-related questions/ideas from our readers. Today's "Members Mailbag" comes from member Ken W. Ken asks: "Given rising interest rates, albeit slowly, are you considering any floating rate funds/ETFs such as FRA, BGX, BX, JFR for your Income Equity Portfolio?" Thanks for that question and for those ideas Ken. Here are our thoughts...
Higher-Yield & Lower Risk: Several Attractive Ideas for You to Consider
Many investors continue to seek attractive high-yield investment opportunities with relatively low risk. This article consolidates and reviews a handful of attractive opportunities for you to consider. These ideas are mainly preferred stocks and a high-yield bond. Without further ado, here are the ideas.
Our Attractive High-Yield Greek Stock: Two Ways to Play It
These Preferred Stock Shares Are Worth Considering
If you like yield, but you’re not comfortable with a lot of volatility, then you may want to consider the preferred shares of this healthy company. They trade at a slightly lower price than the common shares, they offer a slightly higher yield (5.3% versus 5.1%), and the share price is significantly less volatile and safer. But before you go diving in headfirst on the preferreds, here are a few things you need to know.
An Attractive Uncommon High-Yield REIT
This Small Dividend Will Grow
Taking Profits: Selling an "Aristocrat," Buying a "Dog of the Dow"
An Aggressive Income Trade Idea
A Penny Saved Is A Penny Earned
All Blue Harbinger strategies continue to deliver strong positive returns without any of the full-service brokerage fees that “do-it-yourself investors” are trying to avoid. Our Disciplined Growth portfolio beat the S&P 500 during May, and our Income Equity strategy finished the month with a 5.4% yield, nearly 3.5% higher than the S&P 500. We’ve seen value stocks underperform growth stocks this year, and as contrarians we like value stocks even more now.
Consider Nibbling at this Disciplined Dividend Growth Stock
Income investors love to own big dividend stocks, but sometimes it’s worthwhile to diversify into companies with smaller albeit growing dividends that also offer significant price appreciation potential. This article reviews one such opportunity that we believe has the opportunity to grow dramatically over time both its dividend and especially its price.
An Attractive High-Income Dividend-Growth Options-Trade
Top 5 High-Yield Blue Chips for Contrarians
Did Warren Buffett Just Make an Obvious Mistake?
There was an interesting Warren Buffett interview last week where the “Oracle of Omaha” gave a handful of very wise advice to investors. However, we couldn’t help but notice, he seemed to make a glaring fundamental mistake. This article reviews Buffett’s good advice, postulates a couple reasons why he could have made his glaring fundamental mistake, and we finally offer a smart way (a specific security) to take advantage of Buffett’s good advice without making the same big mistake.
Two Attractive “Dogs of the Dow”
The Dogs of the Dow strategy proposes that an investor invests annually in the ten Dow Jones stocks with the highest dividend yield. Proponents of the strategy argue that blue-chip companies do not alter their dividend to reflect trading conditions and, therefore, the dividend is a measure of the average worth of the company. The following table ranks the 30 Dow Jones stocks by dividend yield, it includes a variety of other financial metrics, and finally we discuss two of our favorite Dogs of the Dow right now.
3 Attractive Investment Ideas: One +7% MLP, Two Growth Stocks
This week’s Weekly reviews an attractive +7% yield MLP that is on sale. We also review two growth stocks that we own in our Disciplined Growth portfolio. The MLP is very hated (and misunderstood) right now (which is why we like it), and the growth stocks have both rallied hard this year (they’re up 30% and 47%) and we share our views on how to play them going forward.