It’s a great time to be a big-yield investor (6% to 13% yields). For starters, the aggressive interest rate hike cycle (that pressured the prices of interest rate sensitive securities lower over the last two years) has now ended (as per fed chair Jerome Powell, it’s unlikely the next interest rate move will be higher). And with interest rates now settling in at their highest levels in over two decades, certain out-of-favor contrarian opportunities are particularly compelling. In this report, we countdown our top 10 big-yield opportunities, including closed-end funds (“CEFs”), business development companies (“BDCs”), real estate investment trusts (“REITs”), dividend stocks and more.

For your reference, sharing some updated data on big-dividend REITs (which have not performed well in recent years as rate hikes and work-from-home set in). The data is sorted by REIT industry and market cap.

If you are an income-focused investor, Arbor Realty Trust (ABR) may be extremely tempting because of its massive dividend yield (currently 13.3%) and long-term track record of success. However, this mortgage REIT checks all the boxes for a “sucker yield,” and there are far better investment opportunities if you like to generate high income. In this report, we share 10 reasons why Arbor Realty Trust may be a sucker yield (i.e. a dividend that is “too good to be true”), and then conclude with three superior big-dividend strategies for you to consider.

If you like high income investments, two things are likely true: (1) you are aware of the big double-digit yields offered by PIMCO closed-end funds (“CEFs”) and (2) you’re likely disgusted by the returns of said bond funds over the last few years. However, the tide has shifted as interest rate hikes have ceased (and may reverse). And as we correctly predicted, the brief price discount on PIMCO’s PDI (versus NAV) has evaporated and the shares now trade at a premium. What’s special is BOTH the premium and share price will likely increase dramatically in the months, quarters and years ahead. We explain in this short report and also share data on 100 other big-yield CEFs (many also paid monthly) for comparison purposes.

In this report, we share updated data on 100 big-yield CEFs from across a variety of categories. The data is ranked by market cap, per category, but you can also compare these big yield opportunities on discounts-premiums, leverage, recent performance metrics and more. We conclude with our opinion on where we’re seeing the best (and some of the worst) big-yield opportunities in the current market environment.

Quick Note: Sharing some updated BDC data as of today’s close. Yields remain attractively high, yet valuations are not particularly low, as much of the group is benefiting from increased investment income from floating rate loans while their own debts are fixed rate with some time before much of it resets higher.