An Alternative to Dividend Stocks

Posted by D4L | Wednesday, February 08, 2012 | | 0 comments »

For years now, investors have turned to dividend stocks to get the income they need. With other traditional sources of income largely falling flat and failing to deliver enough cash flow, especially for retirees, stocks with impressive dividend yields have helped many people bridge the gap between the income they need and what standard bank accounts and other safe investments provide.

But with all the hype about dividend stocks, some investors are looking for ways to diversify beyond them. One popular choice has been corporate bonds, especially high-yielding bonds. But with the appetizing nickname of "junk" bonds, are corporates really a smart play -- or an invitation for disaster?

Source: Daily Finance

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