There's nothing greater than a company that pays you cold hard cash. A strong dividend is the way into this investor's heart, and if you're like me, you'll love mortgage real estate investment trusts, or mREITs. REITs were created in 1960 to give the everyday investor an opportunity to invest in real estate. To qualify as a REIT, 75% of the company's assets must consist of real estate investments, and the company must distribute 90% of its earnings to shareholders. By doing so, REITs are generally not subject to federal or state corporate taxes.
Because of this, many of today's mREITs like Annaly Capital Management (NYSE: NLY) and American Capital Agency (NASDAQ: AGNC) have dividend yields -- or annual dividends per share divided by stock price -- north of 10%. This obliterates nearly every other industry. After making mortgage loans, banks have the opportunity to sell the rights on the loan to an entity. These entities gather tons of mortgages, package them into pools called securities, and sell them into the open market.
Source: Motley Fool
Related Articles:
- High Yield, High Risk Dividend Stocks
- Dividend Stocks vs. Dividend ETFs
- If Only I Had Known About These Dividend Stocks...
- 10 Dividend Stocks Delivering The Secret To Success
- 10 Dividend Stocks For A Rainy Day
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
In bull markets, dividends become more or less irrelevant. When the Dow Jones Industrial Average traded above 14,000 in 2007, very few stoc...
-
These stocks are a safe bet to increase your portfolio value as they provide both steady income and cushion against market risks. A large pa...
-
I love getting paid to invest, which is why I've filled my portfolio with income stocks. My favorites are those that not only pay genero...
-
This is one of our top dividend-paying companies that can help boost the investment income in your portfolio. These stocks are a safe way to...
-
Tracking down a stock that pays a high yield is easy enough to find, but selecting ones that are worth holding onto for decades to come is q...
-
A big worry for retirees isn't necessarily the size of their nest eggs, but whether they'll keep up with inflation. While convention...
-
Not all dividend-paying companies make a lot of money, but the ones that do could fetch you solid returns in the long run, simply because a ...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
In some dividend investors' minds, there's no such thing as too much dividend income. Yet often, stocks that carry extremely high di...
-
With so many concerns plaguing investors’ minds, dividend paying stocks are tempting options at the moment. The best dividend stocks pay out...
0 comments
Post a Comment
Post a Comment