When it comes to high-yielding investment vehicles, real estate investment trusts (REITs) and master limited partnerships (MLPs) are the most well-known. Almost every portfolio has exposure to them these days. The vast majority of 401(K)-styled retirement plans offer some sort of REIT option these days. But there is another pass-through entity that investors looking for high-income should familiarize themselves with. We’re talking about business development companies (BDCs).
Investors can think of BDCs as publicly traded private equity or venture capital firms. Many midsized firms are too small to launch a full corporate bond issue and are too large to go their local bank branch and request a loan. Finding sources of capital can actually be quite difficult. BDCs will step in a loan those firms the needed money — often at very advantageous rates and with an equity kicker. Here are three quality BDCs to buy with double-digit dividend yields: Hercules Technology Growth Capital (HTGC), Ares Capital Corporation (ARCC) and Pennant Park Investment Corporation (PNNT).
Source: InvestorPlace
Related Articles:
- 5 Dividend Stocks That Gave Me A 20%+ Annualized Return
- 6 Rainy Day Dividend Stocks
- When A Stock Fails To Raise Its Dividend: Is It Time To Sell Intel?
- 4 Dividend Stocks For A Confident And Secure Future
- High-Yield, High-Return Investments To Increase Income While Waiting On Dividend Growth
3 BDCs to Buy for Double-Digit Yields
Posted by D4L | Saturday, August 01, 2015 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Late last year, Wall Street had a bit of a panic attack when Fed chairman Jerome Powell suggested this tightening was on autopilot. While th...
-
If you’ve been following this column, you’d know that monthly dividend stocks tend to come from two main types of businesses: real estate an...
-
Are you sick and tired of low interest rates? Certificates of deposit pay next to nothing. Bonds yield only three or four percent a year. Su...
-
These three picks are all up more than 10% so far in 2019. The three themes are LNG, specialized healthcare, and small banks. The yields ran...
-
This company makes a compelling value proposition based on valuation, risk/reward, yield, and upside potential. I added this hotel REIT las...
-
This company makes a compelling value proposition on the dip for DGI investors. The REIT has strong portfolio stats and a conservative AFFO-...
-
Stocks with high dividend yields can be great, but if a stock has a high dividend yield and also has lots of long-term growth potential and ...
-
At its opening price of $101 per share on Jan. 7, MSFT stock had a market cap of $782 billion, which made it the most valuable company in th...
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
Dividend growth or dividend yield. Which should investors prefer? I'm firmly in the "growth" camp since I'm still a few de...

0 comments
Post a Comment
Post a Comment