This time last year, the Fed was promising four rate hikes over the next twelve months. The “smart money” crowd (via Fed Funds futures prices) was betting on two. And both parties were too aggressive as we saw just one rate hike in 2016.Today we have Yellen & Co promising three hikes in 2017, while the futures markets say just two. Given their track records, I’m inclined to take the “under” on both predictions. But it doesn’t really matter if we see one rate hike or two (or even three) next year. The income investments I like best have already been discounted well in excess of their rate hike risk.
In many cases, you can boost your dividends by 100% to 150% simply by trading in your common shares for the preferred variety. However they are complicated to buy (Series what?), so you may be tempted to take a logical shortcut and purchase an ETF. After all, funds like the iShares S&P U.S. Preferred Stock Index Fund (PFF) and the PowerShares Preferred Portfolio (PGX) pay 6.7% and 6.5% respectively and provide you with one-click diversification.
Source: Investor Place
Related Articles:
- 9 Dividend Stocks Ignoring The 4% Rule
- 10 Stocks That Have Paid Dividends For Over 100 Years
- Love People, Use Dividend Stocks
- We Were Dividends, Before Dividends Were Cool
- 7 Dividend Stocks Delivering The Secret To Success
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Strange but true: seniors fear death less than running out of money in retirement. So what's a retiree to do? You could cut your expense...
-
If you're anticipating a long retirement, you'll want to remain invested in stocks to give your money a chance of outpacing inflatio...
-
When writing this article, I was looking for an ideal list of dividend-paying stocks that consistently raise their dividends each year. In a...
-
One way to identify suitable candidates is to look for stocks with an average dividend yield of 3%, and positive average annual dividend gro...
-
If I could teach investors one thing, it would be how to identify and value “Forever Assets.” These businesses constitute the single best wa...
-
Exxon Mobil Corporation (NYSE:XOM) stock is trading at the same level as it was during the beginning of 2019. Even with company-specific pos...
-
As a new decade approaches, it's a good time to think about putting a few stocks in your portfolio that can stand the test of time, pote...
-
Dividend-paying stocks from generally low-risk, top notch companies are a brilliant way to create steady and solid income streams to supplan...
-
One of the Best Dividend Stocks of the Past Decade. If you ask most people to name the best dividend stocks, they’ll rattle off a similar li...
-
Dividends are profit sharing payments sent out to stockholders. Companies have a variety of reasons for paying them, ranging from simply swe...
Nice few stocks here. 7% dividend is a scary thought as they sometimes leaves little room for growth.