I bought this BDC for my income portfolio in April. The company has strong underwriting practices reflected in low non-accruals, and a debt investment portfolio that accentuates capital preservation. In addition, it has interest rate upside thanks to a large representation of floating-rate debt in its investment portfolio. The company has maintained its dividend rate throughout the credit cycle. Shares currently sell for about net asset value. An investment in the stock yields 9.5 percent.
I have added business development company Ares Capital Corp. (ARCC), one of the largest BDCs in the country, to my high-yield income portfolio at the end of last month. The business development company has paid a stable dividend for years, and about covers its payout with net investment income. The portfolio consists largely of relatively secure first and second lien debt, which should provide income investors with some downside protection in the event of a recession. Shares are selling for about net asset value. An investment in Ares Capital Corp. currently yields 9.5 percent.
Source: Seeking Alpha
Related Articles:
- 6 Companies With The Power of 5/15 Dividend Growth
- Searching the World For The Best Dividend Stocks
- What's Your Retirement Vision?
- The Most Important Financial Statement When Selecting Dividend Growth Stocks
- Stock Dividends - The Gift of Nothing
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Each of these high-yield dividend stocks has a dividend yield exceeding 6.5%. That’s is a very high dividend yield few stocks have. In addit...
-
I like high-yield dividend stocks that also have the ability to buy back their shares. These are called total yield dividend stocks. They of...
-
Because their financials must support a monthly dividend payment, the companies in this space are stable by nature — their operations are st...
-
As veteran traders will attest, though, nothing lasts forever. It might not be a bad idea to start adding exposure to the market's lagga...
-
In a soaring market, a few percentages of dividends may not seem like much. Over the past few months, the Dow Jones Industrial Average, the ...
-
Dividend payments are, by nature, a conservative strategy for companies to use, and as a rule of thumb the more conservative companies are l...
-
While there are a number of factors responsible for pushing the stock market lower, the spread of COVID-19 looks to be the match that lit th...
-
Looking for dividend growth in the high yield space? This stock yields 11.55%, with strong 1.41X trailing coverage, and mgt. has guided to 1...
-
It operates in a great location. Florida has seen a material influx of residents in recent years as people look to move to a warmer climate ...
-
There’s a group of companies that have started catering specifically to retirees: monthly dividend stocks. Admittedly, the universe of month...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.