If a company pays, say, 14%, you would only need to put up $71,429 to earn $10,000 in annual dividends. Of course, we know that double-digit yielders are not exactly the safest bets. As a conservative income investor, I’d rather have a diversified S&P 500 portfolio than put all my money in an ultra-high-yielding stock. Still, because of their generosity, ultra-high-dividend stocks could serve as yield-boosters in a well-diversified portfolio.
And that’s why I’m looking at CM Finance Inc (NASDAQ:CMFN) today. CM Finance is a business development company (BDC) headquartered in New York City. Like most BDCs, the company provides financing solutions to middle-market businesses. While CM Finance makes both debt and equity investments, its primary focus has been senior secured lending. As of September 30, 2018, 61.5% of the company’s portfolio consisted of first-lien loans, while another 34.7% of the portfolio consisted of second-lien loans.
Source: Income Investors
Related Articles:
- 6 High-Yield REITs With Growing Dividends
- 26 Income Securities For A Well-Rounded Asset Allocation
- 5 Small/Mid-Cap Dividend Growth Stocks Answering The Call
- 8 Dividend Stocks With The Right Stuff
- Free Cash Flow Payout vs. Dividend Payout
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
In this article we discuss the 5 Best Dividend Stocks to Buy According to Billionaire Ken Fisher. 5.) British American Tobacco p.l.c. (NYSE:...
-
Investing for retirement requires a different approach from merely betting on growth or value stocks. The strategy for fixed-income is to bu...
-
On Monday, AT&T (NYSE:T) confirmed that it will spin off its WarnerMedia entertainment unit and merge it with Discovery. While this will...
-
Earlier generations have favored dividend investing because generally higher yields were on offer then. Today, though, some investors have b...
-
One of our favorite areas to find blue-chip dividend stocks is in the utility sector. Companies in this space provide electricity, gas and w...
-
It’s safe to say that one of the biggest concerns that economists and investors have on their minds at this time is inflation. Regardless of...
-
One factor that can make a big difference is competitive advantage and leadership in a given industry. In general, larger companies with glo...
-
Business Development Companies, known as BDCs, offer the retail investor exposure to privately-held firms, which often are funded by venture...
-
If you are considering buying a stock purely for its dividend yield, then you will want to be sure that the dividend can grow in the future....
-
The best dividend stocks don't always come with incredibly generous yields. Excessive dividend yields are often a sign of deeply trouble...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.