Dividends4Life: Can You Count on This 14% Yield?

Can You Count on This 14% Yield?

Posted by D4L | Saturday, February 16, 2019 | | 0 comments »

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

Click here to have future posts delivered to you for free!

________________________________________________________________

0 comments

Post a Comment

~

Popular Posts Last 30 Days