Dividend Stocks Offer Defense Amid Recession Fears, BDCs Sixth Street and Crescent Capital Offer Double Digit Yields

Jeremy Grantham warns of a stock market crash and recession running into 2023 due to rising interest rates depressing the real estate market. He recommends dividend stocks as a defensive play.
Business development company Sixth Street Specialty Lending has seen strong revenue and earnings growth. It offers a 9.2% dividend yield and has ample liquidity.
Sixth Street engages in lending for small and mid-sized enterprises that may lack access to traditional capital sources. It has a conservative approach.
Another BDC, Crescent Capital, invests in private debt for small and mid-market companies. It has grown revenues and earnings over the past year.
Crescent offers a 10.2% dividend yield and has implemented a supplemental dividend policy. Analyst Robert Dodd sees an attractive risk/reward.

yahoo.com

Relevant topic timeline:

8/28/2023

High Yield Or Fast Dividend Growth? Have Your Cake And Eat It Too

Dividend investors often face a choice between high-yield stocks that offer more immediate income and low-yield stocks with faster dividend growth, but finding stocks that offer both can be challenging, with only a few rare "dividend unicorns" meeting these criteria, such as Arbor Realty Trust, Clearway Energy, NextEra Energy Partners, and VICI Properties.

9/21/2023

Retiree Boosts Income Stream, Buying Undervalued Assets with High Yields

In this article, the author mentions several stocks including: 1. Credit Suisse X-Links Crude Oil Shares Covered Call ETN (USOI) 2. Via Renewables preferred shares (VIASP) 3. NXG NextGen Infrastructure Income fund (NXG) 4. OFS Credit Company, Inc. (OCCI) The author does not explicitly give a recommendation to buy, hold, or sell these stocks. However, they mention that they have a 5% position in USOI and do not plan to increase their holding unless oil prices dip below $80 again. The author's core thesis is to hold high-yielding securities that offer regular monthly or quarterly dividends to grow their future income stream. They mention that they are accumulating wealth in their investment portfolio and reinvesting dividends to compound their income. The key information and data in the article include the current TTM yield of USOI at about 27%, the high yield provided by VIASP (approximately 26% at the time of the article), the doubled dividend of NXG NextGen Infrastructure Income fund, and the high yield and potential price appreciation of OFS Credit Company, Inc.

9/26/2023

Gundlach Recommends Balanced Portfolio With Only 25-30% Equities To Navigate High Recession Risk

Investment guru Jeffrey Gundlach advises investors to adopt a conservative approach and favor a balanced portfolio with a mix of equities, bonds, and commodities to safeguard against a potential recession, recommending high-quality bonds and credit market investments with yields of 7% to 8%.

9/28/2023

Analysts Tout Two High-Yield Dividend Stocks as Defensive Plays in Challenging Markets

Investors are turning to high-yield dividend stocks like OneMain Holdings and Kimbell Royalty Partners as defensive plays in response to market uncertainty caused by factors such as the Federal Reserve's interest rate policy, potential government shutdown, declining consumer confidence, and a surge in oil prices.

9/28/2023

Dividend Aristocrats Shine as Market Declines; Screens Uncover Strong Candidates for Further Pullback

Investors may want to consider increasing exposure to dividend stocks, such as those in the S&P Dividend Aristocrats, as rising long-term interest rates have the potential to push the broad stock market down again.

10/1/2023

Morgan Stanley: Dividend Stocks Outperform in Inflationary Times and Provide Returns up to 85%

Summary: Morgan Stanley recommends investors turn to dividend-paying stocks, as they have historically outperformed non-dividend stocks during market downturns. They have identified 26 dividend stocks that could see shares rise up to 85% in the coming months.

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Posted 9/7/2023, 2:42:45 PM

Dividend Stocks Offer Defense Amid Recession Fears, BDCs Sixth Street and Crescent Capital Offer Double Digit Yields

Jeremy Grantham warns of a stock market crash and recession running into 2023 due to rising interest rates depressing the real estate market. He recommends dividend stocks as a defensive play.
Business development company Sixth Street Specialty Lending has seen strong revenue and earnings growth. It offers a 9.2% dividend yield and has ample liquidity.
Sixth Street engages in lending for small and mid-sized enterprises that may lack access to traditional capital sources. It has a conservative approach.
Another BDC, Crescent Capital, invests in private debt for small and mid-market companies. It has grown revenues and earnings over the past year.
Crescent offers a 10.2% dividend yield and has implemented a supplemental dividend policy. Analyst Robert Dodd sees an attractive risk/reward.

yahoo.com

Relevant topic timeline:

8/28/2023

High Yield Or Fast Dividend Growth? Have Your Cake And Eat It Too

9/21/2023

Retiree Boosts Income Stream, Buying Undervalued Assets with High Yields

9/26/2023

Gundlach Recommends Balanced Portfolio With Only 25-30% Equities To Navigate High Recession Risk

9/28/2023

Analysts Tout Two High-Yield Dividend Stocks as Defensive Plays in Challenging Markets

9/28/2023

Dividend Aristocrats Shine as Market Declines; Screens Uncover Strong Candidates for Further Pullback

10/1/2023

Morgan Stanley: Dividend Stocks Outperform in Inflationary Times and Provide Returns up to 85%