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.
Cboe Global Markets Inc, RLI Corp, and AGNC Investment Corp will all trade ex-dividend for their upcoming dividends, resulting in lower stock prices for all three companies. CBOE's dividend works out to approximately 0.36% of its stock price, RLI's dividend is 0.21%, and AGNC's dividend is 1.22%. The historical dividend charts for these companies can provide insight into their stability over time, and if the dividends continue, the estimated annual yields would be 1.46% for CBOE, 0.84% for RLI, and 14.67% for AGNC. In Monday's trading, CBOE shares are down 0.3%, RLI shares are down 0.2%, and AGNC shares are up 0.6%.
Investing in Realty Income Corporation (NYSE:O) may not be rational from a fundamental level due to its relatively unattractive dividend yield and the potential damage caused by a higher interest rate environment.
Realty Income's shares have hit a one-year low, but the REIT's strong operating performance, dividend coverage, and diverse real estate portfolio make it an attractive investment with a 5.6% dividend yield.
Summary: Legendary investor Jeremy Grantham warns of a potential recession and decline in stock prices due to rising interest rates, but investors can protect their portfolios by investing in high-yield dividend stocks such as Sixth Street Specialty Lending (TSLX) and Crescent Capital BDC (CCAP), both of which have strong financial performance and attractive dividend yields.
The resurgence of interest in dividend-paying stocks has led to significant growth in dividend-focused ETFs, with over $300 billion in assets under management globally as of July 2023, and investors must choose the dividend index that aligns best with their investment objectives, such as the FTSE Global Target Dividend Index Series.
The article mentions VICI Properties (NYSE:VICI) as the stock that is being discussed. The author's recommendation is to buy VICI Properties, as they believe it is an attractive income investment for retirement.
The author's core argument is that VICI Properties provides a reliable source of passive income through its increasing quarterly dividends. The author also highlights the company's focus on long-term leases, high-quality assets, and strong execution as factors that contribute to its potential for growth and stability. The article provides information about VICI's dividend history and projections, as well as its revenue growth and investment-grade balance sheet. The author also discusses a short strangle strategy involving covered calls and cash-secured puts to generate additional income with VICI shares.
Overall, the article presents VICI Properties as a solid choice for retirement portfolios, offering stability, income, and growth prospects. The author rates VICI as a buy.
This article mentions three different stocks: Janus Henderson AAA CLO ETF (JAAA), Janus Henderson B-BBB CLO ETF (JBBB), and Panagram BBB-B CLO ETF (CLOZ). The author's recommendation is to buy and hold these stocks.
The author's core argument is that collateralized loan obligations (CLOs) offer strong dividends, low credit risk, and almost no interest rate risk. The author also mentions that CLOs currently yield more than comparable fixed income securities across credit ratings, asset classes, and maturities.
Key information and data provided in the article includes the credit risk, interest rate risk, performance track-record, and dividend yields of each of the three ETFs. It mentions that JAAA has extremely low credit risk, negligible interest rate risk, and a 6.7% SEC yield. JBBB has extremely low credit risk, negligible interest rate risk, and an 8.6% SEC yield. CLOZ has low credit risk, negligible interest rate risk, and a 10.8% SEC yield. The article also highlights the performance and volatility of each ETF.
