In three charts, we’ll show why monthly dividends are superior to even blue-chip payers. Plus, we’ll discuss five monthlies that yield between 9.7% and 13.5%.
Why the fat yields? Monthly payers tend to cluster in the high-yield corners of the market that many investors never bother to explore, like real estate investment trusts (REITs), business development companies (BDCs), and closed-end funds (CEFs).
Here’s the beauty of it: REITs, BDCs and CEFs cover enough ground that we can build a genuinely diversified monthly-income portfolio without ever leaving their ZIP codes. Just consider this five-pack of 9.7% to 13.5% yielders that pay us every 30 days or so.
This post originally appeared at Contrarian Outlook.