(08-03-2021, 08:25 AM)Genester Wrote:I am with you there. Most of my Vanguard funds are practically zero fees. That matters in the long-term with compounding. When I buy the high yielders I usually just count on holding a few years. I look at what I believe will be the bottom line, assess risk vs reward and make a decision. The reality is the high yielders are not a CD. (Preferreds are about as close as it gets though). As I mentioned I will take a break when they get euphoric because they get smacked when the market gets hit. They are only truly safe if you buy them cheap. You chase you lose more often than not.(08-02-2021, 05:32 PM)fenders53 Wrote: DNP is one I don't think is overvalued now. Not only do you get the security of a preferred stock fund but it is a utility stock preferred fund. You can buy this one and forget it. If the share price goes more euphoric than a preferred warrants it probably needs sold, but you can just just ignore it and keep collecting your 6% yield if you wish. Utilities are underperforming the past year so this one probably has a little upside in the share price at some point over the next year.
I'll offer up ENB as a safe high yielding stock. It's at the top of the buy range though. A lot safer at sub 37. IMO it's very safe for the next few years. I have no prediction for anything oil related 5 years from now.
BTI looks good here to. I doubt the stock is gong anywhere but the very high yield is pretty safe.
Thank you, Fenders. Right there with you on BTI and ENB. For DNP and a few others you've recommended, do the high expense ratios scare you? I've been taught to avoid funds that are much over 1% on the expense side...
I get a little wordy. I made 25-40% in under a year on pretty much everything I mentioned (other than common stocks of course). because I bought them when everyone was scared of them, so no the 1% fee didn't bother me. I have ridden RQI and ARCC up more than once the past 3 years.