10-19-2020, 08:23 AM
(10-18-2020, 09:27 PM)fenders53 Wrote: I understand you aren't really buying these today but the high yields made me curious. I took a look at the first security which is OXLC which is closed end fund listed at an 18% yield. I was curious how it did during severe markets but it didn't exist until 2011. It's dropped from about $19 to around $4.40 after being under $2 earlier this year. That's about a 75% loss of capital during a nine year bull market. The yield is now down to 18% because they cut the dividend in half a few monthes back. I wonder if they might be distributing the capital back to the shareholders? That's a very interesting pick. Am I missing something?
Admittedly I'm very leery of OXLC as well. Now, I did own ORC and NLY for many years. ORC went down down down, but I did buy more at the bottom in March and it tripled since then, which was nice, and I sold. But it has stabilized since.
NLY I had about $25K in for many years, and getting those quarterly $700 dividends was wonderful. It traded in a tight $10-$12/share band, until it dropped like a rock this year, thankfully after I got out, and like ORC has since stabilized.
The ones I only recently discovered but am very excited about are the two PIMCO funds paying around 10%. It will be interesting to see how they do.