As of Close of Business May 8th, no less than 57 multi-year experienced, Taxable Income, Closed End Funds (CEFs) were paying 7% or more in 401k and IRA eligible income to their shareholders.
31 issues (54%) paid 8% or above, and the average for the Heinz-like group was 8.56%. All of these portfolios are professionally managed by this long list of well respected, long experienced, investment companies… their purpose is dependable income production.
Blackrock, Nuveen, Pimco, Putnam, Invesco, Alliance-Bernstein, MFS, Calamos, Eaton Vance, Deutsche, Pioneer, Western Asset Management, Wells Fargo, Flaherty & Crumrine, 1st Trust, Brookfield, John Hancock, KKR, Babson Capital, Allianz Global, Neuberger-Berman, & Cohen & Steers
The investment portfolios include all forms of Bonds, Preferred Stocks, Mortgages, Senior Loans, etc, domestic and global, high yield and normal…
How difficult could it be to put together a well diversified, retirement income portfolio? If you only knew…
Most of these funds have paid steady, dependable, income for more than fifteen years, even through the financial crisis… several have been around since the ’90s
Yet your financial advisor has probably never mentioned them to you as a viable alternative to low yielding income Mutual Funds or stock market dependant funds and ETFs… she probably isn’t familiar with them either.
The DOL (and other retirement plan “specialists”) have effectively banned these programs from 401k Plans, and it’s likely that you have never heard them advertised or even mentioned in the most popular financial newsletters…
One could conclude that Wall Street (even the CEF providers themselves) would prefer that you didn’t even know that they exist.
WHY IS THAT?