High Yield ETFs

3 Signs Yield Investors are Driving the Market

May 5, 2013

Investors have been on the hunt for yield ever since policy pushed investors to risk assets to generate any real return. Yields on US Treasuries, certificates of deposit, and short-term corporate bonds is without question well below the rate of inflation. Yields are certainly lower than the true rate of inflation as defined by the [...]

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The 4% Rule is Dead, but these ETFs Might Help

March 31, 2013

The days of consistent 4% annual withdrawals from a retirement fund are long gone. A paper from Morningstar rejects the idea that anyone can pull 4% per year from their retirement balance with any confidence.  Overconfidence is common, but not prudent. Here’s the skinny: Low rates crush income potential – At the time the 4% [...]

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Buy Falling Angels for Higher Yields

March 10, 2013

Market Vectors thinks that the best way to get ahead in the bond market is with the “Falling Angels,” bonds that have fallen from investment grade to below investment grade. Over time, companies that have moved from investment grade to junk have given their debt investors higher returns. Market Vectors has a new fund for [...]

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Here’s Why Vanguard’s Dividend Growth ETF is a Top Pick

March 3, 2013

Dividend stocks are hot with investors who realize that most historical stock market gains have come from dividends. The role of dividends in investment performance does not go unnoticed. Dividends also have a few other advantages for the investor: They serve as a guide for earnings quality. Many companies generate only accrual earnings, rarely generating [...]

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Junk Bonds: Adjusting for “The Great Rotation”

February 10, 2013

January 2013 was marked with the concept of a “Great Rotation” from fixed income to stocks. The premise is simple: after more than 30 years of a bull market in bonds, investors buying today are buying at record low yields. Relative to 2% on a 10 year treasury bond, a dividend-paying stock at a fair [...]

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Searching for the Best MLP ETF

January 13, 2013

Master limited partnerships are one of the fastest growing investments on Wall Street. Oil and gas companies divest high cost assets with MLP issues while investors find MLPs attractive for their high yields and tax benefits. Investors who favor sector ETFs as a way to get broad exposure have plenty of choice in master limited [...]

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Utility ETFs Offer Intriguing Opportunity

November 25, 2012

Utility companies are back in the headlines as investors reconsider their preference for dividend-paying equities with uncertain tax policy coming in 2012. Key utility sector indexes are off more than 6% in the last month while forward yields look compelling for conservative investors. Tax Concerns are Overblown Investors traditionally value utilities on a dividend discount [...]

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Can’t Find a Favorite Mortgage REIT? Own the Industry with this ETF

October 7, 2012

A little known REIT ETF has outperformed the market, and provided a whopping 11% yield along the way. iShares’ FTSE NAREIT Mortgage REITs Index (REM) excels in delivering the highest yields with broad exposure to the market for real estate investment trusts. The fund makes for an interesting exchange-traded fund in that it has one [...]

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Ramping Up Yields with the SuperDividend ETF

September 9, 2012

What do you get when you mix international equities with a high-yield advantage? You get a super dividend ETF – the Global X SuperDividend ETF (SDIV). Thrown into one of the hottest markets for dividends in decades, the SuperDividend ETF is making waves with investors who are after global high-yield exposure. The fund boasts an [...]

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