One of the favorite investments for income-seeking investors that our colleague Tim Plaehn recommends is business development companies, or BDCs. Business development companies provide equity and debt financing sources for small-to-medium-sized corporations. They act as commercial lenders to companies that cannot get financing through the banking system. Currently, BDCs hold a quarter of assets under […]
Business Development Corporations (BDCs)
When a Secondary Stock Offering is Great News
A secondary stock offering comes with a sharp drop in a company’s stock price. Rapid price declines make investors nervous, wondering if the company is facing troubles. The recent sale of 6.5 million new shares by one of my favorite high-yield dividend stocks highlights how this type of transaction can benefit investors. Let me show […]
New Name, Same Great Income Stock
Business development companies (BDCs) are a high-yield investment sector benefiting from higher interest rates. One of the largest BDCs recently changed its name, giving me a good excuse to review this under-the-radar, high-yield stock – one of my favorites… On July 6, BDC Owl Rock Capital Corporation, stock symbol ORCC, changed its name to Blue […]
These Stocks Are on A Dividend Increase Bonanza
It’s a bonanza for income investors out there. Each day, I am shocked that another dividend increase out of the business development company (BDC) sector hits my inbox. Today I want to provide a list of BDCs that have announced dividend increases and/or supplemental dividends – and which ones to look at for your portfolio… […]
Make Income From Last Week’s Market Drop
Last week the U.S. stock market experienced its biggest one-day decline in several years. A rapid yield increase on the 10-year Treasury note triggered the stock market route. The market runup in January was due to investor expectations that the Federal Reserve would soon start to ease interest rates.February reversed that enthusiasm, and the stock […]
Private Equity’s Loss Can Be Your Gain with These Three Income Stocks
Higher interest rates have put a damper on the funding of venture capital investments from the private equity world. When interest rates were near zero percent, private equity firms could borrow money with no cost, which could be employed as venture capital investments. This led to some headline-grabbing returns. The higher rates brought on by […]
An Idea to Fight Inflation That Actually Works
In late 2021, when it became apparent that inflation would stay persistent and increasing, I started to get a lot of questions about where to invest. When inflation rears its ugly head, there is no magic list of investments that help you beat inflation all of the time. While it would be good if there […]
Why “Beating” Inflation with Your Investments Isn’t What You Want
I get a lot of questions about investing to beat or mitigate inflation. I think that is the wrong way to think about your investment strategies. While inflation is a consideration, your investment choices should generate steady returns to help offset the rising cost of living. One concept to grasp is that the effect of […]
How I’ve Made Money “Every Day” Through the Crash
Dear Investor, The market volatility that has started 2022 is making many investors nervous about their portfolios. But not me: I have been pleased with how well the high-yield investments recommended in my Dividend Hunter service have performed. One high-yield category in particular has really stood out, with great dividends and share price appreciation through […]
The Three Best BDC Stocks for Rising Interest Rates
Dear Investor, The Fed has said it will finally hike interest rates this year. As rates rise, business development companies (BDCs) are a type of income stock that should perform especially well. However, the uncertainties from inflation, omicron, and a waffling Federal Reserve will likely make for a bumpy ride over the next six-to-nine months. […]













