NextEra Energy Partners (NEP) was a dividend growth superstar for almost a decade. The company increased its dividend every quarter by 3% to 4%, giving 15% annual dividend growth. The average yield of 4% or so put NEP’s yearly compound total returns in the very high teens. However, the way NEP structured the debt it […]
Trade of the Week: SMCI
This week, we are doing a covered call analysis on Super Micro Computer (SMCI). The stock price plummeted last week after the company’s auditor unexpectedly quit. In conjunction, volatility has shot up to its highest level in a year. Once things settle down a bit, this stock may be an interesting choice for a covered […]
How to Turn Market Moves Into Monthly Income With High-Yield Covered Call ETFs
The universe of high-yield, covered call option strategy ETFs continues to grow. Our ETF Income Edge service provides research and recommendations concerning this type of ETF. I review the investment strategies and historical returns for dozens of these funds for the newsletter. Since many of them are so new, I revisit them every few months […]
Will 3% Returns be Enough? Prepare Your Portfolio Now
Recently, Goldman Sachs shocked investors with its analysts’ stock market forecast for the next ten years. Stock returns have roared for the last decade, and investors who count on continued low-teens annual returns could be severely disappointed. More importantly, if your retirement goals and plans rely on continued excellent stock returns, you may not be […]
Trade of the Week: BABA
This week, we are doing a covered call analysis on Alibaba (BABA). The stock price has pulled back recently after a large surge in Chinese stocks. In the meantime, volatility has been moving higher as earnings will be released in a few weeks. These factors may provide a solid setup for a covered call trade. […]
Turn Market Shifts into Opportunity with a Strategic Bond Ladder
When I sold bonds in the 1990s, using a bond ladder—or even laddering CDs—allowed investors to maximize their investment yields and retain flexibility and liquidity. With the yield curve starting to steepen and the future of interest rates unknown, employing the current version of a bond ladder strategy can add safety and income to your […]
Which Tesla ETF Delivers Unstoppable Returns?
This is the sixth (and final) comparison article in my current series. You can find the previous ones here. This will be the end of the series in which I compare single-stock ETF results. I have enjoyed putting together my “dog fight” series of articles, comparing the results of ETFs operating in the new category […]
Trade of the Week: AAPL
This week, we are doing a covered call analysis on Apple (AAPL). The stock price has been pretty steady over the last few months. In the meantime, volatility has started to move higher as earnings will be released at the end of the month. These factors may provide a solid setup for a covered call […]
EPR Properties Rebounds: Here’s How to Cash In on a 7% Yield
When the coronavirus pandemic-related shutdowns hit the economy, EPR Properties (EPR), a real estate investment trust (REIT), was possibly the hardest-hit stock in the U.S. It is a testament to the management team’s talents that EPR has again become an REIT that every income-focused investor should know. Before the pandemic, EPR was an income machine. […]
Which Netflix Will You Buy?
I have enjoyed putting together my “dogfight” series of articles, comparing the results of ETFs operating in the new category of single-stock, covered-call funds. Today let’s compare two ETFs that have Netflix (NFLX) as the underlying stock. The new category of single-stock covered-call ETFs has two sponsors offering competing funds covering the same underlying stocks. […]