I keep a roughly 40% or greater allocation to income securities.  One of my favorite places to invest for yield is closed end debt funds trading at a discount to NAV.  You can get exposure to the underlying securities for less than their market value.  You also usually get moderate leverage on a sleepy asset class.  The yields can be quite tasty.  Three funds for your consideration this week.  I am not currently in the market for more CEFs but if I was, I would start my research here.  Stay tuned for an options trade on Monday.

music selection:  “Wolves At The Door” — Bad Seed Rising

Nuveen Credit Strategies Income Fund (JQC) is a closed end fund that seeks seeks high current income; and its secondary objective is total return.  It pays a Managed distribution on a monthly basis.

  • Discount to NAV – 11.19%
  • Yield – 15.96%
  • Effective leverage – 37.01%
  • Expense ratio – 3.01%
  • Learn more

RiverNorth/DoubleLine Strategic Opportunity Fund, Inc. (OPP) is a closed end fund that seeks current income.  It pays a managed distribution on a monthly basis.

  • Discount to NAV – 7.26%
  • Yield – 13.25%
  • Effective leverage – 26.25%
  • Expense ratio – 2.67%
  • Learn more

Virtus Global Multi-Sector Income (VGI) is a closed end fund that seeks to maximize current income while preserving capital by investing in a portfolio of fixed income securities of U.S. and non-U.S.issuers.  It pays a managed distribution on a monthly basis.

  • Discount to NAV – 7.30%
  • Yield – 12.27%
  • Effective leverage – 28.18%
  • Expense ratio – 2.96%
  • Learn more

Devour your prey raptors!

Friday Fixed Income – Closed End Funds

Never miss another opportunity to devour prey!

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