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Prospect Capital: Realty Income Added To Portfolio
Financial Sector and Stocks Analysis from Seeking Alpha
Mon, 25 Feb 2013
By Dividend Sleuth : Recent conversations with the Seeking Alpha community have helped reshape this retirement income portfolio. Suggestions from responders included more diversification plus consideration of closed- end funds and business development companies. With the market nearing all-time ...
A recent Morningstar survey found that current closed-endfund investors are using the vehicles for retirementincome , but potential investors desire more education.
Anticipating a housing recovery, many CEFs are taking stakes in mortgage-backed securities, but make sure you're comfortable with your fund's exposure.
Among the myriad factors at play in a CEF's Parent pillar, investors should pay particularly close attention to a firm's board, management incentives, and culture.
Because of their distinctive structure, closed-endfunds could offer investors a leg up in the muni market, but be sure to get comfortable with the quirks of CEFs before investing.