In a Nosebleed Market These Cheap Dividends Dish Up to 14%

With the market at nosebleed valuations, where can we look for value and yield? Let’s turn to our favorite three-letter acronym. C-E-Fs. As usual we have a handful of closed-end funds (CEFs) getting no love from Wall Street. This is perfect for us as we’re talking about dividends up to 14% and discounts between 10% and 15%. In other words, these fat payers are trading for 85 to 90 cents on the dollar. Let’s discuss. Gabelli Dividend & Income Trust (GDV) Distribution Rate: 5.8% Discount to NAV: 15.0% We begin with Gabelli Dividend & Income Trust (GDV) , a top-rate closed-end fund whose management team includes legendary value investor Mario Gabelli.… Read more