A few weeks ago, StreetAuthority analyst Michael Vodicka stumbled on a compelling pattern while performing some routine research for his new newsletter, High-Yield International.

When he and his team of experts ran a stock screen looking for all the stocks in the world yielding over 12%, they found that out of the 118 stocks their analysis identified, only 25 them were located in the U.S.

In other words, Michael’s study showed that if you aren’t looking overseas, you’re likely missing out on 79% the world’s highest-yielding securities before you even get started.

#-ad_banner-#Unfortunately, even if we dedicated every issue of this newsletter to international dividend companies, I’m willing to bet some of you still wouldn’t get the message. Since most investors associate the word “international” with high-risk growth stocks, our recommendations often fall on deaf ears. 

If you’re one of those investors, I urge you not to think that way. 

The truth is, in addition to offering the vast majority of high-yield stocks, foreign markets can be just as safe as investing in the U.S. — if not safer.

Michael explains why in his recent report “Why You’re Not Hearing About 79% Of The World’s Highest-Yielding Stocks”:

In the past couple of years, America’s total debt load has topped $17 trillion — and that burden is projected to grow even larger… reaching a total of $25 trillion by 2020.

Like a taxi meter spinning faster and faster, we are slipping $1.9 billion deeper into the hole every day — at a rate of $80 million per hour.

Our credit rating was even knocked down from its golden “AAA” status by Standard & Poor’s.

Yet while the U.S. is still suffering from the same political turmoil and rising national debt that led to the downgrade, 13 countries have managed to keep their AAA rating — despite the lackluster outlook for the global economy.

Take a look for yourself…

Of course, credit ratings aren’t everything. And two of the ratings agencies, Fitch and Moody’s, still designate the U.S. as an AAA-rated country. But it just goes to show there are plenty of other countries out there that are doing something right.

Take one of those countries on the list, Canada, for instance.

When most investors think about Canada, it’s usually cold weather and bad accents that come to mind. Many people fail to see this country for what it really is — a breeding ground for high-yield dividend payers. As Michael says later in his essay:

Canada is one of the best places to search for high yields.

First, it is a large, developed economy. It has a long history of being well-governed. And its government debt carries an “AAA” credit rating from Standard & Poor’s (higher than the United States’). 

Secondly, Canada has many high-yield sectors that are familiar to stateside investors. This includes oil and energy fields (including trusts), utilities, telecoms, and even real estate investment trusts (REITs). 

Canada can be an income investor’s dream. If you rank them by dividend yield, the top quarter of stocks within Canada’s main stock index pay an average yield of 7.1%. For comparison, the top quarter of all the stocks in the S&P 500 pay an average yield of only 4.2%.

The stunning number of opportunities in Canada has many of us excited around the office… and not just because of the staggering number of high-yielders to be found there.

In fact, we’re so optimistic about what’s going on in Canada that we’ve recently brought back one of the most experienced analysts in North America to exclusively cover the Canadian income market. Specifically, we’ve asked Carla Pasternak to rejoin the StreetAuthority team.

Many of you probably remember Carla. For a full decade she headed up one of the most popular income advisories on the planet — High-Yield Investing.

Carla’s passion for the stock market never waned and after a 9-month hiatus, she’s returned to co-author “Northern Stars” — a section in High-Yield International focused solely on Canadian income stocks.

8 Pipelines Yielding Up To 7%
Carla didn’t waste any time when rejoining our ranks either. In her first Northern Stars column, she told subscribers about the blossoming opportunities in the Canadian pipeline industry…

Canada needs more pipelines and needs them now. “Pipe or Perish” warns a Canada West Foundation report. “Pipeline Expansion a National Priority” urges the TD Group. The demand for pipeline capacity to bring the world’s third-largest oil reserves to markets in the United States, China, Eastern Canada, and Europe has created unprecedented growth opportunities for Canada’s pipeline companies. 

Meanwhile, existing pipelines are operating at capacity, and pipeline profits are strong. Despite the shale boom in the United States, demand for cheap Canadian oil is growing. Enbridge [Canada’s largest pipeline operator], for example, saw a 12% year-over-year rise in per-share earnings for the past nine months. The growth was driven by strong demand for Canada’s discounted oil by U.S. refiners, which led to higher volumes shipped through Enbridge pipelines.

Thanks to the surging growth in Canadian pipelines, Carla thinks this sector presents a striking opportunity for yield-starved income investors. Specifically, Carla told her subscribers about 8 Canadian pipeline stocks that look attractive for today’s market…

Of course, it’s important to keep in mind that investing internationally does have its drawbacks. Specifically, some investments may be exposed to foreign currency risk and there are a few tax consequences involved.

But these are just speed bumps on the road to building a successful high-yield portfolio. The truth is there are thousands of opportunities, just like the pipeline industry in Canada, that are providing investors with the stunning opportunity to capture above average yields from some of the safest countries in the world.

You just have to be willing to look outside your own backyard…

Note: As we said earlier, there’s a staggering number of high-yield securities to be found overseas. On top of the opportunities in Canada, the High-Yield International team has also identified a Chinese shipping company that offers a 9% yield… a Norwegian drilling stock that pays 9.1%… and even a Brazilian utility company currently paying 14%. To get the names of these stocks, or to learn more about how you can start reaping the benefits of the rich dividend culture abroad, follow this link here.