In the world of income investing, dividends reign supreme. Treasuries and CDs are offering historically low yields and are no longer considered the ultra-safe cash generators that they once were. In a previous issue of StreetAuthority Daily, I detailed the raw power of dividend investing (here), but this isn’t the whole story. #-ad_banner-#You see, there’s a little-known group of stocks that offer huge dividend payouts, but their yields are not displayed to the public on financial websites like Yahoo! Finance or Morningstar. This phenomenon is due to a glitch in the way the financial… Read More

In the world of income investing, dividends reign supreme. Treasuries and CDs are offering historically low yields and are no longer considered the ultra-safe cash generators that they once were. In a previous issue of StreetAuthority Daily, I detailed the raw power of dividend investing (here), but this isn’t the whole story. #-ad_banner-#You see, there’s a little-known group of stocks that offer huge dividend payouts, but their yields are not displayed to the public on financial websites like Yahoo! Finance or Morningstar. This phenomenon is due to a glitch in the way the financial media reports certain companies’ financial information. We call this group of stocks “Hidden High Yielders.” And if you know where to look, you can find companies yielding three, six… even seven times more than the yield posted on financial websites. For Hidden High Yielders, their true payout is actually much higher because there are dozens of supplemental dividends that go unreported each quarter. But by “unreported,” I don’t mean some secret way of transferring cash to a select group of well-connected insiders. These extra payments are dished out openly and uniformly… Read More

It’s often helpful to glance at the key moves made by hedge fund managers when in search of new investment ideas. And right now, many of these savvy investors are buying shares of a behind-the-scenes industrial play. The company in question: Macquarie Infrastructure Co. LLC (NYSE: MIC), which owns  a collection of assets primarily in the materials and energy sector. #-ad_banner-#Macquarie Infrastructure’s biggest asset is International-Matex Tank Terminals (IMTT), a company that owns and manages bulk liquid storage facilities on ports and railways. IMTT handles products like petroleum; renewable fuels; vegetable and animal oils; and other chemicals essential to everyday… Read More

It’s often helpful to glance at the key moves made by hedge fund managers when in search of new investment ideas. And right now, many of these savvy investors are buying shares of a behind-the-scenes industrial play. The company in question: Macquarie Infrastructure Co. LLC (NYSE: MIC), which owns  a collection of assets primarily in the materials and energy sector. #-ad_banner-#Macquarie Infrastructure’s biggest asset is International-Matex Tank Terminals (IMTT), a company that owns and manages bulk liquid storage facilities on ports and railways. IMTT handles products like petroleum; renewable fuels; vegetable and animal oils; and other chemicals essential to everyday life. While bulk liquid storage doesn’t sound like a high growth industry, the company has managed to grow revenue 10% and operating earnings (EBITDA) 11% annually over the last two years. In mid 2014, Macquarie acquired the other 50% of the business it didn’t already own, making it the crown jewel of Macquarie’s portfolio. The firm’s other assets include Hawaii Gas, which distributes natural and synthetic gas on the islands of Hawaii,  and Contracted Power and Energy, which owns controlling interests in five solar power generating facilities, a recently purchased gas-powered energy facility and two wind power generating… Read More

It’s one of the market’s biggest missed opportunities. Every day, millions of U.S. investors looking for more income are missing out. That’s because the vast majority of the world’s highest-yields aren’t found in the United States. As the Chief Strategist of High-Yield International, my job is to scour the globe for the world’s highest yielding investments and tell my readers about them each month. At last count, my research shows that over 79% of the world’s highest-yielding stocks are based in international markets. If you’re like most people, then you’ve probably… Read More

It’s one of the market’s biggest missed opportunities. Every day, millions of U.S. investors looking for more income are missing out. That’s because the vast majority of the world’s highest-yields aren’t found in the United States. As the Chief Strategist of High-Yield International, my job is to scour the globe for the world’s highest yielding investments and tell my readers about them each month. At last count, my research shows that over 79% of the world’s highest-yielding stocks are based in international markets. If you’re like most people, then you’ve probably never taken advantage of foreign stocks. #-ad_banner-#That’s a shame, because the average stock in the United Kingdom yields 3.8%, Australia’s average yield is 4.5% and New Zealand pays 4.3%. By contrast, U.S. stocks yield less than 2%, on average. Most U.S. investors dismiss the idea of investing abroad. They tend to think other countries are “riskier” than the United States. But that’s not always the case. Especially with one special country I’ll tell you about in a moment, where average yields are double those found in the United… Read More

I understand why people love good high-yielding securities. If you’re after a large income stream, then you hardly need me to explain the benefit of this elite group of stocks. As my longtime readers know, higher yielding securities make up roughly a third of my Daily Paycheck portfolio. I wouldn’t be able to collect more than $1551 every month without them. But when it comes to high-yielders, there’s one thing that many dividend-seekers don’t realize. And in the long run, this simple oversight could be costing you thousands… Read More

I understand why people love good high-yielding securities. If you’re after a large income stream, then you hardly need me to explain the benefit of this elite group of stocks. As my longtime readers know, higher yielding securities make up roughly a third of my Daily Paycheck portfolio. I wouldn’t be able to collect more than $1551 every month without them. But when it comes to high-yielders, there’s one thing that many dividend-seekers don’t realize. And in the long run, this simple oversight could be costing you thousands of dollars every year. #-ad_banner-#One of the things I often hear from income investors is, “I only invest in securities with more than X% yield.” Usually the “X” is 8% or higher. Here’s what many income-seeking investors forget: higher yield generally equates to higher risk. To commit your whole portfolio to high-yield assets — especially if you’re nearing retirement — may not be worth it. There’s a better, safer way to dramatically boost your income. Don’t Overlook Growth For Yield With a few years time, you… Read More

Ever rooted for the underdog when you knew it couldn’t win? In basketball — as in many sports — this happens all the time. In the recent NCAA tournament, for example, Hampton (17-17 in the regular season) was pit against Kentucky (34-0). The chance that Hampton would upset this perennial powerhouse was slim to none. And yet, millions of dollars were put down on this underdog by betters all across the country. Why? Because these folks were betting on another game entirely. One with better odds and higher… Read More

Ever rooted for the underdog when you knew it couldn’t win? In basketball — as in many sports — this happens all the time. In the recent NCAA tournament, for example, Hampton (17-17 in the regular season) was pit against Kentucky (34-0). The chance that Hampton would upset this perennial powerhouse was slim to none. And yet, millions of dollars were put down on this underdog by betters all across the country. Why? Because these folks were betting on another game entirely. One with better odds and higher rewards… One that casual fans had no idea was going on right in front of them. A similar thing plays out every day in the investing world. If you understand it you stand to profit from high-yield opportunities that most investors will never see. Let me explain… Let’s consider the bond market for a moment. You can put your money on corporate bonds backed by stalwart blue-chip companies like Microsoft and Treasury IOUs. Or you can choose “junk” bonds issued by smaller, shakier businesses. Read More

On April 24, Starbucks Corp. (Nasdaq: SBUX) extended its history of matching or beating earnings expectations to nine consecutive quarters. No surprise there. After all, it owns one of the most recognizable brands in the world. Go to any given U.S. city and try walking a few blocks without seeing the Starbucks logo pasted across a green awning. It’s nearly impossible. Shares are already up 24% in 2015 and are poised to continue higher. That makes now the perfect time to execute my Income Multiplier strategy on Starbucks. It could earn you 5.4% in… Read More

On April 24, Starbucks Corp. (Nasdaq: SBUX) extended its history of matching or beating earnings expectations to nine consecutive quarters. No surprise there. After all, it owns one of the most recognizable brands in the world. Go to any given U.S. city and try walking a few blocks without seeing the Starbucks logo pasted across a green awning. It’s nearly impossible. Shares are already up 24% in 2015 and are poised to continue higher. That makes now the perfect time to execute my Income Multiplier strategy on Starbucks. It could earn you 5.4% in 64 days or allow you to buy the stock at a 9.5% discount. In the last 22 years, Starbucks has been one of the best-performing stocks in the S&P 500. Since going public in 1992, shares have increased nearly 16,000%, crushing the market’s 407% return. Although the company won’t repeat the same incredible performance, Starbucks still has plenty of room to grow. The company has more than 12,000 locations in the United States. This year, Starbucks plans to increase its store count by 650 in North America and by… Read More

Great opportunities in the stock market don’t come around too often and in those rare instance, they usually don’t last long. For example,  I highlighted three appealing real estate investment trusts a few months ago. My favorite industry pick at the time, Omega Healthcare Investors, Inc. (NYSE: OHI), has become an even more appealing value since then.   OHI is a pure-play REIT that focuses on skilled nursing facilities. A number of unique events in the last quarter have made investors uncertain about the stock and that uncertainty is contributing to the sell-off. First, Omega Healthcare… Read More

Great opportunities in the stock market don’t come around too often and in those rare instance, they usually don’t last long. For example,  I highlighted three appealing real estate investment trusts a few months ago. My favorite industry pick at the time, Omega Healthcare Investors, Inc. (NYSE: OHI), has become an even more appealing value since then.   OHI is a pure-play REIT that focuses on skilled nursing facilities. A number of unique events in the last quarter have made investors uncertain about the stock and that uncertainty is contributing to the sell-off. First, Omega Healthcare recently closed on the acquisition of Aviv REIT, announced last year. As partial payment, the REIT issued 9.5 million shares of common stock in February, and investors generally don’t like being diluted. However, with the purchase of Aviv, Omega Healthcare becomes the dominant player in skilled nursing facilities (SNF). Source: Company Presentation Omega Healthcare also used the proceeds of an equity offering to pay down debt and now has ample capital and credit to continue to add to its portfolio. The company notes that 87% of the $100 billion skilled nursing facility market is still privately-owned. As… Read More

May will be the 71st month of economic expansion for the United States. That seems like a long time, but it’s not abnormal. The last three expansions lasted an average of 95 months, with the longest lasting 10 years. Using this recent history as a guide, we can reasonably guess how far away we might be from the next recession (about two years). But we have no way of knowing for sure. Not even economists know when we’ll transition from one phase into the next. In fact, economists generally don’t know… Read More

May will be the 71st month of economic expansion for the United States. That seems like a long time, but it’s not abnormal. The last three expansions lasted an average of 95 months, with the longest lasting 10 years. Using this recent history as a guide, we can reasonably guess how far away we might be from the next recession (about two years). But we have no way of knowing for sure. Not even economists know when we’ll transition from one phase into the next. In fact, economists generally don’t know that we’re even in a recession until six-to-12 months after it begins. The same is true when a recession ends. Knowing that we’re most likely nearing a later stage of our expansion, my focus has turned to what comes next. #-ad_banner-#More specifically, I want to know whether the companies I’m investing in are prepared for a possible recession. While it’s not possible to know what’s happening with the economy in real time, we can work around that by investing in companies that perform well during both feast and famine. If a… Read More

As long-time readers may know, back in December 2009 I began an ambitious experiment. My mission: take $200,000 of StreetAuthority’s money and invest it in a stable, growing portfolio of dividend-paying securities. I would take the dividends I earn from these investments, reinvest them, and then build my portfolio into a robust income-generating machine. We built an entire newsletter advisory around this experiment. And during this time, I’m happy to report that I’ve been able to grow my portfolio value to more than $320,000. And depending on the needs of my Daily Paycheck subscribers,… Read More

As long-time readers may know, back in December 2009 I began an ambitious experiment. My mission: take $200,000 of StreetAuthority’s money and invest it in a stable, growing portfolio of dividend-paying securities. I would take the dividends I earn from these investments, reinvest them, and then build my portfolio into a robust income-generating machine. We built an entire newsletter advisory around this experiment. And during this time, I’m happy to report that I’ve been able to grow my portfolio value to more than $320,000. And depending on the needs of my Daily Paycheck subscribers, they can “flip the switch” from dividend reinvestment and live off of their income stream at any time. But let’s face it, not everyone gets $200,000 thrown in their laps. Take Matthew Michaels, for example. #-ad_banner-#Matt is a young father who works at StreetAuthority. He doesn’t have thousands of dollars to invest at the moment. But even so, he and his wife recently began using the Daily Paycheck strategy to build a portfolio for their two young daughters’ future. That’s the beauty of my strategy: anyone can take… Read More

With interest rates at extreme lows for the past few years and looking likely to remain that way for some time, it’s tempting to think that finding opportunities to profit would be like shooting fish in a barrel. Indeed, former Federal Reserve Chairman Ben Bernanke recently wrote in a blog post: “If the real interest rate were expected to be negative indefinitely, almost any investment is profitable.” #-ad_banner-#We’ve certainly seen this play out with the stock market. But it’s also been great news for companies undertaking big ticket construction projects. #-ad_banner-#Businesses… Read More

With interest rates at extreme lows for the past few years and looking likely to remain that way for some time, it’s tempting to think that finding opportunities to profit would be like shooting fish in a barrel. Indeed, former Federal Reserve Chairman Ben Bernanke recently wrote in a blog post: “If the real interest rate were expected to be negative indefinitely, almost any investment is profitable.” #-ad_banner-#We’ve certainly seen this play out with the stock market. But it’s also been great news for companies undertaking big ticket construction projects. #-ad_banner-#Businesses use accounting models to assess the feasibility of such projects. Models show a higher expected return on investment (ROI) when rates are low. Higher ROIs mean more investment projects will meet minimum requirements for approval. Indeed, non-residential construction spending in the United States is estimated to rise 5.6% this year to just over $390 billion, according to Statista, and continue at about that growth rate over the next several years. I’m looking at investment opportunities in the companies that can help businesses complete these projects. AECOM (NYSE: ACM) is one such… Read More