do you own +10% dividend stock?

[97guns]

I'm looking for some stock and fund suggestions with preference to funds

[disneysteve]

I'm looking for some stock and fund suggestions with preference to funds

I don't own any high-dividend funds but I do have at least one fund with an average annual return of over 10%. It's VGHCX (I own Admiral shares so VGHAX). 3, 5, and 10-year numbers are 9.77%, 16.84%, and 10.22% respectively.

Right now may not be a great time to be investing, though, because the Trump administration is expected to be pretty unfriendly to the healthcare sector. Still, YTD the fund is up 6.14%.

[bennkar]

High dividend stocks are risky. If they weren't more people would invest in them and the dividend wouldn't be so high.

That said, I have two High Dividend stocks in my Roth IRA: TWO & ARR. Putting them in my Roth allows me to avoid the higher tax rate on their dividends (they are not "qualified" dividend payers). ARR has done bad, and TWO is about where I purchased it six years ago (Its fluctuated all over the place on price). TWO has paid out cumulatively as of today 72% of my original purchase price . ARR on the other hand over the near same amount of time has paid back 42% (due to falling dividends) while the stock price has dropped about 60% .

[Singuy]

Is this for a taxable account? If so, then dividend investing may not be as efficient as a normal growth stock from my experience.

[97guns]

High dividend stocks are risky. If they weren't more people would invest in them and the dividend wouldn't be so high.

That said, I have two High Dividend stocks in my Roth IRA: TWO & ARR. Putting them in my Roth allows me to avoid the higher tax rate on their dividends (they are not "qualified" dividend payers). ARR has done bad, and TWO is about where I purchased it six years ago (Its fluctuated all over the place on price). TWO has paid out cumulatively as of today 72% of my original purchase price . ARR on the other hand over the near same amount of time has paid back 42% (due to falling dividends) while the stock price has dropped about 60% .

Thanks for painting a picture for me.... Yes taxable acct, I'm giving thought of creating some income from some non income producing asset, been kicking around everything from lending club to dividend stocks to trust deed lending.

In the very preliminary stages of the thought process

[Singuy]

I have a bunch of ...everything.

I have 7.5k in dividend only stocks (preferred stocks) pumping out 7% interest currently. The stocks are up by 5% as well but I don't expect that to last as interest rate goes up.

I have 8k in high growth muni bond mutual funds that is suppose to yield 5.5-6%. This is tax-exempt so my gain is equivalent to a 8% return.

I have 72k in Peer street producing 8.5% return. Haven't missed a beat since I started. No defaults..all interest paid. About 20% of my investment was paid in full. Been with them for around 6 months.

Lastly I have 4.5k in lending club. 9.66% currently.
Nothing I have is 10+% since I am afraid of the risks.

All this in my taxable account.

If the muni bonds really yield what they say it yield, then it's actually the safest investment I have producing 6% yield after tax.

From my experiments, I have not gained a negative yield which is good.

[97guns]

I've also eyeballed some muni funds for the safety

[greenskeeper]

1/3 of my Roth IRA is dividend stocks

[amarowsky]

Close ended funds and some of my REIT's pay a little over 10% (earnings/cap appreciation + dividends combined), But No stocks*.

They have been helpful income producing ballast. Although until recently I just use the dividend distributions to fund buying more S&P500 index funds.

[JBinKC]

Currently no. But I have in the past. Be aware that many high yield situations are liquidating implying you are losing capital hence the price of the equity will also fall.

If you go that route make sure you can cover the dividend 100% or greater in net income or know of a clause to guarantee the payment i.e. insurance coverage or the situation for partial coverage is temporary.

[TexasHusker]

If I understand correctly, the OP's question is concerning dividend yield percentages of stocks, not interest rates, gains, total return for a mutual fund, etc.

Different animals.

And interest is paid to a bond holder, not a stock holder. A bond holder is merely a lender; a stock holder is an owner.

[bjl584]

I own a monthly dividend paying fund, CHI. It has been steadily paying me a dividend for years now. But, with interest rates on the rise, this fund may start to lose appeal. I'm holding and keeping an eye on things for now.