Various financial vehicles and instruments have a broad and varying return. Some investors may be cautious because of the signs pointing to a recession. They may be wary of the danger of a 2008-like collapse, and cut their risk, or even settle for cash. However, there are multiple options available with a very high return, solid yields and still provide lower risk. Investors should research and take advantage of higher-yield results during the market upswing; there’s many stable options if one does their due diligence.
Key Takeaways:
- With Treasury yields low, some unconventional income securities are now priced to yield 6 to 8 percentage points higher.
- Just because an investment’s yield spread over T-bonds is high, doesn’t mean it’s risky.
- Apollo Investment, Ares Capital and Compass Diversified Holdings provide opportunities to tap into high yields.
“U.S. bonds have transitioned from being reserves for domestic banks and insurers and a haven for everyday savers to being the world’s lockbox, a global repository where anyone can hold almighty U.S. dollars and earn a positive yield.”
Read more: https://www.kiplinger.com/article/investing/T052-C003-S002-go-ahead-reach-for-yield.html