This 9.8% Dividend Could Fund Your Retirement for Decades

We’re facing a “2016-like” moment in bonds these days, meaning anyone who buys now has a shot at locking in 10%+ dividends for decades—and a shot at price upside, too. I mention 2016 now because, back then, something truly unusual happened: interest rates on bonds jumped in a short period of time, driving the payouts on high-yield corporate bonds to nearly 10% at their peak: Rates Drop, Soar, Drop, Soar Again As you can see above, anyone who bought a high-yield bond in 2016 locked in a 10% cash flow. Many of these bonds continued paying out interest without a hitch, even through the pandemic, a time when yields spiked again, giving investors another chance to buy bonds at another huge interest rate.… Read more