Menu
Microsoft strongly encourages users to switch to a different browser than Internet Explorer as it no longer meets modern web and security standards. Therefore we cannot guarantee that our site fully works in Internet Explorer. You can use Chrome or Firefox instead.

Forget AGNC Investment, These Unstoppable Dividend Stocks Are Better Buys


The dividend yield is a blind spot that hampers many dividend investors. That may sound like an oxymoron, but it really isn't. A big yield often lures investors into high-risk companies that they wouldn't otherwise consider owning. A good example today is AGNC Investment (NASDAQ: AGNC) and its huge 14.5% yield. Most investors looking for a reliable stream of income would be much better off with investments like Realty Income (NYSE: O), NNN Realty (NYSE: NNN), or Federal Realty (NYSE: FRT). Here's why.

Without getting too deep into the weeds, AGNC Investment is a mortgage real estate investment trust (REIT). This is a highly complex niche of the REIT sector. Before investing in a mortgage REIT, you need to do your homework so you understand what you are actually buying, which is something akin to a mutual fund that buys mortgage bonds. But the real story here is far easier to tell, and a simple graph will do most of the talking.

AGNC Chart

Continue reading


Source Fool.com

Like: 0
Share

Comments