When it comes to underwriting loans, reducing risk is what it is all about. Being able to lend capital in a variety of situations while still making a good return that lasts over the long haul is paramount. And our latest Best Monthly Dividend Stocks List pick is a champion in this regard. Our pick has been able to use this fact to reward shareholders for over a decade. Investors can take advantage of those rewards and its hefty 7% yield when the stock goes ex-dividend on Wednesday, December 7, with a regular monthly payout of $0.22 per share!
Business development companies (BDCs) can take many forms. For our pick, that means providing both private capital and private equity solutions. The combination allows its placement in various rungs of the bankruptcy stack, thereby reducing risk, providing more control over a debtor’s operations and tying itself to various cash flow generating assets. The end result has been a long history of conservatism and dividend strength.
For investors, this has meant one of the best-performing BDCs out there, with plenty of book value gains, dividend increases and balance sheet health.
Now, with the economic environment getting tough, our pick has the goods and underwriting strength to keep the dividends flowing. In the end, it’s a great monthly dividend payer for a portfolio.
You can check out the Best Monthly Dividend Stocks List to explore all the stocks.
