These days, financing for businesses is a complex endeavor. Particularly, if you’re in the so-called middle market. Complex funding needs require complex funding solutions. For those firms that provide this much-needed funding, like our latest Best Monthly Dividend Stocks Pick, it can mean plenty of cash flows and profits. It also means plenty of profits for investors. Our pick currently features a nearly 11% dividend yield!
You can check out the Best Monthly Dividend Stocks List to explore all the stocks.
The secret to our pick’s success remains the combination of lending varieties and the partnership with its boutique asset manager sponsor. Our pick receives plenty of deal flow from its sponsor’s private equity dealings and ownership. This ensures vetting and safety of its loan portfolio.
Meanwhile, our pick’s variety of funding options allows it to make the most of the current rate environment and demand for capital. The best part is that the vast bulk of its lending remains first lien, or senior loans. This gives it the top seat at the bankruptcy table if its debtors run into trouble. A floating rate focus also helps and provides a steadily rising cash flow as the Fed continues to raise rates.
With banks clamping down on lending activity, our pick has plenty of growth potential to provide the needed capital in this constrained environment. And with PE activity growing, its partnership will prove to be invaluable.
All in all, our pick is a great way to gain a high monthly yield.
