| Income isn’t super easy to come by these days. The S&P 500 yields just 1.3%, close to a record low, and the 10-year U.S. Treasury note yields about the same. But there are pockets of the market still offering a competitive payout, such as business development companies (BDCs). I like to joke that BDCs are as close to Main Street America as Wall Street ever gets. BDCs provide debt and equity financing to “middle market” companies that: - Have grown a little too big to get by on bank loans.
- But aren’t quite big enough to issue stocks or bonds of their own.
Think of them as the bridge between a mom-and-pop company and a proper enterprise. And one of my favorite BDCs is a buy now. It yields 5.9% and pays out monthly with bonus semiannual paychecks as well. Click here to see why this “Bullish” BDC makes my income shortlist.  Suggested Stories: Gains of 400% and 300%! It Pays to Follow Our Weekly Hotlist Do This Before You Dump Money Into College Savings Plans | Would you bet against Buffett, Ackman, Druckenmiller and Tudor-Jones? Four billionaires give inflation warning. Former Goldman. | | Chart of the Day One of the Federal Reserve’s primary goals is to minimize inflation. It tries to meet that goal by managing the amount of circulation and using interest rates to help define the investment environment. Right now, interest rates are low. That should encourage businesses to invest in their operations. Low rates make it attractive to borrow money for new equipment or facilities that can boost sales. As much as it tried to regulate the economy — for example, by raising rates — the Fed doesn’t control businesses or consumers, the ones purchasing, borrowing, and investing. It’s creating a self-fulfilling prophecy that you can see in the chart below. Click here it see what the Fed’s greatest fear is — and why it’s coming true.  Suggested Stories: Robinhood Doesn't Steal From Clients, but It Doesn't Help Either Lenders Set Up the Next Debt Crisis | First he bet it all on PayPal and made millions... Then he bet it all on Tesla and made billions. Now he's going all-in again... And this time he plans to dominate a market worth $1.32 trillion. That's why I'm projecting huge profits for early investors who get in before October 1, 2021! | | |  2015: NASA's New Horizons became the first spacecraft to study Pluto directly. When it was launched in 2006, Pluto was still a planet. | | Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or whitelist within your spam settings. For customer service questions or issues, please contact us for assistance. The mailbox associated with this email address is not monitored, so please do not reply. Your feedback is very important to us so if you would like to contact us with a question or comment, please click here: https://moneyandmarkets.com/contact-us/ Legal Notice: This work is based on what we've learned as financial journalists. It may contain errors and you should not base investment decisions solely on what you read here. It's your money and your responsibility. Nothing herein should be considered personalized investment advice. Although our employees may answer general customer service questions, they are not licensed to address your particular investment situation. Our track record is based on hypothetical results and may not reflect the same results as actual trades. Likewise, past performance is no guarantee of future returns. Certain investments carry large potential rewards but also large potential risk. Don't trade in these markets with money you can't afford to lose. Money & Markets expressly forbids its writers from having a financial interest in their own securities or commodities recommendations to readers. Such recommendations may be traded, however, by other editors, Money & Markets, its affiliated entities, employees, and agents, but only after waiting 24 hours after an internet broadcast or 72 hours after a publication only circulated through the mail. (c) 2021 Money & Markets. All Rights Reserved. Protected by copyright laws of the United States and treaties. This Newsletter may only be used pursuant to the subscription agreement. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of Money & Markets. P.O. Box 8378, Delray Beach, FL 33482. (TEL: 800-684-8471) Remove your email from this list: Click here to Unsubscribe | | |
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