The Motley Fool

AUGUST 28, 2024

Based on this business model, AGNC and its peers are highly sensitive not only to changes in interest rates, but also to the velocity at which these changes occur. When the Federal Reserve undertook its most aggressive rate-hiking cycle in four decades, beginning in March 2022, it sent short-term borrowing costs up significantly.

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The Motley Fool

JANUARY 19, 2024

Folks who buy shares of the best dividend-paying businesses they can find have a great chance of beating the market, and there are numbers to prove it. During the almost 50 years between 1973 and 2022, the benchmark S&P 500 index delivered a 7.68% average annual return. Shares of Ares Capital offer investors a huge 9.5%

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The Motley Fool

OCTOBER 22, 2024

These are companies that are highly sensitive to changes in interest rates. The fastest rate-hiking cycle by the Federal Reserve since the early 1980s, which kicked off in March 2022, sent short-term borrowing costs soaring. In turn, this shrunk the net interest margin for mortgage REITs, including Annaly.

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The Motley Fool

AUGUST 13, 2023

Companies in the benchmark S&P 500 index that initiated a dividend or grew their payout over the 50-year period from 1973 through 2022 delivered a 10.24% average annual return. This business development company (BDC) makes monthly payments, and it offers an eye-popping 11.3% NYSE: PFLT). yield at recent prices.

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The Motley Fool

DECEMBER 21, 2023

Oil prices have been falling from their mid-2022 peak, sliding to within striking distance of a new 52-week low just last week. It's in a category of investments called business development companies , or BDCs. As the name suggests, these outfits help up-and-coming companies become all they can be.

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The Motley Fool

SEPTEMBER 23, 2023

Ares Capital Corporation: Ultra-high yield and mild growth Ares Capital Corporation (NASDAQ: ARCC) is a business development company ( BDC ), which means it can avoid paying income taxes by delivering at least 90% of its earnings to investors as a dividend. at the end of 2022. year over year in the second quarter.

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The Motley Fool

AUGUST 23, 2023

AT&T slashed its dividend after spinning off the last of its media assets in 2022, and the stock has been under pressure ever since. With customers who rarely disconnect their mobile or fiber internet connections, AT&T's telecom business is a reliably profitable one that generated $18 billion in free cash flow over the past 12 months.

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The Motley Fool

JANUARY 23, 2024

Last year, a study released by the Hartford Funds, in cooperation with Ned Davis Research, found that dividend-paying companies delivered an annualized return of 9.18% between 1973 and 2022. That compared to an annualized return of 3.95% for non-paying companies over the same five-decade stretch. Image source: Getty Images.

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The Motley Fool

JUNE 15, 2023

In late 2022 and early 2023, the stock price fell hard, and its dividend yield spiked above 15% in response to news that some of its largest tenants were having trouble making ends meet. Now that some of that risk has been alleviated , the company has a pretty good chance to continue meeting its dividend obligation.

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The Motley Fool

AUGUST 23, 2024

Hercules Capital Hercules Capital (NYSE: HTGC) is a business development company (BDC) that specializes in high-yield loans to venture-backed companies. Considering how strong the S&P 500 has been since its massive sell-off in 2022, it's impressive just how much Ares has outperformed its peers and the broader market.

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The Motley Fool

MAY 2, 2024

There are two reasons Realty Income's stock has vastly underperformed the S&P 500 since the summer of 2022. PennantPark has been paying a monthly dividend since July 2011, which is mere months after it debuted as a public company. Since March 2022, the Fed has undertaken the most aggressive rate-hiking cycle since the early 1980s.

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The Motley Fool

JULY 18, 2024

The value of AGNC's holdings not surprisingly tumbled as reflected in the nearly -50% decline in tangible book value AGNC saw from the start of 2022 until the end of 2023. When the Fed began increasing interest rates, mortgage rates followed suit. at the end of September 2023 to $8.84 at the end of March 2024.

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The Motley Fool

SEPTEMBER 7, 2023

Buying shares of businesses that produce profits and commit to returning those profits to their shareholders is an investing strategy with a terrific track record. During the 50-year period from 1973 through 2022, the average dividend-paying stock in the benchmark S&P 500 index delivered a 9.3% annually, on average.

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The Motley Fool

DECEMBER 5, 2023

More importantly, AT&T's balance sheet has improved by leaps and bounds since spinning off its content arm, WarnerMedia, in April 2022. Between March 31, 2022 and Sept. Every rate hike by the nation's central bank since March 2022 has translated into higher yields for PennantPark. billion in considerations for AT&T.

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The Motley Fool

FEBRUARY 24, 2024

Ares Capital Ares Capital (NASDAQ: ARCC) is a business development company ( BDC ), which means it lends to companies that are too big for small business loans but still too small to work with large banks. There are 505 companies in Ares Capital's portfolio and nearly all are backed by private equity sponsors.

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Private Equity Firms Private Equity Firms Legal Capital 246

The Motley Fool

JUNE 20, 2024

Investors, say hello to business development company (BDC) PennantPark Floating Rate Capital (NYSE: PFLT). Meet the safest 11%-yielding monthly dividend stock on the planet BDCs are businesses that invest in the equity (common or preferred stock) and/or debt of "middle-market companies." Image source: Getty Images.

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The Motley Fool

MARCH 5, 2024

Ares Capital Ares Capital is America's largest business development company (BDC), which essentially means it's a lender for mid-market businesses throughout America. AT&T AT&T cut its dividend by 47% in 2022 after spinning off its media assets and hasn't raised the payout yet. dividend yield.

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The Motley Fool

MARCH 28, 2024

In a collaboration with Ned Davis Research, Hartford Funds noted that companies paying dividends delivered an average annual return of 9.18% over a 50-year period (1973-2022). Since March 2022, the Federal Reserve has increased its federal funds rate by 525 basis points and marked the quickest rate-hiking cycle in about four decades.

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The Motley Fool

FEBRUARY 18, 2024

The company's dividend yield of 9.49% would enable you to make well nearly $3,638 in passive income this year. Ares Capital offers such a high yield primarily because of its business structure. Of course, the company must generate plenty of income in the first place to have enough to pay dividends.

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The Motley Fool

DECEMBER 27, 2023

Investing in companies that have profits to distribute is a proven strategy. During the 50 years from 1973 through 2022, dividend-paying stocks in the S&P 500 delivered an average annual return of 9.18% compared to just 3.95% for companies in the same benchmark index that didn't offer a dividend. in Q3 from 9.6%

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The Motley Fool

DECEMBER 4, 2023

By taking fewer unnecessary risks, dividend-paying businesses tend to outperform non-dividend-payers by a wide margin. PennantPark Floating Rate Capital PenantPark Floating Rate Capital (NYSE: PFLT) is a business development company ( BDC ) that offers investors a huge 10.9% Image source: Getty Images.

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The Motley Fool

FEBRUARY 1, 2024

According to a report issued last year by the Hartford Funds, in collaboration with Ned Davis Research, dividend-paying companies have generated an annualized return of 9.18% over the past half-century (1973-2022). Since March 31, 2022, AT&T's net debt has declined from $169 billion to $128.9 yield is safe.

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The Motley Fool

JANUARY 4, 2024

A recent study from Ned Davis Research and the Hartford Funds examined the performance of dividend-paying companies to non-payers over a roughly half-century stretch (1973-2022). BDCs are businesses that invest in small- and micro-cap companies (collectively known as "middle-market companies").

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The Motley Fool

JANUARY 6, 2024

The businesses underlying these stocks are still growing thanks to strong advantages over their competitors. AT&T AT&T (NYSE: T) slashed its payout in 2022 following the sale of its media assets, but the company still offers a yield that's miles above average. Shares of the telecom giant offer a juicy 6.5%

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The Motley Fool

AUGUST 13, 2024

However, there's been a greater than 3% decline in M2 since it peaked in April 2022. A BDC is a company that invests in the debt or equity (common and/or preferred stock) of middle-market businesses -- i.e., generally unproven small- and micro-cap companies.

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Stakes Stock Market Stock Market Debt 246

The Motley Fool

JANUARY 2, 2024

According to a study from Ned Davis Research and Hartford Funds, publicly traded companies that initiated and grew their payouts between 1973 and 2022 generated an annualized return of 10.24%. PennantPark pays its dividend on a monthly basis , with the company increasing its payout twice last year. court system.

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The Motley Fool

JULY 14, 2023

PennantPark Floating Rate Capital: 11.37% yield A second ultra-high-yield dividend stock that can collectively generate $500 in super safe annual dividend income from an initial investment of $5,750 (split equally, three ways) is business development company (BDC) PennantPark Floating Rate Capital (NYSE: PFLT).

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Debt Investing Asset Management Capital 246

The Motley Fool

JULY 17, 2023

Ares Capital Ares Capital (NASDAQ: ARCC) is the largest publicly traded business development company (BDC). Ares Capital appears to have solid growth prospects going forward as middle-market businesses increasingly turn to it to raise capital. Its dividend yield currently stands at a hair below 10%.

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Stakes Banks Capital Asset Management 189

The Motley Fool

FEBRUARY 8, 2024

In collaboration with Ned Davis Research, Hartford Funds found that dividend payers averaged an annual return of 9.18% over a half-century (1973-2022). By comparison, companies that didn't offer a payout to their shareholders produced an average annual return of just 3.95%. The company raised its monthly payout twice last year.

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Debt Investing Assets Capital 246

The Motley Fool

NOVEMBER 30, 2023

In an effort to combat historically high inflation that briefly surpassed an annualized rate of 9% in June 2022, the nation's central bank has raised its federal funds rate at the fastest pace in more than four decades. BDCs are businesses that invest in the debt and/or equity (common and preferred stock) of middle-market companies.

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The Motley Fool

JULY 20, 2023

yield) A second ultra-high-yield monthly dividend stock that Wall Street billionaires have been selling is business development company (BDC) Horizon Technology Finance (NASDAQ: HRZN). During the first quarter, four billionaire money managers completely exited their fund's stakes in the company. billion of its $1.16

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The Motley Fool

JUNE 14, 2024

Shares of this business development company boast a trailing dividend yield of a little over 8%, in fact, and that's based on just its ordinary quarterly payout. And it's not just investors wary of overvalued and overly volatile equities finding fair risk-versus-reward in business development companies.

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The Motley Fool

FEBRUARY 22, 2024

Last year, Hartford Funds released a report that, in collaboration with Ned Davis Research, examined the average annual returns of dividend stocks vs. non-payers over a five-decade stretch (1973-2022). BDCs are companies that invest in the debt or equity (common and preferred stock) of middle-market businesses (i.e,

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Debt Investing Capital Business Development Companies 230

The Motley Fool

MAY 5, 2024

Hercules Capital Hercules Capital (NYSE: HTGC) is a business development company ( BDC ) that allows individual investors to take part in the previously elusive world of venture capital investing. It slashed its dividend in 2022 to compensate for the spin-off of its media assets. At recent prices, the stock offers a 6.6%

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The Motley Fool

OCTOBER 19, 2024

With the benchmark S&P 500 index up by about 53% since the end of 2022, finding quality stocks that trade at reasonable valuations can be a challenge. Now that it's purely a telecommunications business, investors can expect predictable cash flows supporting its quarterly dividend. yield at recent prices. As one of just three U.S.

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Private Equity Firms Private Equity Firms Investing Business Development Companies 130

The Motley Fool

JUNE 18, 2023

Since their inception in the 1980s by an act of Congress, business development companies (BDCs) have often delivered market-beating total returns for shareholders. Ares Capital's dividend payout ratio was just 85% in 2022. For the sake of clarity, this is based on its net investment income per share of $2.19

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The Motley Fool

MARCH 14, 2025

Pinterest Although it's already a top-five holding in my portfolio, social media stock Pinterest (NYSE: PINS) is another company I'm eager to add to. I first purchased shares of Pinterest in February 2020 during the COVID-19 crash and last added to the position in April 2022. video) have boosted its monthly MAU count to 553 million.

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