Is GOF a Good Dividend Stock (13% Yield, Monthly Dividends)
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- เผยแพร่เมื่อ 25 มิ.ย. 2024
- A pretty request I see people make is to have me to look at a fund called the Guggenheim Strategic Opportunities Fund, which is ticker symbol GOF. I think there’s really two main reasons why I get this specific fund requested on a consistent basis. First off as we’re about to see there’s a lot of really attractive things about this fund that specifically income investors love. The second reason is I think that a lot of people don’t really have a good understand of what closed end funds are, or CEFs. In some ways they’re kind of like ETFs, but they’re also kind of like mutual funds at the same time. But the reality is actually pretty different from both, so today we’re gonna talk about closed end funds and more specifically about ticker symbol GOF and determine if this fund is a good investment.
The Guggenheim Strategic Opportunities Fund is a closed end fund issued by Guggenheim Partners, which is a large investment company founded by the Guggenheim family who made a fortune in the mining industry in the early 20th century. According to their website, GOF’s investment objective is to maximize total return through a combination of current income and capital appreciation.The Fund will pursue a relative value-based investment philosophy, which utilizes quantitative and qualitative analysis to seek to identify securities. The fund seeks to combine a credit managed fixed income portfolio with access to a diversified pool of alternative investments and equity strategies.
#dividends #dividendinvesting #dividendstocks
I began my investment journey at the age of 38, primarily through hard work and dedication. Now at the age of 42, I am thrilled to share that my passive income exceeded $100k in a single month for the first time. This success reinforces the importance of the advice mentioned earlier. It is not about achieving quick wealth, but rather ensuring long-term financial prosperity.
Solid review Alan, thanks.
Dude thank you so much for your insight about CEFs.
Great analysis, thanks 👍🏻
Thanks for the video.. I really value your opinion. Your youtube videos are great for us high income investors.
great video, appreciate your knowledge, helps clarify for me
I'm happy to say that I've done more research then dividend bull and the 9M shares are from their merger of GPM, GGM into GOF.
How they are able to sustain the dividend is via more ROC (Return Of Capital) compared to actually dividends
Thanks for the info.
I’ve been buying into this fund since the drop!
I love having CEFs in my portfolio along with a handful of individual stocks. I find that mortgage REITs are too risky. I am neutral on BDC stocks. Thank you for the insights on this CEF you mentioned. It looks like this fund is a bit too risky for me at this time.
👍🏾thanks a lot for this
Thank you for video
Please analyze JEPQ and compare it to QYLD. I would like to hear your thoughts.
GOF is a great stock if you don't mind the ROC
Great video. How about another pair of closed end funds, CRF and CLM? They are currently both well above 20% yield, and I suspect that they continue to be able to pay that by issuing more shares, diluting existing shares. Is that a form of Ponzi scheme?
BTW, declining share price isn't necessarily always a bad thing for an equity that pays a high dividend, because if you use a DRIP, it is possible that declining share price can boost the amount of additional shares you will receive, growing your holdings in the equity faster than if the share price goes up, but it all depends on the details like size & frequency of dividend, share price, etc. so you have to do the math to see how each case plays out.
I would love to hear your thoughts on CHKR
Very helpful
Great video! Have you ever looked into RA? Its another CEF by Brookfield and I like it more than GOF. Would love to see a video on it!
LOve RA
I like your channel, and honest in depth analysis of funds. Hope you can also make analysis on CLM and CRF funds as they are on my watch list. Thanks
Good video, can you make one for SVOL as well?
Do you have an vlog review BST? Thanks
According to Morningstar dividend performance for this fund, about half of the money paid out in dividends is return of capital. If i'm not mistaken this is basically the fund giving you back some of your invested money, rather than fund genereated income. I don't understand why anyone would want to invest in something that is not making profit. Like I said about half of the dividend is return of capital, so I think it is safe to say that if the fund says it is paying 13% yield, then the true yield would be half of that from the investors standpoint.
That was pretty much my interpretation of this fund, also. They’re paying investors with their own investments. That seems to be true of many of the CEFs I’ve looked at.
Please analyze Cornerstone funds.
Awesome video. Thanks for letting us know about the different options out there. 👍
Would you consider a full video on which CEFs are good and bad?
Whats to stop you from shorting against the box to lock on share value and just reaping dividend yields? Ive been digging around and havent been able to get an answer
The ROC is my only sticking point with GOF. I have no other issues with it, but the ROC distributions make me nervous. Could make for a fun video idea, covering risks and how to evaluate ROC and how it affects funds.
They are issuing your shares back to you. Tax free. Not bad if the nav grows.
Any critique of my idea that international REITS look good due to strong dollar and coming inflation?
Hi, I'm new to the stock world. I was wondering if you help me out and tell me what you use to search single stocks and EFTs.
In the shenanigans department also check out USOI's 20 to 1 reverse split. Ouch!
I only invest in ETFs and CEF funds .. individual stocks for me is a no .. I like GOF and will do more research
@@TheRealRaggedyAndy yield max ETFs
Thoughts on CLM?
What do you think about JEPI?
GOF can’t issue new shares
because it’s a closed end fund …..hence the closed !?!?
Thoughts on CTO?
What are the similarities of GOF ? I would like more ticker please . Thank you so much
Fee is so damn high. It does have a steady div, but not much capitol growth for sure. I invested in TSLY instead, lower fees and 61 percent div. Founder went down with the Titanic!
Do you have a video about shares outstanding? I'm trying to figure out how to research and compare on charles schwab account.
In my opinion, it is always just paramount to stick with broad market indexes funds if any.. keep to funds with low fees that don't chip away at what you should be bringing in.. VTI is my fund of choice and the foundation of my portfolio.
Bro, leave this channel. That comment doesn't help anyone
In the past they did good but has had internal problems, if I remember right
@dividend Bull have you looked at BIGZ ? I invested in it last year and is a CEF but it went down hard from 20$ IPO to 8$ plus today. I believe thats a bad sign, especially based on your comments here
THANK YOU! I'm grateful for your in depth explanation. I am invested, but not heavily. I'll be watching it more carefully after this.
Have you looked at BXSL I just put it on my watch list not sure if it's a buy
Very solid, it's a Blackstone co.
Where do you find that Dividend History chart/graph??
The dividend history bar graph is from Seeking Alpha
Since it is mostly bonds, when the interest rate goes up, the value of those bonds goes down. I would bet that is what’s happening.
Hallo i am frank from holland and i like what you are doing. I have 3 questions, if i may? 1. I dont like arr anymore am i right? 2. What are your thoughts om bbdc? And the last one is: Which montly divdend stock do you recoment?
Greetings from the Netherlands.
Interesting fund, it’s actually up for the year if you include dividends
Do not just add dividends. It needs to be good on its growth merits.
@@wewhoareabouttodiesaluteyo9303 Depends on what your looking for. The same people who buy QYLD would disagree with you.
With CEFs, you have to be willing to take the money and run, because many are flat for years! Enhanced Dividend seem to come from Covered or Naked Calls or from Leverage. Yet, there are ETFs that grow and pay, slower, without either. For example, JEPQ is a CC-ETF and BST is a CEF-ETF and they pay very well and have a simple/low trading price range.
@@InfoRanker I bought QYLD and RYLD and then I saw how they stopped paying dividends. NOPE! I am going to be staying far away from those ETFs.
@@martiejohnsonjr.2069 I love close ended funds. I am thinking of actually investing in those no matter what the loss is. It's a fund so I doubt it would ever delist, but because of low trade volumes, it would be hard to get out of. I think it's a win win though.
I love these double Dividend videos. Also, top 10 on a Dividend Bull video.
PTY is a super expensive, highly leveraged CEF...but it pays...yet I am not interested with that much leverage and premium!!! CEFs are going to be red hot the next two years...And bonds will come back into the game soon as well with a Recession near certain. Interesting CEFs: EOS, USA, CII, BMEZ, NIE, QQQX. Many of these have no leverage or less that 2% leverage and now at a discount to the NAV!!!!. They are all better than QYLD!
good find, Im invested in PDI myself
PTY's premium is too high to me. CII and EOS seem stronger and has almost no leverage. GAB, USA, JCE, and GOF are interesting but, the Div Bull has a point that GOF, etc are a little dangerous. BMEZ is interesting too. People will chase income and CEFs are powerful. USA and ASG are very strong and again, essentially no leverage. If the NAV is increasing and it has an enhanced dividend - yeeehaw! If a CEF has a long term flat price, then you have to 'take the money and run'. The stars have to line up for a CEF to work for me. I like USA, JCE, EOS, CII, NIE, and BST. A lot of these will be at a discount, big time now! PCF is also an interesting as well - it acts like SDIV does.
@@martiejohnsonjr.2069 I agree, thats what happened with Bigz, down down it went. Theres only so long it can lost its NAV before it loses its dividend payout
Thanks you so much for another video DB! Keep doing you but today I relished the thought of a playlist sorting on commonly asked stocks allowing you to go into a deeper dive if you so choose to...I know none of this is Financial Advice but I find myself coming back to your channel a lot for your insight/opinion
What about GOE? CEF's I'm in so far are, CLM, RIV and NDMO (tax free).
That does not show up on Yahoo Finance.
Plz plz plzzzz review ticker RA, Brookfield Real Assets…monthly stock and part of the worlds largest PE Brookfield Asset Management Inc.
GOF DRIPs at 95% of the market price. I like to DRIP then put a sell limit 10% above the DRIP price. Extremely few high yielders are buy and hold. You typically have to trade around your position.
thats actually really smart
I've looked at it over the past 5+ years...the past couple of years I've watched it loose 6 points from 22 to 16 as of today...that's a ton of capital loss...it seems to climb back up though...no div cut is impressive...
Anyone else sell out of USOI before reverse split?
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GOF is returning capital. Its giving back your money. Comment on ROC/Short term/long term. Makes it a nightmare!
what are your thoughts on HYD since the divi is tax free.
Wait, issuing new shares to keep dividends up is eerily similar to how ponzi did things. Of course, if the new shares are used for new revenue generating investments, then everything is okay.
GOF is actually questionable. Good balance sheet, a lot of equity; but, EPS is way lower than its dividend payout. Nope!
Agreed. There are simply better options for monthly income than GOF, its a dividend trap.
@@mryoung0412 what other dividends would you recommend then?
@@ithaca2076 right now JEPI is the 10% darling, they use a decent covered call system to generate income monthly and the expense ratio isn't bad either, but time will tell how much growth is sacrificed to generate that income. There are a plethora of 3-8% monthly funds that may not hit the coveted 10%+ payouts but in current market conditions they will probably benefit more from DCA over the next couple years for when inflation cools snd the fed pivots. DHS, JEPQ, SPHD, DIVO, DIV, AND DGRW are all funds that you can add to monthly while also reinvesting their dividends. Quarterly funds like SCHD, and QQQX are great too for future growth, you can even get monthly payments from bond funds like ANGL, TIP, and HYG too. Oil has funds like OILK, USOI, royalty companies like SBR, and PBT add natural gas to the mix, and don't sleep on gold with IGLD. Lots of monthly income funds to diversify into!
SCHP paying 7 % is this for real ???
Auto loans are about to implode though.
Would you do an analysis of PDI and PTY? Thanks. Both are CEFs and high yields and managed by PIMCO. I think both look good.
I was in PFN for a while but most debt CEFs are just too risky for me in the current economy. PIMCO uses a lot of leverage so be aware
very similar to ponzi scheme. New investor's money to maintain high return to old investors
The expense ratio on GOF is absurd.
Sounds like a Madoff scheme
Liked 👍 Thanks
Great analysis investigation work 👏
Hey Bull what are your thoughts on SLRC?
I agree and have GOF on the low side of my watch list during a crash. Can't get excited about it trading 25% above it's NAV of 13.13 and the huge expense ratio of 1.83% on top of the shady risk involved.
Yeah, there no reason to pay a wildly high premium these days.
Can anyone tell me if there is a way to get in touch with Allen?
Funny he said GOF is too risky but he buys USOI. Lol
Do the 9 million additional shares you mentioned have anything to do with the merger from last year?
It is
Which merger?
@@olimarghe Three Guggenheim CEFs merged around one year ago. GGM & GPM merged into GOF.
BST? BDJ? Idk about both but both feel good after a drop
Zombie companies watch out
Despite the economic downturn,I'm so happy☺️. I have been earning $ 60,000 returns from my $10,000 investment every 14days..
please how do I go about it ? am still a newbie on investment trading .
This must be an investment with Mrs Linda Raschke
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GOF a zombie 🧟♀️ company
I have over 2400 shares that produce $450+ per mo income. That is about a growth of 27+ shares per month. In 5 years, I should be making $1000+ per month in income, with no new investments.