Group 1 - The CEF/ETF Income Laboratory manages portfolios targeting approximately 8% yields through closed-end funds (CEFs) and exchange-traded funds (ETFs) [1] - The VanEck AA-BB CLO ETF (CLOB) offers a diversified portfolio with a solid 6.5% dividend yield, distinguishing it from its CLO peers [1] - The service is designed for both active and passive investors, providing features such as monthly payouts for faster compounding and steady income streams [1]

Core Viewpoint - The article focuses on the investment strategy of identifying undervalued Real Estate Investment Trusts (REITs) and emphasizes a long-term contrarian approach to investing in the real estate sector [1]. Group 1: Company Insights - Armada Hoffler Properties (AHH) is mentioned as a specific company of interest, although the article does not provide detailed quarterly results for Q4 2025 [1]. - The author has a beneficial long position in AHH shares, indicating confidence in the company's future performance [2]. Group 2: Industry Insights - The article highlights the importance of fundamental economic insights in assessing the intrinsic value of stocks within the REIT sector [1]. - The investment strategy is characterized by a focus on deep-value opportunities, particularly in the context of market fluctuations and temporary disfavor [1].

Group 1 - Bancroft Fund (BCV) has remained relatively flat since the last update, despite experiencing a significant decline shortly after the previous report [2] - The fund has increased its quarterly distribution recently, indicating a positive development for investors [2] - The CEF/ETF Income Laboratory manages portfolios targeting safe and reliable yields of approximately 8%, aimed at simplifying income investing for members [2] Group 2 - The CEF/ETF Income Laboratory provides expert-level research and actionable recommendations for income and arbitrage strategies in closed-end funds and exchange-traded funds [2] - The service includes managed portfolios, in-depth analysis, and a community of over a thousand members focused on income investment opportunities [2] - The majority of the holdings in these portfolios are monthly payers, which enhances compounding and stabilizes income streams for investors [2]

To see all that our exclusive membership has to offer, sign up for a free trial by clicking on the button below!At the CEF/ETF Income Laboratory , we manage closed-end fund ( CEF ) and exchange-traded fund (ETF) portfolios targeting safe and reliable ~8% yields to make income investing easy for you. Check out what our members have to say about our service.The Neuberger Berman Next Generation Connectivity Fund ( NBXG ) has been under some pressure since our last update in early November. The fund is focused ...

Group 1 - The BlackRock Utilities, Infrastructure & Power Opportunities Trust (BUI) offers diversified exposure to utilities and energy sectors, which are essential for global operations [2] - The CEF/ETF Income Laboratory manages portfolios targeting safe and reliable yields of approximately 8%, aimed at simplifying income investing for clients [2] - The service includes managed portfolios, actionable income and arbitrage recommendations, and in-depth analysis of closed-end funds (CEFs) and exchange-traded funds (ETFs), catering to both active and passive investors [2] Group 2 - The majority of holdings in the CEF/ETF Income Laboratory are monthly-payers, which enhances compounding and stabilizes income streams for investors [2]

Core Insights - The current market environment is prompting investors to seek higher yields beyond traditional fixed income options, with VanEck's income-focused ETFs providing diverse access across various asset classes [1] Income-focused ETFs - VanEck's BIZD ETF offers access to Business Development Companies (BDCs) with a yield of approximately 9%, providing private-credit-like yield without significant liquidity trade-offs [1] - The VanEck MORT ETF yields around 12% and provides broad, diversified exposure to mortgage REITs (mREITs), which capture spreads between income and borrowing costs for enhanced yield [1] - A ranking of VanEck's top income-focused ETFs by current 30-Day SEC yield includes: - VanEck Mortgage REIT Income ETF (MORT) at 12.27% - VanEck BDC Income ETF (BIZD) at 9.05% - VanEck Emerging Markets High Yield Bond ETF (HYEM) at 6.55% - VanEck Preferred Securities ex Financials ETF (PFXF) at 6.37% - VanEck Fallen Angel High Yield Bond ETF (ANGL) at 6.10% - VanEck CEF Muni Income ETF (XMPT) at 5.83% - VanEck AA-BB CLO ETF (CLOB) at 5.77% - VanEck J.P. Morgan EM Local Currency Bond ETF (EMLC) at 5.77% - VanEck Emerging Markets Bond ETF (EMBX) at 5.56% - VanEck International High Yield Bond ETF (IHY) at 5.18% [1]

Group 1 - The CEF/ETF Income Laboratory manages portfolios targeting safe and reliable yields of approximately 8% to facilitate income investing [2] - Micro- and small-cap stocks have surged at the beginning of the year, with mid-cap stocks also showing strong performance, while major indexes like Nasdaq 100, S&P 500, and Dow Jones Industrial Average did not participate to the same extent [2] - The service provided by the CEF/ETF Income Laboratory includes managed portfolios, actionable income and arbitrage recommendations, and in-depth analysis of closed-end funds and exchange-traded funds [2] Group 2 - The community associated with the CEF/ETF Income Laboratory consists of over a thousand members focused on finding the best income ideas, catering to both active and passive investors [2] - The majority of holdings in the portfolios are monthly-payers, which aids in faster compounding and smoothing income streams [2]

Group 1 - The Conservative Income Portfolio aims to target value stocks with high margins of safety and reduce volatility through well-priced options [1] - The Enhanced Equity Income Solutions Portfolio is designed to generate yields of 7-9% while minimizing volatility [1] - Oracle Corporation has experienced significant volatility, achieving a 52-week high followed by a 60% drawdown in the last six months [2] Group 2 - Trapping Value is a team of analysts with over 40 years of combined experience focusing on options income and capital preservation [3] - The Conservative Income Portfolio includes two income-generating portfolios and a bond ladder, emphasizing lower volatility and capital preservation [3] - The Covered Calls Portfolio aims to provide lower volatility income investing, while the fixed income portfolio targets high income potential securities that are undervalued [3]

Group 1 - The High Income Securities Fund (PCF) was transformed into a hybrid fund with significant diversification after being taken over by Bulldog Investors in 2018 [2] - The fund aims to provide managed portfolios targeting safe yields of over 8%, appealing to both active and passive investors [2] - The service includes actionable income and arbitrage recommendations, in-depth analysis of closed-end funds (CEFs) and exchange-traded funds (ETFs), and a community of over a thousand members [2] Group 2 - The majority of the fund's holdings are monthly-payers, which enhances compounding and smooths income streams for investors [2]

Core Insights - REIT yields are becoming attractive again, but historical trends indicate that income investors may make mistakes when they feel comfortable, as some REITs had to cut distributions during previous tightening cycles [1] - In 2026, Singapore REITs (S-REITs) offer significant opportunities, but maintaining sustainable income requires discipline and awareness of potential pitfalls [2] Group 1: Yield Considerations - Many investors mistakenly chase the highest yields, which can be misleading; for instance, Suntec Real Estate Investment Trust reported a 13.6% increase in distribution per unit (DPU) for FY2025, but its income history has been volatile [3] - Yield does not equate to income quality; a sustainable 4% growing income is often preferable to an unstable 7% that may be cut under adverse conditions [4] Group 2: Balance Sheet Risk - Falling interest rates do not eliminate debt, and assuming lower rates remove balance sheet risk is a common mistake; quality of earnings is crucial [5] - REITs should maintain manageable debt levels relative to property values and generate sufficient rental income to cover interest payments, even if rates rise again [6] Group 3: Examples of Strong REITs - Frasers Centrepoint Trust, with S$8.3 billion in assets, reported a full-year DPU of S$0.12113 for FY2025 and has a robust balance sheet with high occupancy and low debt [7] - Important metrics for assessing a REIT's balance sheet include the gearing ratio and interest coverage ratio, which indicate financial health and flexibility [8] Group 4: Diversification in Income Portfolios - Overconcentration in REITs can lead to excessive reliance on their distributions; for example, Keppel DC Real Estate Investment Trust has S$6.3 billion in assets but is closely tied to technology spending trends [9][10] - A diversified portfolio that includes various property types and established dividend-paying companies can provide steadier cash flow and reduce exposure to sector volatility [11] Group 5: Investment Strategy - Investors should focus on sustainable income rather than just attractive yields; resilience in income is key to weathering market uncertainties [12] - The next decade will favor those who prioritize balance sheets, cash flow visibility, and business resilience over headline yields [11]