Author: Michael Foster, Contrarian Outlook

With a bigger yield, better diversification, and a dividend yield over 5 times larger than that of the typical S&P 500 stock, this 3-fund portfolio has a lot to offer if you’re planning for retirement — or if you just want to draw an income stream from your investments.

Plenty of CEF investors worry about dividend cuts. And for sure, they’re something to keep in mind. But CEFs are NOT the same as stocks…

You’re getting high yields, attractive valuations, strong diversification, a long history of steady payouts AND a monthly dividend.

While many investors use funds like these to build their wealth, they can also be used to gain a high cash flow with little effort.

Since its portfolio has nearly tripled in less than a decade — even after the big tech selloff of 2022 — the fund has built up enough profits to sustain payouts for many years to come.