I've been watching and buying CEF's since 2006 and have had increasing confidence in them for SAFE vehicles of high return. Even in the 2008 bust they returned quickly. It seems they are the most diversified, low risk option I know of. The only cautionary note is just don't buy them when they have high premiums but rather at zero or at discount to NAV. I'm looking for other opinions as to how they might do as global conditions worsen (if they do as many expect). Some say that these will be highly sought for as economic conditions worse as everyone will be looking for returns. Others say the yield may collapse along with global economic conditions. My view is that they will do just fine given the quality and quantity of the stocks in most of the ones I review. My favorites at this time (and in the past as well) are: AGD, AOD, BGY, BQR, EOD, IGD and IRR. Just putting this out there for discussion. Opinions?
The Best CEF's...
funds BGY and BQR, as well as IRR and maybe another, are all returning capital right now.
Instead of IRR, I do own GGN, which has not been returning capital recently. I am near break even and getting that monthly payout. But, if they start returning capital, I will reassess.
I aim for monthly payers, because if I want out, at least I have the monthly payouts in hand.