Monthly Dividend Income

Monthly Dividend Income mutual funds and ETFs invest in equities that produce... Monthly Dividend Income mutual funds and ETFs invest in equities that produce monthly income. Depending on the fund mandate, these funds can be value-oriented and seek to own companies that are believed to be underpriced based on different financial metrics. Others may own growth companies as they try to earn some income for investors, while also targeting significant capital gains as well. Depending on the mutual fund or ETF in question, it may have scope to invest in the equities of one particular country, a region, or globally. These funds can also differ in what returns they target. Low volatility funds will tend to own blue-chip securities, while a high-yield fund may own equities that come with higher payouts but also an increased likelihood that the issuer will be unable to meet its obligations or commitments to investors. Monthly dividend income funds can be a good option for investors who seek regular income and wish to match their forecasted expenses with predictable cash flows. Depending on the type, these funds can also offer the potential for capital growth. Conservative-minded investors, however, should stick to funds that only invest in investment-grade companies. Last Updated: 12/08/2023 View more View less

Monthly Dividend Income mutual funds and ETFs invest in equities that produce monthly income. Depending on the fund mandate, these funds can be value-oriented and seek to own companies that are believed to... Monthly Dividend Income mutual funds and ETFs invest in equities that produce monthly income. Depending on the fund mandate, these funds can be value-oriented and seek to own companies that are believed to be underpriced based on different financial metrics. Others may own growth companies as they try to earn some income for investors, while also targeting significant capital gains as well. Depending on the mutual fund or ETF in question, it may have scope to invest in the equities of one particular country, a region, or globally. These funds can also differ in what returns they target. Low volatility funds will tend to own blue-chip securities, while a high-yield fund may own equities that come with higher payouts but also an increased likelihood that the issuer will be unable to meet its obligations or commitments to investors. Monthly dividend income funds can be a good option for investors who seek regular income and wish to match their forecasted expenses with predictable cash flows. Depending on the type, these funds can also offer the potential for capital growth. Conservative-minded investors, however, should stick to funds that only invest in investment-grade companies. Last Updated: 12/08/2023 View more View less