Better Than 10% Yield ... In This Environment?

The current financial headwinds abound: The stock market may be heading for a seventh consecutive week of losses ...  The BRIC nations are trying to stave off inflation by tightening monetary policy, which is in turn putting a squeeze on commodities and risk assets ... The PIIGS across the pond are up to their ears in a large pile of debt laden slop that's sending capital on a flight to quality. The last several rounds of economic data show a deceleration in the momentum of the economic recovery (is it a soft patch, or the start of another recession cycle?) ...  The European Union is trying to figure out how they can throw more money at Greece without triggering a "credit event" default that would send shock waves throughout the global banking system ... Leading financial institutions, including the World Bank, have turned less optimistic on global and U.S. GDP growth for 2011 ... And the Federal Reserve continues to be pinned-up against the wall and sees no choice but to maintain an ultra loose monetary policy for an "extended period", meaning that interest rates will continue to stay at rock bottom heading into 2012. What does that mean for all you savers, fixed income savants, and income-oriented investors that are thirsty for yield?  You'll have to scrounge hard for your scratch. In fact, the 10 year US Treasury Bond is once again yielding below 3.00%.  And if the headwinds persist and this soft patch materializes into a prolonged malaise, yields could go even lower. Investors have been desperate for any type of yield and safety as the 5 year U.S.123... Read more