High Volatility? Buy This Stable Monthly Dividend 6.8% Yield CEF

Produced with Julian Lin for High Dividend Opportunities.
The recent market volatility has been difficult to stomach for many investors. Just last week, we explained in an article here on Seeking Alpha what is behind this market turbulence, and why we are not worried about the state of equities.
Still there are some investors - including "income investors" - who do not like to see fluctuations in their portfolios. Recently, we have recommended to our conservative investors a defensive closed-end fund that carries a lower price volatility: Reaves Utility Income Fund (UTG).

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UTG is a closed-end fund which pays consistent monthly dividends and focuses on the utility sector. Utilities are one of the best sectors to be invested into during volatile or uncertain times. This is a defensive sector by nature as these companies tend to generate a stable income in both good an bad times. At the end of the day, everyone needs electricity and water to survive. UTG also has a beta volatility ratio of only 0.48 which means it's 52% less volatile than the general market.
What's more? This sector has underperformed the broader market due to fears of rising interest rates, despite the fact that most utility companies can grow their income over time, creating a buying opportunity.
This means that the 6.8% yield of UTG is a strong buy as investors are handsomely rewarded to wait for this defensive utility stock CEF to get the love they... Read more