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Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: LTBH who wrote (18811)	2/20/2014 7:55:15 PM
From: LTBH	Read Replies (3) \| Respond to of 34328

I should have added that with the exception of BGS and EPR, all other of the listed holdings yield 8% or more. Luck LTBH

To: LTBH who wrote (18811)	2/20/2014 8:55:19 PM
From: E_K_S	Read Replies (1) \| Respond to of 34328

Hi LTBH - I own a few of these high yielders but w/ a slightly different investment strategy from those that are looking exclusively for dividend growers. First, when these MLP's "break" their price usually falls to where they generate a 8% yield (or more). This seems to be the current cost of money for the riskier MLP's if they were to float a new issue in the market. My premise is to nibble at shares of those over sold MLP's where the yield hit 8% or more above their normal historical trend. I tend to buy in several lots averaging down as the news gets bad and a distribution cut is factored into the current price. I buy assuming the worse but want a good (undervalued) asset base but also assume revenue streams will grow once management fixes the problem(s). There are several reasons that revenue streams can grow again but I specifically look for "organic" growth from earlier capital investments that may still be a few years out. From your list the ones I have been accumulating shares in include: LNCO, CLMT, BBEP, UAN & MWE. I sold BBEP for a quick 15% capital gain and one dividend. The others I have different size positions w/ UAN and CLMT as my favorites. As these stocks rebound to "normalized" historical prices and/or company specific problems are fixed, I expect revenues to begin to grow so distributions can grow. As the stock price increases, I sell my high cost shares for a small gain but keep my low cost shares in the portfolio to generate income. It's a good strategy as long as you can pick off those companies that may have stumbled off their growth path sells off as a result but then management fixes the problem. EKS