Dorsal Capital Management LP lowered its position in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 14.0% in the third quarter, according to the company in its most recent disclosure with the SEC. The firm owned 925,000 shares of the semiconductor company's stock after selling 150,000 shares during the quarter. Taiwan Semiconductor Manufacturing accounts for ...
Dorsal Capital Management LP lowered its position in shares of Taiwan Semiconductor Manufacturing Company Ltd. (NYSE:TSM - Free Report) by 14.0% in the third quarter, according to the company in its most recent disclosure with the SEC. The firm owned 925,000 shares of the semiconductor company's stock after selling 150,000 shares during the quarter. Taiwan Semiconductor Manufacturing accounts for about 6.9% of Dorsal Capital Management LP's investment portfolio, making the stock its 3rd biggest holding. Dorsal Capital Management LP's holdings in Taiwan Semiconductor Manufacturing were worth $258,343,000 at the end of the most recent reporting period. Other large investors have also recently bought and sold shares of the company. Fisher Asset Management LLC boosted its position in shares of Taiwan Semiconductor Manufacturing by 1.0% during the third quarter. Fisher Asset Management LLC now owns 17,833,127 shares of the semiconductor company's stock worth $4,980,614,000 after purchasing an additional 168,171 shares in the last quarter. Massachusetts Financial Services Co. MA increased its position in shares of Taiwan Semiconductor Manufacturing by 3.6% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 15,759,419 shares of the semiconductor company's stock valued at $4,401,448,000 after buying an additional 541,047 shares in the last quarter. Bank of America Corp DE raised its stake in Taiwan Semiconductor Manufacturing by 0.9% during the 3rd quarter. Bank of America Corp DE now owns 14,935,893 shares of the semiconductor company's stock worth $4,171,445,000 after buying an additional 130,173 shares during the period. Jennison Associates LLC lifted its holdings in Taiwan Semiconductor Manufacturing by 4.5% during the third quarter. Jennison Associates LLC now owns 12,591,542 shares of the semiconductor company's stock worth $3,516,692,000 after acquiring an additional 544,750 shares in the last quarter. Finally, Alliancebernstein L.P. lifted its hold...
Seven years is an entire geological epoch in crypto, but if you're investing for the long term, it's just the first leg of the journey. Suffice it to say that leading crypto assets like Ethereum (CRYPTO: ETH) and XRP (XRP +1.70%) have both changed tremendously during the past few years, let alone the better part of a decade. In the years to come, both coins have credible growth paths, but for a me...
Seven years is an entire geological epoch in crypto, but if you're investing for the long term, it's just the first leg of the journey. Suffice it to say that leading crypto assets like Ethereum (CRYPTO: ETH) and XRP (XRP +1.70%) have both changed tremendously during the past few years, let alone the better part of a decade. In the years to come, both coins have credible growth paths, but for a meaty investment of $3,000 and a plan for a seven-year hold, the most important question is about which ecosystem can absorb whatever comes next. Where each chain is placing its bets The latest roadmap for XRP published by its issuer Ripple calls for it to implement the ability to perform confidential transactions on its network, as well as a native lending protocol, tokenized asset trading, and identity verification. Tying together several of those features will be a network update, which provides for Confidential Multi-Purpose Tokens (MPTs), which will let financial institutions tokenize bonds, thereby managing them on the XRP Ledger (XRPL), while keeping ownership and transaction data private. In short, these new offerings are compelling for big financial players that won't touch a piece of new technology unless it meets the regulatory compliance standards that they're expecting. Expand CRYPTO : XRP XRP Today's Change ( 1.70 %) $ 0.02 Current Price $ 1.42 Key Data Points Market Cap $87B Day's Range $ 1.39 - $ 1.42 52wk Range $ 1.14 - $ 3.65 Volume 1.2B In contrast, Ethereum's strategy is the inverse. Rather than targeting a specific segment of users, it plans to build the broadest foundation for cryptocurrency's future and let applications in its ecosystem self-organize. To serve that purpose, after making two upgrades in 2025, Ethereum again has two upgrades in store for 2026, which will create the precursors for future technology unlocks like parallel processing of transactions, which could dramatically increase the chain's throughput while slashing its costs. Importantl...
Key Points It's not possible to predict what the world will be like in seven years. Ethereum will likely still be a general-purpose smart contract blockchain. XRP will likely still be a coin tailored to the needs of financial institutions. 10 stocks we like better than Ethereum › Seven years is an entire geological epoch in crypto, but if you're investing for the long term, it's just the first leg...
Key Points It's not possible to predict what the world will be like in seven years. Ethereum will likely still be a general-purpose smart contract blockchain. XRP will likely still be a coin tailored to the needs of financial institutions. 10 stocks we like better than Ethereum › Seven years is an entire geological epoch in crypto, but if you're investing for the long term, it's just the first leg of the journey. Suffice it to say that leading crypto assets like Ethereum (CRYPTO: ETH) and XRP (CRYPTO: XRP) have both changed tremendously during the past few years, let alone the better part of a decade. In the years to come, both coins have credible growth paths, but for a meaty investment of $3,000 and a plan for a seven-year hold, the most important question is about which ecosystem can absorb whatever comes next. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue » Where each chain is placing its bets The latest roadmap for XRP published by its issuer Ripple calls for it to implement the ability to perform confidential transactions on its network, as well as a native lending protocol, tokenized asset trading, and identity verification. Tying together several of those features will be a network update, which provides for Confidential Multi-Purpose Tokens (MPTs), which will let financial institutions tokenize bonds, thereby managing them on the XRP Ledger (XRPL), while keeping ownership and transaction data private. In short, these new offerings are compelling for big financial players that won't touch a piece of new technology unless it meets the regulatory compliance standards that they're expecting. In contrast, Ethereum's strategy is the inverse. Rather than targeting a specific segment of users, it plans to build the broadest foundation for cryptocurrency's future and let applications in its ecosys...
Asian countries are increasingly looking to the US as an energy supplier to reduce their dependence on the Middle East amid regional instability and supply chain concerns, Environmental Protection Agency Administrator Lee Zeldin said. Speaking from Tokyo at an energy forum, Zeldin pointed to the more than $50 billion worth of deals that US companies had secured in the past 48 hours as countries in...
Asian countries are increasingly looking to the US as an energy supplier to reduce their dependence on the Middle East amid regional instability and supply chain concerns, Environmental Protection Agency Administrator Lee Zeldin said. Speaking from Tokyo at an energy forum, Zeldin pointed to the more than $50 billion worth of deals that US companies had secured in the past 48 hours as countries in the region seek to diversify away from the Gulf, where supplies have been disrupted by the effective shutdown of the Strait of Hormuz. Indo-Pacific countries are “far more motivated” about wanting to diversify their supply chain, Zeldin said in an interview on Bloomberg This Weekend. He emphasized the logistical advantages of US energy exports, noting that shipping from Alaska would take approximately 8 days compared with 28 days from the Middle East. When questioned about potential concerns from Asian nations regarding the reliability of US energy supplies given changing tariff policies, Zeldin said that countries in the region are “gravitating towards the US” despite such considerations. He added that energy ministers from various countries were engaged in “robust, energetic, motivated conversation” to establish energy partnerships with the US. Separately, Zeldin said that nuclear energy projects across the US are being implemented “extraordinarily competently” despite the Trump administration’s directive to accelerate permitting. “At no point since I was sworn in as administrator 14 months ago with any nuclear project that I have seen anywhere inside the United States have I seen anything but the highest level of competency,” he said. This story was produced with the assistance of Bloomberg Automation.
It states: "Clearly, the Reform administration cannot take national-level action; however, until there is a change... the county will continue to suffer the consequences in a way that is disproportionate to the rest of the country".
It states: "Clearly, the Reform administration cannot take national-level action; however, until there is a change... the county will continue to suffer the consequences in a way that is disproportionate to the rest of the country".
Expert Warns Trump Administration May Face More Extreme Regime After Strikes. Sir Lawrence Freedman, King’s College London professor emeritus of war studies, speaks with David Gura, Christina Ruffini and Lisa Mateo on "Bloomberg This Weekend." (Source: Bloomberg)
Expert Warns Trump Administration May Face More Extreme Regime After Strikes. Sir Lawrence Freedman, King’s College London professor emeritus of war studies, speaks with David Gura, Christina Ruffini and Lisa Mateo on "Bloomberg This Weekend." (Source: Bloomberg)
Key Points Tesla returned nearly 1,900% on my original investment, but I still wish I'd never bought it. The Twitter acquisition revealed that Elon Musk's appeal was more self-marketing than tech genius. Great returns don't mean you were right; sometimes you just got lucky. These 10 stocks could mint the next wave of millionaires › I bought Tesla (NASDAQ: TSLA) stock in June 2014 because I thought...
Key Points Tesla returned nearly 1,900% on my original investment, but I still wish I'd never bought it. The Twitter acquisition revealed that Elon Musk's appeal was more self-marketing than tech genius. Great returns don't mean you were right; sometimes you just got lucky. These 10 stocks could mint the next wave of millionaires › I bought Tesla (NASDAQ: TSLA) stock in June 2014 because I thought Elon Musk was going to save humanity. Solar roofs on every house. Martian colonies by 2040. Cool electric cars making gas stations historical curiosities, like phone booths or Blockbuster Video. The stock barely kept up with the S&P 500 (SNPINDEX: ^GSPC) over the first five years, but I was convinced that things would change and give Tesla a real push. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue » I added more shares in 2019. Wrote glowing Fool articles about his genius. Defended him at dinner parties. The whole shebang. The red flags I couldn't ignore anymore But something changed. The Cybertruck idea sounded fantastic at first, with ultra-economic manufacturing principles and a unique design. Still, the early prototypes were tough to defend, and Musk's Twitter-centric marketing efforts started to look desperate. So, I sold a few shares in 2021, making sure I had covered my original investment and then some, just in case the bad Cybertruck vibes turned out to be correct. Then came the Twitter saga. A supposed genius offered $44 billion for a company, immediately regretted it, tried to wriggle out, failed, and then lit the whole thing on fire. It was...clarifying. Try to maintain "he's playing 4D chess" energy when Musk is posting meme-stock tweets at 3 a.m. while trying to buy the social media platform. Bet you can't. I slammed the "sell" button hard in the summer of 2022, converting 88% of my remaini...
Singularity Update: You Have No Idea How Crazy Humanoid Robots Have Gotten Authored by Peter H. Diamandis via Metatrends , I just spent the afternoon at Figure headquarters in San Jose with Brett Adcock and David Blundin, and I’m still processing what I saw. We’re not talking about concept robots. We’re talking about fully autonomous humanoid robots running neural networks end-to-end, doing kitche...
Singularity Update: You Have No Idea How Crazy Humanoid Robots Have Gotten Authored by Peter H. Diamandis via Metatrends , I just spent the afternoon at Figure headquarters in San Jose with Brett Adcock and David Blundin, and I’m still processing what I saw. We’re not talking about concept robots. We’re talking about fully autonomous humanoid robots running neural networks end-to-end, doing kitchen work, unloading dishwashers, organizing packages – for hours at a time, with no human intervention. Today? Figure’s robots are doing 67 consecutive hours of autonomous work. One error in 67 hours. That’s not a demo. That’s a product. And here’s what most people don’t understand: the gap between “doing one task really well” and “doing every task a human can do” is collapsing at exponential speeds. Let me explain why… NOTE: Brett has been a past Faculty Member at my Abundance Summit , where leaders like him share insights years before the mainstream catches on. In-person seats for the 2026 Summit next month are nearly sold out. Learn more and apply . The Death of C++ and the Rise of the Neural Net When I first visited Figure, they had several hundred thousand lines of C++ code controlling the robots. Handwritten. Expensive. Brittle. Every new behavior required engineers to anticipate edge cases, write more code, test it, debug it. It was the software equivalent of teaching a toddler to walk by writing an instruction manual. In the last year, Figure deleted 109,000 lines of C++ code. All of it. Gone. What replaced it? A single neural network that controls the entire robot: hands, arms, torso, legs, feet. Full-body coordination. Real-time planning. Dynamic response to unexpected situations. This is Helix 2, their latest AI model, and it’s a fundamentally different approach to robotics. Here’s why this matters: neural nets learn from experience, not instructions. You don’t code a robot to “grab a cup.” You show it thousands of examples of grasping objects—different shapes, wei...
How the U.S. is using AI in the war in Iran NPR's Ayesha Rascoe talks to Lauren Kahn of Georgetown University's Center for Security and Emerging Technology about the role of artificial intelligence in war. Technology How the U.S. is using AI in the war in Iran How the U.S. is using AI in the war in Iran Listen · 5:02 5:02 NPR's Ayesha Rascoe talks to Lauren Kahn of Georgetown University's Center f...
How the U.S. is using AI in the war in Iran NPR's Ayesha Rascoe talks to Lauren Kahn of Georgetown University's Center for Security and Emerging Technology about the role of artificial intelligence in war. Technology How the U.S. is using AI in the war in Iran How the U.S. is using AI in the war in Iran Listen · 5:02 5:02 NPR's Ayesha Rascoe talks to Lauren Kahn of Georgetown University's Center for Security and Emerging Technology about the role of artificial intelligence in war. Sponsor Message Sponsor Message
Texas's state animals, armadillos, are making North Carolina their home Armadillos are making North Carolina their home. NPR's Ayesha Rascoe talks with wildlife biologist Colleen Olfenbuttel about how Texas' state mammal has gotten a foothold in the Tar Heel State. Animals Texas's state animals, armadillos, are making North Carolina their home Texas's state animals, armadillos, are making North Ca...
Texas's state animals, armadillos, are making North Carolina their home Armadillos are making North Carolina their home. NPR's Ayesha Rascoe talks with wildlife biologist Colleen Olfenbuttel about how Texas' state mammal has gotten a foothold in the Tar Heel State. Animals Texas's state animals, armadillos, are making North Carolina their home Texas's state animals, armadillos, are making North Carolina their home Audio will be available later today. Armadillos are making North Carolina their home. NPR's Ayesha Rascoe talks with wildlife biologist Colleen Olfenbuttel about how Texas' state mammal has gotten a foothold in the Tar Heel State. Sponsor Message Sponsor Message
porcorex/iStock via Getty Images The Middle East War dominates the investment climate. The inflationary implications are first-order considerations, and there has been a large swing in expectations of central bank policy this year. Japan is a notable exception as the swaps market continues to discount almost two hikes this year. Eight of the G10 central banks meet in the week ahead, and the risk i...
porcorex/iStock via Getty Images The Middle East War dominates the investment climate. The inflationary implications are first-order considerations, and there has been a large swing in expectations of central bank policy this year. Japan is a notable exception as the swaps market continues to discount almost two hikes this year. Eight of the G10 central banks meet in the week ahead, and the risk is only one moves (Australia), where the futures market is discounting almost a 53% chance of a hike. Hawkish holds by the others seem like the most likely scenario, with the Federal Reserve adjusting its rhetoric in light of recent developments. The risks to its dual mandate are in both directions, and navigating the sequencing may be crucial to preserve what, by most accounts, is the famed soft landing. The war has boosted the demand for US dollars. We argue some of it has been the reduction of short dollar hedges as US assets were sold, and some demand may be related to unwinding carry trades. Still, on a nominal trade-weighted basis, the dollar has seen its best two-week performance in several years. At the same time, the financial sector has come under some strain, which is worth monitoring. The sharp rise in rates would have been unsettling in any case, but there have been signs of stress in the estimated $1.8 trillion private credit space. Direct bank lending is estimated at around $300-$350 bln. US bank share indices lost about twice as much as the S&P 500 did last week. Reports suggest that a liquid asset that the private credit funds can sell is collateralized loan obligations to meet redemptions, and there has been pressure in the CLO market as well. US Drivers: The greenback remains bid, and the war is taking up all the oxygen. The Federal Reserve meets, and there is little doubt that it is standing pat. Governor Miran has indicated since the war began that he expects to dissent in favor of a quarter-point cut. The market shrugged off the halving of the Q4 25 GDP...
Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Tesla (NasdaqGS:TSLA) has launched the Cybercab, an autonomous vehicle designed without a steering wheel or pedals. The company is halting two car models to prioritize mass production of a robotaxi platform centered on the Cybercab. Tesla targets mass production of the Cybercab in 2026 while...
Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Tesla (NasdaqGS:TSLA) has launched the Cybercab, an autonomous vehicle designed without a steering wheel or pedals. The company is halting two car models to prioritize mass production of a robotaxi platform centered on the Cybercab. Tesla targets mass production of the Cybercab in 2026 while rapidly expanding its Optimus humanoid robot program. These moves shift capital and manufacturing resources away from traditional vehicles toward autonomy and robotics, and raise fresh regulatory and legal questions. Tesla has long been known for electric vehicles and energy products, but the latest Cybercab announcement pushes the company further into software, AI, and robotics. By committing factory capacity and capital away from mainstream cars and into a purpose built robotaxi, Tesla is effectively treating autonomy as its core product rather than just a feature of existing models. For you as an investor, that means Tesla’s risk profile now leans more toward complex software deployment and regulatory approval than conventional auto manufacturing. At the same time, the rapid build out of the Optimus humanoid robot program suggests Tesla is pairing the Cybercab platform with a broader robotics roadmap. This combination could reshape how the market views NasdaqGS:TSLA, from an auto and energy company toward a robotics and autonomy platform, with execution and regulatory decisions around 2026 production plans likely to be key catalysts for sentiment and capital planning. Stay updated on the most important news stories for Tesla by adding it to your watchlist or portfolio. Alternatively, explore our Community to discover new perspectives on Tesla. NasdaqGS:TSLA Earnings & Revenue Growth as at Mar 2026 We've flagged 2 risks for Tesla. See which could impact your investment. Quick Assessment ⚖️ Price vs Analyst Target : Tesla trades at US$391.20 versus a consensus target of U...
Mohamad Faizal Bin Ramli/iStock via Getty Images Wall Street has entered a quieter phase of the earnings calendar, but the macro environment is shouting. While the earnings calendar has thinned out, the upcoming week still brings key reports from a diverse set of companies across various sectors: semiconductors, cloud services, retail, logistics, and clean energy, offering investors fresh insights...
Mohamad Faizal Bin Ramli/iStock via Getty Images Wall Street has entered a quieter phase of the earnings calendar, but the macro environment is shouting. While the earnings calendar has thinned out, the upcoming week still brings key reports from a diverse set of companies across various sectors: semiconductors, cloud services, retail, logistics, and clean energy, offering investors fresh insights into global demand trends and corporate spending. Chipmaker Micron Technology ( MU ) will be closely watched for signals on memory demand and the AI-driven data center cycle. In Asia, results from Alibaba Group Holding Limited ( BABA ) and Tencent Holdings Limited ( TCEHY ) could provide a read on China’s internet and e-commerce landscape, while EV maker XPeng ( XPEV ) will offer insight into competition within China’s fast-growing electric vehicle market. Enterprise and professional services companies will also be in focus, including Accenture ( ACN ) and Docusign ( DOCU ), which may shed light on corporate technology spending and digital transformation trends. On the consumer side, retailers and brands such as lululemon athletica ( LULU ), Macy's ( M ), and Dollar Tree ( DLTR ) are expected to provide clues on discretionary spending and value-oriented shopping behavior, while packaged food giant General Mills ( GIS ) will offer perspective on staples demand and pricing trends. Logistics and transportation demand will be highlighted by results from FedEx ( FDX ), often viewed as a barometer for global trade and economic activity. Meanwhile, clean energy and emerging technology names, including Canadian Solar ( CSIQ ), Oklo ( OKLO ), Red Cat Holdings ( RCAT ), and satellite imaging company Planet Labs PBC ( PL ), will round out a diverse reporting calendar. With companies spanning technology, consumer goods, logistics, and energy, the week’s results could provide investors with a broad snapshot of economic momentum and sector-specific trends heading into the next quarter. ...
In recent months, Hut 8 Corp. shifted further away from pure Bitcoin mining by signing a 15-year, US$7.00 billion IT capacity lease with Fluidstack at its River Bend campus, backed financially by Google, while selling a 310 MW natural gas power plant portfolio to refocus capital on data center and AI infrastructure. This move, alongside an 8,500 MW development pipeline and carve-out of legacy mini...
In recent months, Hut 8 Corp. shifted further away from pure Bitcoin mining by signing a 15-year, US$7.00 billion IT capacity lease with Fluidstack at its River Bend campus, backed financially by Google, while selling a 310 MW natural gas power plant portfolio to refocus capital on data center and AI infrastructure. This move, alongside an 8,500 MW development pipeline and carve-out of legacy mining into American Bitcoin, highlights Hut 8’s effort to build a more infrastructure‑oriented, AI-aligned business model with a growing base of contracted, recurring revenues. We’ll now examine how this long-term, Google-backed Fluidstack lease reshapes Hut 8’s investment narrative around power, AI infrastructure, and contracted cash flows. Invest in the nuclear renaissance through our list of 87 elite nuclear energy infrastructure plays powering the global AI revolution. Hut 8 Investment Narrative Recap To own Hut 8 today, you need to believe the pivot from Bitcoin mining toward long-duration, AI-focused infrastructure can eventually support more stable, contracted cash flows despite current losses and balance sheet strain. The 15-year, US$7.00 billion Fluidstack lease, backed by Google, strengthens the near term catalyst of securing high-quality tenants at River Bend, but also magnifies the key risk around execution on Hut 8’s very large, capital intensive development pipeline. Among recent announcements, the Fluidstack and Anthropic partnership stands out as most relevant. It frames the Fluidstack lease not as a one-off deal, but as part of a broader push to build 245 MW to 2,295 MW of AI data center capacity tied to blue-chip clients. For investors focused on catalysts, this pairing tightens the link between Hut 8’s AI infrastructure story and its ability to convert a sizeable 8,500 MW pipeline into contracted, recurring revenues. Yet beneath the Google backed headlines, investors should be aware that the capital demands and potential dilution tied to this expansion could...
Despite some added volatility and a significant rotation out of tech stocks in 2026, semiconductors remain a hot way to play the artificial intelligence (AI) narrative. Even though the tech sector is down modestly on the year, several of the major semiconductor ETFs are up more than 10%. There are some short-term concerns about slowing momentum and valuation levels, but there's little question tha...
Despite some added volatility and a significant rotation out of tech stocks in 2026, semiconductors remain a hot way to play the artificial intelligence (AI) narrative. Even though the tech sector is down modestly on the year, several of the major semiconductor ETFs are up more than 10%. There are some short-term concerns about slowing momentum and valuation levels, but there's little question that the AI revolution will support demand in this key sector for years to come. That makes the chip sector an ideal place for your next $1,000 that you can buy and hold for the next decade or more. Four major semiconductor ETFs are available to investors, but they're far from interchangeable. Look under the hood and you'll find differences in selection strategies that can make one ETF look very different from another. 1. VanEck Semiconductor ETF The VanEck Semiconductor ETF (SMH 0.21%) is the largest ETF in this space with assets of more than $42 billion. It tracks the MVIS US Listed Semiconductor 25 Index, a collection of 25 companies that generate at least 50% of their revenue from semiconductors and chip equipment. The resulting portfolio is market cap-weighted. Expand NASDAQ : SMH VanEck ETF Trust - VanEck Semiconductor ETF Today's Change ( -0.21 %) $ -0.80 Current Price $ 387.33 Key Data Points Day's Range $ 386.07 - $ 396.33 52wk Range $ 170.11 - $ 427.94 Volume 7.6M 2. SPDR S&P Semiconductor ETF The SPDR S&P Semiconductor ETF (XSD +0.55%) is linked to the S&P Semiconductor Select Industry Index. It essentially targets the same type and number of companies as the VanEck Semiconductor ETF, except that it equal weights the portfolio. That improves diversification and overweights smaller companies in this sector. 3. iShares Semiconductor ETF The iShares Semiconductor ETF (SOXX +0.34%) follows the NYSE Semiconductor Index and could be thought of as a cross between the two ETFs listed above in terms of strategy. It market cap-weights its portfolio but puts limits on individu...
Khanchit Khirisutchalual/iStock via Getty Images Introduction: Closed-end funds offer an attractive investment class that covers various asset classes and promises high distributions to income investors. They can also offer reasonable total returns if the distributions are reinvested, but generally lag the performance of the S&P 500. They are not for everyone but are particularly appealing to reti...
Khanchit Khirisutchalual/iStock via Getty Images Introduction: Closed-end funds offer an attractive investment class that covers various asset classes and promises high distributions to income investors. They can also offer reasonable total returns if the distributions are reinvested, but generally lag the performance of the S&P 500. They are not for everyone but are particularly appealing to retirees and income investors. However, it will be best to diversify into 7 to 10 CEFs covering many different asset classes and market segments. Today's fund, First Trust Enhanced Equity Income Fund ( FFA ), is an all-equity fund with call overlay. The fund's sector allocations are not too different from the S&P 500, except that it is much more concentrated, with only 61 holdings. The fund is close to 100% domestic U.S. fund and overwrites (sells options on) between 55% and 65% of the assets. The fund's discount (to NAV) has widened in recent months as there are increasing doubts about the valuations of the tech sector. So, is it the right time to invest in a fund of this nature? We will try to answer this question and will also compare this fund with similar funds. Fund's Background First Trust Enhanced Equity Income Fund (FFA) is a closed-end fund with over 22 years of history. The fund was launched in Aug. 2004. The fund's investment objective is to provide high current income as well as capital appreciation. The fund primarily invests in a diversified pool of U.S.-based large-capitalized equity stocks. It then uses the call-options strategy on nearly 60% of the assets to generate income and reduce volatility. The fund uses zero leverage and charges moderate fees in line with its peers. Currently, the market price offers an attractive discount (to NAV) in excess of 10%. As per the fund's literature, its investment objectives and policies include First Trust Enhanced Equity Income Fund (the "Fund") is a diversified, closed-end management investment company. The Fund's invest...
Dividend stocks are a tried-and-true way to maximize your investments and build wealth that leads to a comfortable retirement. These payments, which are a portion of the company's profits, are often made by mature, stable companies and are seen as an incentive to entice new investors into taking a position in the company. For investors, this provides two benefits. First, you can reinvest your divi...
Dividend stocks are a tried-and-true way to maximize your investments and build wealth that leads to a comfortable retirement. These payments, which are a portion of the company's profits, are often made by mature, stable companies and are seen as an incentive to entice new investors into taking a position in the company. For investors, this provides two benefits. First, you can reinvest your dividend payment into your portfolio, making it grow even faster. The S&P 500 index has had a mean dividend yield of 1.74% over the last 10 years. That may not sound like a lot, but over a decade, it adds up. The index has risen 240% in the last 10 years, but if you account for the reinvested dividends, the S&P 500's total return is 305%. Or you can use those dividend payments as regular income. Dividends are a favored vehicle for investors who are in retirement because they act as a form of passive income -- meaning that retirees don't need to draw down their retirement accounts as quickly. There are plenty of different dividend stocks from which to choose, but here are my five favorites right now. 1. Realty Income Realty Income (O 0.91%) has long been at the top of my list of dividend stocks. First, I like that it's a monthly dividend stock rather than a quarterly one. That's important because getting payments into your account quickly means you can reinvest them sooner. Or, if you are using Realty Income for passive income, it's easy to set up a monthly budget when you have a monthly dividend stock. Second, Realty Income is dedicated to raising its dividend. The company has paid a monthly dividend for more than 55 years, in which time it's increased its dividend 133 times. The yield currently sits at 5%. Realty Income is consistent because it's a solid business, built to last. The real estate investment trust owns more than 15,500 properties and rents them to more than 1,700 clients, generating $5.3 billion in annualized rent. Expand NYSE : O Realty Income Today's Change ( -...