b l o g o f p a r a g

Boring but safe

If you are looking for better yields than a Certificate of Deposit, with minimal risk, check out ING Prime Rate Trust (PPR). This is a closed end fund that holds commercial loans as assets. At the current trading price of just below $7, it sells at a 5.4% discount to its net asset value and yields 6.6% in dividend that is paid out monthly. I have bought and held this security over the last 2 years and it has done well. The commercial loan rates are variable, hence, in my opinion, in the current climate of interest rate hikes, it should continue to do well.

Disclaimer: I am not a financial consultant. Do your own research before making investments. I am not responsible for your gains or losses.