Dividend Investing Ideas Center
Critical Facts You Need to Know About Preferred Stocks
Have you ever wished for the safety of bonds, but the return potential...
It’s tough to be in the middle. fFrms in the middle market tend to be ignored when it comes to financial solutions, with many providers preferring the whales or the minnows. This includes the insurance market. However, our latest Best Dividend Capture Stocks List pick is exploiting this niche, rewarding investors with a 3.55% dividend yield!
You can check out the Best Dividend Capture Stocks List to explore all the stocks.
Our pick is an underwriter of specialty insurance, including businesses covering P&C, commercial real estate, restaurants, events, reinsurance and the growing cannabis industry. These lines of business come with higher premiums and profits. The kicker is that rather than focusing on the Fortune 500, our pick makes its bread & butter serving private and middle market businesses. By serving this niche, our pick can generate even better margins on its underwriting.
Thanks to its focus, rising rates and a strong float portfolio, our pick generates lots of cash flow for its investors. As such, our pick makes for a great dividend capture play. A dividend capture strategy involves buying a stock before its ex-dividend date and then selling it after it has recovered the payout. With an ex-dividend date of Thursday, March 23, our pick is primed for the strategy, as is evident from its historical track record of a recovery period within an average of 3.3 days after going ex-dividend.
For investors looking for a quick total return of income and capital appreciation, our latest insurance pick could be a lucrative option.