The editor of The Daily Paycheck explains, "As such, in my research I was happy to find Blackrock Floating Rate Income Trust (BGT), a closed-end fund yielding 5.7%, in my research.

"Many floating rate funds concentrated in the financial sector. Fortunately, BlackRock Floating Rate Income Trust is not.

Continue reading BlackRock Floating (BGT): Protect Against Rising Rate

BlackRock Floating (BGT): Protect Against Rising Rate originally appeared on BloggingStocks on Wed, 22 Dec 2010 10:30:00 EST. Please see our terms for use of feeds.

"As an income investor, it's difficult to find solid investments that can protect you from interest rate risk; but JPMorgan Chase Fixed-to-Floating Rate Securities (JPM-Z), which offer a 7.6% variable yield, look like a good candidate," says income expert Amy Calistri.

The editor of The Daily Paycheck explain, "Interest rates are at their lowest levels in history. And for the foreseeable future, the U.S. Federal Reserve is going to keep it that way.

"Until an economic recovery is well in hand, the Fed is going to err on the side of caution and low interest rates. And that's good for existing fixed income securities.

Continue reading Variable Gains: JPMorgan Fixed-to-Floating Rate (JPM-PZ)

Variable Gains: JPMorgan Fixed-to-Floating Rate (JPM-PZ) originally appeared on BloggingStocks on Fri, 27 Aug 2010 13:00:00 EST. Please see our terms for use of feeds.

Continue reading Floating Rate Fund Favorites

Floating Rate Fund Favorites originally appeared on BloggingStocks on Wed, 19 May 2010 13:30:00 EST. Please see our terms for use of feeds.

In his The Bond Desk newsletter, the advisor explains, "One way to protect your bond portfolio against rising rates is to consider the floating-rate portion of the market."

Instead of having a fixed-rate, he notes, floating-rate coupons are set or re-set on an ongoing basis, monthly, quarterly, semiannually or annually depending on coupon frequency of the issues.

One of his floating rate favorites is ING Prime Rate Trust (NYSE: PPR), which focuses on the corporate debt of secure borrowers located principally in the US. He notes, "Although it carries the Netherlands-based bank's name, the fund's management is all red, white and blue."

And,he adds, that team has kept the fund consistently in the black with a five-year return running at an annualized 8.2%. Yielding in the mid-7% range and trading at a steady discount to net assets of about 3 percent, he considers ING Prime Rate Trust at the "top of his buy list."

Continue reading Floating rate funds: Protection from rising rate

Floating rate funds: Protection from rising rate originally appeared on BloggingStocks on Fri, 20 Jul 2007 09:29:00 EST. Please see our terms for use of feeds.