This Monster 17%-Yielding Monthly Dividend Stock Believes It's a Compelling Investment in the Current Environment

AGNC Investment (NASDAQ: AGNC) has one of the highest dividend yields around. At over 17%, it's more than 10 times higher than the broader market (the S&P 500's dividend yield is less than 1.5%). Usually, a dividend yield that high tends to indicate that a cut is forthcoming. However, a payout reduction doesn't seem to be in the cards for AGNC Investment. Instead, the company believes it's a good investment in the current market.AGNC Investment is a real estate investment trust (REIT) that invests in mortgage-backed securities (MBS) protected against credit risk by government agencies like Freddie Mac. Because of that, they're very low-risk investments. Given the low-risk profiles of MBS, AGNC Investment uses leverage to enhance its returns. Continue reading

Apr 24, 2025 - 09:12

This Monster 17%-Yielding Monthly Dividend Stock Believes It's a Compelling Investment in the Current Environment

AGNC Investment (NASDAQ: AGNC) has one of the highest dividend yields around. At over 17%, it's more than 10 times higher than the broader market (the S&P 500's dividend yield is less than 1.5%).

Usually, a dividend yield that high tends to indicate that a cut is forthcoming. However, a payout reduction doesn't seem to be in the cards for AGNC Investment. Instead, the company believes it's a good investment in the current market.

AGNC Investment is a real estate investment trust (REIT) that invests in mortgage-backed securities (MBS) protected against credit risk by government agencies like Freddie Mac. Because of that, they're very low-risk investments. Given the low-risk profiles of MBS, AGNC Investment uses leverage to enhance its returns.