Thu, December 12, 2024
Wed, December 11, 2024
[ Wed, Dec 11th 2024 ]: Forbes
6 Best Value Stocks To Buy In 2025

DNP: Big Income, Market Crash Hedge

The article from Seeking Alpha discusses the DNP Select Income Fund (DNP), a closed-end fund that focuses on providing high income through investments in utility and other infrastructure stocks. It highlights DNP's strategy of investing in sectors known for their stability and consistent dividends, which makes it an attractive option for income-focused investors, especially during market downturns. The fund has a history of maintaining its dividend, offering a yield around 8.5%, which is significantly higher than many other investment options. The article explains that while DNP's stock price can fluctuate, its high yield and the nature of its investments serve as a hedge against market volatility, providing a cushion for investors through regular income even when the broader market experiences declines. However, it also notes that DNP trades at a premium to its net asset value, which could be a consideration for potential investors.

Read the Full Seeking Alpha Article at:
[ https://seekingalpha.com/article/4743585-dnp-big-income-market-crash-hedge ]