Wy­oming ‘stock artiste’ of­fers tips for high-yield­ing, spec­u­la­tive stocks

The Oklahoman (Sunday) - - BUSINESS - Please ad­dress your fi­nan­cial ques­tions to Mal­colm Berko, P.O. Box 8303, Largo, FL 33775, or email him at mjberko@ya­hoo.com. Mal­colm Berko mjberko@ ya­hoo.com

Dear Read­ers: Two weeks ago, I gave you some of Ossie Ol­lum's rec­om­men­da­tions for low­priced stocks and promised to give you more. But for some rea­son, he wasn't con­fi­dent about his other picks. How­ever, many read­ers are in­ter­ested in stocks yield­ing over 10 per­cent, and Ash­ley Madi­son was kind enough to help me out. Ash be­lieves there are some un­com­monly good high yields out there but warns that if the stock mar­ket took a dip (as it has in re­cent days), each of th­ese rec­om­men­da­tions would prob­a­bly dip more than the mar­ket.

At 6 feet 2 inches tall, with shoul­der-length blond hair, car­ry­ing a solid 189 pounds of mostly ripped mus­cle, sup­ported with broad shoul­ders and size 11 feet in steel-toe hob­nail boots, 32-year-old Ash­ley Madi­son used to be known as the finest high­yield stock artiste in Wam­sut­ter, Wy­oming. In Jan­u­ary 2015, the list of 10 high-yield stocks Ash­ley shared with me was a grand slam. Those 10 high-yield­ers had a to­tal re­turn of plus 47.2 per­cent, in­clud­ing div­i­dends. Wow, even Michael Milken was im­pressed.

But that was just one good year in a row; the fol­low­ing two years were daunt­ing, un­mit­i­gated dis­as­ters. In 2016, her 10 is­sues im­ploded when they came into con­tact with Earth's at­mos­phere and its 21 per­cent oxy­gen level. Ash­ley's to­tal re­turn that year was mi­nus 31.2 per­cent. Not good, that!

In 2017, Ash­ley's Jan­u­ary 10-stock port­fo­lio was down by 37.2 per­cent 11 months later. How­ever, be­cause the third time is a charm (in most movies, it's the third key that opens the door), Ash­ley gave me 10 high­yield­ers to share with you this week. Still, you may need all the help you can get, so I pro­pose that you spend the re­main­ing Sun­days of this year in the amen corner of your church. It won't cost you a thing, but your fam­ily may be sur­prised at the re­sults.

Uniti Group (UNIT$16.05) is a real es­tate in­vest­ment trust that owns, ac­quires and leases mis­sion-crit­i­cal com­mu­ni­ca­tions as­sets, such as fiber op­tics, cell tow­ers, data cen­ters and con­sumer broadband. UNIT has a 14.62 per­cent yield.

NuS­tar En­ergy (NS$34.78) en­gages in the ter­mi­nal­ing, stor­age and mar­ket­ing of petroleum prod­ucts. NS yields 12.7 per­cent. NS also pro­vides pi­lotage, tug as­sis­tance, line haul­ing and emer­gency re­sponse.

Ar­ling­ton As­set In­vest­ment (AI-$11.37) ac­quires mort­gages and re­lated as­sets is­sued by the U.S. gov­ern­ment or guar­an­teed as to prin­ci­pal and in­ter­est. AI does this with lever­age and yields 18.54 per­cent. You may need a lot of help on this one.

KCAP Fi­nan­cial (KCAP-$3.38) is a busi­ness devel­op­ment com­pany spe­cial­iz­ing in debt se­cu­ri­ties. It ac­quires com­ple­men­tary busi­nesses in the in­sur­ance, food, health care, de­fense and aerospace in­dus­tries. KCAP yields 11.8 per­cent.

Navios Mar­itime Ac­qui­si­tion (NNA$0.90) yields 22 per­cent, char­ters ves­sels to other com­pa­nies, pro­vides marine trans­porta­tion ser­vices world­wide and owns a fleet of 36 dou­ble-hulled tankers. You'll need even more help from the Big Guy on this one.

Black Box Corp. (BBOX-$3.80) yields 12.15 per­cent. This high-tech com­pany pro­vides dig­i­tal tech­nol­ogy so­lu­tions that help clients de­sign, build and man­age their IT in­fra­struc­ture. BBOX of­fers spe­cialty net­work­ing mul­ti­me­dia and KVM (key­board, video and mouse) switches.

Or­chid Is­land Cap­i­tal (ORC-$8.45) yields 16.26 per­cent and in­vests in res­i­den­tial mort­gage­backed se­cu­ri­ties, in­clud­ing tra­di­tional passthrough agency paper, struc­tured agency se­cu­ri­ties and col­lat­er­al­ized mort­gage obli­ga­tions.

Wash­ing­ton Prime Group (WPG-$6.75) yields 14.66 per­cent and is en­gaged in the own­er­ship, man­age­ment and devel­op­ment of re­tail prop­er­ties.

The Duff & Phelps Se­lect En­ergy MLP Fund (DSE-$6.87) yields 13.83 per­cent and in­vests at least 80 per­cent of its as­sets in se­lect en­ergy mas­ter lim­ited part­ner­ships. DSE of­fers ex­po­sure to the on­go­ing en­ergy re­nais­sance and the re­shap­ing of the U.S. en­ergy econ­omy.

The Fidu­ciary/Clay­more MLP Op­por­tu­nity Fund (FMO-$11.77) pays a 14.67 per­cent div­i­dend. This ex­change-traded fund owns se­lected MLPs that man­age­ment feels could have a pos­i­tive im­pact on the econ­omy.

In­vest about $4,000 in each is­sue. Use a dis­count bro­ker and the max­i­mum com­mis­sion would be $4.95 per is­sue. In fact, your to­tal com­mis­sion would be un­der $50 at one of the big dis­coun­ters, such as Charles Sch­wab or Fidelity. And by De­cem­ber, we'll know whether Ash­ley Madi­son has got­ten her groove back.

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