XAI Octagon Floating Rate & Alternative Income Term Trust Stock News

For income investors, closed-end funds remain an attractive investment class that covers various asset classes and promises high distributions and reasonable total returns. Closed-end funds, or CEFs, are generally characterized by higher volatility and deeper drawdowns than the broader market. For these reasons, they are not suited for everyone. In this monthly series, we highlight five CEFs wi...

Collecting 21% is risky, right? Not if you understand what you're buying and how it works. Take time to learn. Time is the only commodity that you can never buy more of – use it wisely. I make my portfolio work hard, so I can enjoy a relaxed lifestyle.

The Fed's revised guidance for only two rate cuts in 2025 caused market panic, despite a current rate cut to 4.25-4.5%. Floating rate instruments like CLOs remain attractive due to their high-yield and low volatility, especially with rates staying above 4%. I identify one ETF and two CEFs for investors looking to take advantage of this panic and new course for the Fed.

XAI Octagon Floating Rate & Alternative Income Trust trades at a premium due to high monthly distributions, but recently cut its distribution yield to 13.71%. Despite skepticism about long-term sustainability, XFLT's premium is now closer to similar funds, prompting an upgrade from hold to buy. Leverage stacking in XFLT's strategy poses significant risk, but current market conditions and season...

XFLT.PR.A preferred shares offer a stable 6.4% yield unaffected by lower Fed Funds, making them an attractive hold in today's monetary easing environment. The CEF portfolio includes leveraged loans, CLO debt, and CLO equity, providing diversified exposure and reduced volatility compared to pure CLO Equity CEFs. Preferred shares, characterized as liabilities, have a fixed maturity in March 2026,...

As a retired income investor, I focus on high-yield closed-end funds, or CEFs, for consistent monthly distributions and reinvestment discounts to grow my retirement portfolio. Significant 2024 events include distribution cuts, fund liquidations, rights offerings, and new fund launches, impacting various CEFs I own or follow. Notable CEFs like ACP, ASGI, AOD/AGD, and BlackRock funds have seen di...

The XAI Octagon Floating Rate & Alternative Income Trust offers an enticingly high yield, but recently cut its monthly payout, sending the shares lower. XFLT's portfolio primarily consists of floating-rate instruments, making it sensitive to interest rate changes, and that includes the downside of it when the Fed is cutting rates. Despite the distribution cut, it is still a fairly attractive hi...

CHICAGO--(BUSINESS WIRE)--XAI Octagon Floating Rate & Alternative Income Trust (the “Trust”) has declared its regular monthly distribution of $0.077 per share on the Trust's common shares (NYSE: XFLT), payable on December 30, 2024, to common shareholders of record as of December 16, 2024, as noted below. The amount of the distribution represents a 9.41% decrease from the previous month's distri...