“Legitimate Yield… Or a Mirage of Cash Flow?”

Yield is a popular concept for investors, but it can be an uphill climb finding high levels of legitimate, safe, and secure yield in a low-interest environment.

As the boomer generation nears or enters retirement, questions surrounding “yields” and/or “cash flows” from an investment portfolio are becoming popular topics of discussion. Boomer demographics and shrinking corporate pensions are making high-yield mutual funds hot commodities.

But be careful: a high-yield mutual fund can come at a price.

A high-yield mutual fund is one that pays out 6% to 8% or more to its unit holders. How can they do that when they’re investing in the same world as everyone else where company stock yields are 4%, bond yields are 2%, and recent equity market values have been negative or flat?

The short answer: they can’t.

At HighView, we rely on products and payout policies designed for long-term sustainability to securely and tenably maximize yields on our customers’ investments.

Learn more about the pitfalls of high-yield mutual funds and how to make the right investment choices in this video.

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