5 Top CEFs for High Yields: July 2025 Picks

The article discusses the top 5 closed-end funds (CEFs) for July 2025 with yields up to 13%. The market momentum has stalled due to tariff-related worries, but the author highlights the best CEFs to consider for investors seeking high yields. The selection is based on various factors such as dividend yield, net asset value, and underlying holdings.

The market momentum has stalled due to tariff-related worries, but investors seeking high yields can still find promising opportunities in closed-end funds (CEFs). These funds offer attractive dividend yields and can provide a steady income stream. Below, we highlight the top five CEFs for July 2025, based on their dividend yields, net asset value (NAV), and underlying holdings.

1. Invesco KBW Premium Yield Equity REIT ETF (KBWY)
- Dividend Yield: 9.52%
- NAV: Not specified
- Underlying Holdings: Primarily large-cap U.S. equity REITs
- Comments: KBWY is a top performer in the high-dividend ETF space, offering a high dividend yield and a diversified portfolio of real estate investment trusts (REITs). Despite the current market volatility, its strong underlying holdings and high dividend yield make it an attractive choice for income-oriented investors.

2. Invesco S&P SmallCap High Dividend Low Volatility ETF (XSHD)
- Dividend Yield: 6.95%
- NAV: Not specified
- Underlying Holdings: Small-cap U.S. stocks with high dividend yields and low volatility
- Comments: XSHD focuses on small-cap stocks, providing investors with a high dividend yield while offering a lower level of risk compared to large-cap stocks. Its low volatility component adds an extra layer of stability, making it a good choice for investors seeking income with less market risk.

3. Global X SuperDividend U.S. ETF (DIV)
- Dividend Yield: 5.83%
- NAV: Not specified
- Underlying Holdings: U.S. stocks with high dividend yields
- Comments: DIV is designed to provide high income through a diversified portfolio of U.S. stocks. Its focus on high-dividend stocks makes it an attractive option for investors looking to generate income from their investments.

4. Nuveen ESG Dividend ETF (NUDV)
- Dividend Yield: 5.47%
- NAV: Not specified
- Underlying Holdings: U.S. stocks with high dividend yields and strong environmental, social, and governance (ESG) ratings
- Comments: NUDV combines high dividend yields with a focus on ESG factors, making it an attractive option for investors who prioritize sustainability alongside income generation.

5. Schwab U.S. Dividend Equity ETF (SCHD)
- Dividend Yield: 3.77%
- NAV: Not specified
- Underlying Holdings: Large-cap U.S. stocks with high dividend yields
- Comments: SCHD is a low-cost option that provides broad exposure to large-cap U.S. stocks with high dividend yields. Its low expense ratio and diversified portfolio make it a solid choice for income-oriented investors.

Conclusion

While the market momentum has stalled due to tariff-related worries, these top closed-end funds offer attractive dividend yields and can provide a steady income stream for investors. Each of these funds has its own unique characteristics, making them suitable for different investor profiles. It is essential to conduct thorough research and consider your investment objectives and risk tolerance before making any investment decisions.

References:
[1] https://www.nerdwallet.com/article/investing/high-dividend-etfs
[2] https://finance.yahoo.com/news/3-ultra-high-yield-dividend-084100144.html