Unlocking 10.9% Dividends with Contrarian Income Report

A finance expert at Bloomberg provides an abstract summary of an article discussing monthly dividend payers. Only 6% of dividend payers pay monthly, but the Contrarian Income Report has identified 18 monthly payers with an average yield of 8.8%. This "elite 18" lineup generates $7,333.33 per month in passive income and has a 10.7% annual return since inception 10 years ago.

Monthly dividend stocks have gained traction among investors seeking regular income, particularly in an era of high inflation. While only 6% of dividend payers distribute monthly, a select group of 18 monthly payers identified by the Contrarian Income Report offers compelling yields. This "elite 18" generates $7,333.33 per month in passive income and has delivered a 10.7% annual return over the past decade [1].

The top 9 monthly dividend stocks by yield, as of August 1, 2025, include Armour Residential REIT (ARR) with a forward dividend yield of 17.48%, AGNC Investment Corp. (AGNC) at 15.19%, and Ellington Financial (EFC) at 12.28% [2]. These high yields are particularly attractive in a volatile market, where the yields on dividend stocks have risen into the double-digits.

However, high dividend yields do not guarantee sustainability. Many of these stocks have payout ratios near 100%, which can lead to dividend cuts or borrowing if earnings do not meet expectations. Investors should conduct thorough research or diversify their portfolios to mitigate risks.

Investing in monthly dividend stocks requires a brokerage account. Investors can choose between individual stocks or ETFs that pay monthly dividends. For example, the JPMorgan Equity Premium Income ETF (JEPI) and the Global X Nasdaq 100 Covered Call ETF (QYLD) offer monthly dividend payouts, although they may not exclusively invest in monthly dividend stocks [3].

Neuberger Berman High Yield Strategies Fund Inc. (NHS) recently announced a monthly distribution of $0.0905 per share, demonstrating the potential for regular income from investment funds [4].

Investors should consider the risks and benefits of monthly dividend stocks and consult with financial advisors before making investment decisions.

References:
[1] https://www.nerdwallet.com/article/investing/monthly-dividend-stocks
[2] https://www.marketscreener.com/news/neuberger-berman-high-yield-strategies-fund-announces-monthly-distribution-ce7c5fddd081f727
[3] https://seekingalpha.com/news/4478101-regeneron-pharmaceuticals-declares-0_88-dividend