Investment Trust Dividends
| Point de vue sur Gordes gordesview.comx pb0b5kx@gmail.com 38.180.128.166 | Interesting breakdown of this week’s gainers. I’ve been experimenting with a few passive income streams myself, and it’s encouraging to see which sectors are performing well. Do you think this momentum is sustainable into next month, or is it mostly seasonal |
| Sameba Cathedral samebacathedral.comx itz0soo6@hotmail.com 38.180.128.166 | Interesting to see the portfolio adjustments you’re making—curious what drove the decision to shift away from some of the dividend stocks you mentioned. I’ve been considering similar moves for my own passive income strategy, especially with current market volatility. Would love to hear more about how you’re balancing yield with growth in this environment. |
The SNOWBALL only invests in the tail not the dog, the main consideration is the growth of the income. The capital value is only secondary as the plan is to live off the dividend income, which means selling only shares that can be re-invested back into the SNOWBALL at a better yield. Although it would be wise as you near retirement to re-invest in the shares that you consider have the safest yield. Majoring on the income allows you to have a written plan with an end destination, majoring on growth there is no end destination as there is now way of knowing how much your shares will be worth when you start to drawdown.
You could have two separate investment pots and switch between the two.
Dividends can be more reliable than share prices as they’re driven by
the companies performance itself and not by the whim of investors.
As part of a total return / reinvestment strategy, this income could be
reinvested into income assets or back into the equity market
depending on the relative valuations.
The emotional benefits of dividend re-investment.
In fact, with this investment strategy you can actually welcome falling share prices. GL
House models and one with REIT – standing for real estate investment trust – written on it.
Earning a second income is one of the best ways to work towards financial independence. And the stock market is a terrific place to look for opportunities.
Regular investing can be a powerful strategy. With enough time, it doesn’t take huge sums to build a portfolio that can generate big returns.
Apparently, £4.50 is roughly the average price of a pint in a central London JD Wetherspoon. That’s the world we live in.
You can look at that one of two ways. From a glass-half-full perspective, that’s a lot cheaper than the competition right now.
From a glass-half-empty perspective, it’s going up. But while Wetherspoon’s tries to hold prices down, increases seem inevitable.
Another option is to invest that money in the stock market. And if you stick at it long enough, the beers might pay for themselves.
The UK is a great place for passive income investors. Low valuations mean high dividend yields and these can bring big returns.
It’s not hard to see why. A business offering an 8.5% return with good long-term prospects is a valuable asset for anyone to own.
After 10 years of reinvesting dividends, it returns £1,542 a year. And by 2056, that figure reaches £18,071 – or £1,505 a month.
It’s fair to say that 8.5% opportunities don’t grow on trees. But NewRiver REIT (LSE:NRR) is a rare case.
The big question is whether or not this is going to be durable. High yields are often a sign that investors are worried about something.
In NewRiver’s case, the biggest risk is probably its debt. That’s a familiar situation for real estate investment trusts (REITs), but it’s a real issue.
The firm made a big acquisition in 2024 and its balance sheet still shows the impact. But the firm has a good strategy for dealing with this.
Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.
NewRiver has been selling off some of its assets to bring its loan-to-value ratio down. And it has a particular strategy for doing this.
Cuckoo Bridge in Dumfries is one example. NewRiver sold the retail park for £26.5m, which represents an initial yield of 6.9% for the buyer.
That sounds good. But it’s going to be hard to generate future growth — NewRiver already brought in tenants on long-term deals.
Given this, it actually looks like a good sale. And the proceeds are being used to bring down the firm’s debt and reduce the overall risk.
I’m prepared to bet £4.50 won’t buy a pint in a central London Wetherspoon 30 years from now. But I also think an 8.5% annual return will stay ahead of inflation.
I think NewRiver’s dividend yield makes the stock an interesting proposition. Especially for investors looking for a second income.
It’s often better to invest monthly or quarterly, rather than daily, to keep transaction fees down. But the best time to start is sooner, rather than later
Stephen Wright owns shares in JD Wetherspoon.
The post How investing £4.50 a day could set you on the way to a £1,505 monthly second income appeared first on The Twelfth Magpie.
Oil Volatility Is Back: 3 Canadian Stocks to Buy Now
Energy volatility is back, but these three TSX gas stocks offer scale, upside torque, and even a takeover catalyst.
Posted by Amy Legate-Wolfe
Published June 3
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Key Points
Oil prices can turn fast, but so can opportunity. Energy investors have had plenty to watch lately. Crude prices remain jumpy, natural gas demand keeps building, and global buyers still want reliable supply from stable countries. That puts Canada back in focus. The trick, as always, is avoiding companies that only look good when commodity prices run hot. Investors need producers with strong assets, disciplined spending, and enough financial strength to handle the next price swing.
Tourmaline Oil (TSX:TOU) fits that brief better than almost anyone on the TSX. The company is Canada’s largest natural gas producer, with operations across the Alberta Deep Basin, northeast British Columbia, and the Montney. That scale gives it a real edge when markets get choppy. It can spread costs, control infrastructure, and move gas to better-priced markets.
Tourmaline stock looks relevant now as natural gas could regain attention as power demand rises and liquefied natural gas exports ramp up. In its latest first-quarter results, Tourmaline stock reported record production and pointed to higher free cash flow expectations for 2026 and 2027. That gives investors a useful mix of growth potential, income, and a balance sheet that doesn’t need heroic commodity prices to work. It also gives investors one of the cleaner ways to ride Canadian gas without reaching too far down the risk ladder.
The dividend adds another draw. Tourmaline stock planned a $0.50 quarterly base dividend for late June, and it has used special dividends before when cash flow allows. At writing, its yield now sits near 3.1%. The risk comes from gas prices. If North American prices weaken again, the stock could wobble. Still, for investors who want a blue-chip energy name with gas leverage, Tourmaline stock deserves a close look.
Birchcliff Energy (TSX:BIR) offers a smaller, more leveraged way to play the same theme. It focuses on the Montney in Alberta, producing natural gas, light oil, condensate, and other liquids. That makes it more sensitive to commodity prices than Tourmaline stock, but also gives it more torque if gas prices improve.
Birchcliff stands out now because it rebuilt momentum after a tougher stretch for gas producers. In May, the company reported strong first-quarter 2026 results and declared a $0.03 quarterly dividend. That payout won’t make income investors rich overnight, but it shows management still wants to return cash while funding growth.
The appeal here comes from operating leverage. If gas prices improve, Birchcliff could see cash flow move higher quickly. Its Montney position also gives it long-term relevance as LNG Canada and broader gas demand reshape the market. The risk is that smaller energy producers can take harder hits when prices fall. Therefore, Birchcliff suits investors who can handle volatility and want more upside than a steadier giant might offer.
ARC Resources (TSX:ARX) brings a different twist. It already ranks among Canada’s strongest Montney producers, with a mix of natural gas and liquids that supports steady cash flow. Its first-quarter 2026 numbers showed why the market likes it. ARC reported net income of $584 million, or $1.03 per share, up sharply from last year.
The bigger catalyst, though, is Shell‘s planned acquisition of ARC. Shell agreed to buy the company in a deal worth about $16.4 billion, including assumed debt. That gives ARC shareholders exposure to a major global energy company, while also showing how valuable Canadian Montney assets have become.
For investors, ARC now looks less like a pure standalone stock and more like a deal-driven opportunity. The upside depends on the transaction closing and the value of Shell shares. The risk comes from deal timing, regulatory issues, or changes in energy sentiment. Still, Shell’s interest sends a strong message: high-quality Canadian gas assets matter.
Oil volatility can scare investors away, but it can also spotlight the stronger names. Tourmaline stock offers scale, Birchcliff offers torque, and ARC offers a takeover-backed vote of confidence. For long-term investors who can stomach commodity swings, these three TSX energy stocks look well-positioned for the next big chapter.
The stock market continues to hit all-time highs this year.
By Bram Berkowitz– Jun 3, 2026
Follow us ShareSummarize with AI
MotleyFool
As of June 2, the benchmark S&P 500 (^GSPC0.74%) index had hit 23 all-time highs in 2026. That’s following 96 all-time highs in 2024 and 2025.
Now sitting just below its latest high, the market has absolutely crushed it despite facing several headwinds, including doubts about AI at the very beginning of the year; the Iran war, which drove up oil and gas prices; and now, concerns about elevated inflation.
Exuberance over artificial intelligence and projected earnings growth of the S&P 500 has powered the market through these concerns. In fact, the stock market has traded at this high a valuation only one other time in its 69-year existence. History couldn’t be any clearer about what happens next.
Image source: Getty Images.
One way to assess the value of the S&P 500 is through the Shiller CAPE ratio, which compares the S&P 500’s price to its 10-year average inflation-adjusted earnings per share (EPS).
The idea behind using a 10-year, inflation-adjusted average EPS is to smooth out the noise of the economic cycle or periods with differing inflation to get a more holistic view of how the market is trading. For a while now, the S&P 500’s Shiller CAPE ratio has been creeping toward alarmingly high levels.
S&P 500 Shiller CAPE Ratio data by YCharts.
As you can see, dating back to the creation of the S&P 500 in 1957, the only other time the index had a higher Shiller CAPE ratio was in 2000, right before the dot-com bubble popped.
One little-known company, called an “Indispensable Monopoly” owns the technology Nvidia, AMD, and Intel cannot function without. And it is still just a fraction of Nvidia’s size.
We just released a brand-new report with the full story and the company’s name. Continue ›
The tale bears similarities to the current situation. During the dot-com bubble, venture capital for start-ups soared amid the rise of the internet. Investors also poured into tech stocks, driven by fear of missing out (FOMO).
The fallout of the dot-com bubble was not pretty. The S&P 500 fell nearly 77% over the next two years.
The Shiller CAPE ratio also approached this level in late 2021 and early 2022, as people built up savings during the COVID-19 pandemic’s height and pent-up demand emerged. However, inflation also got out of hand, and the Federal Reserve had to hike interest rates incredibly fast, leading to a 20% sell-off in 2022.
That’s not nearly as dramatic as the dot-com bubble, but the point is that when the S&P 500 reaches these levels, a sharp sell-off has always followed.
Many would argue that the artificial intelligence boom is very different than the dot-com bubble.
The internet boom featured many start-ups without revenue receiving venture capital, and large tech and telecom companies funded much of the internet infrastructure build-out with debt. In 1999, there were 457 IPOs, most of which were related to the internet.
Today, much of the AI infrastructure build-out is being funded by massive, highly profitable companies that generate tremendous free cash flow (FCF). However, the hyperscalers have begun to see their FCF wells dry up and are taking on debt to fund infrastructure.
The IPO market has also been quite soft in recent years. In the U.S., there have been 63 IPOs year to date. There were 150 in 2024 and 250 last year, according to Renaissance Capital.
Of course, the other big difference is that many start-ups have been able to raise funding and stay in the private markets longer than they used to.
Some also believe that AI will be more transformational than the internet, and that the market is not yet at peak dot-com-era levels, so it may still have some runway.
Long-term investors with a five- or 10-year horizon don’t need to do anything, as the market has bounced back from most of these steep sell-offs. But they should be aware of where the market is and check their portfolios to see if they hold AI stocks with ultra-high valuations that could be vulnerable to a sell-off.
I’m not saying to not own any of these, but be cognizant of your exposure to them.
If you are concerned about preserving capital over the next two to three years and highly valued AI stocks take up the majority of your portfolio, it may be time to take some gains, increase cash, or add exposure to sectors that are more resilient during market sell-offs.
Shares in NextEnergy Solar (NESF), the £279m renewables fund that disappointed investors with a dividend cut in March, fell again today after the company revealed a 10.4% fall in net asset value (NAV) in the first quarter.
The worse-than-expected decline saw NAV per share drop 8.8p to 76.1p from 84.9p, although with the quarterly 2.5p dividend included the total loss was reduced to 7.4%.
Some of the hits to NAV were known, such as 2p per share off from the government’s changes to the inflation measure used in subsidies to renewable power generators, or not unexpected, such as the 1.5p negative impact from lower generation and power price forecasts and 1.6p deducted from lifting the discount valuation rate in line with rising government bond yields and interest rates.
However, a 1.3p per share write-down to a development asset that NESF is selling and a 0.5p per share reduction in its investment in NextEnergy III, an international fund run by its fund manager, were not anticipated.
Chair Tony Quinlan said: “This has been a very difficult period for the sector, NESF and for our shareholders. The wider renewables backdrop has been uncertain, and recent government consultations and announcements have not helped to provide the clarity the sector needs and therefore had a detrimental effect on the company’s net asset value.”
However, Quinlan said the reduction in the dividend from 8.43p to 4.5p-5.1p per share for the current year to 31 March 2027 would strengthen the balance sheet and enable NESF to deliver long-term growth.
“Today’s NAV is a technical measure, taken at a point in time, but certainly not reflecting the substantial upside optionality inherent in the portfolio,” he said.
NESF shares fell 3.8% or 1.9p to 46.6p. They peaked at 122p in September 2022 before interest rates spiked in response to Russia’s invasion of Ukraine.
QuotedData senior analyst Matthew Read said: “While NESF’s update is a difficult read for shareholders, the causes behind its NAV fall are well understood – a combination of government policy changes, higher discount rates, weaker long-term capture price assumptions and a write-down on a development asset – and it does draw a line under some of the uncertainty that has weighed heavily on the share price.
“The dividend reset was painful for income investors, but we still think that this makes sense in the current market backdrop. Moving to a 75% payout of operating free cash flow should make the dividend more sustainable, retain more capital within the business, help reduce gearing and put the business on a better footing going forward.
“Repairing the balance sheet remains a priority and NESF has already completed disposals, reduced its RCF and is targeting further sales to bring gearing down to 40%–45% of gross asset value. The portfolio is still made up of long-life, cash-generative solar and storage assets, and there may be upside from repowering, batteries and future policy changes such as voluntary wholesale CfDs. However, if NESF can demonstrate that the strategic reset can stabilise NAV and therefore rebuild confidence, the discount has the potential to narrow meaningfully.”
| Investor’s Daily brought to you by Sam Volkering | June 2, 2026 |
“I smell a crash coming…”
So says Lloyd Blankfeinn, the former CEO of Goldman Sachs.
As does Ray Dallio, the founder of Bridgewater Associates, the largest hedge fund in the world…
And the ‘Big Short’ investor, Michael Burry.
Never mind that the economic storm caused by war in the Middle East is already pushing up mortgage payments and driving costs…
With the head of the International Energy Agency also warning that the impact on global energy supplies will surpass the combined effects of the two 1970s oil crises – and the war in Ukraine…
It’s not just another cost of living crisis that could see you seriously out of pocket in 2026.
Concerns over an AI bubble and unprecedented debt levels…
Are fuelling fears of a major stock market crash.
Logic states that anyone buying towards the end of a major bull run is likely to lose money.
I’ve booked a ‘profit’ of £300 with ORIT.
The current profit for the SNOWBALL including earned dividends is £1,007 but a profit is not a profit until the underlying share has been sold and the cash is sitting in your account. Current yield 9.6% so still a hold for the SNOWBALL.
Remember you Snowball should be different from the SNOWBALL as it should reflect the number of years you have before you want to spend your income rather than re-invest all of it.
Dividend stocks can be great investments, but they’re not all the same. Stephen Wright outlines two for passive income investors to consider in June.
Posted by Stephen Wright
Published 2 June
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Stocks with high dividend yields can be risky investments. But they can also be huge opportunities for passive income.
Sorting the risks from the opportunities isn’t easy. In my view, however, there are at least a couple that are worth looking at in June.
When it comes to passive income, I’m a big fan of real estate investment trusts (REITs). These are distinctive businesses with some unique features.
REITs were designed to help people access the property market without needing a huge deposit. And from that perspective, they work.
Fundamentally, REITs own and lease properties to tenants. And they return 90% of their taxable income to investors as dividends.
Please note that tax treatment depends on the individual circumstances of each client and may be subject to change in future. The content in this article is provided for information purposes only. It is not intended to be, neither does it constitute, any form of tax advice.
The downside is that growth can be limited. If you have to distribute all your cash, you can’t use it to buy more properties.
So why do it? The big advantage is that real estate investment trusts – legally – are exempt from paying tax on the income they generate.
In general, this makes REITs some of the more stable passive income stocks around. And the trade-off for limited growth is higher dividend yields.
I said that REITs are known for stability. But Primary Health Properties (LSE:PHP) arguably takes this to the next level.
The firm owns and leases GP surgeries and healthcare centres. And around 88% of its rental income comes from government-funded entities.
That means high occupancy rates, strong rent collection metrics and low default risk. All of these are very positive for long-term income investors.
With a 57% loan-to-value ratio, the firm has a lot of debt. And despite long-term leases and reliable tenants, that’s something to keep an eye on.
At 92.45p a share, the stock comes with a 7.79% dividend yield. And its record of increasing this over time is a thing of beauty.
Source: Fiscal.ai
The growth isn’t spectacular, but it is consistent. That’s why I think income investors should have the stock on their radars.
In many ways, AEW REIT (LSE:AEWU) is the polar opposite of Primary Health Properties. Instead of stability, it looks for opportunities.
The firm focuses on leases that are close to expiry. This is a high-risk strategy – no REIT wants vacant properties.
That’s a danger when contracts start to run down. But AEW aims to limit this danger by focusing on areas with limited supply.
This means tenants have limited alternatives. And by targeting properties where it can add value, re-leasing becomes a chance to increase rents.
With this type of strategy, managing debt levels is extremely important. But this is something the firm does very well.
Source: Fiscal.ai
A 7.55% dividend yield means AEW shares are worth considering. And the stock could add an interesting dimension to a passive income portfolio.
Different investors – rightly – have different ambitions. My own focus is on looking for companies that can reinvest and compound their earnings.
This is a real challenge for REITs that have to distribute their income as dividends. For passive income, however, they can be a great choice.
REITs have a lot in common, but they aren’t all the same. But with Primary Health Properties and AEW, there might be something worth considering for everyone.
NextEnergy Solar Fund Limited
(“NESF” or “the Company”)
Unaudited Quarterly Net Asset Value & Operational Update
NextEnergy Solar Fund, a specialist investor in solar energy and energy storage, announces it has today published its unaudited Q4 Net Asset Value (“NAV”) and Operational Update for the three-month period ended 31 March 2026.
Tony Quinlan, Chair of NextEnergy Solar Fund Limited, commented:
“This has been a very difficult period for the sector, NESF and for our shareholders. The wider renewables backdrop has been uncertain, and recent government consultations and announcements have not helped to provide the clarity the sector needs and therefore had a detrimental effect on the Company’s Net Asset Value.
“We announced in March a strategic reset. To re-base the dividend policy at a sustainable but still healthy level, reduce gearing and reinvest a modest level of incremental capital into the existing portfolio, including complementary battery storage. We believe this will, over time, strengthen NESF and deliver long-term growth, unlocking opportunities within the asset base, over and above current cash flow forecasts.
Today’s NAV is a technical measure, taken at a point in time, but certainly not reflecting the substantial upside optionality inherent in the portfolio.”
Dividend update:
Total dividends declared of 8.43p per Ordinary Share for the twelve months ended 31 March 2026 (31 March 2025: 8.43p). Dividend cover for the twelve months ended 31 March 2026 was 1.2x (31 March 2025: 1.1x).
Following the completion of the target dividend of 8.43p for the financial year ended 31 March 2026, the Company has transitioned from a progressive dividend policy to a percentage-based dividend policy, targeting a 75% distribution of operating free cash flows, post debt servicing and portfolio and fund operating expenses.
The estimated dividend guidance range for the financial year ending 31 March 2027 is between 4.5p – 5.1p per Ordinary Share, subject to portfolio performance, which is above the estimated range previously presented during the strategic reset in March. This guidance is the equivalent to a dividend yield range of c.9% – c.11% as at 2 June 2026.
Guidance is still above the current income for the SNOWBALL of 7%, so still a hold whilst the dividends are paid.
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