Summary

• The S&P 500 now yields a record-low 1%, challenging dividend investors seeking quality high-yield opportunities.
• Traditional high-yield avenues like BDCs, discounted CEFs, and long-term treasuries present unattractive risk profiles in the current environment.
• Strong price appreciation in prior high-yield picks like Suncor nd Philip Morris has compressed yields, prompting profit-taking.
• Identifying undervalued, sustainable high-yield stocks is increasingly difficult as the market rerates former bargains.
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Introduction

Yesterday a headline caught my attention: "The S&P 500 yields 1%".

It turns out this is the lowest reading on record in the history of the S&P 500 (SPY).

For dividend investors, it has

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Analyst’s Disclosure: I/we have a beneficial long position in the shares of SU, PBR, SWDBY, LGGNY, PM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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