Reaves Utility Income Fund

W.H. Reaves & Company, Inc. (dba Reaves Asset Management) - Investment Management An investment advisor specializing in utilities and energy infrastructure, founded in 1961 Approximately $2.7 billion in total assets under management (as of 09/30/2016) 37-year track record for institutional clients Portfolio managers are supported by a highly experienced management team Research team averages over 20 years of industry experience Philosophy Reaves Asset Management believes that an information advantage can be created when experience analysts focus their fundamental, quantitative and qualitative, bottom-up research within the utility sector. Furthermore, the identification of utility companies that are disciplined enough to supply growing dividend income to their shareholders is a key component in the management process.

Cohen & Steers Infrastructure Fund Inc

The utility sector was under pressure due to the higher rate environment but is an area that looks particularly attractive moving forward. Cohen & Steers Infrastructure Fund and Reaves Utility Income Trust invest not only in the utility sector, but general infrastructure-related investments more broadly. Both funds deliver attractive monthly distributions to investors of over 8% since they've been depressed with the higher rate environment.

UTF And UTG: Solid Long-Term Infrastructure CEFs

Reaves Utility Income Trust is a Utility sector-specific closed-end fund that invests in a fairly diversified portfolio of common stocks of utilities and communication companies, as well as other income-generating companies. It currently provides a reasonable yield of 8.0% plus; however, it uses a moderate level of leverage, roughly 20% of total assets. Currently, shares are trading at a minimal premium of under 1%. UTG has a decent long-term record of over 20 years for a Utility-focused fund. However, it has performed poorly recently, which is in line with the performance of the utility sector. Going forward, there are certain tailwinds that should help utilities in general.

UTG: Utility Fund With 8% Plus Income For The Long Term

American Electric Power Company

Dominion Energy

DNP Select Income Fund Inc

Be honest. I won't be mad, but just admit it.

Don't Settle: 5 Big Dividends With 24% Upside For Rest Of 2024

Reaves Utility Income Trust investors have endured a challenging two years. Fed Chair Jerome Powell's recent congressional testimony suggests the worst is likely over. UTG's recovery momentum has been robust. The Fed's rate cuts could fuel UTG to rally further.

UTG: Fed Just Provided More Fuel To Its Rally

DENVER, CO / ACCESSWIRE / July 9, 2024 / Reaves Utility Income Fund (NYSE American:UTG) announced today the next three, monthly, distributions at a rate of $0.19 per common share per month, unchanged from the per share rate paid for the previous quarter. As of July 2, 2024, the Fund's market price was $27.16 per share and its net asset value was $26.86 per share.

Reaves Utility Income Fund Announces Regular Monthly Distributions 0f $0.19 Per Share

The utility sector has continued to face pressure with a higher rate environment still, but there has been a bit more promise lately with the sector rising. Reaves Utility Income Trust is a solid closed-end fund in the utility space with a history of raising distributions. UTG's distribution yield is currently at 8.32%, which I believe is attractive and sustainable.

UTG: A Monthly Distribution While Waiting For Continued Recovery

When it comes right down to it, there are really only two ways to get rich:

This 8.1% Payer Is The ‘Morning Coffee' Of Dividends

UTG is starting to perk up, having had a rough couple of years as interest rates rose. Higher interest rates are likely to be included in utility rate bases going forward. Better yet, industry experts are pointing to the huge impact AI will have on demand for electrical power.

Artificial Intelligence And Utilities, Whoda Thunk? Likely Beneficiary: UTG

Enbridge

Enterprise Products Partners

Energy Transfer LP Unit

JPMorgan Equity Premium Income ETF

JPMorgan Nasdaq Equity Premium Income ETF

MPLX

PIMCO Dynamic Income Fund

Cohen & Steers Quality Income Realty Fund

Schwab US Dividend Equity ETF

Closed-end funds, or CEFs, offer numerous advantages for income-focused investors. However, they face a significantly heightened risk level due to recent events. We discuss these risks and suggest alternatives that investors can pursue to protect their passive income streams.

An Important Warning For CEF Investors

Leading billionaire investors are pouring billions of dollars into the infrastructure sector. There are many other tailwinds for the sector. We compare UTG and UTF to see which is the better buy today.

Billionaires Are Buying Infrastructure Hand-Over-Fist: UTG Vs. UTF

Blackrock Health Sciences Trust

Gabelli Global Utility & Income Trust

Guggenheim Strategic Opportunities Fund

Gabelli Utility Trust

Leggett & Platt

PIMCO Corporate & Income Strategy Fund

Closed-end funds tend to cut their payouts over time due to negative consequences of leverage during market crashes, leading to potential permanent capital destruction. Today, we are looking to revisit the six funds that have inceptions prior to the 2008/09 Global Financial Crisis that have still never cut their regular distributions. A long history of no-cuts can be important for income-focused investors, but we also examine coverage and valuations to determine whether they are worth exploring further.

Closed-End Funds: 2024 Revisit Of Funds That Never Cut Distributions With Inception Pre-2008

It blows me away that folks still think high interest rates will be around forever. Truth is, rates are already starting to fall!

Interest Rate ‘Panic' Will Fuel This 8%+ Yielding CEF

Utilities sector has led all others in the past month and quarter, rising 9.78% and 17.33%, respectively. Reaves Utility Income Trust is a closed-end fund with significant exposure to utilities and a strong long-term track record. The UTG CEF pays monthly dividends with a yield of 8.21% and has a positive 5-year dividend growth rate.

UTG: 8% Yield On Outperforming Utilities - Peer Review

SPDR Gold Trust

Cohen And Steers Total Return Realty Fund

iShares 20+ Year Treasury Bond ETF

Vanguard Materials ETF

The SWAN (Sleep Well At Night) strategy aims to minimize volatility and draw-downs while achieving high-income and market-matching growth. The strategy consists of two buckets: a Funds-based High-Income Dividend bucket and a Hedging (Rotational) bucket. The Funds-based DGI bucket provides simplicity, diversification, and passive management, while the Rotational bucket offers growth and a built-in hedging mechanism to limit draw-downs.

How To Invest $100,000 In Today's Market With A SWAN Strategy, 6% Income

Blackstone Strategic Credit Fund

DoubleLine Income Solutions Fund

Deutsche Telekom AG

Franklin Limited Duration Income Trust

NiSource

RiverNorth Managed Duration Municipal Income Fund Inc

Smart Investors Are Quietly Loading Up on These “Dividend Legends” (Sponsored) If you want your portfolio to pay you cash like clockwork, it's time to stop blindly following conventional wisdom like relying on Dividend Aristocrats.

Want $500 Per Month In Passive Income? Invest In These Stocks

The utilities sector has underperformed the market due to rising interest rates, but high dividend income can offset underperformance. Reaves Utility Income Trust (UTG) sits at a slight discount to NAV. In addition, the fund's tax advantaged distribution makes it attractive for income investors. UTG's fund strategy focuses on dividend-paying stocks in the utilities sector, with a diverse breakdown of holdings.

UTG: Collecting A High Yield From Utilities Slump

Flaherty & Crumrine Dynamic Preferred & Income Fund

Interest rate changes are part of the economic cycle; we choose to get paid handsomely through the drama. Certain sectors benefit big from rate cuts, and pay rich income through the waiting process. We discuss two quality CEFs offering +7% yields to enrich our retirement income.

2 Dividends Set To Soar When The Fed Cuts Rates

Reaves Utility Income Trust has outperformed Cohen & Steers Infrastructure Fund since our last article. The alpha capturing opportunity has been realized quicker than anticipated, with a 12.43% alpha captured in less than 4 months. We tell you why it is a great time to exit UTF.

UTF Vs UTG: Great Time To Close Out

Alerian MLP ETF

Ares Capital

VanEck Vectors BDC Income ETF

iShares International Select Dividend ETF

Realty Income Corp

Virtus InfraCap U.S. Preferred Stock ETF

Neos S&P 500 High Income ETF

Vanguard Dividend Appreciation ETF

Vanguard Real Estate ETF

Utilities Select Sector SPDR Fund

There are many compelling benefits to investing in dividend ETFs and CEFs. However, there are several key differences between investing in dividend ETFs and CEFs and buying individual dividend stocks that I wish I had known before investing. We discuss why we favor investing in individual dividend stocks over buying dividend ETFs and CEFs and also share the best kinds of stocks for implementing our strategy.

What I Wish I Knew About Dividend Stocks Before Buying ETFs And CEFs

Brookfield Renewable Partners

Brookfield Infrastructure Partners L.P.

Brookfield Infrastructure

Blackstone Secured Lending Fund

iShares Core Dividend Growth ETF

Neuberger Berman MLP Income Fund, Inc.

Vanguard High Dividend Yield ETF

Investing in high-yield, low-risk dividend stocks can generate dependable passive income while preserving and even growing principal over time. We discuss the non-negotiable bedrock principles for success in high-yield investing. We also share numerous high-yielding, low-risk dividend stocks and funds that we think fit in well with this approach.

Strategies For Building A High-Yield, Low-Risk Dividend Portfolio

British American Tobacco

Altria

Verizon

Minneapolis Federal Reserve Bank President's comments spooked markets, but they rebounded by the end of the week.

Dividend Harvesting Portfolio Week 162: $16,200 Allocated, $1,450.45 In Projected Dividends

Monthly dividends are popular for income investors, providing regular cash flow and easier budgeting. Investing in monthly paying high-yielding closed-end funds offers diversification, leverage, and professional management. We detail four CEFs that offer attractive monthly dividends and meaningful upside potential in April 2024.

8-10% Yields: 4 Monthly Dividend CEFs To Buy In April 2024

Leveraged income funds like Reaves Utility Income Trust have been negatively impacted by inflation and rising rates. UTG has consistently struggled over the last three years, offering investors minimal returns compared to peers. The utility industry outlook remains poor, and the fund's reliance on long-term capital gains and high leverage costs hinder its ability to provide substantial income or returns.

UTG: Recent Fed Decisions Highlight Why This Fund's Strategy Isn't Working

BlackRock Science & Technology

Kraft Heinz

US consumer spending increased by 0.8% MoM in February, the largest gain since January 2023.

Dividend Harvesting Portfolio Week 161: $16,100 Allocated, $1,430.49 In Projected Dividends

Reaves Utility Income Trust is a stable income investment that focuses on the regulated utility industry. UTG shares have remained relatively flat but have acted as a proxy for fixed-income investments due to their distributed income. I believe that UTG will benefit from a lower rate environment and I am bullish on its potential for income investors.

News for Reaves Utility Income Fund ETF (UTG)