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The market correction over the last couple of weeks is providing great opportunities to pick up very cheap, high-yielding stocks. With interest rates likely to remain low for at least the next couple of years, we could quickly see renewed interest in high yield investments once market volatility stabilizes and stocks rebound.
The stocks below provide exceptional yields. In particular, there is a current opportunity to buy the Wells Fargo Advantage Income Fund (NYSEMKT:EAD) below net asset value and collect a yield of 11%. This fund historically trades at a premium and is likely to rebound soon. Here are the stocks to consider for high yields:
Annaly Capital Management, Inc., (NYSE:NLY) is a mortgage real estate investment trust (REIT) company, based in New York. Annaly pays a dividend of about $2.60 annually which is equivalent to a yield of around 14%. This dividend is so generous, it makes sense to have at least some money invested here.

Here are some key points for NLY:
  • Current share price: $17.53
  • The 52 week range is $14.05 to $18.79.
  • Earnings estimates for 2011: $2.53 per share
  • Earnings estimates for 2012: $2.38 per share
  • Annual dividend: $2.60 per share which yields 14.9%
Wells Fargo Advantage Income Fund (EAD) is a closed end, fixed income fund that invests primarily in high yield bonds. This fund has historically traded at a premium to net asset value, however, it is now trading for a discount due to the recent market correction. Smart investors have an opportunity to buy below the net asset value which is currently about $9.65 and receive a monthly dividend which yield about 11%. Plus, investors who hold this fund are likely to see it trade over net asset value in the coming weeks which would add to the gains here. Usually this fund trades for 2-3% over net asset value which would put the share price back around $10.00. Track the current net asset value each day here: www.etfconnect.com

Here are some key points for EAD:
  • Current share price: $9.23
  • The 52 week range is $8.20 to $10.72
  • Earnings estimates for 2011: n/a
  • Earnings estimates for 2012: n/a
  • Annual dividend: about 96 cents per share which yields around 11%. This dividend payment is about 8 cents and is paid monthly.
Chimera Investment Corporation (NYSE:CIM) is a real estate investment trust (REIT) that invests in residential mortgage-backed securities, and both commercial and residential mortgage loans. With a 16% yield and a share price below book value, this looks like a great buying opportunity.

Here are some key points for CIM:
  • Current share price: $3.01
  • The 52 week range is $2.62 to $4.36
  • Earnings estimates for 2011: 60 cents per share
  • Earnings estimates for 2012: 59 cents per share
  • Annual dividend: 52 cents per share which yields 17%
  • Book value: $3.45 per share
iShares FTSE NAREIT Mortgage REIT (NYSEARCA:REM) is an exchange trade fund (ETF) that invests in a number of mortgage real estate investment trusts. This allows investors to have diversification across a number of holdings in this fund which include: Annaly Capital (NLY), American Capital Agency (NASDAQ:AGNC), Chimera Investment (CIM), MFA Financial (NYSE:MFA) and others.

Here are some key points for REM:
  • Current share price: $13.54
  • The 52 week range is $12.54 to $16.07
  • Earnings estimates for 2011: n/a
  • Earnings estimates for 2012: n/a
  • Annual dividend: about $1.50 per share which yields over 10%
American Capital Agency (AGNC), is a real estate investment trust (REIT) that invests in residential mortgage-backed securities, and both commercial and residential mortgage loans.

Here are some key points for AGNC:
  • Current share price: $28.80
  • The 52 week range is $22.03 to $30.76
  • Earnings estimates for 2011: n/a
  • Earnings estimates for 2012: n/a
  • Annual dividend: $5.60 per share which yields 18%
  • Book value: $26.76 per share
Data is sourced from Yahoo Finance. No guarantees or representations are made. Hawkinvest is not a registered investment advisor and does not provide specific investment advice. The information is for informational purposes only. You should always consult a financial advisor.

Disclosure: I am long EAD, CIM.
Source: 5 Beaten Up Dividend Stocks With Yields Over 10%