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<< Return to Part lll

Below is a list of five closed-end funds (CEF) that yield over 10% and are currently trading at a 2% to 5% discount to their respective net asset value (NAV):

1. ING Risk Managed Natural Resources Fund (NYSE:IRR) is currently trading at $11.46, a 4.74% discount to its net asset value of $12.03. The fund uses covered call and options strategies and focuses on investment in equities securities of energy, natural resources, and basic material industry companies. IRR offers an 11.52% annual distribution rate, with distributions occurring on a quarterly basis. It is worth noting that on January 16th, 2012, the fund decreased its distribution from $0.3630 to its current $0.3300.

(Click charts to enlarge)

2. NFJ Dividend Interest & Premium Strategy Fund (NYSE:NFJ) is currently trading at $17.02, a 3.79% discount to its net asset value of $17.69. The fund uses covered call and options strategies, seeking income through investments in dividend-paying common stocks and income producing convertible securities. NFJ offers a 10.58% annual distribution rate, with distributions occurring on a quarterly basis.

3. ING Global Equity Dividend & Premium Opportunity Fund (NYSE:IGD) is currently trading at $9.24, a 3.45% discount to its net asset value of $9.57. The fund uses an options strategy and focuses on investments in global, dividend-paying common stocks. IGD offers a 12.08% annual distribution rate, with distributions occurring on a monthly basis. It is worth noting that on January 16th, 2012, the fund decreased its distribution from $0.1000 to its current $0.0930.

4. Wells Fargo Advantage Global Dividend Opportunity Fund (NYSE:EOD) is currently trading at $8.21, a 2.96% discount to its net asset value of $8.46. The fund uses an options strategy and focuses on investments in common stocks of global companies, preferred stocks, convertible preferred stocks, and convertible debt. EOD offers a 13.64% annual distribution rate, with distributions occurring on a quarterly basis.

5. ING Emerging Markets High Dividend Equity Fund Common Shares of Beneficial Interest (NYSE:IHD) is currently trading at $14.79, a 2.50% discount to its net asset value of $15.17. The fund focuses on investments in equity securities, primarily of issuers in emerging markets. IHD offers a 10.82% annual distribution rate, with distributions occurring on a quarterly basis.

Continue to Part V

Disclaimer: The funds listed above are offered as speculation only. It is assumed that investors perform thorough research before entering any position mentioned in this publication. Information and charts from finviz.com and cefconnect.com.

Source: 24 CEFs Yielding Over 10% Trading At A Discount To NAV: Part IV, 2% To 5% Discount