BlackRock Enhanced Equity Dividend Trust (BDJ)
NYSE NYSE Primary 
BDJ: Fairly Priced Near NAV, Making It A Hold
BlackRock Enhanced Equity Dividend Fund offers a high yield, blending dividend-paying stocks and a covered call strategy, making it attractive for income investors. The fund's historical distribution trend is upward but not steep, with a yield on cost of about 7% or higher over the past decade. BDJ's portfolio focuses on established large caps, particularly in financials and health care, ensuring steady income and modest growth.
11 Closed-End Fund Buys In The Month Of November 2024
This month, I've added to 11 different positions, but most of these were related to repurchases after the BlackRock tender offers. While I added to 11 different positions, these were all positions I had already held previously, so there were no new positions this month. In fact, I sold out of a fund to consolidate my holdings and reduce the number of funds held, as I did last month as well.
BDJ: Positive Outlook With Reliable Distributions
BlackRock Enhanced Equity Dividend Fund (BDJ) offers a solid 7.8% dividend yield and distributions are paid out on a monthly basis. The fund's strategy involves exposure to dividend paying large-cap stocks and implementing some option writing. BDJ is currently trading at an attractive 8.3% discount to NAV, with potential benefits from recent and anticipated interest rate cuts.
BDJ: Attractive Monthly Distribution, Remains A 'Buy'
BlackRock Enhanced Equity Dividend Fund (BDJ) provides exposure to a value-oriented portfolio while employing a covered call strategy. BDJ's portfolio has been performing better as more value-oriented sectors get some attention with rate cuts expected to be coming soon. The fund offers a 7.81% distribution yield, with a monthly distribution that's been stable or growing since 2014.
BDJ CEF: Secure High-Yields Without Chasing Yields
The BlackRock Enhanced Equity Dividend Fund leverages factor investing and options strategies to mitigate price volatility while providing substantial income through dividends and option premiums. BDJ's partial hedging and high-quality stock selection aim to balance capital appreciation with risk management, making it attractive in a low-interest-rate environment. Despite risks like negative skewness and excess kurtosis, BDJ's historical performance and respectable fees support its potential for solid income-based returns.
BDJ And SPE: Double Digit Discounts And Monthly Distributions
Investing in closed-end funds offers opportunities to exploit discounts and premiums, potentially leading to increased upside. BlackRock Enhanced Equity Dividend Fund and Special Opportunities Fund are currently trading at large double-digit discounts, and that can make them compelling investment options. Both funds offer monthly distributions to investors as well, which can make it easier to be patient in holding these funds over the long term.
BDJ: Growing NAV And Trades At Discount But Has A Few Caveats
BlackRock Enhanced Equity Dividend Trust is a closed-end fund that aims to generate cash flows to support current income through dividend-paying stocks and option strategies. BDJ offers a current dividend yield of 8.7% and monthly distributions, making it attractive for investors seeking income in retirement. However, BDJ lacks exposure to the technology sector, which has limited its potential for capital appreciation compared to funds like BlackRock Science and Technology Trust (BST).
