Advent Convertible & Income Fund (AVK)
NYSE NYSE Primary 
AVK: Preserves Investor Capital And Maintains Consistent Dividends (Rating Upgrade)
Advent Convertible & Income Fund is upgraded to Buy, offering an 11.1% yield and trading at a 4.61% discount to NAV. AVK's hybrid strategy, with 48.7% in convertibles and 41% in high-yield securities, targets high income and capital preservation. Leverage remains high at 37.7%, but declining interest rates should reduce risk and improve operating spreads for AVK.
AVK: Leverage Needs To Be Reduced To Increase Appeal
AVK offers a high 11.5% yield and monthly payouts, appealing to income-focused investors seeking portfolio stability and diversification. Despite strong income and recovery, I remain concerned about dividend sustainability and aggressive leverage, especially in a high-interest rate environment. AVK trades near the high end of its historical NAV discount range, making the current entry less attractive for new investors.
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