BIZD, CEFS, and CLOZ are three income ETFs offering investors strong, above-average yields, in the 8.4%-10.5% range. BIZD has the highest yield but is quite risky. CLOZ has the lowest yield, with low realized volatility, but some liquidity risks. CEFS is somewhere in between. All are strong, albeit somewhat risky, choices.
Investing in BDCs can improve long-term returns, outperforming the broader market index in both bullish and bearish conditions. Fitch's outlook for BDCs is deteriorating due to increased competition and potential decline in asset quality, but BDCs are likely to exceed expectations. BDCs are well-positioned to capitalize on the growth potential of the private credit market, with strong liquidity and impressive portfolio performance metrics.