Latest Articles

  December 2014December Issue PDF

Profiting from the Temporary Oil Patch Slump
By Stephen Leeb, PhD

In our December issue of Leeb Income Millionaire, we provide subscribers with some new ways to profit from both the downturn in oil prices as well as the marked decline in virtually all shares within the energy patch.

In the same vein, we realign our Oil and Energy Portfolio to better suit new market conditions; we also include an in-depth discussion of an existing Oil and Energy position.

Additionally we review a solid performer in our High-Yield Stocks portfolio that benefits from consumer sector growth in Canada. Finally, we also discuss a preferred position in our Closed-End Funds that has continued to serve us well. Read more

  November 2014November Issue PDF

Energy Sector Pangs and Prospects
By Stephen Leeb, PhD

In our November issue of Leeb Income Millionaire, we provide subscribers with a discussion on the overall economic implications of lower oil prices and their current and future effect on our portfolio recommendations in the energy patch. We also note that dividends and distributions on our energy partnerships and energy-related stocks, on average, have increased during the last 12 months.

Additionally we review a recommendation in our High-Yield Stocks portfolio that benefits from alternative power segments as well as water scarcity, at least indirectly. In the same vein, we introduce a new position into the High-Yield Stocks portfolio that likewise profits from water scarcity and the production of alternative sources of power.

We also discuss a High-Yield position that has announced plans to a novel way to restructure its business, a development that we like and believe will ultimately prove a winner for current shareholders.

As specifically regards our Closed-End Funds and MLPs and Infrastructure portfolios, we will review an existing fund that has served us quite well, and several master limited partnerships. Read more

  October 2014October Issue PDF

Four Holdings Reviewed, One Sold
By Stephen Leeb, PhD

In the tenth issue of Leeb Income Millionaire Volume 2, we make several astute observations about the current state of the stock market and what it would take (and has taken in the past) to induce a sharp correction. Don't worry, if we see signs of that, we will give you ample warning.

We recommend selling one stock in our High-Yield Stocks portfolio, a security that we still like but that will face headwinds for the next few years, and review two other high-yield holdings, including one that has returned, year-to-date, more than 30 percent. We still like both of these, along with a partnership that has not performed well, but still has very bright future prospects.

Additionally we will review one of our existing Closed-End Funds, and a high yielder capitalizing on the health-food craze, both of which we continue to recommend to our income-oriented readers. Read more

  September 2014September Issue PDF

Two New Recommendations, a Review and a New Profile
By Stephen Leeb, PhD

In the ninth issue of Leeb Income Millionaire Volume 2, we review two positions in three of our diversified high-yielding portfolios. We also introduce two new positions this issue.

First, in this issue we introduce to our High-Yield Stocks portfolio a new limited partnership that provides high income and capital appreciation potential from a unique corner of the money management business.

In High-Yield Stocks, we also discuss a company that relates to telecommunications and recently announced a novel transaction that over time should increase its dividend distribution and earnings potential.

Thirdly, in Closed-End Funds, we recommend another new position from a firm that provides income from its exploitation of conservative administration of a managed dividend policy.

Finally, we review a Canadian oil producer that is among the best in its universe. Read more

  August 2014August Issue PDF

A New Recommendation, Cautionary Note and Two Reviews
By Stephen Leeb, PhD

In the eighth issue of Leeb Income Millionaire Volume 2, we review several positions in three of our diversified high-yielding portfolios. We also introduce another new position this issue.

First, in this issue we introduce to our MLPs and Infrastructure portfolio a new limited partnership that provides gas services such as gathering, processing, and transportation in a few of the country’s sweet spots.

In High-Yield Stocks, we discuss a company that similarly relates to power, utilities, transportation and partnerships and looks on track to maintain its high dividends.

Thirdly, we take this opportunity to warn readers of a few potential glitches in one market segment we watch—around which we have intentionally steered a wide berth.

Finally, we review an upstream master limited partnership that trades at a discount to most of its peers despite above-average margins and good production growth potential. Read more

  July 2014July Issue PDF

Four High-Yielding Equities
By Stephen Leeb, PhD

In the seventh issue of Leeb Income Millionaire Volume 2, we review four positions in three of our diversified high-yielding portfolios. These include two new positions this issue.

First, in this issue we introduce in our High-Yield Stocks portfolio a new financial high-yield company we recently discovered, that targets the kind of outfits that best create jobs in the U.S. It promises good returns and future growth for some time to come.

Also in High-Yield Stocks, we review a specialty finance company that promises to do well in this interest rate environment.

Thirdly, we introduce yet another holding with a diversified portfolio that works with adjustable rates, all to the advantage of its own high-yield investors.

Finally, we review a master limited partnership we believe certain to profit from the increasing importance of new drilling frontiers to meet the world's energy needs. Read more

  July 2014July Issue PDF

Four High-Yielding Equities
By Stephen Leeb, PhD

In the seventh issue of Leeb Income Millionaire Volume 2, we review four positions in three of our diversified high-yielding portfolios. These include two new positions this issue.

First, in this issue we introduce in our High-Yield Stocks portfolio a new financial high-yield company we recently discovered, that targets the kind of outfits that best create jobs in the U.S. It promises good returns and future growth for some time to come.

Also in High-Yield Stocks, we review a specialty finance company that promises to do well in this interest rate environment.

Thirdly, we introduce yet another holding with a diversified portfolio that works with adjustable rates, all to the advantage of its own high-yield investors.

Finally, we review a master limited partnership we believe certain to profit from the increasing importance of new drilling frontiers to meet the world's energy needs. Read more

  June 2014June Issue PDF

Seven High-Yielding Equities
By Stephen Leeb, PhD

In the sixth issue of Leeb Income Millionaire Volume 2, we review seven positions in all four of our diversified high-yielding portfolios. One position we introduce in this issue. A second, we exit. The six positions we add or retain all offer high returns consistent with our mission.

First, in this issue we introduce a high-yield partnership we recently discovered, works in an important area critical to our nation’s energy profile. It promises good returns and future growth for some time to come.

In our High-Yield Stocks portfolio, we review a telecommunications play whose management has stabilized its strategy and secured its dividend and explain our earlier exit from a highly profitable pharmaceutical selection.

Thirdly, we outline two positions that stand to benefit, via diversified portfolios of their own, from the low-inflation, low interest rate environment.

Finally, we review developments at two partnerships in our portfolio since our inaugural issue last fall, and part company with an energy play whose fundamentals have grown too risky for our taste. Read more

  May 2014May Issue PDF

Five High-Yielding Equities
By Stephen Leeb, PhD

In the fifth issue of Leeb Income Millionaire Volume 2, we review six positions in three of our four diversified high-yielding portfolios. Two of these we introduce in this issue. To a third we bid goodbye. The five positions we add or retain all offer high returns consistent with our mission.

First, in this issue we introduce a high-yield stock we recently discovered, also favored and recently acquired by, it turns out, a very successful hedge fund manager. It promises good returns and future growth for some time to come.

Also in our High-Yield Stocks portfolio, we review a pharmaceutical company and a telecommunications corporation and dispose of a utility.

Thirdly, we outline a new recommendation designed to benefit from high-yielding utilities in the U.S. and worldwide.

Finally, we highlight a partnership poised to profit from oil and gas production. Read more

  April 2014April Issue PDF

Five High-Yielding Equities
By Stephen Leeb, PhD

In the fourth issue of Leeb Income Millionaire Volume 2, we review five positions in three of our four diversified high-yielding portfolios. Two are new this issue with details on another added via Instant Alert on March 12. All offer high returns consistent with our mission. All three offer solid growth potential as well.

First, in this issue we introduce a new form of high-yield equity, and a company deriving its payouts mostly from renewable energy and water markets.

In our High-Yield Stocks portfolio, we review a pharmaceutical company with much future promise.

Thirdly, we outline a new recommendation structured specifically to produce tax-advantaged yields, that is, payouts taxed at the lower U.S. rate applied to qualified dividends.

Finally, we highlight two partnerships poised to profit from oil and gas production. The first, an oil and gas producer newly recommended since the last issue is like other plays introduced in the past, held by some extremely successful long-term institutional investors. It should profit from rising gas prices and expanding production. The second, a longstanding position, also foresees a production increase and payouts very likely to rise. Read more

  March 2014March Issue PDF

Five High Yielding Equities 10 percent-plus
By Stephen Leeb, PhD

In the third issue of Leeb Income Millionaire Volume 2, we review five positions in three of our four diversified high-yielding portfolios. One is new this issue and is geared to profit from high-yield corporate debt. Two others have struggled but look ripe for big gains.

First, in the issue introduction, we review a natural gas storage play poised to profit from gas spreads.

In our High-Yield Equities portfolio, we discuss a utility facing challenges.

Thirdly, we discuss a new position likely to profit from lower rated income securities. The company provides shareholders with current income while mitigating the risk of owning lower-rated fixed income securities through diversification.

Finally, we highlight two positions that can profit from increasing prices in the energy patch. The first of these, an oil and gas producer, is held by some extremely successful long-term private equity investors, among the world’s best. This play could well profit from rising gas prices and volatility in the field. The second, a deepwater driller, stands to gain from renewed oil and gas drilling.
Read more

  February 2014February Issue PDF

Four High Yielding Equities 12 percent-plus
By Stephen Leeb, PhD

In the second issue of Leeb Income Millionaire Volume 2, we review four positions in three of our four diversified high-yielding portfolios. One was introduced in an Instant Alert in mid-December and is geared to profit from the U.S. natural gas boom and one is a brand new position, discussed for the first time in this issue.

First, in the High-Yield Equities portfolio, we explain a Canadian company likely to profit from rising global demand for food.

Second, we introduce a new equity geared to help small investors diversify their partnerships holdings in the energy patch, without the hassle of owning multiple positions. Here, as usual, we hope to help readers improve their returns and reduce risk. Plus, this particular offering comes with the advantage of decreasing the difficulty of tax filing complications come next April and tax time.

Finally, we highlight one energy issue introduced to readers last year that also just happens to be owned by some of the most successful long-term private investors anywhere. And as if there were not enticement enough, it’s managed by one of the energy industry’s hottest hands. We explain, as well, the advantages of another position geared to benefit from the richest natural gas fields in the U.S., first recommended in our inaugural issue last October. Read more

  January 2014January Issue PDF

Five Diverse Picks Yielding Up to 12 Percent-plus
By Stephen Leeb, PhD

In the first issue of Volume 2 of Leeb Income Millionaire, we review five positions in three of our four portfolios. One was first recommended in an Instant Alert last week. A second is a new position, this issue. Once again, we aim to help readers gain ground in today’s volatile market without much added risk.

We also rearrange the priority of our portfolios.

In our High Yield Equities, we discuss a recent addition tied to the housing industry, a key economic component of America’s recovery. Further we detail an equity formed as a business development company (“BDC”) arranged in part to achieve capital gains from its equity investments.

We also detail a high income play that makes investments across many service sectors worldwide, thereby producing a broad-based international source of income, including many blue-chip companies the world over.

In our partnerships positions, we recommend a new very high income security whose own diversified portfolio also provides a source of safe and growing income for readers. This, as a few new picks did last month, ranges outside of businesses exposed to commodity prices. It is in another field altogether, but provides many of the same tax and income benefits as those in the energy patch.

Finally, we review a position held since the launch of our service. Read more

  December 2013December Issue PDF

The Allure of Strong and Rising Payouts
By Stephen Leeb, PhD

Testifying recently before a congressional committee, Janet Yellen asserted that the job market and economy are performing “far short of their potential”—thereby telegraphing her plan, once head of the Fed, to hold the pedal to the metal on monetary policy. This great (and not unexpected) news reassured a wide swath of investors, boosted stocks and rekindled a lagging bond market. Even junk bonds have rallied to multiyear highs with yields from these usually dependable high-income generators falling to decade lows.

Income seekers, of course, must realize that decent yields from traditional sources like bonds and CDs will long remain a mirage on the ethereal horizon. For income today, the few remaining fertile fields to scour include high-yielding stocks, although investors cannot (and should not) just willy-nilly pick stocks and funds yielding the most. One needs a collection of high-yielders that also protect against a variety of risks and that, as a group, produce rising payouts.

The greatest risk facing the economy is deflation, and Yellen clearly understands that. In modern times, Japan suffered through deflation for more than a generation, from which it may only now be en route to a recovery. That provides a sobering enough picture of the potential deflationary toll.

Other risks include continued slow growth and inflation, and here Leeb Income Millionaire has you covered. The great majority of our high-yielding investments will continue to thrive even if growth remains slow. Read more

  November 2013November Issue PDF

Four Diverse Picks Yielding Up to 10 Percent-plus
By Stephen Leeb, PhD

In this issue, we detail four positions, one in each of our respective portfolios. All should help readers gain an extra edge in today’s market conditions without too much added risk.

In our Oil and Energy patch, we suggest a new coal producer, yielding more than 10 percent. A royalty trust structured as a Master Limited Partnership with extra tax advantages attending to the income, this outfit recently snapped up some new (and diversified) properties likely to boost income further.

We also detail a midstream natural gas transport and storage provider with ownership of and access to a large transport pipeline network likely to benefit as natural gas prices increase in the wake of the expected improvements in the European and Chinese economies, where gas is always imported, and always a lot more costly than in the U.S.

For readers who seek investments in businesses slightly less exposed to commodity prices while also poised to benefit from trends in consumer taste, we detail a solid company that profits from the widespread move toward more healthful diets and local food suppliers.

Last but not least, we investigate the advantages of one highly-focused specialty money manager, offering 30 years of expertise in a market normally difficult for the small to medium individual investor to research or access. Better still, we tell you how to join the ranks of those benefiting from their long-term success as this fund trades at a reasonable level relative to its net asset value. Read more

  October 2013October Issue PDF

Generous Dividends from A Perpetual Royal Legacy

By Stephen Leeb Ph.D.

History

By some measures, this extraordinary company can trace its roots back to 1670 and the rule of King Charles over England and much of North America. Charles granted royalty interests to various British companies to help them build businesses in big swaths land leased or granted by the crown, usually for finite durations. Companies received a fixed amount of time to develop their business, after which the land reverted to the crown.

But in 1670, King Charles made an exception in granting to Hudson’s Bay Company a perpetual royalty interest across a huge tract, some 1.5 million square miles encompassing the entire Hudson Bay watershed and nearly 40 percent of Canada. For as long as people walk the earth, Hudson Bay could collect royalties on activities on its royalty interest land, and develop prime locales to benefit the company alone. Read more

The Upstream MLP with a 10%+ Yield

By Kuen (Scott) Chan

One of our favorite MLPs, this upstream master limited partnership (MLP) is engaged in the acquisition, exploration and development of oil and gas properties in the U.S. As of yearend 2012, it had nearly 150 million oil-equivalent barrels (MMBoe) in proved reserves—reserves confidently expected to be profitably producible.

In recent years, management has focused on expanding exposure to higher-margin oil and NGLs. Since 2010, liquids (crude and NGL) have increased from just 35 percent of proved reserves to 53 percent at the end of the June 2013 quarter, driven by accretive acquisitions. Read more

High Income You Can Use

Canadian REITs

By Stephen Leeb Ph.D.

Most income investors well realize the advantages of owning REITs, or Real Estate Investment Trusts, as these often provide yields significantly higher than the market averages. Many investors, however, know little about a special subset in the category—Canadian REITs. Meanwhile, the huge demand for REITs resulted in their domination of Canada’s IPO market in 2012, although interest rate concerns largely dried up the flow of new Canadian REIT issues in 2013. Roughly 40 exist now, and all trade on Canadian exchanges. They still total less than half the 90 or so of their American counterparts. But a well-researched Canadian REIT selection or two could provide a good complement to the income portion of your portfolio. Read more

High Yields Where Few investors Look

By Gregory Dorsey

When assembling a portfolio, investors often overlook an important niche: closed-end mutual funds. These exchange-traded, actively managed funds have a lot to offer, however. In our inaugural issue of Leeb Income Millionaire, we want to introduce you to two such funds from a management company that specializes in income-oriented funds:… Read more