JXI - BUI: A Utilities Fund Positioned To Profit Off Of Renewables Growth
For many years now, utilities have been a popular holding among retirees. This is due to the fact that these are generally considered to be very stable companies as they are often monopolies providing a necessary service to people living in an area. As a general rule, the customers of the utility will prioritize paying for these services over most other things when money is tight, allowing them to deliver steady performance over the entire economic cycle.
As most utilities also have relatively limited growth potential, they have historically returned much of their cash flow