Today, I want to share with you what has been a successful tactic that I have used to assist in diversifying the Protected Principal Retirement Portfolio (PPRP). The inclusion of closed-end funds (CEFs) affords the opportunity to include a range of stocks that I otherwise would not be able to purchase individually.
First, I would like to provide some background as to what exactly a CEF is; then explain why I prefer them to mutual funds, ETFs, or, in some cases, individual stocks; discuss basic CEF research techniques; and expound upon both the general and