- JRI’s high yield is supported by an average coupon of 5.5 percent, and the returns of stocks from real assets related companies.
- High inflation, rising interest rates, and looming economic recession impacts real asset related stocks much less than traditional or high growth stocks.
- JRI has a high expense ratio of 1.82 percent, and its bond portfolio is quite risky, as all those bonds are of low or below investment grade.
- JRI failed to generate positive price growth throughout its existence, and is currently trading at almost 12 percent discount to its NAV.
For further details see:
JRI: A Strong Yield, High Risk Closed-End Balanced Mutual Fund