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16 High-Yielding Monthly Dividend Payers

What income investor doesn’t love the frequent payout and reliable cash flow that can come from owning monthly dividend stocks, trusts and other entities? The ability to offset predictable expenses such as mortgage payments and utility bills every month with income from dividends provides the ultimate convenience, timeliness and peace of mind.

And there are other advantages to owning monthly dividend stocks.

One plus: the accelerated compounding effect that results from more frequently reinvesting dividends over time. Over long periods, the incremental growth from monthly versus quarterly reinvesting can add up. Consider a stock purchased for $20 that yields 5%, pays quarterly dividends and grows the dividend 5% a year. Over the course of 20 years, the value of a 100-share investment would rise from $2,000 to $10,756 and produce 21.9% annual returns. That same investment, paying monthly dividends rather than quarterly, would rise in value to $11,015 over 20 years and generate 22.5% yearly returns.

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Another factor is the signaling power of monthly payout, which advertises the safety of the dividend. What company would commit to monthly payments if it lacked confidence in its ability to maintain and/or raise the dividend over time?

Lastly, because of more frequent distributions, many monthly dividend stocks can be less volatile than their quarterly paying counterparts.

Here are 16 monthly dividend stocks, trusts and even funds that offer not just generous yields, but relatively safe, reliable income.

SEE ALSO: 53 Best Dividend Stocks to Buy for the Long Haul

Data is as of Sept. 6, 2018. Dividend yields are calculated by annualizing the most recent quarterly payout and dividing by the share price.

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