ETF for Income

I purchased a eft stock, PDI. I keep hearing both good and bad. My main interest is dividend income. What do you think of etf’s and Pimco’s PDI?

Terry Says:  I typically don’t give stock recommendations, and I don’t want to deviate.  However, if you go to Morningstar.com (even without being a member) you can research this ETF.  The Pimco Dynamic Income Fund rates 5 stars from Morningstar, and that’s a good place to start.  BUT, it does buy stocks and some debt, which means the price of the shares can go up and down, and despite the nice yield, the stock price can be volatile.  In the past year it has had a range of  $23.60 to $30.73.   And it has a rather high expense ratio of over 2 percent.  That’s what you pay to get this higher yield.   So remember as with all higher yielding investments you must be concerned not only with the return ON your money, but the return OF your money.