Income-Focused Mutual Funds

These mutual funds focus on generating income through dividends or interest. BlackRock Multi-Sector Income Trust (BIT) is a mutual fund known for its diversified portfolio and high yield. BIT invests in a variety of income-generating assets, including corporate bonds, mortgage-backed securities, and foreign debt, providing investors with a high level of income and diversification.

Preferred Stock ETFs

Preferred stocks are a type of equity that has a higher claim on dividends than common stocks. Global X U.S. Preferred ETF (PFFD) is a preferred stock ETF known for its high yield. PFFD invests in a diversified portfolio of preferred stocks, providing investors with a high level of income and lower volatility compared to common stocks.

High-Yield Bonds

These are bonds issued by companies with lower credit ratings. They offer higher yields to compensate for the additional risk. GraniteShares HIPS US High Income ETF (HIPS) is an ETF that invests in high-yield bonds and other high-income securities. HIPS offers a high level of income, but investors should be aware of the higher risk associated with these types of investments.