-
Posted by
Two Blokes Jul 26 -
Filed in
Stock
-
3 views
OCCI's high 23.3% yield is enticing, but persistent NAV declines and poor earnings signal increasing risk in the current high-rate environment. The fund's heavy exposure to below-investment-grade CLOs and reliance on costly preferred stock financing heighten vulnerability to defaults and further losses. Dividend coverage has weakened, and a cut appears likely if earnings don't improve, undermining the fund's core income appeal for investors.
