Advisor: Let These Funds Pick Your Stocks
"Cherry-picking" time: That's what Bryan Perry likes about the three dividend-yielding, volatility-resistant funds he recommended to CNBC's Erin Burnett -- and the author of The 25% Cash Machine just might know what he's talking about.
Perry, also a contributing editor to ChangeWave Investing, cited The BlackRock Enhanced Fund as a "basket of some of my favorite names," including Apple, Google, Intel and Microsoft. Speaking on "Street Signs," he praised the crossover of "nice tech components, but also big caps," and said the fund's covered calls reap better than 10% yields.
The author lauded the S&P Covered Call Fund for "cherry-picking the best of" the S&P 500, giving investors a crack at value in giants like AT&T, Honeywell and The Walt Disney Co. The dividends are qualified, which he notes renders a "pretty nice" after-tax yield.
And for those who think good things come in smaller packages, Perry offers the Small Cap Premium & Dividend Income Fund. He believes the market will broaden out over the year, and says this fund will produce "a lot of bang-zoom if the market continues to work higher" -- drawing from companies such as Big Lots, Herman Miller and Veritas.