The Dreyfus High Yield Strategies Fund (DHF, Financial) has announced a monthly dividend of 2.35 cents per share. The dividend is payable on Oct. 26 with an ex-dividend date of Oct. 11.
The Fund is currently trading at $3.51 with a year-to-date return of 4.46%. For the one-year period it has a return of 2.63%. For the three-year period its return is -5.90%.
The Fund pays a steady monthly dividend. It has a trailing 12-month dividend yield of 8.72%. Its forward dividend yield is 8.03%. The Fund last decreased its dividend in August to its current rate from a previous rate of 2.6 cents.
The Dreyfus High Yield Strategies Fund primarily invests in fixed-income securities with high current income. The Fund also manages for capital appreciation. The majority of its portfolio is invested in high-yield bonds with below investment-grade credit quality. It may also invest up to 10% of the portfolio in floating rate loans.
The portfolio managers are optimistic that U.S. government reforms will help stimulate greater economic growth, higher corporate earnings and lower high-yield default rates. This outlook has led the managers to increase exposure to some higher-yielding assets including energy companies and bonds with B and CCC credit ratings.
As of June 30 the Fund had 216 holdings with 53.63% of the portfolio in B-rated investments.
As of July 31 the Fund’s top 10 holdings included the following:
The closed-end fund has 72.7 million shares outstanding with a market cap of $255.2 million.
Disclosure: I own Dreyfus High Yield Strategies Fund.
