How We’ll “Work” the Latest Bank Fiasco for Big Dividends (and Upside)

We’ve written before about the big disconnect between the rising stock market and (ridiculously!) negative media coverage we’ve seen over the last 16 months. Well, the media is at it again, this time with the whole First Republic Bank (FRC) fiasco. And we contrarians are going to keep using overtorqued coverage as our guide to grabbing big discounts and steady dividends in closed-end funds (CEFs) and other assets. Before we go too far, there are a couple things we need to keep in mind with this FRC mess: first, as was the case with other troubled banks, including SVB and Credit Suisse, a buyer (or the government) swooped in and managed the problem.… Read more