By: Dividend Sensei
The US market is melting up in an unjustified technicals-driven rally that’s likely to falter and fail in the coming months.
But globally, world-beating blue-chips still offer an incredible opportunity for very safe high-yield today and potentially Buffett-like returns in the coming years.
Currently, these two blule-chips are two of my favorite international high-yield recommendations. These A-rated high-yield blue-chips have some of the best long-term risk-management in their industries.
One is offering a very safe yield of almost 4% from one of Germany’s most dependable income payers, with 13% to 14% long-term return potential but 25% annually over the next few years.
The other is one of the few insurance giants not to cut its dividend in the Great Recession, offers a very safe 4.5% yield today, and management is guiding for 13.5% long-term return potential, similar to annual returns since 2000. In the short term, it could deliver Buffett-like annual returns of almost 20% CAGR, about 2.5X more than the S&P 500.