Volatile Markets Create Exceptional Income Opportunities

The headlines today read like a carousel of crises: war escalating in the Middle East, oil markets bracing for disruption, inflation proving stubborn, and interest rate uncertainty holding markets hostage. Analysts debate endlessly about what will happen next, but beneath all the noise lies one truth – no one really knows.

On the other side, you have software stocks plunging, with investors suddenly questioning their sticky business models against the “existential threat” posed by AI. The reality is that not every SaaS company is going to collapse. Some will harness AI and thrive; others will quietly disappear. You can take your guess… but that’s exactly the problem.

If investing feels like gambling, where every decision relies on predictions, possibilities, or tomorrow’s headlines, then you are doing it wrong.

At High Dividend Opportunities, we prefer a calmer, far more dependable path. We watch global events unfold from a distance while collecting steady paychecks from a portfolio built on durable  cash flows. Our strategy isn’t anchored on ifs, maybes, or market folklore. It’s anchored on income, reliability, and long-term discipline.

In that spirit, we will quickly discuss our top picks to use uncertainty and volatility to our advantage.

Pick #1: PFFA – Yield 10.1%

The Federal Reserve held interest rates steady, and provided a weak outlook for rate cuts in 2026. It makes sense, when oil prices shoot up 50% within hours, and evolving tariffs in the picture, there is no certainty around how the inflation data will look like in 2026.

Virtus InfraCap U.S. Preferred Stock ETF (PFFA) is an actively managed ETF that focuses on publicly traded preferreds securities. This asset class tends to remain stable against most market elements that impact common equity, except interest rates. Higher rates make preferreds less appealing, despite limited changes to their income. PFFA has 197 holdings, and maintains a steady track record of monthly distributions and solid outperformance against high yielding counterparts, since its inception in 2019

In the past five years, PFFA has delivered five distribution raises, despite rising and dropping interest rates. The ETF’s $0.17/share monthly payout calculates to a 10.1% annualized yield

Pick #2: AGNC – Yield 14.4%

My My, what a drop! That is an investment-grade “AAA” bond backed by pools of fixed-rate residential mortgages guaranteed by Federal agencies like Fannie Mae or Freddie Mac. These are some of the highest quality securities on earth, and they plunged last week, as the market began to fear rate hikes.

AGNC Investment Corporation (AGNC) is a mortgage REIT that uses leverage to invest in this high quality asset class, with the leverage being the cause for its volatility. AGNC has to play the delicate balance between Average Asset Yield and the Average Interest Cost, which is its Net Interest Spread.

A drop in the Agency MBS prices causes AGNC to take a hit on its book value, but asset yield and the leverage cost don’t change. This means, the fear-induced sell-off in the UMBS doesn't change the AGNC’s earnings. In fact, the mREIT can take advantage and increase leverage to buy more at a discount. AGNC’s $0.12/share monthly dividend calculates to a 14.4% annualized yield.

Conclusion

At High Dividend Opportunities, our mission is simple: help investors build portfolios that pay them, not someday, but today. We focus on high-yield, sustainable income opportunities that continue delivering regardless of what the headlines scream.

If you’re tired of chasing predictions, timing the market, or worrying about every geopolitical flare-up, it may be time to join a community that prioritizes cash flow, stability, and intelligent income investing. Our model portfolio, actionable research, and dedicated support are designed to help you earn more, worry less, and stay focused on what truly matters.