Is there anything that is SAFE that pays a guaranteed 6%?

Question

Is there anything that is SAFE that pays a guaranteed 6%?

Answer 1

check on annuties w/companies like Hartford Life and its competitors.

to earn that kind of return you probably need to invest in something fairly long-term.  the 'risk-free rate' is generally used as the 20 year t bill rate, which as of today is yielding 4.49%.

If you can get into a reverse mortgage, or invest in AAA or Baa rated corporate bonds, you can exceed 6% returns.  but i'm not sure what kind of maturities you need.  it should  be pretty easy to find out.

check preferred stocks as well.

Answer 2

yeah, if you're in the UK, there's several banks offering savings accounts paying 6.55% AER... 100% of your money is insured by the government up to £35000, though to be honest, the odds ICICI or Kaupthing Edge going under are minimal.

Answer 3

How safe? There are some AAA rated corporate bonds that pay 6%.  But then at one time I believe f***y-Mae was rated AAA.   GE bonds are paying about 6%, some of them anyway.  I think they may be the last corporation that still has a AAA rating at least for the time being.

There are some less safe offerings that pay even better than 6%.  

Both Gabelli Equity Trust pfd ticker GAB-F and General American pfd ticker GAM-B both currently pay better than 6%.  They are both rated AAA.  They may be the only preferred stocks that are.  The reason that they are is because these two are closed end funds and the preferred is backed up by the assets of the funds.  Sort of makes them somewhat better risks than the U S government, I believe.  

Answer 4

If you're talking about the U.S. financial markets, the answer is no.  With today's low interest rates, nothing that pays 6% is truly safe.  Risk walks hand-in-hand with reward.  The truth, for those who can handle it, is that, these days, truly safe investments pay very low interest rates.