What are some of your favorite dividend yielding stocks that have stable dividends? I'm looking for something that will give 6-10% returns without too much risk.
What I've been doing thus far is buying Canadian chartered banks (BMO and CIBC currently yields around 4-5%) and then selling out-of-the-money calls on them... a very simple covered call strategy that returns around 6-7% depending on where the calls are, but not very risky.
However, I am worried about the Canadian bank's exposure to the housing industry, so I want to diversify... open to anything. I also don't want anything that is too risky as I am in numerous junior energy companies already.
Let's hear some suggestions!