Author: Tim Plaehn, Investors Alley

With an attractive yield and steady dividend growth, it’s not on the radar of many investors.

Combine that with some dividend growth, and you will have an excellent core income portfolio holding.

Assets in this type of fund have grown tenfold over the last few years, with new funds launched every week. Here are three names on my “Do not buy” list.

Paying a monthly dividend just over 8%, it’s down 12% year to date making now a good time to average into it.

It’s current 8% yield combined with high single-digit annual dividend growth means investors can expect close to 20% on average annual returns going forward.