BGT: Little Chance Of Outsized Returns, But Risks Are Manageable

BlackRock Floating Rate Income Trust is evaluated as a current investment option focusing on high current income via senior secured floating rate loans. BGT's performance has been reasonable since late 2023, but it has lagged equities and performed in line with other high-yield debt funds. The fund's discounted market price remains a positive attribute for valuation-focused investors seeking income in the current environment. But defaults and distressed debt levels have me concerned.

Seeking Alpha • Nov 25, 2025

BGT: Floating Rate Loans CEF Under Pressure

BlackRock Floating Rate Income Trust remains unappealing due to low credit spreads, declining rates, and a premium to NAV versus discounted peers. BGT's heavy exposure to single-B leveraged loans and 15% leverage heighten risk, especially as recent defaults show sharply lower recoveries. With SOFR and Fed Funds rates projected to fall, BGT's yield and distributions are likely to decrease over the next year.

Seeking Alpha • Oct 16, 2025

BGT: The Golden Era For Floating Rate Funds Have Passed

BGT offers high monthly income (11.5% yield) from floating rate loans, benefiting from the current high interest rate environment. The fund's heavy exposure to below-investment-grade borrowers increases risk, especially if defaults rise amid economic slowdown or trade disruptions. BGT trades at a slight premium to NAV, but historically has traded at a discount; future rate cuts could pressure both NAV and distributions.

Seeking Alpha • Jul 14, 2025

BGT: Failing To Cover Distributions And Unlikely To Improve (Rating Downgrade)

The BlackRock Floating Rate Income Trust offers a high yield of 12.03%, but its income is highly dependent on Federal Reserve interest rate policies. The fund's distribution is unsustainable due to declining net investment income and expected interest rate cuts, likely leading to a distribution cut. The market is expecting four interest cuts this year due to a recession setting in.

Seeking Alpha • Apr 29, 2025

BGT: Solid Returns But High Fees And High Volatility

The BlackRock Floating Rate Income Trust aims for high current income and capital preservation and has a current distribution rate of 11.3%. BGT has historically delivered solid returns, but with high levels of volatility. BGT currently trades at a premium to NAV, but historically has on average traded at a discount to NAV.

Seeking Alpha • Feb 4, 2025

BGT: This Fund Will Likely Cut Its Distribution In The Near Future

The BlackRock Floating Rate Income Trust offers a high 10.99% yield but faces potential distribution cuts due to expected Federal Reserve interest rate reductions. Despite outperforming fixed-rate bonds in the past, the fund's recent performance has lagged, and its net asset value has declined. The Federal Reserve is planning to reduce interest rates going forward, which will probably reduce this fund's income.

Seeking Alpha • Nov 11, 2024

BGT: Floating Rate Assets Becoming Less Appealing (Rating Downgrade)

BGT has performed well, with a total return of over 17% since October 2023, since it was last covered. Lower Fed funds will lead to lower yields and a shift in market sentiment towards fixed assets, just like in past cycles. BlackRock Floating Rate Income Trust's premium to NAV is at a decade high but is expected to fall back to a discount as the Fed cuts rates.

Seeking Alpha • Aug 7, 2024

BGT: A Good Source Of Income Today, But A Pricey One

BlackRock Floating Rate Income Trust Fund is a closed-end fund that aims to generate a high level of income with less volatility than fixed-income funds. The fund has a lower yield than its peers, but also lower risk exposure due to lower levels of leverage. The fund's recent performance has been strong, outperforming both investment-grade and junk bonds.

Seeking Alpha • May 13, 2024

Want $1500 Per Month In Passive Income? Invest $20,000 In These Stocks.

Stock #6 : Cohen & Steers Closed-End Opportunity Fund, Inc. (NYSE: FOF) Yield: 10.55% Number of shares for $20,000: 1,739 Monthly Dividend Income:~$175.83 Balanced funds offer both capital appreciation potential as well as the safety and income aspects of bonds.

24/7 Wall Street • May 12, 2024

Investors' Choice: Roller Coaster Or Merry-Go-Round?

Achieving long-term "equity returns" generally requires holding tight through periods of volatility. The "roller coaster" experience is worth it, as Nobel Prize winners and other researchers have demonstrated over the years. There is an alternative for investors seeking a smoother ride and a better night's sleep through market downturns.

Seeking Alpha • Apr 26, 2024