Although justifiable yield generating investments are scarce, there are usually good opportunities somewhere. Today, that opportunity exists in the Legg Mason Brandywine Global Income Opportunities Fund (BWG), trading at a historically wide discount to its NAV at a time when BWG’s tremendous prospects for outsized, tax-efficient yield are especially desirable.
Brandywine Global Income Opportunities is a grossly underappreciated fund in the marketplace. This isn’t helped by the CEF industry site, CEFConnect, which appears to be prematurely estimating what portion of BWG’s 2020 monthly distributions will prove taxable at 2020 interest income rates. Actually, none of BWG’s 2020 monthly distributions can be assumed to be anything but ordinary taxable distributions… yet. And that’s okay. 2021 and forward years will likely prove more important years for its ultimate distribution classifications anyway.
What we do know is that BWG provides legitimate and tax-efficient yield over time. And BWG does so from a well