Crypto vs. Dividend Income: The author expresses a lack of interest in cryptocurrency, emphasizing a preference for dividend-paying investments, particularly in tech-focused closed-end funds (CEFs) that offer stable income and lower volatility compared to crypto.
Bitcoin's Performance: Despite initial optimism surrounding crypto, Bitcoin has experienced significant declines in 2025, contrasting with the performance of the S&P 500, which has remained strong.
High-Yielding Tech CEFs: The article highlights two CEFs, BlackRock Science and Technology Trust (BST) and BlackRock Science and Technology Term Trust (BSTZ), which provide high dividend yields (7.7% and 9% respectively) while maintaining stock-like performance.
Investment Strategy: The author advocates for buying CEFs during market downturns to take advantage of widening discounts, allowing investors to collect dividends and potentially benefit from price recoveries in the future.
BlackRock Science and Technology Trust (the Trust) is a diversified, closed-end management investment company. The Trust's investment objective is to provide income and total return through a combination of current income, current gains and long-term capital appreciation. The Trust seeks to achieve its investment objective by investing, under normal market conditions, at least 80% of its total assets in equity securities of United States (U.S.) and non-U.S. science and technology companies in any market capitalization range. The Trust seeks to pursue this goal primarily by investing in a portfolio of equity securities and also by employing a strategy of writing (selling) call and put options. The Trust invests in various industries, including software, semiconductors and semiconductor equipment, information technology (IT) services, financial services, broadline retail, entertainment, and diversified consumer services. The Trust's investment manager is BlackRock Advisors, LLC.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
