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Realty Income: Big Dividend, 3 Big Risks

Realty income pays a big, steady, monthly dividend (3.9%, annualized), and the shares have declined more than 13% since August 1st. To some, this may be a screaming buy signal. But before diving in headfirst, we believe there are three big risks worth considering: lower growth signals, share dilution, and inflation risks. Despite these risks, we’ve still ranked Realty Income #9 on our recent list of Top 10 Big-Dividend REITs Worth Considering because of its ability to deliver what many investors want- big, safe, monthly dividends.