Personal Finance Daily: On the hunt for high yield, don't get burned

	Personal Finance Daily MAY 16, 2012 Wednesday's Personal Finance Stories By MarketWatch Don't miss these top stories: Master limited partnerships: High yield, big risks Mortgage delinquencies, foreclosures drop Insurance policies you don't need The swing county that picks winners J.P. Morgan may turn loss into gain Investors are on the hunt for yield, and it may be leading them down dangerous paths. As Robert Powell writes in Your Portfolio, master limited partnerships and business-development companies are two potentially high-yielding investment structures. Who wouldn't embrace a 9% return these days? The problem is, investors may not always understand the complexities, including labyrinthine tax rules (and delays — with MLPs, you'll receive a K-1 form and these often don't arrive until after April 15), or the outlook for the underlying investment (is that oil well tapped out?), to mention just two potential surprises. Read Powell's piece for more on MLPs and BDCs. Plus, don't miss SmartMoney's Jack Hough on why J.P. Morgan's $2 billion loss may result in a gain. Also get the latest real-estate news, including data on foreclosures and delinquencies, such as this latest nugget from the Mortgage Bankers Association: The portion of mortgage loans in foreclosure or at least one payment late dropped in the first quarter to the lowest level since 2008. — Andrea Coombes , Personal Finance editor Master limited partnerships: High yield, big risks With 10-year Treasurys paying less than 2% and the average one-year certificate of deposit yielding next to nothing, it's no surprise investors are hunting for higher yields. But investing in master limited partnerships and business-development companies could be a mistake. Read more: Master limited partnerships: High yield, big risks. The insurance policies you don't need We buy insurance to protect ourselves from liabilities or losses that are far too expensive to cover on our own. But some policies aren't worth their cost. In this second in a two-part series, Jeanette Pavini looks at insurance policies you do and don't need. Read more: The insurance policies you don't need. REAL ESTATE Mortgage delinquencies, foreclosures drop Some good news on the home-loan front: First-quarter data on delinquencies show the percentage of mortgages in the foreclosure process or at least one payment past due stands at the lowest combined rate since 2008. Read more: Mortgage delinquencies, foreclosures drop. Building of new U.S. homes rises in April U.S. builders started construction of new homes in April at a slightly faster pace, extending their best stretch of business in almost four years. Read more: Building of new U.S. homes rises in April. INVESTING J.P. Morgan may turn loss into gain Whatever J.P. Morgan Chase & Co. (JPM) loses on its soured trade, it also stands to save plenty by carrying out share repurchases at a lower price, writes SmartMoney's Jack Hough. Read more: J.P. Morgan may turn loss into gain. Facebook IPO, you're no Google — in five big ways When it comes to comparing blockbuster Internet IPOs, make no mistake: The sequel produced by Facebook Inc. (FB) will be a bigger hit than the original from Google Inc. (GOOG) eight years ago. Read more: Facebook IPO, you're no Google — in five big ways. How Facebook could clobber LinkedIn Say your name is Mark Zuckerberg. Although this week might be a little busy with your anticipated $100 billion IPO, consider a typical week when you have some spare time and, for example, are considering a new Facebook tool. Read more: How Facebook could clobber LinkedIn. Dimon didn't practice what he preached at Harvard Here's a handy leadership tip from J.P. Morgan's James Dimon: "You have to fight self-deception. Human beings are experts at it. I do it, too." Read more: Dimon didn't practice what he preached at Harvard. The real Dimon Principle Following a winner is often a losing strategy, because success can often go to a winner's head, leading to overconfidence that, sooner or later, blows up. Read more: The real Dimon Principle. ECONOMY & POLITICS The swing county in swing state that picks winners Voters in election bellwether Wood County, Ohio, talk with MarketWatch about Barack Obama's and Mitt Romney's chances for winning their county and the presidency, and why the race for the Buckeye State will be close this fall. Read more: The swing county in swing state that picks winners. For now, Obama and Romney turn away from economy This election was supposed to be all about the economy, but economic issues have faded into the background, at least temporarily, as Obama and Romney shore up support in their bases. Read more: For now, Obama and Romney turn away from economy. Industrial output rebounds strongly in April The output of the nation's factories, mines and utilities surged 1.1% in April, the biggest gain since December 2010, the Federal Reserve reports Wednesday. Read more: Industrial output rebounds strongly in April. Surprise fall in U.K. jobless count rate in April The number of Britons claiming jobless benefits in April drops by the sharpest amount in nearly two years and the country's overall jobless rate also fell, official data show. Read more: Surprise fall in U.K. jobless count rate in April. Get the latest news on our mobile site: http://www.marketwatch.com/m MarketWatch has sent you this newsletter because you signed up to receive it. To ensure you receive this newsletter in the future, please add marketwatchmail.com to your list of approved senders. Sent to: kumaresan.selva.blogger@gmail.com Unsubscribe | Subscribe Copyright 2012 MarketWatch, Inc. All rights reserved. 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