Current Yield: 3.1%
Moving on, let’s take a look at the oh-so-boring world of natural gas transportation. On this front, I recommend Williams Companies (NYSE:WMB).
Stop for a minute and think. Can you imagine anything more boring than natural gas transportation? Yeah, me neither.
But Williams’ dullness is its strength. Natural gas pipelines are stable, predictable businesses, regardless of what happens to the price of gas. And if anything, the current glut in natural gas supplies should bode well for pipeline companies like Williams. Cheaper prices encourage higher consumption.
Williams Companies is an IRA-friendly way to get access to the master limited partnership Williams Partners (NYSE:WPZ). For tax reasons that go beyond the scope of this article, master limited partnerships cannot be held in IRA accounts. But as a corporation with a large ownership interest in a partnership, WMB can.
Williams Companies currently yields 3.1%, and I expect this to rise substantially over time.