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10 Experts Pick the 10 Best Stocks for 2013

The 'smart money' gives you their best buy-and-hold predictions

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Best Stock for 2013: Two Harbors Investment Corp.

Last but not least, we have a pick from Steve Freehill, who won our reader submission contest. His pick: Two Harbors (NYSE:TWO). And like Jeff, he has put his money where his mouth is.

His reasons for the buy of the Silver Bay Realty Trust (NYSE:SBY) spinoff: TWO has been snatching up single-family homes over the last three years, and it yields a whopping 19%.

Steve explains, “Yep, you read that right … 19%. True, the recent $0.55 payout announcement skews the yield (previous dividends were $0.36 and $0.40 quarterly), but even if the yield normalizes, it’s still north of 12%.”

He’s pretty confident, too — especially for a newcomer.

“Did I mention I feel great about this trade?” he asks. The real question, though, is how great he will feel come December.

Let the games begin!

Read Steve’s complete recommendation on Two Harbors.

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