The Permanent Portfolio fund An asset allocation fund which holds 20% in gold; 5% in silver; 10% in Swiss government bonds; 15% in real estate investment trusts and natural-resource and commodity stocks; 15% in aggressive growth stocks; and 35% in U.S. Treasuries and high-grade corporate bonds.

American Century Equity Income Fund (TWEIX) "...targets undervalued stocks that pay dividends with high yields. ...the multicapitalization value fund looks for dividend-paying companies with "transitory problems." Also, the stock should have a high dividend yield...the fund's target yield is two percentage points above the average yield of the S&P 500." (Wall Street Journal) "[the fund managers] also mix in some convertible securities for added income and lower volatility. That kind of conservatism makes the portfolio less likely to keep up during torrid bull runs, but it also serves to limit losses, a key to long-term outperformance. The fund's worst loss in any one calendar year was a 5 percent slide in 2002, a year when the average large-value fund sank 18 percent. Over the past ten years, the fund has gained nearly 13 percent a year, with dollar-weighted returns of nearly 12 percent." (Fortune)

Loomis Sayles Bond Fund "Over the past ten years to March 1, Loomis Sayles returned 10% annualized, an average of two percentage points per year better than the return of Standard & Poor's 500-stock index. "[Fund managers] Fuss and Gaffney achieved this feat not by sticking to ordinary Treasuries or corporate bonds, but by making the most of their flexible, multi-sector mandate, which allows them to scour the globe and purchase those bonds in those currencies that hold out the most promise." (Andrew Tanzer, Kiplinger)

The Prudent Bear Fund "...one of the few bear market funds that's actively managed. Manager David Tice mixes a relatively small number of long positions in his predominately short portfolio. The long positions he has are typically in gold and other commodities so even though he'll go long in the market, he's still staying fairly defensive. The fund shorts index futures and individual stocks. It's the only bear market fund with a five-year record that's positive in the category." (David Kathman, Morningstar)

Lazard World Dividend & Income Fund 1 Yr NAV Rtn=24.53%, Inc Only Yld=6.49%, Dist Yld=15.36%, discount to NAV=-4.98% "As a lower-beta instrument, the fund managers aim for performance that is less volatile than the market -- or in this case, markets -- but that still captures gains. World Dividend & Income invests mostly in high-yielding stocks from around the world. The fund also invests a portion (with leverage) in emerging-market currencies via derivatives to take advantage of higher yields elsewhere in the world. " "Another of World Dividend & Income's appealing attributes is its low correlation to both the iShares MSCI EAFE, at 0.22, and the S&P 500, at 0.25, according to PortfolioScience.com." (Roger Nusbaum)

Templeton's Aberdeen Asia-Pacific Income Fund 1 Yr NAV Rtn=13.05%, Yld=6.66%, discount to NAV=-3.47% "a well-diversified, highly liquid fund mixing short-term emerging market sovereign bonds with longer-term developed market sovereign bonds. It enables investors to capitalize on the bright prospects of emerging market bonds and global funds - but in a conservative way." (Oxford Club)

The Blackrock Global Energy & Resource Trust 1 Yr NAV Rtn=11.70%, Yld=9.35%, discount to NAV=-10.23% Far more diversified than the ETF XLE - 22% invested in Canada, 57% US, 21% other; 22% Energy, 18% storage, 14% coal, 10% equipment/services, 8% integrated, 28% other "If energy stocks are a cornerstone of your portfolio then you should seriously consider [BGR]."

Central Securities Inc Only Yld=1.31%, Dist Yld=8.34%, discount to NAV=-12.14% Very old-school, core equity CEF. The past 15 years, Central's shareholders have enjoyed a 17.5% average annual return, compared to 11.5% for the S&P.