3 Rock-Solid Dividend Stocks Yielding Over 8%

High-yield dividend stocks are becoming even more compelling as market volatility increases. Bond yields are likely to decline in the coming years as interest rates eventually come down. The Federal Reserve doesn’t seem to be in a rush to cut rates due to tariff-related inflation, but a softening economy may force its hand if the GDP declines as expected in Q1 2025.

Regardless, many dividend stocks yield much higher than the current treasury rate. A yield above 8% is hard to ignore if they are being paid by solid companies that can come out of a downturn just fine.

The recent tariff announcement has also caused an uptick in investors looking for safety in defensive and dividend stocks. Many analysts think once reciprocal tariffs hit on April 2nd, it could spark an even bigger downturn. It could trigger a new bump in inflation and lead to stagflation if GDP also slumps. Snapping up some high-yield dividend stocks is a good idea to add more buffer to your income.

Blackstone Secured Lending Fund (BXSL)

Blackstone Secured Lending Fund (NYSE:BXSL) is a Business Development Company, or BDC for short. It provides capital to private U.S. companies that often can’t tap traditional funding sources. That does give it exposure to a broad-market downturn, but it’s unlikely to suspend dividends.

The company’s loans are first-lien senior secured loans, and these loans constitute 95% of its portfolio. These loans are prioritized if a borrower defaults. The loans are also backed by company assets.

Moreover, it’s tied to Blackstone as the BDC is managed by Blackstone Credit BDC Advisors. The main parent company here is Blackstone. Blackstone isn’t obligated to bail the company out but its reputation is tied to BXSL due to it carrying the name. If something does go wrong unexpectedly, there’s a good chance the parent company can step in. Blackstone manages more than $1 trillion in assets.

Regardless, the fund is unlikely to ever have big problems in the first place due to how it has been structured.

BXSL currently offers a solid dividend yield of 9.26%. 

Sixth Street Specialty Lending (TSLX)

Sixth Street Specialty Lending (NYSE:TSLX) is similar to the BDC above.  The difference is that it is externally managed by a Sixth Street subsidiary called Sixth Street Specialty Lending Advisers. The company has over $100 billion in assets under management.

TSLX offers a 9.2% yield, and you’re getting solid safety for the dividend here. It also pays supplemental dividends from excess income. Net investment income comfortably covers the base dividend, so the company has plenty of room to keep the dividends growing in the coming years.

Performance-wise, the stock has been a steady Eddy, though it does follow the broader market during declines. During COVID, it fell by 45% before making a full recovery by the end of the year. During the 2022 selloffs, the stock also declined by 30% but has recovered significantly since. The yield here is too high to ignore, so the stock rarely trades at a discount for long.

TSLX stock is up almost 53% in the past five years and is up 6% year-to-date. In comparison, the S&P 500 is down 2.65% year-to-date. TSLX hasn’t been hit by the recent tariff-related volatility, and I expect it to remain a consistent cash cow.

OneMain Holdings (OMF)

OneMain Holdings (NYSE:OMF) is the odd one out in this article as it is a consumer finance company and not a BDC. It is a direct lender that focuses on personal loans. Unlike BDCs, the company does not have to distribute 90% of its income and has more flexibility. The company mainly lends to people with FICO scores in the low 600s.

That’s not the safest market, so it’s why OMF stock is last on this list. At the same time, it doesn’t mean the company is unsafe. It should hold on its own during any downturns, and the company should be more than self-sufficient enough to keep dividends intact through a recession. OMF stock will likely take hits from any short-term volatility, but I have confidence in the underlying business.

OneMain has maintained and grown its dividend through the COVID-19 period. The payout ratio of 51.45% also adds a lot of cushion if market cycles turn and the company enters a low earnings period. It has shifted its focus to higher-quality borrowers, and that has already reduced loan losses. Cash flow is still on an uptrend, and management projects 5%–8% growth in managed receivables and 6%–8% revenue growth for 2025. The growth is expected.

Recent tariffs can also help it. The company has a growing auto lending segment that can benefit from tariffs on imported cars. Rising vehicle costs will probably increase the average loan amount for OneMain’s auto loans and should boost interest income if the company maintains its high APRs for non-prime customers. If people start shifting to cheaper used cars, that could also benefit it since OneMain already has a presence in financing cheap auto loans.

The dividend yield here is 8.2%.

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