Unlocking Hidden Gems: A Smart Way to Grow Your Money in 2026

USASun Jan 25 2026
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The stock market is expected to do well in 2026, with a predicted 12% rise for the S&P 500. This is not just a random guess; it's backed by data. The Atlanta Fed's GDPNow indicator suggests a strong 5% GDP growth in the last quarter of 2025, much higher than most economists predict. This growth is driven by big companies investing in the future, including AI. This spending boosts other firms and workers, who then spend more, creating a positive cycle. The labor market, often seen as the economy's weak spot, is showing signs of improvement. Unemployment, which peaked at the end of 2025, seems to be decreasing. Both private and public employment data show no alarming trends, indicating a stable job market. This stability is crucial for the economy in 2026.
In this thriving market, there are still bargains to be found, especially in closed-end funds (CEFs). These funds often trade at discounts to their net asset value (NAV), offering a great opportunity for investors. One such fund is the Central Securities Corporation (CET). It trades at a 17% discount, focusing on high-quality companies like Alphabet, Progressive Corp, and Amazon. CET offers a 5. 3% dividend that grows with the fund's portfolio returns, making it an attractive option for investors looking for income and growth. CET has performed well over the last three years, benefiting from the market's shift towards future growth and productivity gains from AI. Its discount to NAV has been generous, although it has been decreasing since hitting over 20% about two years ago. This sets up CET to rise with the market in 2026, benefiting from its discount and dividend growth. Investors should keep an eye on earnings and sales, which are key indicators of economic health. Sales rose 7. 8% across S&P 500 companies in the fourth quarter, a positive sign for the economy. While unpredictable shocks can always occur, the current data points to a strong market year in 2026, making CET a sweet setup for those seeking income and growth.
https://localnews.ai/article/unlocking-hidden-gems-a-smart-way-to-grow-your-money-in-2026-350783fb

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