1. High-yield stocks have rebounded due to optimism over Federal Reserve rate cuts; 2. Compass Diversified (CODI) and Golub Capital BDC (GBDC) are highlighted as undervalued high-yield opportunities; 3. Both companies offer attractive risk-adjusted returns with strong fundamentals and solid balance sheets.

1. Samuel Smith discusses his high-yield investing strategy focusing on value investing principles, avoiding overly high yields, and ensuring dividend sustainability. 2. He emphasizes the importance of diversification with precious metals, defense stocks, and market makers to hedge against economic downturns and geopolitical events. 3. Smith recommends combining ETFs like SCHD, JEPI, and JEPQ for a balanced, diversified portfolio with steady income and inflation-beating growth.

1. VBR, a value small-cap ETF, has underperformed both the broad market and its counterparts. 2. The sophisticated methodology of the CRSP US Small Cap Value Index may be flawed, lacking a traditional value bias factor. 3. Despite being cost-effective, VBR's inability to outperform its peers raises concerns about its long-term viability.