Canadian Banc Corp. Announces Monthly Dividend Distribution

Canadian Banc Corp. Monthly Dividend Announcement

Canadian Banc Corp. has recently announced its monthly dividend declaration, a critical update for shareholders interested in their regular income from investments. The Company has set the dividend payment for its Class A shares at $0.13913 and for its Preferred shares at $0.06625. These payments are scheduled to be distributed on the tenth of the following month.

Details of the Dividend Distribution

The distribution is a part of the ongoing commitment by Canadian Banc Corp. to provide stable returns to its shareholders through its innovative dividend policy. The dividends will be payable on October 10 to all shareholders recorded as of September 30. This structure ensures that both Class A and Preferred shareholders receive their due returns without delay.

Monthly Dividend Calculation Methodology

The Company has determined the Class A dividend based on a fixed annualized rate of 15%, calculated against the volume weighted average market price (VWAP) of the shares over the last three trading days prior to the record date. This strategic approach helps to stabilize yields for investors, ensuring predictable returns on investments.

Preferred Shareholder Returns

For those holding Preferred shares, the dividend structure is even more appealing. Shareholders are entitled to a return of prime plus 1.50%, with guarantees to receive at least a minimum rate of 5.00% and a maximum cap of 8.00%. This tiered rate guarantees consistent returns, thereby attracting a diverse array of investors looking for both stability and growth.

Shareholder Returns Over Time

Since the inception of the Class A shares, shareholders have experienced a cumulative return of $22.65 per share. Preferred shareholders have also benefited, accumulating a total of $10.70 per share. Together, these figures demonstrate the Company's commitment to delivering substantial returns, culminating in a remarkable total of $33.36 per share inclusive of the latest distributions.

Investment Portfolio Overview

Canadian Banc Corp. maintains a diverse investment portfolio which includes major Canadian banks such as Bank of Montreal, Canadian Imperial Bank of Commerce, National Bank of Canada, Royal Bank of Canada, Bank of Nova Scotia, and Toronto-Dominion Bank. The portfolio's composition is carefully managed, with weights expected to vary between 5% and 20% for each bank, depending on market conditions.

Enhanced Returns through Covered Call Writing

To further enhance returns beyond regular dividends, Canadian Banc Corp. actively utilizes a selective covered call writing strategy. This proactive approach to investment management allows the company to capitalize on existing assets while generating additional income for its shareholders.

Investor Relations Contact Information

For any queries or additional information, investors can reach out to Canadian Banc Corp.'s Investor Relations team at the following numbers: 1-877-478-2372 or locally at 416-304-4443. More detailed information can also be obtained through their website, providing an accessible point of contact for all shareholder inquiries.

Frequently Asked Questions

What is the monthly dividend amount declared by Canadian Banc Corp.?

The monthly dividend declared for Class A shares is $0.13913, and for Preferred shares, it is $0.06625.

When will the dividends be paid out to shareholders?

Dividends for shareholders will be payable on October 10.

How is the Class A dividend calculated?

The Class A dividend is determined using a 15% annualized rate based on the VWAP of the shares over the last three trading days of the previous month.

What total returns have Class A and Preferred shareholders received?

Since inception, Class A shareholders have received a total of $22.65 per share, and Preferred shareholders have received $10.70 per share, amounting to a combined total of $33.36.

How does the company enhance returns beyond dividends?

Canadian Banc Corp. engages in a selective covered call writing program to generate additional returns over the income from dividends.

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