Canoe Financial Announces Estimated Special Distribution Details

Understanding Canoe Financial's Special Distribution

Canoe Financial, a prominent name in Canada's investment landscape, recently provided insights into its estimated special non-cash distribution for the Canoe EIT Income Fund (EIT). This announcement highlights important dates and details affecting unitholders of the Fund.

Key Dates for Unitholders

The record date for this special distribution is set for December 31, 2024. It's crucial for unitholders to note that while the payment date for this distribution is January 15, 2025, it won't involve any physical payment, unlike typical cash distributions.

What Is a Non-Cash Distribution?

The non-cash distribution will be reinvested into additional units of the Fund. This process means that the units associated with the unitholders will increase without any cash being exchanged. Each unitholder's adjusted cost base for the Fund will also be adjusted accordingly, reflecting this increase.

About the Special Non-Cash Distribution

Although the amount associated with this special distribution is currently estimated at $0.44 per unit, it remains subject to change until the corresponding record date. Canoe Financial plans to circulate an announcement around January 10, 2025, to confirm the final distribution amount. This estimate reflects the residual net realized capital gains alongside net income that may not have been previously distributed.

Compliance and Reporting

Regulatory obligations require the Fund to distribute any net income and capital gains before the conclusion of its taxation year. To ensure transparency, the taxable amounts of all distributions for 2024, alongside their tax characteristics, will be reported to brokers through the Clearing and Depository Services Inc. (CDS) early in the following year.

About Canoe EIT Income Fund

Canoe EIT Income Fund stands out as one of the largest closed-end investment funds in Canada, aimed primarily at maximizing monthly distributions and growth in capital by investing in a diverse collection of high-quality securities. This Fund, traded under the symbol EIT.UN on the TSX, is directed by Robert Taylor, who serves as the Senior Vice President and Chief Investment Officer at Canoe Financial.

About Canoe Financial

Canoe Financial has seen rapid growth in the Canadian investment sector since its inception in 2008. The company now oversees over $19 billion in assets through a wide variety of innovative investment solutions. Being privately owned, Canoe focuses on enhancing financial wealth for Canadians, maintaining offices in key cities like Calgary, Toronto, and Montreal.

Contact Information

For any inquiries, investors can reach out to Canoe Financial's Investor Relations team at 1-877-434-2796 or visit their official website for more details. Email communications can be sent to info@canoefinancial.com.

Frequently Asked Questions

What does the special non-cash distribution entail?

The distribution will be reinvested in additional units of the Fund rather than being disbursed as cash.

When will the actual amount of the distribution be confirmed?

The final amount is expected to be announced around January 10, 2025.

How does this distribution affect my investment?

The special distribution will increase your number of units and will adjust your cost base for tax purposes.

What are the benefits of a special non-cash distribution?

This type of distribution allows for growth in the number of units held without the need for cash outflow, facilitating further investment potential.

Who manages the Canoe EIT Income Fund?

The Fund is actively managed by Robert Taylor, a seasoned investment professional within Canoe Financial.

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