GDL Fund Announces $0.12 Per Share Distribution Details
GDL Fund Announces Cash Distribution
The Board of Trustees of The GDL Fund (NYSE: GDL) has declared a cash distribution of $0.12 per share. This payment is set to be distributed to shareholders on a specified date while providing insight into the Fund's overall financial strategies and performance.
Understanding Distribution Contributions
The GDL Fund aims to maintain a reliable distribution level, taking into account the net asset value and market conditions. It's important to understand that the declared distribution may not reflect the yield or total return from the investment.
Types of Distributions
The Fund focuses on annual distributions from realized long-term capital gains along with quarterly cash distributions from taxable income. Some portions of these distributions may serve as a return of capital, influenced by various factors including asset allocation and strategic approaches such as merger arbitrage.
Volatility of Distributions
The Board of Trustees closely evaluates distribution levels, and due to the fluctuating nature of the Fund's income, there's no guarantee of maintained distribution rates. This assessment ensures that stability is sought amid market changes.
Impact of Earnings on Distributions
In instances where the Fund does not meet its earning targets needed to cover its total distributions, the excess funds distributed are categorized as returns of capital. These distributions, viewed as partial returns of an original investment, typically aren’t taxable and reduce a shareholder’s cost basis.
Sharing Tax Information
Investors can expect that any long-term capital gains will be allocated during the final distribution of the year. Tax notifications regarding the distribution components will be provided on Form 1099-DIV to all individual investors with taxable accounts.
GDL Fund Overview
Managed by Gabelli Funds, LLC, The GDL Fund is a closed-end management investment company with total assets of approximately $167 million. The Fund's investment goal is to succeed in multiple market conditions while carefully managing capital risk.
Contact Information
For inquiries related to The GDL Fund and its distribution policy, investors can reach out to:
Laurissa Martire
Phone: (914) 921-5399
Frequently Asked Questions
What is the amount of the recent GDL Fund distribution?
The GDL Fund has declared a cash distribution of $0.12 per share.
When will the distribution be paid to shareholders?
The distribution will be payable on a designated date later this year to shareholders on record from an earlier date.
How does the GDL Fund determine its distribution level?
The distribution level is monitored by the Board of Trustees based on the Fund's net asset value and prevailing financial conditions.
What should investors consider about returns of capital?
Returns of capital generally reduce an investor's cost basis and typically do not incur tax liability.
Who manages The GDL Fund?
Gabelli Funds, LLC, a subsidiary of GAMCO Investors, Inc., manages The GDL Fund.
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