Global Dividend Growers Income Fund Announces Special Distribution, Payable on January 14, 2022
December 13, 2021 at 07:54 am EST
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Global Dividend Growers Income Fund announced a special distribution will be made to holders of record as at the close of business on December 31, 2021. The special distribution is the result of two factors. First, the Funds successful performance, with an annualized total return of 12.1% since inception in March 2013, has been accompanied by realized capital gains. Second, the Funds Declaration of Trust requires that all taxable income be allocated to unitholders prior to the end of its taxation year. Subject to a final review of the Funds 2021 taxable income in early 2022, it is expected that the special distribution will be approximately $0.70 per unit but may change depending on portfolio transactions that may occur before year end. This special distribution is in addition to the regular monthly distributions of $0.06 per trust unit. The special distribution is expected to consist of (i) a cash distribution estimated to be $0.35 per unit; and (ii) a distribution estimated to be $0.35 per unit that will be automatically reinvested in additional units to be determined based on the net asset value per unit as of December 31, 2021. Immediately following the issuance, the units of the Fund will be automatically consolidated such that the number of units will remain unchanged from the number outstanding immediately prior to the special distribution. The payment date for the cash distribution will be January 14, 2022.
Global Dividend Growers Income Fund (the Fund) is a closed-end investment fund. The investment objectives of the Fund are to provide unitholders with stable monthly cash distributions and to grow distributions over time and enhance long-term total return through capital appreciation of the Fund's investment portfolio. The Fund invests approximately 30% and till approximately 70% of its assets in an equally weighted passively managed diversified portfolio consisting of the equity securities of publicly listed issuers by market capitalization globally, which have exhibited cumulative dividend growth of approximately 10% over the five-year period ending on the date prior to the date of re-balancing, as well as an indicated dividend yield of approximately 3%. The Fund invests in a range of sectors, such as technology, utilities, consumer discretionary, financials, healthcare, communication services, consumer staples, and industrials. Middlefield Limited is the manager of the Fund.