Caldwell Investment Management Ltd., the manager of Caldwell U.S. Divident Advantage Fund (the “Fund”), is pleased to announce the payment of distributions on the actively-managed ETF Series of the Fund to unitholders. The monthly distribution rate of CAD$0.038 per unit of the ETF Series represents an attractive annualized yield on net assets of approximately 3.1%.
ETF Series unitholders can choose to participate in the distribution reinvestment plan provided by the Fund. This provides investors with the option to automatically reinvest distributions and realize the benefits of compounded growth.Further, unitholders can enroll in the DRIP program by getting in touch with their investment advisor.
The ETF Series of Caldwell U.S. Dividend Agency Fund trades on the TSX under the symbol UDA
The Fund was first offered to the public as a closed-end investment, May 28, 2015, and with effect from November 15, 2018 was converted into an open-end mutual fund, with all outstanding units predesignated as Series F units. Performance of the Fund prior to the conversion date would have differed had the Fund been subject to the same investment restrictions and practices of the current open-end mutual fund. Furthermore, the Fund reduced its management fees by 1%, October 17,2019, resulting in fees of 1.75% for Series A units and 0.75% for Series F units.
Investors are strongly encouraged to consult with a financial advisor and review the Simplified Prospectus and Fund Facts documents carefully prior to making investment decisions about the Fund. Caldwell Investment Management makes no representations or warranties on the accuracy and completeness of the information included herein. Statements herein contain forward looking information based on certain historical information of the Fund and represent current expectations as of the date of this press release.
Actual future results may differ materially due to but not limited to prevailing market conditions, Without assurance of realizing capital gains and no assurance that issuers held in the portfolio will pay dividends or distributions on their securities. Commissions, trailing commissions, management fees, and expenses all may be associated with mutual fund investments. However, it’s also important to remember that mutual funds are not guaranteed because their values change frequently and past performance may not be repeated.
The payment of distributions should not be confused with a fund’s performance, rate of return or yield. If distributions paid are greater than the performance of the fund, your original investment will shrink. Distributions paid as a result of capital gains realized by a fund, and income and dividends earned by a fund, are taxable in your hands in the year they are paid. Your adjusted cost base will be reduced by the amount of any returns of capital and should your ACB fall below zero, you will have to pay capital gains tax on the amount below zero. Find out more.
(Disclaimer : We are not associated with Caldwell Investment Management)
