Franklin Limited Duration Income Trust Declares Monthly Distribution
March 20, 2017 - 4:05pm
SAN MATEO, Calif., March 20, 2017 (GLOBE NEWSWIRE) -- Franklin Limited Duration Income Trust (NYSE MKT: FTF), a closed-end investment company managed by Franklin Advisers, Inc., announced today a distribution of $0.1088 per common share, payable April 13, 2017, to shareholders of record on March 31, 2017 (Ex-Dividend Date: March 29, 2017).
The Fund adopted a managed distribution plan and will make monthly distributions to common shareholders at an annual minimum fixed rate of 10\%, based on the average monthly net asset value (NAV) of the Fund's common shares. The Fund will calculate the average NAV from the previous month based on the number of business days in that month on which the NAV is calculated. The distribution will be calculated as 10\% of the previous month's average NAV, divided by 12. Management will generally distribute amounts necessary to satisfy the Fund's plan and the requirements prescribed by excise tax rules and Subchapter M of the Internal Revenue Code. The plan is intended to provide shareholders with a constant, but not guaranteed, fixed minimum rate of distribution each month and is intended to narrow the discount between the market price and the NAV of the Fund's common shares, but there is no assurance that the plan will be successful in doing so.
Under the managed distribution plan, to the extent that sufficient investment income is not available on a monthly basis, the Fund will distribute long-term capital gains and/or return of capital in order to maintain its managed distribution level. No conclusions ...Full story available on Benzinga.com
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