DENVER -- (Business Wire)
The Reaves Utility Income Fund (NYSE MKT: UTG) announced today the next
three monthly dividends at a rate of $0.15125 per common share per
month, unchanged from the per share rate paid for the previous quarter.
As of April 6, 2016, the Fund’s market price was $29.25 per share and
its net asset value was $31.51 per share.
Ronald J. Sorenson, the Fund's portfolio manager and Chief Investment
Officer of Reaves Asset Management, recently commented on the strong
utilities performance in the first quarter of 2016: “Undoubtedly the
Fund’s performance was helped by the dovish Fed stance on interest
rates, increasingly apparent in the quarter. And, while we think our
portfolio selections will continue to perform well in the current
low-interest rate environment, the fundamental reason to own them is
their ability to grow earnings and dividends over the long-term as they
deploy capital to meet the country’s basic infrastructure requirements
in power, water, energy, and communications."
The Fund has formally implemented the 19b-1 exemption received from the
Securities and Exchange Commission in 2009. A portion of each
distribution may be treated as paid from sources other than net income,
including but not limited to short-term capital gain, long-term capital
gain and return of capital. The final determination of the source of
these distributions, including the percentage of qualified dividend
income, will be made after the Fund’s year end.
Not less than eighty percent of the Fund’s assets will continue to be
invested in the securities of domestic and foreign companies involved to
a significant extent in providing products, services or equipment for
(i) the generation or distribution of electricity, gas or water,
(ii) telecommunications activities or (iii) infrastructure operations,
such as airports, toll roads and municipal services (“Utilities” or the
“Utility Industry”). As a policy, the Fund continues to strive to
provide a high level of after-tax income and total return consisting
primarily of tax-advantaged distributions and capital appreciation.
The following dates apply to the upcoming dividends that have been
declared:
Ex-Distribution Date: April 14, 2016
Record Date: April 18, 2016
Payable
Date: April 29, 2016
Ex-Distribution Date: May 18, 2016
Record Date: May 20, 2016
Payable
Date: May 31, 2016
Ex-Distribution Date: June 15, 2016
Record Date: June 17, 2016
Payable
Date: June 30, 2016
The Reaves Utility Income Fund
The investment objective of the Fund is to provide a high level of
income and total return consisting primarily of tax-advantaged
distributions and capital appreciation. There were approximately $1.4
billion of total assets under management and 34.3 million common shares
outstanding as of April 6, 2016.
An investor should consider investment objectives, risks, charges and
expenses carefully before investing. To obtain a prospectus, annual
report or semi-annual report which contains this and other information
visit www.utilityincomefund.com
or call 1-800-644-5571. Read them carefully before investing.
The Reaves Utility Income Fund is a closed-end fund and closed-end
funds do not continuously issue shares for sale as open-end mutual funds
do. Since the initial public offering, the Fund now trades in the
secondary market.Investors wishing to buy or sell shares need to
place orders through an intermediary or broker.The share price
of a closed-end fund is based on the market’s value.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160408005130/en/
Contacts:
Reaves Utility Income Fund
Tom Carter, ALPS, +1-303-623-2577
tom.carter@alpsinc.com
Source: Reaves Utility Income Fund
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