Adams Diversified Equity Fund Announces First-Half Performance And Declares Distribution

Rhea-AI Summary

On July 16, 2020, Adams Diversified Equity Fund (NYSE: ADX) announced a distribution of $0.05 per share from net investment income, payable on September 1, 2020, to shareholders of record on August 18, 2020. This marks the Fund's third distribution in 2020, maintaining a 6% minimum annual distribution rate. For the first half of 2020, the Fund's total return on net asset value was -2.0%, outperforming the S&P 500's -3.1%, while the market price return was -4.8%. As of June 30, 2020, the Fund's net assets were approximately $1.9 billion.

Positive

• Outperformed S&P 500 (-3.1%) with a total return of -2.0% for the first half of 2020.
• Achieved a total return of 7.6% for the twelve months ended June 30, 2020, slightly better than S&P 500 (7.5%).
• Maintained a commitment to a minimum 6% annual distribution rate.

Negative

• Total return on market price of shares was -4.8% for the first half of 2020.

BALTIMORE, July 16, 2020 /PRNewswire/ -- The Board of Directors of Adams Diversified Equity Fund, Inc. (NYSE: ADX) today declared a distribution of $.05 per share from net investment income payable September 1, 2020, to shareholders of record August 18, 2020.  This represents the third payment this year toward the Fund's annual 6% minimum distribution rate commitment.  Details regarding the Fund's annual 6% minimum distribution rate commitment can be found at adamsfunds.com.

FIRST-HALF PERFORMANCE

For the six months ended June 30th, the total return on Adams Diversified Equity's net asset value, with dividends and capital gains reinvested, was -2.0%. This compares to a -3.1% total return for the S&P 500 and a -4.4% total return for the Lipper Large-Cap Core Funds Average.  The total return on the market price of the Fund's shares for the period was -4.8%.

For the twelve months ended June 30th, the total return on Adams Diversified Equity's net asset value, with dividends and capital gains reinvested, was 7.6%.  Comparable figures for the S&P 500 and the Lipper Large-Cap Core Funds Average were 7.5% and 5.3%, respectively. The total return on the market price of the Fund's shares for the period was 5.5%.

NET ASSET VALUE

	6/30/2020	6/30/2019
Net assets	$1,898,784,630	$1,874,690,218
Shares outstanding	108,731,058	105,711,570
Net asset value per share	$17.46	$17.73

 

"In this volatile environment, we are pleased our Fund outperformed our benchmark for the first half of 2020, driven by our investments in Consumer Discretionary, Financials, and Real Estate," said Mark Stoeckle, CEO of Adams Funds.

The Fund repurchased 135,192 shares of its common stock during the six-month period for $1.6 million, at an average price per share of $11.64 and a weighted average discount to NAV of 15.1%.

The Semi-Annual Report to Shareholders is expected to be released on or about July 23, 2020.

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Since 1929, Adams Funds has consistently helped generations of investors reach their investment goals. Adams Funds is comprised of two closed-end funds, Adams Diversified Equity Fund, Inc. (NYSE: ADX) and Adams Natural Resources Fund, Inc. (NYSE: PEO). The Funds are actively managed by an experienced team with a disciplined approach and have paid dividends for more than 80 years across many market cycles. The Funds are committed to paying an annual distribution rate of 6% or more, providing reliable income to long-term investors. Shares can be purchased through our transfer agent or through a broker. For more information about Adams Funds, please visit: adamsfunds.com.

Contact:
Lyn Walther
Director of Shareholder Communications
800.638.2479
walther@adamsfunds.com

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SOURCE Adams Funds

FAQ

What is the distribution declared by Adams Diversified Equity Fund (NYSE: ADX) in July 2020?

Adams Diversified Equity Fund declared a distribution of $0.05 per share from net investment income on July 16, 2020.

When will the distribution from Adams Diversified Equity Fund be payable?

The distribution will be payable on September 1, 2020.

What was the Fund's total return for the first half of 2020?

The Fund's total return on net asset value for the first half of 2020 was -2.0%.

How did Adams Diversified Equity Fund perform compared to the S&P 500?

The Fund outperformed the S&P 500, which had a total return of -3.1% for the same period.

What are the net assets of Adams Diversified Equity Fund as of June 30, 2020?

The net assets of the Fund were approximately $1.9 billion as of June 30, 2020.