Virtus Artificial Intelligence & Technology Opportunities Fund Discloses Sources of Distribution - Section 19(a) Notice
On January 19, 2023, the Virtus Artificial Intelligence & Technology Opportunities Fund (NYSE: AIO) announced a monthly distribution of $0.15 per share, following an ex-date of January 19, 2023 and a payable date of February 1, 2023. The fund operates under a Managed Distribution Plan, with distributions potentially sourced from net investment income and realized capital gains. Investors should be aware that distributions may exceed net income, resulting in a return of capital. As of January 2023, 100% of the distribution comes from return of capital, with a fiscal year-to-date cumulative return on NAV of -14.35%.
- Monthly distribution of $0.15 per share announced.
- Managed Distribution Plan aims for consistent returns.
- 100% of January distribution sourced from return of capital.
- Fiscal year-to-date cumulative total return on NAV is -14.35%.
Amount of Distribution | Ex-Date | Record Date | Payable Date |
Under the terms of its Managed Distribution Plan, the Fund will seek to maintain a consistent distribution level that may be paid, in part or in full, from net investment income and realized capital gains, or a combination thereof. Shareholders should note, however, that if the Fund's aggregate net investment income and net realized capital gains are less than the amount of the distribution level, the difference will be distributed from the Fund's assets and will constitute a return of the shareholder's capital. You should not draw any conclusions about the Fund's investment performance from the amount of this distribution or from the terms of the Fund's Managed Distribution Plan.
The Fund estimates that it has distributed more than its income and capital gains; therefore, a portion of your distribution may be a return of capital. A return of capital may occur, for example, when some or all of the money that you invested in the Fund is paid back to you. A return of capital distribution does not necessarily reflect the Fund's investment performance and should not be confused with 'yield' or 'income'.
The Fund provided this estimate of the sources of the distributions:
Distribution Estimates | Fiscal Year-to-Date | ||||
(Sources) | Per Share | Percentage | Per Share | Percentage | |
Net Investment Income | $ - | 0.0 % | $ - | 0.0 % | |
Net Realized Short-Term Capital Gains | - | 0.0 % | 0.495 | 27.5 % | |
Net Realized Long-Term Capital Gains | - | 0.0 % | 0.887 | 49.3 % | |
Return of Capital (or other Capital Source) | 0.150 | 100.0 % | 0.418 | 23.2 % | |
Total Distribution | $ 0.150 | 100.0 % | $ 1.800 | 100.0 % | |
(1) | Fiscal year started |
Information regarding the Fund's performance and distribution rates is set forth below. Please note that all performance figures are based on the Fund's NAV and not the market price of the Fund's shares. Performance figures are not meant to represent individual shareholder performance.
Average Annual Total Return on NAV for the 5-year period (2) | 10.56 % | ||
Annualized Current Distribution Rate (3) | 9.42 % | ||
Fiscal YTD Cumulative Total Return on NAV (4) | -14.35 % | ||
Fiscal YTD Cumulative Distribution Rate (5) | 8.63 % | ||
(2) | Average Annual Total Return on NAV is the annual compound return for the five-year period. It reflects the change in the Fund's NAV and reinvestment of all distributions. AIO incepted | ||
(3) | Annualized Current Distribution Rate is the current distribution rate annualized as a percentage of the Fund's NAV at month end. | ||
(4) | Fiscal YTD Cumulative Total Return on NAV is the percentage change in the Fund's NAV from the first day of the fiscal year to this month end, including distributions paid and assuming reinvestment of those distributions. | ||
(5) | Fiscal YTD Cumulative Distribution Rate is the dollar value of distributions from the first day of the fiscal year to this month end as a percentage of the Fund's NAV at month end. | ||
The amounts and sources of distributions reported in this notice are estimates only and are not being provided for tax reporting purposes. The actual amounts and sources of the distributions for tax purposes will depend on the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund or your broker will send you a Form 1099-DIV for the calendar year that will tell you what distributions to report for federal income tax purposes.
About the Fund
For more information on the Fund, contact shareholder services at (866) 270-7788, by email at closedendfunds@virtus.com, or through the Closed-End Funds section of virtus.com.
Fund Risks
An investment in a fund is subject to risk, including the risk of possible loss of principal. A fund's shares may be worth less upon their sale than what an investor paid for them. Shares of closed-end funds may trade at a premium or discount to their net asset value. For more information about the Fund's investment objective and risks, please see the Fund's annual report. A copy of the Fund's most recent annual report may be obtained free of charge by contacting "Shareholder Services" as set forth at the end of this press release.
View original content to download multimedia:https://www.prnewswire.com/news-releases/virtus-artificial-intelligence--technology-opportunities-fund-discloses-sources-of-distribution--section-19a-notice-301726281.html
SOURCE
FAQ
What is the distribution amount for Virtus AIO in January 2023?
What is the ex-date for the January 2023 distribution of AIO?
When will the January 2023 distribution be paid for AIO?
What percentage of the January 2023 distribution for AIO is a return of capital?
What is the fiscal year-to-date cumulative total return on NAV for AIO?
