Delaware Investments® Dividend and Income Fund, Inc. Announces Distributions

Rhea-AI Summary

Delaware Investments Dividend and Income Fund (DDF) declared a monthly distribution of $0.0585 per share, payable on January 29, 2021, to shareholders of record on January 22, 2021. The ex-dividend date is January 21, 2021. The Fund aims for high current income, investing at least 65% of assets in income-generating equity securities, with some leveraging techniques employed. The managed distribution policy targets an annual rate of 7.5% of average net asset value (NAV). However, investment performance should not be inferred from the distribution amounts.

Positive

• Monthly distribution of $0.0585 per share shows commitment to shareholder returns.
• Managed distribution policy targets a consistent annual distribution rate of 7.5% of average NAV.

Negative

• Returns of capital may occur, not reflecting investment performance.
• No assurance of achieving investment objectives or distribution methodologies.

Today, Delaware Investments Dividend and Income Fund (the “Fund”), a New York Stock Exchange–listed closed-end fund trading under the symbol “DDF,” declared a monthly distribution of $0.0585 per share. The monthly distribution is payable January 29, 2021, to shareholders of record at the close of business on January 22, 2021. The ex-dividend date will be January 21, 2021.

The Fund is a diversified closed-end fund. The primary investment objective is to seek high current income; capital appreciation is a secondary objective. The Fund seeks to achieve its objectives by investing, under normal circumstances, at least 65% of its total assets in income-generating equity securities, including dividend-paying common stocks, convertible securities, preferred stocks, and other equity-related securities, which may include up to 25% in real estate investment trusts (REITs) and real estate industry operating companies. Up to 35% of the Fund's total assets may be invested in nonconvertible debt securities consisting primarily of high-yield, high-risk corporate bonds. In addition, the Fund utilizes leveraging techniques in an attempt to obtain a higher return for the Fund. There is no assurance that the Fund will achieve its investment objectives.

The Fund has implemented a managed distribution policy. Under the policy, the Fund is managed with a goal of generating as much of the distribution as possible from net investment income and short-term capital gains. The balance of the distribution will then come from long-term capital gains to the extent permitted, and if necessary, 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’. Even though the Fund may realize current year capital gains, such gains may be offset, in whole or in part, by the Fund’s capital loss carryovers from prior years.

Under the Fund’s managed distribution policy, the Fund makes monthly distributions to common shareholders at a targeted annual distribution rate of 7.5% of the Fund’s average net asset value (“NAV”) per share. The Fund will calculate the average NAV per share from the previous three full months immediately prior to the distribution based on the number of business days in those three months on which the NAV is calculated. The distribution will be calculated as 7.5% of the prior three month’s average NAV per share, divided by 12. The Fund will generally distribute amounts necessary to satisfy the Fund’s managed distribution policy and the requirements prescribed by excise tax rules and Subchapter M of the Internal Revenue Code. This distribution methodology is intended to provide shareholders with a consistent, but not guaranteed, income stream and a targeted annual distribution rate and is intended to narrow any discount between the market price and the NAV of the Fund’s common shares, but there is no assurance that the policy will be successful in doing so. The methodology for determining monthly distributions under the Fund’s managed distribution policy will be reviewed at least annually by the Fund’s Board of Trustees, and the Fund will continue to evaluate its distribution in light of ongoing market conditions.

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 policy. The amounts and sources of the Fund’s distributions to be reported will be estimates and will not be provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes.

About Macquarie Investment Management

Macquarie Investment Management, a member of Macquarie Group, is a global asset manager with offices in the United States, Europe, Asia, and Australia. As active managers, we prioritize autonomy and accountability at the team level in pursuit of opportunities that matter for clients. Macquarie Investment Management is supported by the resources of Macquarie Group (ASX: MQG; ADR: MQBKY), a global provider of asset management, investment, banking, financial and advisory services.

Advisory services are provided by Macquarie Investment Management Business Trust, a registered investment advisor. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide. For more information about Delaware Funds^® by Macquarie, visit delawarefunds.com or call 800 523-1918.

Other than Macquarie Bank Limited (MBL), none of the entities referred to in this document are authorized deposit-taking institutions for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of MBL, a subsidiary of Macquarie Group Limited and an affiliate of Macquarie Investment Management. MBL does not guarantee or otherwise provide assurance in respect of the obligations of these entities, unless noted otherwise.

© 2021 Macquarie Management Holdings, Inc.

View source version on businesswire.com: https://www.businesswire.com/news/home/20210105005973/en/

FAQ

What is the monthly distribution amount for DDF?

DDF declared a monthly distribution of $0.0585 per share.

What are the payment and record dates for DDF's distribution?

The distribution is payable on January 29, 2021, to shareholders of record on January 22, 2021.

What is the targeted annual distribution rate for DDF?

The Fund targets an annual distribution rate of 7.5% of its average net asset value.

Is there a risk of a return of capital in DDF's distributions?

Yes, a return of capital may occur, which does not necessarily reflect the Fund's investment performance.

How is the monthly distribution calculated for DDF?

The distribution is calculated as 7.5% of the prior three months' average NAV per share, divided by 12.