First Trust Mortgage Income Fund Declares its Monthly Common Share Distribution of $0.075 Per Share for February

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First Trust Mortgage Income Fund (NYSE: FMY) has announced its monthly common share distribution of $0.075 per share for February, payable on February 18, 2025, to shareholders of record as of February 3, 2025. Based on the January 17, 2025 NAV of $12.51, the distribution rate is 7.19%, while based on the closing market price of $11.90, it stands at 7.56%.

The Fund is a diversified, closed-end management investment company focusing on providing high current income and capital preservation. It primarily invests in mortgage-backed securities from residential or commercial mortgage loans. First Trust Advisors L.P. serves as the Fund's investment advisor, managing approximately $256 billion in assets as of December 31, 2024.

The final determination of the distribution's source and tax status will be made after the end of 2025 and provided on Form 1099-DIV.

WHEATON, Ill.--(BUSINESS WIRE)-- First Trust Mortgage Income Fund (the "Fund") (NYSE: FMY) has declared the Fund’s regularly scheduled monthly common share distribution in the amount of $0.075 per share payable on February 18, 2025, to shareholders of record as of February 3, 2025. The ex-dividend date is expected to be February 3, 2025. The monthly distribution information for the Fund appears below.

First Trust Mortgage Income Fund (FMY):

Distribution per share:		$0.075
Distribution Rate based on the January 17, 2025 NAV of $12.51:		7.19%
Distribution Rate based on the January 17, 2025 closing market price of $11.90:		7.56%

A portion of this distribution may come from net investment income, net short-term realized capital gains or return of capital. The final determination of the source and tax status of all distributions paid in 2025 will be made after the end of 2025 and will be provided on Form 1099-DIV.

The Fund is a diversified, closed-end management investment company that seeks to provide a high level of current income. As a secondary objective, the Fund seeks to preserve capital. The Fund pursues these investment objectives by investing primarily in mortgage-backed securities representing part ownership in a pool of either residential or commercial mortgage loans that, in the opinion of the Fund's portfolio managers, offer an attractive combination of credit quality, yield and maturity.

First Trust Advisors L.P. ("FTA") is a federally registered investment advisor and serves as the Fund's investment advisor. FTA and its affiliate First Trust Portfolios L.P. ("FTP"), a FINRA registered broker-dealer, are privately-held companies that provide a variety of investment services. FTA has collective assets under management or supervision of approximately $256 billion as of December 31, 2024 through unit investment trusts, exchange-traded funds, closed-end funds, mutual funds and separate managed accounts. FTA is the supervisor of the First Trust unit investment trusts, while FTP is the sponsor. FTP is also a distributor of mutual fund shares and exchange-traded fund creation units. FTA and FTP are based in Wheaton, Illinois.

Principal Risk Factors: Risks are inherent in all investing. Certain risks applicable to the Fund are identified below, which includes the risk that you could lose some or all of your investment in the Fund. The principal risks of investing in the Fund are spelled out in the Fund's annual shareholder reports. The order of the below risk factors does not indicate the significance of any particular risk factor. The Fund also files reports, proxy statements and other information that is available for review.

Past performance is no assurance of future results. Investment return and market value of an investment in the Fund will fluctuate. Shares, when sold, may be worth more or less than their original cost. There can be no assurance that the Fund's investment objectives will be achieved. The Fund may not be appropriate for all investors.

Market risk is the risk that a particular investment, or shares of a fund in general may fall in value. Investments held by the Fund are subject to market fluctuations caused by real or perceived adverse economic conditions, political events, regulatory factors or market developments, changes in interest rates and perceived trends in securities prices. Shares of a fund could decline in value or underperform other investments as a result. In addition, local, regional or global events such as war, acts of terrorism, market manipulation, government defaults, government shutdowns, regulatory actions, political changes, diplomatic developments, the imposition of sanctions and other similar measures, spread of infectious disease or other public health issues, recessions, natural disasters or other events could have significant negative impact on a fund and its investments.

Current market conditions risk is the risk that a particular investment, or shares of the fund in general, may fall in value due to current market conditions. For example, changes in governmental fiscal and regulatory policies, disruptions to banking and real estate markets, actual and threatened international armed conflicts and hostilities, and public health crises, among other significant events, could have a material impact on the value of the fund's investments.

The debt securities in which the Fund invests are subject to certain risks, including issuer risk, reinvestment risk, prepayment risk, credit risk, interest rate risk and liquidity risk. Issuer risk is the risk that the value of fixed-income securities may decline for a number of reasons which directly relate to the issuer. Reinvestment risk is the risk that income from the Fund's portfolio will decline if the Fund invests the proceeds from matured, traded or called bonds at market interest rates that are below the Fund portfolio's current earnings rate. Prepayment risk is the risk that, upon a prepayment, the actual outstanding debt on which the Fund derives interest income will be reduced. Credit risk is the risk that an issuer of a security will be unable or unwilling to make dividend, interest and/or principal payments when due and that the value of a security may decline as a result. Interest rate risk is the risk that fixed-income securities will decline in value because of changes in market interest rates. Liquidity risk is the risk that illiquid and restricted securities may be difficult to value and to dispose of at a fair price at the times when the Fund believes it is desirable to do so.

A mortgage-backed security may be negatively affected by the quality of the mortgages underlying such security and the structure of its issuer. For example, if a mortgage underlying a particular mortgage-backed security defaults, the value of that security may decrease. Moreover, a downturn in the markets for residential or commercial real estate or a general economic downturn could negatively affect both the price and liquidity of privately issued mortgage-backed securities. A portion of the Fund's managed assets may be invested in subordinated classes of mortgage-backed securities. Such subordinated classes are subject to a greater degree of non-payment risk than are senior classes of the same issuer or agency.

Investments in asset-backed or mortgage-backed securities offered by non-governmental issuers, such as commercial banks, savings and loans, private mortgage insurance companies, mortgage bankers and other secondary market issuers are subject to additional risks.

The primary risks associated with the use of futures contracts are (a) the imperfect correlation between the change in market value of the instruments or indices underlying the futures contracts and the price of the futures contracts; (b) possible lack of a liquid secondary market for a futures contract and the resulting inability to close a futures contract when desired; (c) losses caused by unanticipated market movements, which are potentially unlimited; (d) the investment adviser's inability to predict correctly the direction of securities prices, interest rates, currency exchange rates and other economic factors; and (e) the possibility that the counterparty will default in the performance of its obligations.

If a security sold short increases in price, the Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss.

Repurchase agreements are subject to the risk of failure. If the Fund's counterparty defaults on its obligations and the Fund is delayed or prevented from recovering the collateral, or if the value of the collateral is insufficient, the Fund may realize a loss.

Use of leverage can result in additional risk and cost, and can magnify the effect of any losses.

The risks of investing in the Fund are spelled out in the shareholder reports and other regulatory filings.

The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.

The Fund's daily closing New York Stock Exchange price and net asset value per share as well as other information can be found at https://www.ftportfolios.com or by calling 1-800-988-5891.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250121203222/en/

Press Inquiries, Ryan Issakainen, 630-765-8689

Analyst Inquiries, Jeff Margolin, 630-915-6784

Broker Inquiries, Sales Team, 866-848-9727

Source: First Trust Mortgage Income Fund

FAQ

What is the February 2025 distribution amount for First Trust Mortgage Income Fund (FMY)?

First Trust Mortgage Income Fund (FMY) declared a monthly distribution of $0.075 per share for February 2025.

When is the ex-dividend date for FMY's February 2025 distribution?

The ex-dividend date for FMY's February 2025 distribution is expected to be February 3, 2025.

What is FMY's distribution yield based on January 17, 2025 prices?

FMY's distribution yield is 7.19% based on the NAV of $12.51, and 7.56% based on the closing market price of $11.90 as of January 17, 2025.

What are the main investment objectives of First Trust Mortgage Income Fund (FMY)?

FMY's primary objective is to provide a high level of current income, with a secondary objective of preserving capital through investments in mortgage-backed securities.

How much assets does First Trust Advisors manage as of December 2024?

First Trust Advisors has collective assets under management or supervision of approximately $256 billion as of December 31, 2024.