An email has been sent to your address with instructions for changing your password.
There is no user registered with this email.
Sign Up
To create a free account, please fill out the form below.
Thank you for signing up!
A confirmation email has been sent to your email address. Please check your email and follow the instructions in the message to complete the registration process. If you do not receive the email, please check your spam folder or contact us for assistance.
Welcome to our platform!
Oops!
Something went wrong while trying to create your new account. Please try again and if the problem persist, Email Us to receive support.
Gabelli Healthcare & WellnessRx Trust Declares Fourth Quarter Distribution of $0.15 Per Share and Announces Additional Year End Distribution
Rhea-AI Impact
(Low)
Rhea-AI Sentiment
(Very Positive)
Tags
Rhea-AI Summary
The Gabelli Healthcare & Wellness Trust (NYSE:GRX) announced a cash distribution of $0.15 per share, payable on December 17, 2021. Shareholders of record by December 10, 2021 will receive this payment. Additionally, the Board of Trustees authorized a potential year-end distribution, factoring in undistributed income and realized net capital gains. The exact amount and timing will be disclosed later. The Trust emphasizes that distributions may be treated as long-term capital gains or qualified dividends, with implications for tax treatment.
Positive
Declared a cash distribution of $0.15 per share, providing immediate returns to investors.
Potential for additional year-end distribution, indicating strong fund performance.
Negative
The distribution policy can be modified or terminated at any time, posing uncertainty for investors.
If earnings are insufficient to cover distributions, excess amounts will be a return of capital, which could affect shareholder investment returns.
RYE, N.Y.--(BUSINESS WIRE)--
The Board of Trustees of The Gabelli Healthcare & WellnessRx Trust (NYSE:GRX) (the “Fund”) reaffirms its quarterly distribution policy and declared a $0.15 per share cash distribution payable on December 17, 2021 to common shareholders of record on December 10, 2021.
The Board of Trustees also authorized an additional year end cash distribution in accordance with the minimum distribution requirements for the Internal Revenue Code, which will include any undistributed additional income and realized net capital gains in excess of the quarterly distributions for the year. The amount and dates of the additional distribution will be announced at a later date.
The additional distribution will be included in 2021 income for shareholders subject to income tax and all common share distributions will have the same proportion of net investment income and short term capital gains.
Each quarter, the Board of Trustees reviews the amount of any potential distribution and the income, realized capital gain, or capital available. The Board of Trustees will continue to monitor the Fund’s distribution level, taking into consideration the Fund’s net asset value and the financial market environment. The Fund’s distribution policy is subject to modification or termination by the Board of Trustees at any time, and there can be no guarantee that the policy will continue. The distribution rate should not be considered the dividend yield or total return on an investment in the Fund.
All or part of the distribution may be treated as long-term capital gain or qualified dividend income (or a combination of both) for individuals, each subject to the maximum federal income tax rate for long term capital gains, which is currently 20% in taxable accounts for individuals (or less depending on an individual’s tax bracket). In addition, certain U.S. shareholders who are individuals, estates or trusts and whose income exceeds certain thresholds will be required to pay a 3.8% Medicare surcharge on their "net investment income", which includes dividends received from the Fund and capital gains from the sale or other disposition of shares of the Fund.
If the Fund does not generate sufficient earnings (dividends and interest income, less expenses, and realized net capital gain) equal to or in excess of the aggregate distributions paid by the Fund in a given year, then the amount distributed in excess of the Fund’s earnings would be deemed a return of capital. Since this would be considered a return of a portion of a shareholder’s original investment, it is generally not taxable and would be treated as a reduction in the shareholder’s cost basis.
Long-term capital gains, qualified dividend income, investment company taxable income, and return of capital, if any, will be allocated on a pro-rata basis to all distributions to common shareholders for the year. Based on the accounting records of the Fund currently available, each of the distributions paid to common shareholders in 2021 would be deemed 100% from net capital gains on a book basis. The source of the distributions will likely change due to investment activity through the end of the calendar year and this information does not represent what should be reported for tax purposes. The estimated components of each distribution are updated and provided to shareholders of record in a notice accompanying the distribution and are available on our website (www.gabelli.com). The final determination of the sources of all distributions in 2021 will be made after year end and can vary from the quarterly estimates. Shareholders should not draw any conclusions about the Fund’s investment performance from the amount of the current distribution. All individual shareholders with taxable accounts will receive written notification regarding the components and tax treatment for all 2021 distributions in early 2022 via Form 1099-DIV.
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. More information regarding the Fund’s distribution policy and other information is available by calling 800-GABELLI (800-422-3554) or visiting www.gabelli.com.
About The Gabelli Healthcare & WellnessRx Trust
The Gabelli Healthcare & WellnessRx Trust is a diversified, closed-end management investment company with $346 million in total net assets whose primary investment objective is long-term growth of capital. The Fund is managed by Gabelli Funds, LLC, a subsidiary of GAMCO Investors, Inc. (NYSE:GBL).
