Invesco Advisers, Inc. Announces Termination of Managed Distribution Plans for Invesco High Income Trust II and Invesco Senior Income Trust
Invesco Advisers (NYSE: IVZ) announced the immediate termination of Managed Distribution Plans for two funds: Invesco High Income Trust II (NYSE: VLT) and Invesco Senior Income Trust (NYSE: VVR). The VLT Plan previously provided fixed monthly distributions based on an 8.5% distribution rate of the closing market price as of August 1, 2018, while VVR paid $0.0380 per share monthly.
The Plans were designed to provide consistent periodic cash payments to shareholders, utilizing long-term capital gains and/or return of capital when investment income was insufficient. The Board's decision to terminate the Plans could adversely affect the funds' market prices. Future distributions will be declared alongside other Invesco closed-end funds.
Invesco Advisers (NYSE: IVZ) ha annunciato l'immediata cessazione dei Piani di Distribuzione Gestita per due fondi: Invesco High Income Trust II (NYSE: VLT) e Invesco Senior Income Trust (NYSE: VVR). Il Piano VLT prevedeva in precedenza distribuzioni mensili fisse basate su un tasso di distribuzione dell'8,5% del prezzo di mercato di chiusura al 1° agosto 2018, mentre VVR pagava $0,0380 per azione mensilmente.
I Piani erano stati progettati per fornire pagamenti periodici di cassa costanti agli azionisti, utilizzando guadagni in conto capitale a lungo termine e/o restituzione di capitale quando il reddito da investimento era insufficiente. La decisione del Consiglio di terminare i Piani potrebbe influenzare negativamente i prezzi di mercato dei fondi. Le future distribuzioni saranno dichiarate insieme ad altri fondi chiusi di Invesco.
Invesco Advisers (NYSE: IVZ) anunció la terminación inmediata de los Planes de Distribución Gestionada para dos fondos: Invesco High Income Trust II (NYSE: VLT) y Invesco Senior Income Trust (NYSE: VVR). El Plan VLT proporcionaba anteriormente distribuciones mensuales fijas basadas en una tasa de distribución del 8.5% del precio de mercado de cierre al 1 de agosto de 2018, mientras que VVR pagaba $0.0380 por acción mensualmente.
Los Planes estaban diseñados para proporcionar pagos de efectivo periódicos consistentes a los accionistas, utilizando ganancias de capital a largo plazo y/o devolución de capital cuando los ingresos de inversión eran insuficientes. La decisión de la Junta de terminar los Planes podría afectar negativamente los precios de mercado de los fondos. Las futuras distribuciones se declararán junto con otros fondos cerrados de Invesco.
인베스코 어드바이저스 (NYSE: IVZ)는 두 개의 펀드인 인베스코 하이 인컴 트러스트 II (NYSE: VLT)와 인베스코 시니어 인컴 트러스트 (NYSE: VVR)의 관리 분배 계획을 즉시 종료한다고 발표했습니다. VLT 계획은 2018년 8월 1일 기준 종가의 8.5% 분배율에 따라 고정 월 분배를 제공했으며, VVR은 월별로 주당 $0.0380을 지급했습니다.
이 계획은 투자 수익이 부족할 때 장기 자본 이득 및/또는 자본 반환을 활용하여 주주에게 일관된 주기적 현금 지급을 제공하기 위해 설계되었습니다. 이사회의 계획 종료 결정은 펀드의 시장 가격에 부정적인 영향을 미칠 수 있습니다. 향후 분배는 다른 인베스코 폐쇄형 펀드와 함께 선언될 것입니다.
Invesco Advisers (NYSE: IVZ) a annoncé la cessation immédiate des Plans de Distribution Gérée pour deux fonds : Invesco High Income Trust II (NYSE: VLT) et Invesco Senior Income Trust (NYSE: VVR). Le Plan VLT offrait auparavant des distributions mensuelles fixes basées sur un taux de distribution de 8,5 % du prix de marché de clôture au 1er août 2018, tandis que VVR versait 0,0380 $ par action chaque mois.
Les Plans étaient conçus pour fournir des paiements en espèces périodiques cohérents aux actionnaires, en utilisant des gains en capital à long terme et/ou un retour de capital lorsque les revenus d'investissement étaient insuffisants. La décision du Conseil d'arrêter les Plans pourrait avoir un impact négatif sur les prix de marché des fonds. Les futures distributions seront déclarées en même temps que d'autres fonds fermés d'Invesco.
Invesco Advisers (NYSE: IVZ) gab die sofortige Beendigung der Managed Distribution Plans für zwei Fonds bekannt: Invesco High Income Trust II (NYSE: VLT) und Invesco Senior Income Trust (NYSE: VVR). Der VLT-Plan sah zuvor feste monatliche Ausschüttungen basierend auf einem Ausschüttungssatz von 8,5 % des Schlusskurses vom 1. August 2018 vor, während VVR monatlich $0,0380 pro Aktie zahlte.
Die Pläne wurden entwickelt, um den Aktionären konsistente regelmäßige Barauszahlungen zu bieten, indem langfristige Kapitalgewinne und/oder Rückzahlungen von Kapital verwendet werden, wenn die Anlageerträge unzureichend sind. Die Entscheidung des Vorstands, die Pläne zu beenden, könnte sich negativ auf die Marktpreise der Fonds auswirken. Zukünftige Ausschüttungen werden zusammen mit anderen geschlossenen Fonds von Invesco bekannt gegeben.
- None.
- Termination of guaranteed monthly distribution plans for two funds
- Potential adverse effect on market price of both funds' common shares
- Loss of consistent periodic cash payment guarantee for shareholders
Pursuant to the VLT Plan, VLT paid a stated fixed monthly distribution amount based on a distribution rate of
The Plans were intended to provide shareholders with a consistent, but not guaranteed, periodic cash payment from each Fund, regardless of when or whether income was earned, or capital gains were realized. Under the Plans, each Fund distributed long-term capital gains and/or return of capital to shareholders to maintain its monthly distribution level if sufficient investment income was not available. As previously provided, the Plans were subject to periodic review by each Fund's Board, and each Fund's Board could terminate or amend the terms of the respective Plan at any time. After consideration of a variety of factors, the Board of each Fund determined that terminating each Fund's Plan was advisable. The termination of the Plans could have an adverse effect on the market price of the Funds' common shares. Future distributions for each Fund will be declared together with each of the Invesco closed-end funds. No conclusions should be drawn about a Fund's investment performance from the amount of a Fund's distributions or from the termination of the Plans.
Form 1099-DIV for the calendar year will report distributions for federal income tax purposes. Each Fund's annual report to shareholders will include information regarding the tax character of a Fund's distributions for the fiscal year.
The final determination of the source and tax characteristics of all distributions in 2025 for the Funds will be made after the end of the year.
In order to comply with the requirements of Section 19 of the Investment Company Act of 1940, each Fund will provide its shareholders of record on the record date with a Section 19 Notice disclosing the sources of its dividend payment when a distribution includes anything other than net investment income. The Section 19 Notice is not provided for tax reporting purposes but for informational purposes only. If applicable, this Section 19 Notice information can be found on a Fund's website at www.invesco.com.
The amount of dividends paid by each Fund may vary from time to time. Past amounts of dividends are no guarantee of future dividend payment amounts.
Investing involves risk and it is possible to lose money on any investment in the Funds.
For more information, call 1-800-341-2929.
This communication is not intended to, and shall not, constitute an offer to purchase or sell shares of any of the Invesco Funds, including the Funds.
About Invesco Ltd.
Invesco Ltd. is a global independent investment management firm dedicated to delivering an investment experience that helps people get more out of life. Our distinctive investment teams deliver a comprehensive range of active, passive, and alternative investment capabilities. With offices in more than 20 countries, Invesco Ltd. managed
Invesco Distributors, Inc. is the
Note: There is no assurance that a closed-end fund will achieve its investment objective. Common shares are bought on the secondary market and may trade at a discount or premium to net asset value. Regular brokerage commissions apply.
NOT A DEPOSIT l NOT FDIC INSURED l NOT GUARANTEED BY THE BANK | MAY LOSE VALUE | NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY
Media Relations Contact: Matthew Chisum,
Matthew.Chisum@invesco.com, 212-652-4368
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SOURCE Invesco Ltd.
FAQ
What are the implications of IVZ terminating the Managed Distribution Plans for VLT and VVR shareholders?
What was the previous distribution rate for Invesco High Income Trust II (VLT) under the terminated plan?
How much was the monthly distribution for Invesco Senior Income Trust (VVR) before the plan termination?
When did Invesco (IVZ) implement these changes to the distribution plans?
