Certain DWS Closed-End Funds Declare Monthly Distributions

Rhea-AI Summary

DWS closed-end funds announced their regular monthly distributions. DWS Strategic Municipal Income Trust (KSM) and DWS Municipal Income Trust (KTF) declared distributions of $0.0230 and $0.0610 per share respectively, payable on October 31, 2024.

KSM's last regular monthly dividend will be for October, with no expected November dividend. Any November net investment income will be included in KSM's final liquidating distribution, expected around November 20, 2024.

KTF aims to distribute all net investment income and realized capital gains. Its October distribution may include a return of capital. Both funds are subject to various risks, including interest-rate, credit, and market risks. Closed-end funds trade on the open market and may trade at a discount to net asset value.

NEW YORK--(BUSINESS WIRE)-- The DWS closed-end funds listed below (each, a “Fund”) announced today their regular monthly distributions.

Details are as follows:

October Monthly Distributions
Declaration – 10/07/2024	Ex-Date – 10/17/2024	Record – 10/17/2024	Payable – 10/31/2024

	Fund	Ticker	Distribution Per Share	Prior Distribution Per Share
	DWS Strategic Municipal Income Trust	KSM	$0.0230	$0.0230
	DWS Municipal Income Trust	KTF	$0.0610	$0.0610

KSM’s last anticipated regular monthly dividend will be for the month of October. The Fund does not expect to pay its regular November monthly dividend. Any net investment income earned in November would consequently be included as part of KSM’s final liquidating distribution to common shareholders, which is currently expected to occur on or about November 20, 2024.

KTF intends to distribute all or substantially all of its net investment income each year through its regular monthly distributions and to distribute any realized capital gains at least annually. In addition, in any monthly period, to maintain its declared per common share distribution amount, KTF may distribute more or less than its net investment income during the period. In the event KTF distributes more than its net investment income during any yearly period, such distributions may also include realized gains and/or a return of capital. When distributions exceed total return performance, the difference will reduce KTF’s net asset value.

It is estimated that a portion of KTF’s October distribution consists of a return of capital. A return of capital may occur, for example, when some or all of a shareholder’s investment is paid back to the shareholder. A return of capital distribution does not necessarily reflect a fund’s investment performance and should not be confused with “yield” or “income.” Shareholders should not draw any conclusions about KTF’s investment performance from the amount of its monthly distribution. As required by Federal securities laws, KTF will issue a notice to its common shareholders in connection with its monthly distribution that contains information about the amount and estimated sources of the distribution and other related information. The final determination of the source and tax status of all distributions paid in 2024 will be made after the end of 2024 and will be provided on Form 1099-DIV.

Important Information

DWS Municipal Income Trust. Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds, and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. Leverage results in additional risks and can magnify the effect of any gains or losses. Although the fund seeks income that is exempt from federal income taxes, a portion of the fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax.

DWS Strategic Municipal Income Trust. Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Credit risk refers to the ability of an issuer to make timely payments of principal and interest. Municipal securities are subject to the risk that litigation, legislation or other political events, local business or economic conditions or the bankruptcy of the issuer could have a significant effect on an issuer’s ability to make payments of principal and/or interest. The market for municipal bonds may be less liquid than for taxable bonds, and there may be less information available on the financial condition of issuers of municipal securities than for public corporations. Investing in derivatives entails special risks relating to liquidity, leverage and credit that may reduce returns and/or increase volatility. Leverage results in additional risks and can magnify the effect of any gains or losses. Although the fund seeks income that is exempt from federal income taxes, a portion of the fund’s distributions may be subject to federal, state and local taxes, including the alternative minimum tax.

Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are bought and sold in the open market through a stock exchange. Shares of closed-end funds frequently trade at a discount to the net asset value. The price of a fund’s shares is determined by a number of factors, several of which are beyond the control of the fund. Therefore, the fund cannot predict whether its shares will trade at, below or above net asset value.

Past performance is no guarantee of future results.

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.

Certain statements contained in this release may be forward-looking in nature. These include all statements relating to plans, expectations, and other statements that are not historical facts and typically use words like “expect,” “anticipate,” “believe,” “intend,” ”estimated” and similar expressions. Such statements represent management’s current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, such statements. Management does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. The following factors, among others, could cause actual results to differ materially from forward-looking statements: (i) the effects of adverse changes in market and economic conditions; (ii) legal and regulatory developments; and (iii) other additional risks and uncertainties, including public health crises (including the pandemic spread of viruses), war, terrorism, trade disputes and related geopolitical events.

War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led, and, in the future, may lead to significant disruptions in US and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the fund and its investments.

NOT FDIC/ NCUA INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
NOT A DEPOSIT • NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

DWS Distributors, Inc.
222 South Riverside Plaza
Chicago, IL 60606-5808
www.dws.com
Tel (800) 621-1148
© 2024 DWS Group GmbH & Co. KGaA. All rights reserved.

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services. (R-103015 -1) (10/24)

View source version on businesswire.com: https://www.businesswire.com/news/home/20241007666133/en/

For additional information:

DWS Press Office (212) 454-4500

Shareholder Account Information (800) 294-4366

DWS Closed-End Funds (800) 349-4281

Source: DWS Distributors, Inc.

FAQ

What are the October 2024 distributions for DWS Strategic Municipal Income Trust (KSM)?

DWS Strategic Municipal Income Trust (KSM) declared a distribution of $0.0230 per share for October 2024, payable on October 31, 2024.

When is the final liquidating distribution expected for KSM?

The final liquidating distribution for KSM is currently expected to occur on or about November 20, 2024.

What risks are associated with investing in DWS Municipal Income Trust (KTF)?

DWS Municipal Income Trust (KTF) is subject to interest-rate, credit, liquidity, and market risks. It also faces risks specific to municipal securities, such as political events and local economic conditions affecting an issuer's ability to make payments.

How do closed-end funds like KSM and KTF differ from open-end funds?

Unlike open-end funds, closed-end funds like KSM and KTF are not continuously offered. They are issued once and then traded on the open market through stock exchanges, often at a discount to their net asset value.

What is included in KTF's October 2024 distribution?

KTF's October 2024 distribution may include net investment income, realized gains, and potentially a return of capital. The exact composition will be determined at the end of 2024 and provided on Form 1099-DIV.