Virtus Convertible & Income Fund Announces Quarterly Distribution: 5.625% Series A Cumulative Preferred Shares

Rhea-AI Summary

The Virtus Convertible & Income Fund (NYSE: NCV) has declared a quarterly cash distribution of $0.3515625 per share for its Series A Cumulative Preferred Shares. The distribution will be paid on December 31, 2024, to shareholders of record as of December 12, 2024. The preferred shares, trading under NCV PR A, are rated 'A' by Fitch Ratings and carry an annual dividend rate of $1.40625 per share. Originally issued at $25.00 per share in September 2018, the 4,000,000 shares are now callable at the liquidation value of $25.00 plus accrued dividends.

Positive

• Maintains consistent quarterly dividend payment of $0.3515625 per preferred share
• Strong 'A' rating from Fitch Ratings

Negative

• None.

Insights

Financial Analyst

This quarterly preferred dividend announcement represents a routine distribution of $0.3515625 per share for NCV's Series A Cumulative Preferred shares. The preferred shares carry a 5.625% annual yield based on the $25 par value, which translates to $1.40625 per share annually. While this provides steady income for preferred shareholders, it's a contractual obligation rather than a discretionary payment. The callable nature of these shares at $25 introduces potential reinvestment risk for holders, though the strong Fitch "A" rating suggests solid dividend security.

HARTFORD, Conn.--(BUSINESS WIRE)-- Virtus Convertible & Income Fund (NYSE: NCV) announced today that it has declared a $0.3515625 per share cash distribution payable on December 31, 2024 to Series A cumulative preferred shareholders of record on December 12, 2024.

The Series A Cumulative Preferred Shares, which trade on the New York Stock Exchange under the symbol NCV PR A, are rated “A” by Fitch Ratings and have an annual dividend rate of $1.40625 per share. The 4,000,000 Series A Cumulative Preferred Shares were issued September 20, 2018 at $25.00 per share and pay distributions quarterly. This distribution represents the accrual period from October 1, 2024 through December 31, 2024. The Series A Cumulative Preferred Shares are now callable at any time at the liquidation value of $25.00 per share plus accrued dividends.

About the Fund

Virtus Convertible & Income Fund has an investment objective to provide total return through a combination of capital appreciation and high current income. Virtus Investment Advisers, Inc. is the investment adviser to the fund and Voya Investment Management is its subadviser.

For more information on this fund, contact shareholder services at (866) 270-7788, by email at closedendfunds@virtus.com, or through the Closed-End Funds section on the web at virtus.com.

Fund Risks

An investment in a fund is subject to risk, including the risk of possible loss of principal. A fund’s shares may be worth less upon their sale than what an investor paid for them. Shares of closed-end funds may trade at a premium or discount to their net asset value. For more information about the fund’s investment objective and risks, please see the fund’s annual report. A copy of the fund’s most recent annual report may be obtained free of charge by contacting “Shareholder Services” as set forth at the end of this press release.

About Virtus Investment Partners, Inc.

Virtus Investment Partners (NYSE: VRTS) is a distinctive partnership of boutique investment managers singularly committed to the long-term success of individual and institutional investors. We provide investment management products and services from our affiliated managers, each with a distinct investment style and autonomous investment process, as well as select subadvisers. Investment solutions are available across multiple disciplines and product types to meet a wide array of investor needs. Additional information about our firm, investment partners, and strategies is available at virtus.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20241202458922/en/

For Further Information:

Shareholder Services

(866) 270-7788

closedendfunds@virtus.com

Source: Virtus Convertible & Income Fund

FAQ

What is the quarterly distribution amount for Virtus Convertible & Income Fund (NCV) Series A Preferred Shares?

The quarterly distribution amount is $0.3515625 per share for the Series A Preferred Shares.

When is the payment date for NCV's Series A Preferred Shares Q4 2024 distribution?

The distribution payment date is December 31, 2024, for shareholders of record as of December 12, 2024.

What is the annual dividend rate for NCV Series A Preferred Shares?

The annual dividend rate for the Series A Preferred Shares is $1.40625 per share.

What is the credit rating of NCV's Series A Preferred Shares?

The Series A Preferred Shares are rated 'A' by Fitch Ratings.