Templeton Emerging Markets Income Fund (“TEI” or the “Fund”) Announces Notification of Sources of Distributions

Rhea-AI Summary

Templeton Emerging Markets Income Fund (TEI) has released a notification of sources of distributions for the fiscal year 2023. The estimated allocations for the October monthly distribution show a per share distribution of $0.0463, with 83% coming from net investment income and 17% from return of capital. Cumulative estimated allocations for the fiscal year-to-date indicate a per share distribution of $0.4290, with 74% from net investment income, 6% from net realized short-term capital gains, and 20% from return of capital.

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)-- Templeton Emerging Markets Income Fund [NYSE: TEI]:

Notification of Sources of Distributions Pursuant to Section 19(a) of the Investment Company Act of 1940

The Fund’s estimated sources of the distribution to be paid on October 31, 2023, and for the fiscal year 2023 year-to-date are as follows:

Estimated Allocations for October Monthly Distribution as of September 30, 2023:

	Distribution Per Share	Net Investment Income	Net Realized Short-Term Capital Gains	Net Realized Long-Term Capital Gains	Return of Capital
	$0.0463	$0.0383 (83%)	$0.00 (0%)	$0.00 (0%)	$0.0080 (17%)

Cumulative Estimated Allocations fiscal year-to-date as of September 30, 2023, for the fiscal year ending December 31, 2023:

	Distribution Per Share	Net Investment Income	Net Realized Short-Term Capital Gains	Net Realized Long-Term Capital Gains	Return of Capital
	$0.4290	$0.3186 (74%)	$0.0241 (6%)	$0.00 (0%)	$0.0863 (20%)

Shareholders should not draw any conclusions about the Fund’s investment performance from the amount of this distribution or from the terms of the Plan. TEI estimates that it has distributed more than its income and net realized capital gains; therefore, a portion of the TEI distribution to shareholders may be a return of capital. A return of capital may occur, for example, when some or all of the money that a shareholder invested in a Fund is paid back to them. A return of capital distribution does not necessarily reflect TEI’s investment performance and should not be confused with ‘yield’ or ‘income’. The amounts and sources of distributions reported herein are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund’s investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund will send a Form 1099-DIV to shareholders for the calendar year that will describe how to report the Fund’s distributions for federal income tax purposes.

Average Annual Total Return (in relation to the change in net asset value (NAV) for the 5-year period ended on 9/30/2023)1	Annualized Distribution Rate (as a percentage of NAV for the current fiscal period through 9/30/2023)2	Cumulative Total Return (in relation to the change in NAV for the fiscal period through 9/30/2023)3	Cumulative Fiscal Year-To-Date Distribution Rate (as a percentage of NAV as of 9/30/2023)4
-5.78%	10.25%	2.18%	7.92%

Fund Performance and Distribution Rate Information:

1. Average Annual Total Return in relation to NAV represents the compound average of the Annual NAV Total Returns of the Fund for the five-year period ended through September 30, 2023. Annual NAV Total Return is the percentage change in the Fund’s NAV over a year, assuming reinvestment of distributions paid.
2. The Annualized Distribution Rate is the current fiscal period’s distribution rate annualized as a percentage of the Fund’s NAV through September 30, 2023.
3. Cumulative Total Return is the percentage change in the Fund’s NAV from December 31, 2022 through September 30, 2023, assuming reinvestment of distributions paid.
4. The Cumulative Fiscal Year-To-Date Distribution Rate is the dollar value of distributions for the fiscal period December 31, 2022 through September 30, 2023, as a percentage of the Fund’s NAV as of September 30, 2023.

The Fund’s Board of Trustees (the “Board”) has authorized a managed distribution plan pursuant to which the Fund makes monthly distributions to shareholders at an annual minimum fixed rate of 10%, based on the average monthly NAV of the Fund’s common shares (the “Plan”). The Fund calculates the average NAV from the previous month based on the number of business days in the month on which the NAV is calculated. The Plan is intended to provide shareholders with a constant, but not guaranteed, fixed minimum rate of distribution each month and is intended to narrow the discount between the market price and the NAV of the Fund’s common shares, but there can be no assurance that the Plan will be successful in doing so. The Fund is managed with a goal of generating as much of the distribution as possible from net ordinary income and short-term capital gains, that is consistent with the Fund’s investment strategy and risk profile. To the extent that sufficient distributable income is not available on a monthly basis, the Fund will distribute long-term capital gains and/or return of capital in order to maintain its managed distribution rate. A return of capital may occur, for example, when some or all of the money that was invested in the Fund is paid back to shareholders. A return of capital distribution does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income”. Even though the Fund may realize current year capital gains, such gains may be offset, in whole or in part, by the Fund’s capital loss carryovers from prior years.

The Board may amend the terms of the Plan or terminate the Plan at any time without prior notice to the Fund’s shareholders. The amendment or termination of the Plan could have an adverse effect on the market price of the Fund’s common shares. The Plan will be subject to the periodic review by the Board, including a yearly review of the annual minimum fixed rate to determine if an adjustment should be made.

For further information on Templeton Emerging Markets Income Fund, please visit our web site at: www.franklintempleton.com

Franklin Resources, Inc. is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,300 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and approximately $1.4 trillion in assets under management as of September 30, 2023. For more information, please visit franklintempleton.com.

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Franklin Templeton

1-800-342-5236

Source: Franklin Templeton

FAQ

What is the ticker symbol for Templeton Emerging Markets Income Fund?

The ticker symbol for Templeton Emerging Markets Income Fund is TEI.

What is the per share distribution for the October monthly distribution?

The per share distribution for the October monthly distribution is $0.0463.

What percentage of the October monthly distribution comes from net investment income?

83% of the October monthly distribution comes from net investment income.

What percentage of the October monthly distribution comes from return of capital?

17% of the October monthly distribution comes from return of capital.

What is the per share distribution for the fiscal year-to-date?

The per share distribution for the fiscal year-to-date is $0.4290.

What percentage of the fiscal year-to-date distribution comes from net investment income?

74% of the fiscal year-to-date distribution comes from net investment income.

What percentage of the fiscal year-to-date distribution comes from net realized short-term capital gains?

6% of the fiscal year-to-date distribution comes from net realized short-term capital gains.

What percentage of the fiscal year-to-date distribution comes from return of capital?

20% of the fiscal year-to-date distribution comes from return of capital.