Templeton Emerging Markets Income Fund (“TEI” or the “Fund”) Announces Distribution

Rhea-AI Summary

Templeton Emerging Markets Income Fund [NYSE: TEI] announced a monthly distribution of $0.0633 per share, payable on February 28, 2022 to shareholders on record as of February 17, 2022. The Fund implements a managed distribution plan ensuring a minimum annual rate of 10%, based on average monthly net asset value. Distributions may include long-term capital gains or return of capital if net ordinary income is insufficient. Shareholders should not interpret distribution amounts as indicators of investment performance, as actual reporting will vary based on investment outcomes.

Positive

• Monthly distribution of $0.0633 per share, providing consistent income to shareholders.
• Managed distribution plan with a minimum annual fixed rate of 10% aimed to enhance shareholder returns.

Negative

• The potential for the managed distribution plan to be amended or terminated, which could adversely affect market price.
• Distributions may include return of capital, which does not reflect the Fund’s investment performance and could mislead shareholders.

FORT LAUDERDALE, Fla.--(BUSINESS WIRE)-- Templeton Emerging Markets Income Fund [NYSE: TEI] today announced a monthly distribution from net investment income of $0.0633 per share, payable on February 28, 2022, to shareholders of record on February 17, 2022 (Ex-Dividend Date: February 16, 2022).

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 net asset value (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.

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. The amounts and sources of the Fund’s distributions to be reported will be estimates and will not be 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.

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

Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 165 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 brings extensive capabilities in equity, fixed income, multi-asset solutions and alternatives. With offices in more than 30 countries and approximately 1,300 investment professionals, the California-based company has 75 years of investment experience and over $1.5 trillion in assets under management as of December 31, 2021. For more information, please visit franklintempleton.com.

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Franklin Templeton

1-800-342-5236

Source: Franklin Templeton

FAQ

What is the monthly distribution for Templeton Emerging Markets Income Fund (TEI) in February 2022?

The monthly distribution is $0.0633 per share, payable on February 28, 2022.

When is the ex-dividend date for TEI in February 2022?

The ex-dividend date is February 16, 2022.

What is the purpose of the managed distribution plan for TEI?

The managed distribution plan aims to provide a minimum annual distribution rate of 10% based on average monthly net asset value.

Can the managed distribution plan for TEI be terminated?

Yes, the Board may amend or terminate the managed distribution plan at any time without prior notice.

How does a return of capital affect TEI shareholders?

A return of capital does not indicate investment performance and may mislead shareholders regarding the Fund's actual yield.