Distributions from the Fund have tax benefits which results in higher after-tax cash flow than if the income had been earned as interest income.
It is expected that distributions to unitholders will primarily be characterized as combination of capital gains, return of capital and foreign income but may also include ordinary dividends.
The actual breakdown of distributions for tax purposes will be provided to unitholders annually in March. This information will also be posted on the website as soon as it is available.
This information is of a general nature only and does not constitute legal or tax advice to any particular investor. Accordingly, prospective investors are advised to consult their own tax advisors with respect to their individual circumstances.
Investors may elect to automatically reinvest their distributions in additional units of the Fund and realize the benefits of compound growth. Any units acquired pursuant to the distribution reinvestment program qualify for the service fee. DRIP Plan
The following information is applicable to holders who, for the purpose of the Income Tax Act (Canada), are resident in Canada and hold units as capital property outside of an RRSP, DPSP, RRIF, RESP or TFSA. Unitholders should receive a T3 slip from their investment dealer providing this information.
T3 supplementary slips for holdings of the Fund will indicate Other Income (Investment Income and Non-Investment Income) in Box 26, Foreign Non-Business Income in Box 25, Capital Gains in Box 21 and Eligible Dividend Income in Box 49. Dividend income is subject to the standard gross-up and federal dividend tax credit rules. The return of capital component is a non-taxable amount that serves to reduce the adjusted cost base of Fund units and is reported on the T3 supplementary slips in Box 42.
The following table outlines the breakdown in the Fund’s distributions declared on a per unit basis
Income Foreign Income
Tax Paid Capital
Gains Return of
- Jan 31, 2018Feb 14, 2018TBDTBDTBDTBD0.05200
- Feb 28, 2018Mar 14, 2018TBDTBDTBDTBD0.05200
- Mar 29, 2018Apr 13, 2018TBDTBDTBDTBD0.05200
- Apr 30, 2018May 14, 2018TBDTBDTBDTBD0.05200
- May 31, 2018Jun 14, 2018TBDTBDTBDTBD0.05200
- Jun 29, 2018Jul 16, 2018TBDTBDTBDTBD0.05200
- Jul 31, 2018Aug 15, 2018TBDTBDTBDTBD0.05200
- Aug 31, 2018Sep 17, 2018TBDTBDTBDTBD0.05200
- Sep 28, 2018Oct 15, 2018TBDTBDTBDTBD0.05200
- Total TBDTBDTBDTBD0.46800
For Record Date Dec. 31, 2012 with Payment Date Dec. 31, 2012: The amount of $0.317 per unit was automatically reinvested in additional units and this amount may change depending on any other transactions occurring before year end. Immediately following issuance, the units of the Fund will be automatically consolidated and as a result, unitholders will hold the same number of units after the distribution as they held before it. The adjusted cost base of a holder’s units will be increased by the amount of the distribution reinvested in units as of December 31, 2012.