Invesco Ltd (IVZ, Financial), a global independent investment management firm, announced on November 29, 2024, that the Board of Trustees for Invesco High Income Trust II and Invesco Senior Income Trust have declared monthly dividends for their respective funds. The announcement includes details on the dividend amounts, ex-date, record date, reinvest date, and payable date. The funds have also provided estimates on the sources of these distributions, which include net investment income and return of capital.
Positive Aspects
- Invesco High Income Trust II maintains a stable monthly dividend of $0.0964 per share.
- Invesco Senior Income Trust increased its monthly dividend to $0.0430 per share, up from $0.0390.
- The funds provide transparency with detailed estimates of distribution sources.
Negative Aspects
- A portion of the distribution for Invesco High Income Trust II is estimated to be a return of principal, which may not reflect investment performance.
- There is no assurance that the funds will achieve their investment objectives, and dividends may vary.
Financial Analyst Perspective
From a financial analyst's perspective, the announcement of stable and increased dividends is a positive indicator of the funds' cash flow management and commitment to returning value to shareholders. However, the reliance on return of capital for part of the distribution could be a concern, as it may indicate that the funds are not generating sufficient income from their investments. Investors should monitor the funds' performance and the sustainability of these distributions.
Market Research Analyst Perspective
As a market research analyst, the decision to maintain and increase dividends could enhance investor confidence and potentially attract more investors seeking income-generating investments. However, the market's perception of the funds' reliance on return of capital could impact their trading prices. The funds' performance relative to their net asset value (NAV) and market conditions should be closely observed to assess future investment attractiveness.
Frequently Asked Questions
What are the dividend amounts for the funds?
Invesco High Income Trust II declared a dividend of $0.0964 per share, and Invesco Senior Income Trust declared a dividend of $0.0430 per share.
When are the dividends payable?
The dividends are payable on November 29, 2024.
What portion of the distribution is a return of capital?
For Invesco High Income Trust II, 31.74% of the distribution is estimated to be a return of principal.
How can shareholders get more information?
Shareholders can call Invesco at 800-341-2929 for additional information.
Read the original press release here.
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