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GAMCO Natural Resources increases annual distribution by 25% to $0.60 per share.
ByAinvest
Wednesday, Aug 27, 2025 7:32 am ET1min read
The Board of Trustees of GAMCO Natural Resources, Gold & Income Trust approved a policy of paying monthly cash distributions of $0.05 per share for October, November, and December 2025. The annual distribution was increased by 25% to $0.60 per share, to be paid monthly starting in October. It is expected that distributions will primarily be a return of capital for tax purposes.
The Board of Trustees of GAMCO Natural Resources, Gold & Income Trust (NYSE: GNT) has authorized a significant increase in its monthly cash distribution, effective October 2025. The new monthly distribution amount will be $0.05 per share, a 25% increase from the previous $0.04 per share [1]. This change is part of a broader strategy to enhance the fund's income profile and align with its primary investment objective of providing a high level of current income.The increase in the monthly cash distribution reflects the fund's strong year-to-date performance, with a NAV total return of 28% [1]. This robust performance underscores the fund's ability to generate income through a diversified portfolio of gold and natural resources equities, as well as its covered call options strategy.
The new distribution policy is expected to be primarily a return of capital (ROC) for tax purposes, deferring tax liabilities and providing investors with a stable yield in a low-interest environment [2]. However, investors should be aware of the deferred tax risks associated with ROC distributions. When selling shares after cost basis erosion from cumulative ROC, investors may face capital gains taxes [2].
Investors should carefully consider the investment objectives, risks, charges, and expenses of the Fund before investing. The Fund's NAV per share will fluctuate with changes in the market value of its portfolio of securities, and stocks are subject to market, economic, and business risks that cause their prices to fluctuate [1].
For more information regarding the Fund’s distribution policy and other information about the Fund, investors can contact David Schachter at (914) 921-5057 [1].
References:
[1] https://finance.yahoo.com/news/gamco-natural-resources-gold-income-113000892.html
[2] https://www.ainvest.com/news/sustainable-income-volatility-evaluating-ggn-return-capital-distributions-2508/
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