Bullboard - Stock Discussion Forum Canoe EIT Income 4.80 Cumulative Redeemable Pref shs Series 1 T.EIT.P.A

Alternate Symbol(s): ENDTF | T.EIT.P.B | T.EIT.UN

Canoe EIT Income Fund is a Canadian closed-end investment trust. The investment objective of the Fund is to maximize monthly distributions relative to risk and maximize net asset value while maintaining and expanding a diversified portfolio. The company invests in various sectors, of which Financials, Energy, Healthcare, etc.

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Canoe EIT Income 4.80 Cumulative Redeemable Pref shs Series 1 > Curious Again

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Post by SadieLadyCO on Jan 21, 2023 7:30pm

Curious Again

The fund may have been running low on paying out the div mthly. That is why the had to sell more shares ATM. It is curious because a closed end fund normaly and only issue share in the fund at the start of the fund. So why now offer up MORE shares.

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Comment by DanielDarden123 on Jan 22, 2023 1:23pm

The ATM is an alternate method of raising capital by an issuer. After approval, the issuer CAN sell units through the market or choose not to. Because the asset manager receives a fee of 1% of the assets, it is advantageous from its’ perspective obviously. Normally any sales would occur at or near NAV/u so as not to impact NAV/u. The proceed from any sales could be invested by the manager to ...more

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