RE: RE: Estimate of true valueThe dividend was not an actual cash dividend but a distribution of earnings. They issue distribution in the form of additional units (like a stock dividend) and then simultaneously consolidate the number of units in the same proportion. The net effect is you end up with the same number of units and no cash but a tax bill in the form of capital gains. As a trust they don't pay any taxes provided they distribute any realized gains.
The
.51 in my calculation was an estimate of this tax bill (40% of $1.27). I realized afterwards that tax rate should actually be half since capital gains are taxed at 50% of normal rate. In any case its only an estimate dependent on your personal tax rate and how much the distribution is this year.