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Dividend 15 Split Corp T.DFN

Alternate Symbol(s):  DFNPF | T.DFN.PR.A | DVSPF

Dividend 15 Split Corp. is a Canada-based mutual fund, which invests primarily in a portfolio of dividend yielding common shares, which includes approximately 15 Canadian companies. It offers two types of shares, including Preferred shares and Class A shares. Its investment objectives with respect to Preferred Shares are to provide holders with fixed cumulative preferential monthly cash dividends in an amount of $0.04583 per Preferred share to yield 5.5% per annum on the $10 repayment amount and to return the $10 repayment amount to their holders on the termination date. Its investment objectives with respect to Class A Shares are to provide holders with regular monthly cash distribution targeted to be $0.10 per Class A share and return the original issue price to their holders on the termination date. The net asset value per unit must remain above the required $15 per unit threshold for distributions to be declared. Its investment manager is Quadravest Capital Management Inc.


TSX:DFN - Post by User

Bullboard Posts
Comment by JohnWalkeron Aug 22, 2019 1:00am
91 Views
Post# 30053509

RE:RE:RE:Help me dive into this one...

RE:RE:RE:Help me dive into this one...That's about the jist of it ... their main source of income is the dividends paid by their holdings in the fund. They do also write covered calls according to "some secret formula" but as far as I am concerned the premiums on those calls are a very small part of their total income. And of course they run the risk of having their shares called away if the holder can make a profit, which in turn limits their capital gains if that happens.

I don't really have an answer for you and I never cared to send the time or effort. You would have to go through their Annual (or quarterly) financial statements when released to track all their sources of income -- way too complex for my small head.

Lastly, they do "actively" manage the fund, so perhaps they make some shrewd sales and purchases to capture capital gains?

Bullboard Posts