Canadian Utilities and Telecom Income Fund

Quick Facts +

Inception Date: 12-17-2010

Total Assets As of 09/30/2016: $35.23 mm

Management Fee: 1.1%

Service Fee: 0.4%

Overview

The Fund is a closed-end investment trust that invests in the utilities and telecommunications sectors and utilizes Strathbridge’s proprietary SSO covered call writing strategy to enhance the income generated by the portfolio and to reduce volatility.

 

Objectives

The Fund’s investment objectives are:

  • to pay holders of its units monthly distributions in an amount targeted to be 7.0 percent per annum on the net asset value (“NAV”) of the Fund
  • to preserve and enhance the Fund’s NAV while reducing portfolio volatility.

 

Name Ticker Current Yield Recent
Distributions
Most Recent
Distribution Date
YTD
Distributions
Canadian Utilities & Telecom Income FundUTE.UN6.79%0.0596802017-09-299

Top Holdings Top 6 Holdings as of June 30, 2017

Holding Name % of NAV
CASH14.2%
CANADIAN UTILITIES LIMITED11.3%
TRANSALTA CORPORATION9.6%
EMERA INCORPORATED9.1%
PEMBINA PIPELINE CORPORATION8.8%
BROOKFIELD RENEWABLE ENERGY PARTNERS L.P.8.8%

Sector Allocations

Historic Net Asset Value Per Unit

The fund calculates the net asset value per share on weekly basis as of the close of business on Thursday and generally posts the amount at the close of business on Friday.

NOTE: Class A unit consolidation – The Class A unit were consolidated on April 21, 2016 on the basis of 0.374038 new unit for each old unit resulting in a new asset value of $10.00 per new Class A unit.

 

Click here to see historic NAV's NAV Per
Capital Unit
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Performance

Name Ticker YTD 1 yr* 3 yr* 5 yr* 10 yr* Since inception*
Canadian Utilities & Telecom Income Fund UTE.UN 2.02% 1.62% 2.66% 4.20% 5.96%

*Annualized returns

Time period: (*)

Distributions

Name Ticker Current Yield Recent
Distributions
Most Recent
Distribution Date
YTD
Distributions
Canadian Utilities & Telecom Income FundUTE.UN6.79%0.0596802017-09-299

Tax Benefits

Distributions from the Fund may have significant tax benefits which result in higher after-tax cash flow than if the income had been earned outside of the Fund. The Fund will generally earn dividends on portfolio securities, interest income on cash balances and option premium income which is generally taxed as capital gains. Some portion of a distribution may be considered a return of capital for tax purposes, which is not included in an investor’s taxable income for a year, but will reduce the adjusted cost base of the units, by the amount received. The reduction in the adjusted cost base of the units is ultimately taxed as a capital gain when the units are sold for investors who hold their units as capital property.

The actual breakdown of distributions for tax purposes will be provided to unitholders annually in March following receipt of the information from the Fund’s custodian. This information will also be posted on the website as soon as it is available.

This information is of a general nature only and does not constitute legal or tax advice to any particular investor. Accordingly, prospective investors are advised to consult their own tax advisors with respect to their individual circumstances.

 

Cumulative Distributions

 

Tax and Distribution Summary

Regular Distribution Special Distribution Total Distribution Capital Gains
per Unit
Div. Income
per Unit
Return of Capital Other Income Foreign Divided Income Witholding Taxes Paid
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Percent (%)
Total Distributions to Date

Daily Prices

Date:   Nav Per
Capital Unit
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Documentation

Date:   Description
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