Look Inside: Closed-End Fund Report
The 2023 Closed-End Fund Report—Fixed Income Securities, written by experts Bruce A. Johnson and James R. Park, provides valuation experts just like you with comprehensive data points featuring data on discount for lack of control in FLPs, municipal bonds, government bonds, and more! In that vein, let's take a closer look at a couple of the government/mortgage bonds discussed in this report.
BlackRock Income Trust Inc. (NYSE: BKT) is a diversified, closed-end
management company. The fund was formed in 1988 with the objective of managing a portfolio of high-quality securities and achieving high monthly income consistent with the preservation of capital. The fund declares and pays dividends to common shareholders monthly from net investment income, net realized short-term capital gains, and other sources. Net long-term capital gains, if any, in excess of loss carryforwards may be distributed annually. At least 65% of the fund’s assets are to be invested in mortgage-backed securities backed by U.S. government agencies (such as Fannie Mae, Freddie Mac, or Ginnie Mae). The remainder is normally invested in asset-backed securities. The fund may engage in hedging transactions and short sales, investing in restricted or illiquid securities, making forward commitments, entering into reverse repurchase agreements, and lending its portfolio securities. Through borrowing, the fund may leverage up to one-third of its assets. The average annual price-to-NAV ratios at which interests in the fund historically traded are shown below. In 2018, the fiscal year-end of the fund was changed from August 31 to December 31. Selected financial highlights as of each fiscal year-end traded are shown below.
First Trust Mortgage Income Fund (NYSE: FMY) is a diversified, closed-end management investment company formed in 2005. The primary investment objective of the fund is to seek a high level of current income; its secondary objective is to preserve capital. The fund pursues its objectives by investing primarily in mortgage-backed securities representing part ownership in a pool of either residential or commercial mortgage loans that offer an attractive combination of credit quality, yield, and maturity. The fund distributes to common shareholders monthly dividends of all or a portion of its net income after the payment of interest and dividends in connection with leverage, if any. Distributions of any net long-term capital gains earned by the fund are distributed at least annually.
The 2023 Closed-End Fund Report—Fixed Income Securities is 39 pages filled with the latest data on bonds and debt securities that can help you stay on top of the latest trends! Get your copy today!