Reaves Fund Boosts Payout 5% to 6.12% Yield; CPP Cuts Unite Group Stake
UTG•Reaves Utility Income Fund raised its monthly payout 5% to $0.21, bringing its annual distribution to $2.52 for a 6.12% yield based on a $41.18 share price. Canada Pension Plan Board cut its Unite Group stake to just over 7%, dropping below 10% and prompting nonexecutive director Thomas Jackson’s exit.
1. Reaves Fund Distribution Increase
Reaves Utility Income Fund announced a 5% increase in its monthly distribution to $0.21 per share, raising the annual payout to $2.52. This adjustment yields 6.12% based on a $41.18 market price and follows 13 prior raises since the Fund’s February 2004 inception, supported by $4.83 billion AUM and 92.23 million shares.
2. CPP Stake Reduction and Board Change
Canada Pension Plan Board trimmed its Unite Group holding to just over 7%, falling below the 10% threshold required for board representation. As a result, nonexecutive director Thomas Jackson will step down, altering the governance structure of the student accommodation provider.
