Royce Small-Cap Trust shares climbed to their highest level over the past year during mid-day trading on Friday, driven by an uptick of approximately 0.5% on volume of 208,709 shares. This milestone underscores renewed investor interest in the closed-end fund and highlights its resilience in the small-cap segment.

In late December, the trust announced a quarterly dividend of $0.54 per share, up from $0.29 in the prior period. This lift translates into an annualized payout of $2.16 per share and a yield of roughly 12.8%, marking one of the largest yield expansions in the small-cap closed-end space this year and reinforcing the fund’s Income Factory approach.

Several institutional investors adjusted their stakes during the first two quarters of the year. NewEdge Advisors boosted its holding by 5.8%, adding 2,919 shares to reach 53,335 shares. Bay Rivers Group increased its position by 5.7%, acquiring an additional 2,285 shares for a total of 42,559 shares. Meanwhile, Jane Street Group, Belpointe Asset Management and Jacobi Capital Management each initiated new positions, collectively taking on more than 5,000 shares between them. Hedge funds and other institutions now own 25.57% of the portfolio.

Royce Small-Cap Trust employs a bottom-up, fundamental research process focused on U.S. small-cap equities and may use leverage to enhance returns. The fund reinvests dividends to support compounding, aligning with its Income Factory strategy. As small-cap valuations remain attractive relative to large-caps, the trust is positioned to deliver both capital appreciation and robust income for investors seeking higher yield exposure in 2026.