Virtus Diversified Income & Convertible Fund Sets $0.18 Monthly Distribution and 8.35% Yield
Virtus Diversified Income & Convertible Fund announced monthly distributions of $0.18 payable March 30, April 29 and May 28, 2026, under its Managed Distribution Plan. The fund’s annualized distribution rate on NAV is 8.35%, with February’s $0.18 payout funded 94.2% by short-term capital gains and 5.8% by income.
1. Distribution Announcement
Virtus Diversified Income & Convertible Fund declared monthly distributions of $0.18 per share for March (payable March 30), April (payable April 29) and May (payable May 28) 2026 under its Managed Distribution Plan.
2. Distribution Sources Breakdown
For February’s distribution, 94.2% of the $0.18 per share was funded by net realized short-term capital gains and 5.8% by net investment income; any shortfall would be met by asset redemption, constituting a return of capital.
3. Yield and Performance Metrics
As of February 27, the fund’s annualized current distribution rate on NAV stood at 8.35%, average annual NAV return over five years was 6.52%, fiscal year-to-date NAV return was 0.50% and YTD distribution rate was 0.70%.
4. Fund Structure and Term
The closed-end fund allocates at least 50% of assets to convertible securities with covered-call writing capability and is set to terminate on the first business day after its 15th anniversary on May 22, 2030, unless extended by trustees.