Source Capital is a diversified closed-end management investment company traded on the NYSE under SOR. The Fund seeks total return for common shareholders from capital appreciation and investment income, with attention to protection of invested capital.
Recurring company updates center on monthly common-stock distributions, U.S. federal tax treatment of dividends and deemed distributions, NAV-related discount management, contingent tender-offer mechanics, stock repurchases, leverage risks, portfolio statistics, and matters involving its investment adviser, FPA.
Source Capital, Inc. (NYSE: SOR) announced an increase in its annualized distribution rate to $2.22 per common share, equating to 18.5 cents per share monthly for the next three months. This results in a 5.25% distribution rate based on the March 4, 2021 closing price, marking a 122% increase from February 2021. The Fund also approved a Discount Management Program to conduct tender offers if shares trade at an average discount exceeding 10%. Additionally, the Fund’s portfolio includes 12% in private-credit assets, achieving its year-end goal.
The Board of Directors of Source Capital announced a 46% increase in its monthly distribution rate, raising it from an annualized rate of $1.00 to $1.46 per common share. This translates to regular monthly distributions of 12.167 cents each for March, April, and May 2021. The record and payable dates for these distributions are specified for each month. Source Capital is a closed-end investment company aiming for maximum total return for shareholders.
The Board of Directors of Source Capital (NYSE: SOR) announced a regular monthly distribution of 8.3 cents per share, payable on February 26, 2021, to shareholders of record as of February 12, 2021. Source Capital is a closed-end investment company managed by First Pacific Advisors, LP. Distributions may include ordinary income, net capital gains, or returns of capital, which reduce a shareholder’s tax basis in their shares. Future distribution rates may fluctuate based on market conditions and fund performance.
The Board of Directors of Source Capital, Inc. (NYSE: SOR) has declared a regular monthly distribution of 8.3 cents per common share, payable on January 29, 2021. Shareholders of record as of the close of business January 19, 2021 will receive this distribution. The fund is committed to ongoing monthly distributions. The distribution may include ordinary income, net capital gains, or returns of capital. It is important for shareholders to note that these distributions may not accurately reflect the Fund’s performance and are subject to market factors that can affect future rates.
The Board of Directors of Source Capital (NYSE:SOR) declared a quarterly distribution of $0.25 per share and a special distribution of $0.64 per share. Both distributions have an ex-date of November 25, 2020, with record dates on November 27, 2020, and a pay date of December 15, 2020. The special distribution is due to substantial capital gains realized in 2020, fulfilling tax obligations under the Internal Revenue Code. Source Capital aims for maximum return through capital appreciation and investment income.
Source Capital, Inc. is enhancing shareholder value by targeting a 12% investment in private credit by year-end 2020 and seeking a committed credit facility by early 2021. The Fund's share repurchase program has been updated to allow buybacks at a discount greater than 5% to net asset value (NAV). The discount to NAV was 11.5%, with repurchases occurring at an average discount of 10.3% since the program's reinstatement. Starting January 2021, the Fund will shift to monthly distributions, aimed at improving yield and aligning share prices closer to NAV.