Tortoise Power and Energy Infrastructure Fund, Inc. Provides Section 19(a) Notice

Rhea-AI Summary

Tortoise Power and Energy Infrastructure Fund (NYSE:TPZ) has released its Section 19(a) notice detailing the sources of distributions paid on October 31, 2024. The current distribution of $0.1050 per share comprises 16% from net investment income and 84% from return of capital. The fund's performance metrics show an average annual total return of 7.69% for the five years ending September 30, 2024, and a cumulative total return of 23.09% for the fiscal year through September 30, 2024. The annualized distribution rate stands at 6.73% of NAV.

Positive

• Five-year average annual total return of 7.69%
• Strong fiscal year cumulative total return of 23.09%
• Consistent distribution rate of 6.73% of NAV

Negative

• 84% of current distribution consists of return of capital rather than earnings
• Fund is distributing more than its income and realized capital gains

Insights

Financial Analyst

This routine Section 19(a) notice details TPZ's distribution characteristics without presenting material changes to the fund's strategy or performance. The key metrics show an average 5-year return of 7.69% and a current distribution rate of 6.73% of NAV. Most notably, 84% of the current distribution comes from return of capital rather than investment income, which could be concerning for long-term sustainability.

The fund's fiscal year-to-date performance shows a strong total return of 23.09%, though distributions continue to exceed traditional income sources. While the distribution remains stable at $0.105 per share, investors should monitor the high return of capital component, as it effectively represents a return of their initial investment rather than genuine investment returns.

OVERLAND PARK, KS / ACCESSWIRE / October 31, 2024 / This required notice under Section 19(a) of the Investment Company Act of 1940 provides stockholders of Tortoise Power and Energy Infrastructure Fund, Inc. (NYSE:TPZ) with information regarding the sources of the distributions paid on Oct. 31, 2024, and cumulative distributions paid fiscal year-to-date.

The following table sets forth the estimated amounts of the current distributions, payable Oct. 31, 2024, and the cumulative distributions paid this fiscal year to date from the following sources: net investment income, net realized short-term capital gains, net realized long-term capital gains and return of capital. All amounts are expressed per common share.

Tortoise Power and Energy Infrastructure Fund, Inc.

Estimated Sources of Distributions ($) Current Distribution % Breakdown of the Current Distribution ($) Total Cumulative Distributions for the Fiscal Year to Date % Breakdown of the Total Cumulative Distributions for the Fiscal Year to Date Net Investment Income 0.0163 16% 0.2540 22% Net Realized Short-Term Capital Gains 0.0000 0% 0.0000 0% Net Realized Long-Term Capital Gains 0.0000 0% 0.0000 0% Return of Capital 0.0887 84% 0.9010 78% Total (per common share) 0.1050 100% 1.1550 100% Average annual total return (in relation to NAV) for the five years ending on September 30, 2024 7.69% Annualized current distribution rate expressed as a percentage of NAV as of September 30, 2024 6.73% Cumulative total return (in relation to NAV) for the fiscal year through September 30, 2024 23.09% Cumulative fiscal year distributions as a percentage of NAV as of September 30, 2024 6.17%

You should not draw any conclusions about TPZ's investment performance from the amount of this distribution or from the terms of TPZ's distribution policies.

TPZ estimates that it has distributed more than its income and net realized capital gains; therefore, a portion of your distribution may be a return of capital. A return of capital may occur, for example, when some or all of the money that you invested in TPZ is paid back to you. A return of capital distribution does not necessarily reflect TPZ's investment performance and should not be confused with "yield" or "income."

The amounts and sources of distributions reported are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon TPZ's investment experience during the remainder of their fiscal years and may be subject to changes based on tax regulations. TPZ will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes.

Tortoise Capital Advisors is the adviser to the Tortoise Power and Energy Infrastructure Fund, Inc.

For additional information on this fund, please visit cef.tortoiseadvisors.com.

About Tortoise Capital

With approximately $8.5 billion in assets under management as of September 30, 2024, Tortoise Capital's record of investment experience and research dates back more than 20 years. As an early investor in midstream energy, Tortoise Capital believes it is well-positioned to be at the forefront of the global energy evolution that is under way. Based in Overland Park, Kansas, Tortoise Capital Advisors, L.L.C. is an SEC-registered fund manager that invests primarily in publicly traded companies in the energy and power infrastructure sectors-from production to transportation to distribution. For more information about Tortoise Capital, visit www.TortoiseAdvisors.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains certain statements that may include "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical fact, included herein are "forward-looking statements." Although the funds and Tortoise Capital Advisors believe that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the fund's reports that are filed with the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required by law, the funds and Tortoise Capital Advisors do not assume a duty to update this forward-looking statement.

Safe Harbor Statement

This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.

Media Contacts

Margaret Kirch Cohen/Richard Chimberg
Newton Park PR
+1 847-507-2229
+1 617-312-4281
margaret@newtonparkpr.com
rich@newtonparkpr.com

SOURCE: Tortoise Capital

View the original press release on accesswire.com

FAQ

What is TPZ's current distribution amount per share for October 31, 2024?

TPZ's current distribution amount is $0.1050 per common share.

What is TPZ's five-year average annual total return as of September 30, 2024?

TPZ's five-year average annual total return is 7.69% in relation to NAV.

What percentage of TPZ's current distribution comes from return of capital?

84% of TPZ's current distribution comes from return of capital.

What is TPZ's annualized distribution rate as of September 30, 2024?

TPZ's annualized distribution rate is 6.73% of NAV as of September 30, 2024.