Tri-Continental (NYSE: TY) sets Q2 income and capital gain payouts
Filing Impact
Filing Sentiment
Form Type
8-K
Rhea-AI Filing Summary
Tri-Continental Corporation is declaring second quarter 2026 distributions for its closed-end fund shares. Common stockholders will receive an ordinary income distribution of $0.2852 per share and a total capital gain distribution of $0.5442 per share, made up of $0.1032 short-term and $0.4410 long-term gains. Preferred stockholders will receive an ordinary income distribution of $0.6250 per share.
Distributions on common stock will be paid on June 25, 2026 to holders of record on June 16, 2026, while preferred dividends will be paid on July 1, 2026 to holders of record on June 16, 2026; the ex-dividend date for both classes is June 16, 2026. The capital gain distribution is a special distribution that will be paid in stock by default, though stockholders of record may elect varying combinations of stock and cash. The company notes these distributions are currently estimated to come from earnings and profits, with no return of capital, and highlights that it has paid dividends on its common stock for 82 consecutive years.
Positive
- None.
Negative
- None.
8-K Event Classification
2 items: 7.01, 9.01
2 items
Item 7.01
Regulation FD Disclosure
Disclosure
Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Common ordinary income distribution: $0.2852 per share
Common capital gain distribution: $0.5442 per share
Short-term capital gains portion: $0.1032 per share
+5 more
8 metrics
Common ordinary income distribution
$0.2852 per share
Second quarter 2026 distribution on common stock
Common capital gain distribution
$0.5442 per share
Second quarter 2026 special capital gain distribution
Short-term capital gains portion
$0.1032 per share
Part of Q2 2026 capital gain distribution on common stock
Long-term capital gains portion
$0.4410 per share
Part of Q2 2026 capital gain distribution on common stock
Preferred ordinary income distribution
$0.6250 per share
Second quarter 2026 distribution on preferred stock
Common stock payment date
June 25, 2026
Payment date for Q2 2026 common stock distributions
Preferred stock payment date
July 1, 2026
Payment date for Q2 2026 preferred stock dividends
Dividend history length
82 years
Consecutive years of dividends on common stock
Key Terms
ordinary income distribution, capital gain distribution, short-term capital gains, long-term capital gains, +2 more
6 terms
ordinary income distribution financial
"today declared a second quarter ordinary income distribution of $0.2852 per share of Common Stock"
capital gain distribution financial
"In addition, the Corporation declared a total capital gain distribution of $0.5442 per share of Common Stock."
A capital gain distribution is money a pooled investment (like a mutual fund or ETF) gives to its shareholders when the fund sells stocks or other assets for a profit and passes that profit along. Think of it like a small share of a bakery’s profit being handed to its customers; it increases your taxable income for the year and usually reduces the fund’s per-share value by the same amount, so investors should consider tax timing and whether to take the payout as cash or reinvest it.
short-term capital gains financial
"This capital gain distribution consists of short-term capital gains of $0.1032 and long-term capital gains of $0.4410."
Profit from selling an investment held for a short period that is taxed at ordinary income rates rather than the lower long-term rates. Think of it like flipping a gadget quickly for a gain: because you didn’t hold it long, the taxman treats the profit like regular pay, which can reduce the after-tax return and influence decisions about how long investors keep assets.
long-term capital gains financial
"This capital gain distribution consists of short-term capital gains of $0.1032 and long-term capital gains of $0.4410."
Profit realized when an investor sells an asset they have owned longer than the legally specified holding period; these gains are taxed under “long-term” rules that typically carry lower tax rates than gains on assets sold quickly. It matters to investors because lower tax rates increase the amount of money they keep after a sale, so holding an investment longer can be like letting a high-interest coupon compound before withdrawing the cash, affecting decisions about when to sell and overall portfolio returns.
return of capital financial
"No amount of the Corporation’s current distribution consists of a return of capital"
Return of capital is when an investor receives money from their investment that is not considered profit or earnings but rather a portion of the original amount they invested. It’s similar to getting back part of your initial savings rather than gains from it. This matters because it can affect how much money an investor still has in the investment and may have tax implications.
net asset value financial
"The net asset value of the Corporation’s common shares may not always correspond to the market price of such shares."
Net asset value is the total value of an investment fund's assets minus any liabilities, divided by the number of shares or units outstanding. It represents the per-share worth of the fund, similar to how the value of a house is determined by its total worth after debts are subtracted. Investors use it to gauge the true value of their holdings and to compare different investment options.
FAQ
What distributions did Tri-Continental Corporation (TY) declare for Q2 2026?
Tri-Continental declared a $0.2852 per share ordinary income distribution and a $0.5442 per share capital gain distribution on its common stock, plus a $0.6250 per share ordinary income distribution on its preferred stock, all for the second quarter of 2026.
When are the record and payment dates for Tri-Continental (TY) Q2 2026 distributions?
The record date for both common and preferred shares is June 16, 2026. Common stock distributions will be paid on June 25, 2026, while preferred stock dividends will be paid on July 1, 2026. The ex-dividend date for both share classes is June 16, 2026.
How is the Tri-Continental (TY) Q2 2026 capital gain distribution on common stock structured?
The total capital gain distribution on common stock is $0.5442 per share, consisting of $0.1032 in short-term capital gains and $0.4410 in long-term capital gains. It is described as a special distribution separate from the regular ordinary income payout.
Are Tri-Continental (TY) Q2 2026 distributions currently estimated to include a return of capital?
The company states its current distributions, based on its estimates, are from earnings and profits. It specifies that no amount of the current distribution consists of a return of capital, meaning it is not returning stockholders’ original investment in the fund.
How long has Tri-Continental Corporation (TY) been paying dividends on its common stock?
Tri-Continental notes that it has paid dividends on its common stock for 82 consecutive years. This highlights a long history of making distributions, although it does not guarantee that future distributions will continue at the same level or timing.