John Hancock Tax-Advantaged Dividend Income Fund Reveals Distribution Sources to Shareholders
Overview of John Hancock Tax-Advantaged Dividend Income Fund
The John Hancock Tax-Advantaged Dividend Income Fund (NYSE: HTD) has disseminated important updates about its distribution scheduled for October 31, 2025. Managed by John Hancock Investment Management LLC, with assistance from Manulife Investment Management (US) LLC, this closed-end fund is catering to its shareholders with basic yet crucial financial details regarding distributions.
October 2025 Distribution Breakdown
On October 1, 2025, the Fund declared a distribution of $0.1580 per share to shareholders recorded as of October 14, 2025. This systematic approach reaffirms the Fund's commitment to its managed distribution plan. No particular action is required from shareholders at this time as the distribution will be automatically processed.
Distribution Sources
The distribution is funded through a combination of sources, detailed below for transparency:
| Source | Current Distribution ($) | % Breakdown of Current Distribution | Total Cumulative Distributions ($) | % Breakdown of Cumulative Distributions |
|---|---|---|---|---|
| ------------- | ------ | ------- | ------- | ----------- |
| Net Investment Income | 0.0732 | 46% | 1.1876 | 68% |
| Net Realized Short-Term Capital Gains | 0.0000 | 0% | 0.2267 | 13% |
| Net Realized Long-Term Capital Gains | 0.0000 | 0% | 0.3217 | 19% |
| Return of Capital or Other Capital Source | 0.0848 | 54% | 0.0000 | 0% |
| Total per common share | 0.1580 | 100% | 1.7360 | 100% |
The largest source of the distribution for this period is the return of capital, constituting over half of the total per-share payout. It's noteworthy that part of this payment might be classified as a return of capital, meaning that shareholders receive back some of their invested capital. This classification underscores that such returns should not be misconstrued as performance yield, emphasizing the importance of carefully assessing investment goals and distributions received.
Financial Performance Overview
For investors, metrics such as the average annual total return stand at 12.88% for the five-year ending on September 30, 2025. Furthermore, the annualized current distribution rate estimates at 7.17% based on the Net Asset Value (NAV) from the same date, illustrating a solid return framework for investors.
Fiscal Year Insights
As the fiscal year progresses, as of October 31, 2025, cumulative total return in relation to NAV is pegged at 14.25%. When considering the distribution rate over the fiscal year, the estimate stands at 6.57% - providing shareholders with a comprehensive perspective on fund performance and distribution effectiveness.
Important Considerations for Shareholders
Investors are reminded that estimates provided are for informational purposes, and actual amounts may vary based on the Fund's investment experiences and hung variables pertaining to tax regulations. A Form 1099-DIV will be issued to aid in the accurate tax reporting of these distributions at the end of the calendar year.
If you need any further assistance or have inquiries regarding your investment, shareholders are encouraged to consult their financial advisors or reach out to the Manulife John Hancock Closed-End Fund Information Line for support during business hours.
Conclusion
The John Hancock Tax-Advantaged Dividend Income Fund continues its commitment to shareholder transparency by detailing its distribution processes and sources. Proper understanding of these aspects can significantly enhance shareholders' investment strategies and expectations for future distributions.
Topics Financial Services & Investing）
【About Using Articles】
You can freely use the title and article content by linking to the page where the article is posted.
※ Images cannot be used.
【About Links】
Links are free to use.