#USA #New York #Cohen & Steers #Total Return Realty Fund #NYSE RFI

Overview

Cohen & Steers Total Return Realty Fund, Inc. (NYSE: RFI) continues its commitment to provide consistent financial returns to its shareholders. As part of this dedication, the fund has shared details regarding the sources of its upcoming distribution, scheduled to be paid on March 31, 2025. This notification is particularly significant for stakeholders who track the fund's performance and distribution outlook.

Distribution Initiatives

Since December 2011, the fund has implemented a managed distribution policy, which was established under the exemptions provided by the Securities and Exchange Commission (SEC). The policy aims to optimize the fund's long-term total return by ensuring regular, monthly distributions at a predetermined rate per common share. This structure not only allows for predictable payouts, but it also provides the fund with enhanced flexibility to capture and distribute long-term capital gains throughout the year.

The Board of Directors retains the authority to modify or suspend the managed distribution policy at any time, a factor that could potentially impact the market valuation of the fund's shares. Such fluctuations are important for investors to consider as they evaluate their positions in the fund.

Nature of Monthly Distributions

The composition of the fund's monthly distributions can vary significantly, encompassing various sources – including long-term capital gains, short-term capital gains, net investment income, and returns of capital, according to federal income tax legislation. A return of capital comprises distributions that exceed the net investment income and net realized capital gains for the period, effectively drawn from the fund's asset pool. Notably, returns of capital are not classified as taxable income and serve to reduce the tax basis for shareholders in their fund investments.

Further, dividends from the fund’s investments in Real Estate Investment Trusts (REITs) may also be categorized as capital gains or return of capital once reported by the respective REITs held by the fund at the end of the year. Investors should be aware that the amount of these monthly distributions can fluctuate based on various elements, including market conditions and portfolio adjustments.

Shareholder Communication

To ensure that shareholders are well-informed, Cohen & Steers will publish detailed information about each monthly distribution on their website, cohenandsteers.com, and will also provide shareholders with notices in tandem with the distributions. However, it is essential to note that the final tax characteristics and amounts associated with these distributions may not be definitively confirmed until the culmination of the calendar year. Shareholders will receive a Form 1099-DIV at year-end summarizing how to report these distributions for federal income tax purposes.

Current Distribution Estimates

For the upcoming distribution on March 31, 2025, shareholders can expect the following estimates per common share:

• - Net Investment Income: $0.0554 (69.25% of the current distribution)
• - Net Realized Short-Term Capital Gains: $0.0000 (0.00%)
• - Net Realized Long-Term Capital Gains: $0.0246 (30.75%)
• - Return of Capital: $0.0000 (0.00%)

The total current distribution will amount to $0.0800 per common share.

Fund Performance Insights

The fund’s year-to-date cumulative total return for the fiscal year 2025, spanning January 1, 2025, to February 28, 2025, is reported to be 4.67%, with a cumulative distribution rate of 2.00%. Furthermore, for the five-year period concluding on February 28, 2025, the average annual total return stands at 6.50%, with a current annualized distribution rate of approximately 7.99%.

While the performance of the fund's net asset value (NAV) provides insights into its investment effectiveness, it is crucial to recognize that it does not define the individual value of a shareholder’s investment, which is determined by the market price of the fund's shares, driven by supply and demand.

Final Thoughts

As investors weigh their options, it is advised to meticulously consider the investment objectives, risks, charges, and expenses associated with the fund. Comprehensive reports and regulatory filings can easily be accessed via the fund's official channels, providing essential information for informed investment decisions. For any inquiries related to tax returns or investment details, it is prudent for shareholders to consult their financial advisors.

In conclusion, as Cohen & Steers Total Return Realty Fund maintains its trajectory of transparent communication and strategic distribution planning, shareholders are positioned to reap the benefits of the fund's long-term vision and adaptive strategies in the real estate landscape.