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Neuberger Berman Municipal Fund Monthly Distribution Update

Neuberger Berman Municipal Fund Inc., traded on the NYSE American under the ticker NBH, has recently made a significant announcement regarding a distribution to its shareholders. As of December 16, 2024, the Fund declared a distribution of $0.05417 per share of common stock. This distribution is set to be paid out on January 15, 2025. The record date for this payment is December 31, 2024, which also serves as the ex-date for the distribution.

The primary aim of the Neuberger Berman Municipal Fund is to provide its investors with income that is exempt from regular federal income tax. It's crucial to note that while this distribution aims for tax-exempt status, certain shareholders may still be subject to the federal alternative minimum tax based on their individual tax situations.

Distribution Composition

It is important to understand that the distribution may include various components. These components can consist of:
Net Investment Income
Realized Capital Gains
* Return of Capital

In instances where the Fund distributes more than its net investment income in a given year, the excess may come from realized gains or a return of capital. Investors should be aware that if part of the distribution involves a return of capital, it can potentially lead to a decline in the net asset value (NAV) per share and may adjust the investor's cost basis in their holdings. This is particularly important for those considering long-term investment strategies within this Fund.

As the Fund adheres to regulations outlined in Section 19 of the Investment Company Act of 1940, investors can expect to receive a notice for any distribution that is not entirely composed of net investment income. This notice is purely for informational purposes and will not serve for tax reporting. It will detail any estimated portions of the distribution involving net investment income, capital gains, and returns of capital.

The specific tax implications and the source of the distributions for the year 2025 will only be finalized after the year concludes, allowing the Fund to provide a clearer picture to its investors.

About Neuberger Berman

Founded in 1939, Neuberger Berman is a well-established investment manager that is employee-owned and operates as a private firm. With a workforce of over 2,800 employees across 26 countries, the company has successfully managed a vast portfolio worth $509 billion. This includes equities, fixed income, private equity, real estate, and hedge funds, serving various global institutions, advisors, and individual investors.

The firm’s investment philosophy revolves around active management, conducting rigorous fundamental research, and ensuring engaged ownership. Notably, Neuberger Berman’s commitment to excellence in environmental, social, and governance (ESG) practices has earned it a place in the Leader's Group, which includes less than 1% of investment firms. Recognized as one of the top workplaces in money management, it has consistently been ranked as #1 or #2 for the past ten years by Pensions & Investments among firms with over 1,000 employees.

For further details and information, investors can visit the official Neuberger Berman website at www.nb.com. Data mentioned is accurate as of September 30, 2024.

Closing Thoughts

With the upcoming distribution, investors should consider their tax situations carefully and understand the implications of a return of capital. As always, staying informed about your investments is a crucial part of effective portfolio management.