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  5. AD.UN: this one is eligible for dividend credit? [Alaris Equity Partners Income Trust]
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Investment Q&A

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Q: this one is eligible for dividend credit?as with GIC its interest ,correct?
So for tax reasons it would be more preferable?
About Alaris,what is happening with this company?and why is it lagging ?
You think alaris would be a good investment now?
Asked by mary on April 25, 2024
5i Research Answer:

HISA is taxed as interest; AD.UN is classified as an income trust, and its tax breakdown may be different each year. Last year, about half of AD's distribution was considered trust income, and half return of capital. Only a small portion was considered a dividend. AD is cheap at 8X earnings, but it is quite small at $708M market cap, and its investments in higher risk private companies can increase earnings volatilty. The market has shifted to a 'risk off' mentality and small cap stocks can struggle in such an environment.