Q: Hello. Could you comment on how the yield is achieved in this fund? Dividends will form part and I see leverage was mentioned in a previous answer (assuming there is a net benefit from additional yield over the cost of leverage). Does this fund also employ an options strategy? If no options strategy, am I right that a good chunk of the distribution over time has been return of capital? Secondly, could you comment on the volume/liquidity of the fund over time? I'm thinking of starting a position in this across our investment accounts but am concerned about what might be limited volume on entry or exit. Thank-you.
5i Research Answer:
Taxes vary each year, but in the last year 41% was return on capital, 46% was capital gains and...