Resource Credit Income Fund (RCIAX) Announces Quarterly Distribution
October 14 2016 - 12:34PM
Business Wire
Today, Resource Credit Income Fund (the “Fund,” ticker RCIAX)
announced its quarterly distribution of $0.175* per share as of
September 30, 2016. This represents a 6.8 percent distribution and
is the second consecutive quarterly distribution. The Fund began
trading on April 17, 2015 and closed the quarter as of September
30, 2016 with an inception-to-date cumulative total return of 6.1
percent.
The Fund seeks current income, risk diversification and capital
preservation by investing in direct corporate credit, institutional
credit funds, traded business development companies, and structured
credit.
Per Annum Fund Performance as of 9/30/16.
As of 9/30/16 1-year
3-year 5-year Since
Inception (4/17/15) The Fund 6.1% N/A
N/A 4.16% The Fund with MOP**
(0.8%) N/A N/A
(0.6%)
The Fund’s expense ratio has been deducted from the Fund
performance data. The performance data quoted here represents past
performance. Current performance may be lower or higher than the
performance data quoted above. Past performance is no guarantee of
future results. The investment return and principal value of an
investment will fluctuate so that a shareholder’s shares, when
redeemed, may be worth more or less than their original cost. The
Fund’s investment advisor has contractually agreed to reduce its
fees and/or absorb expenses of the Fund, at least September 10,
2018, to ensure that the net annual Fund operating expenses will
not exceed 2.59%, subject to possible recoupment from the Fund in
future years. Without these waivers and reimbursements, the Fund’s
total annual operating expenses with respect to Class A shares
would be 56.39%. Please review the Fund’s prospectus for more
information regarding the Fund’s fees and expenses. Performance and
expenses shown are for Class A shares (please see the Fund’s
prospectus for information about other share classes). For
performance information current to the most recent month-end,
please call toll-free (866) 773-4120.
* To calculate the quarterly distribution, the Fund takes the
income received from the Fund’s portfolio, subtracts expenses and
divides the result by the total number of shares owned by the
Fund’s shareholders. Distributions are not guaranteed.
** Maximum Offering Price (MOP) for Class A shares includes the
Fund’s maximum sales charge of 6.50%.
A portion of the distributions consists of a return of capital
based on the character of the distributions received from the
underlying holdings. The final determination of the source and tax
characteristics of all distributions in 2016 will be made after the
end of the year. Shareholders should note that a return of capital
will reduce the tax basis of their shares and potentially increase
the taxable gain, if any, upon disposition of their shares.
Resource and ALPS Distributors, Inc. are not tax experts and do not
offer legal or tax advice. It is recommended that the client
consult with an accountant, tax advisor and/or lawyer. There is no
assurance that the Fund will continue to declare distributions or
that distributions will continue at these rates. There can be no
assurance that any investment by the Fund will be effective in
achieving the Fund’s investment objectives, delivering positive
returns or avoiding losses.
This distribution policy is subject to change. The Fund may make
distributions that are treated as a return of capital. A return of
capital may occur, for example, when some or all of the money that
you invested in the Fund is paid back to you. A return of capital
distribution does not necessarily reflect the Fund’s investment
performance and should not be confused with “yield,” “income” or
“profit.” The Fund’s distribution amounts were calculated based on
the ordinary income received from the underlying investments,
including net investment income. Shareholders should not assume
that the source of a distribution from the Fund is net profit. The
final determination of the source and tax characteristics of all
distributions in 2016 will be made after the end of the year.
Shareholders should note that a return of capital will reduce the
tax basis of their shares and potentially increase the taxable
gain, if any, upon disposition of their shares. There is no
assurance that the Fund will continue to declare distributions or
that distributions will continue at these rates.
An investor should consider the investment objectives, risks,
charges and expenses of the Fund carefully before investing. To
obtain a prospectus containing this and other information, please
call (866) 773-4120 or download the file from
www.ResourceCreditIncome.com. Read the prospectus
carefully before you invest.
Investing involves risk. Investment return and principal value
of an investment will fluctuate, and a shareholder’s shares, when
redeemed, may be worth more or less than their original cost.
Certain of the Fund’s underlying investments, including alternative
investment funds, exchange-traded funds, interval funds and
closed-end funds, are subject to management and other expenses,
which will be indirectly paid by the Fund. Debt securities are
subject to credit risk and interest rate risk. Issuers of debt
securities may not make scheduled interest and principal payments,
resulting in losses to the Fund. Typically, an increase in interest
rates causes a decline in the value of fixed income securities. The
use of leverage, such as borrowing money to purchase securities,
will cause the Fund to incur additional expenses and may magnify
the Fund's gains or losses.
There currently is no secondary market for the Fund's shares and
the Fund expects that no secondary market will develop. Limited
liquidity is provided to shareholders only through the Fund's
quarterly repurchase offers, regardless of how the Fund performs.
Investments in lesser-known, small and medium capitalization
companies may be more vulnerable than larger, more established
organizations.
The Fund is distributed by ALPS Distributors, Inc. (ALPS
Distributors, Inc. 1290 Broadway, Suite 1100, Denver, CO 80203).
Resource Financial Fund Management, Inc. is a subsidiary of
Resource America. Resource Financial Management, Inc. is not
affiliated with ALPS Distributors, Inc.
About Resource America, Inc.
Resource America, Inc. (“Resource”), the parent company of
Resource Financial Fund Management, Inc., the Fund’s investment
advisor, is an asset management company that specializes in real
estate and credit investments. Resource’s objective is to be best
in class among asset managers in the real estate and credit sectors
as measured by returns to investors and the quality of the funds
and businesses it manages. Resource’s investments emphasize
consistent value and long-term returns with an income orientation.
Resource is a wholly-owned subsidiary of C-III Capital Partners
LLC, a leading real estate investment management and commercial
property services company.
RRE000430 – 1/31/2017
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Media Contact:Gregory FCA for Resource Real EstateJimmy
Moock, 610-228-2125jimmy@gregoryfca.comorCompany
Contact:Resource Real EstateMarianne McGuire,
267-256-5964Director of Marketingmmcguire@resourcerei.com
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