NEW YORK, NY--(Marketwired - Oct 5, 2015) - The InfraCap MLP ETF (NYSE: AMZA) has declared a quarterly dividend of $0.515 ($2.06 per share on an annualized basis), an increase of 1.0% from the $0.51 rate paid in the third quarter. The dividend will be paid October 15, 2015 to shareholders of record as of the close of business October 8, 2015.
AMZA Cash Distribution:
- Ex-Date: Tuesday, October 6th
- Record Date: Thursday, October 8th
- Payable Date: Thursday, October 15th
Infrastructure Capital Advisors expects to declare future dividends on a quarterly basis. Dividends are planned, but not guaranteed, for the months of January, April, July, and October of each year. The next dividend is scheduled to occur in January 2016.
ABOUT INFRASTRUCTURE CAPITAL ADVISORS, LLC
Infrastructure Capital Advisors, LLC is an SEC-registered investment advisor that manages an actively managed ETF and a series of private investment partnerships. The firm was formed in 2012 and is based in New York City. The company seeks total-return opportunities in key infrastructure sectors, including energy, real estate, transportation, industrials and utilities. It often identifies opportunities in entities that are not taxed at the entity level, such as master limited partnerships ("MLPs") and real estate investment trusts ("REITs"). Current income is a primary objective in most, but not all, of the company's investing activities. The focus is generally on asset-intensive companies that generate and distribute substantial streams of free cash flow. For more information, please visit www.InfracapMLP.com.
DISCLOSURE
Carefully consider the Fund's investment objective, risk factors, charges, and expenses before investing. This and additional information can be found in the Fund's prospectus, which can be obtained at infracapmlp.com or by calling ETF Distributors LLC at 1-888-383-4184. Read the prospectus carefully before investing.
An investment in the Fund is subject to investment risks; therefore you may lose money by investing in the Fund. There can be no assurance that the Fund will be successful in meeting its investment objective. Shares of any ETF are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Narrowly focused investments typically exhibit higher volatility.
The Fund is taxed as a regular corporation for federal income tax purposes. This differs from most investment companies, which are treated as "regulated investment companies" under the Code and do not pay entity level income taxes.
If, due to tax law changes, an MLP in the portfolio is deemed a corporation rather than a partnership for federal income purposes, then income would be subject to federal taxation at the MLP level. This would reduce the amount of cash available for distribution to the fund which could result in a reduction of the Fund's value.
Additionally, the Fund provides tax accounts such as IRA and 401(k) plans with a new option for participating in the energy infrastructure Master Limited Partnership ("MLP") asset class without Unrelated Business Taxable Income concerns. Investors will not receive K-1s as they would if investing directly in MLPs.
All K-1s are received and processed by the InfraCap MLP ETF. The InfraCap MLP ETF distributes a single Form 1099 to its shareholders.
This notice is provided to you for informational purposes only, and should not be considered tax advice. Please consult your tax advisor for further assistance.
The Fund is subject to management risk because it is an actively managed portfolio. In managing the Fund's investment portfolio, the sub-adviser will apply investment techniques and risk analyses that may not have the desired result. There can be no guarantee that the Fund will meet its investment objectives.
Investments in securities of MLPs involve risks that differ from investments in common stock, including risks related to limited control and limited rights to vote on matters affecting the MLP, risks related to potential conflicts of interest between the MLP and the MLP's general partner and cash flow risks. MLP common units and other equity securities can be affected by macroeconomic and other factors affecting the stock market in general, expectations of interest rates, investor sentiment towards MLPs or the energy sector, changes in a particular issuer's financial condition or unfavorable or unanticipated poor performance of a particular issuer (in the case of MLPs, generally measured in terms of distributable cash flow). Prices of common units of individual MLPs and other equity securities also may be affected by fundamentals unique to the issuer, including earnings power and coverage ratios.
The Fund invests primarily in energy infrastructure companies. Energy infrastructure companies are subject to risks specific to the industry they serve, including, but not limited to: reduced volumes of natural gas or other energy commodities available for transporting, processing or storing; new construction risks and acquisition risk that may limit growth potential; a sustained reduced demand for crude oil, natural gas and refined petroleum products resulting from a recession or an increase in market price or higher taxes; changes in the regulatory environment; extreme weather; rising interest rates that may result in a higher cost of capital and drive investors into other investment opportunities; and threats of attack by terrorists.
A Fund concentrated in a single industry or sector, such as the energy infrastructure sector, is likely to present more risks than a fund that is broadly diversified over several industries or sectors. Compared to the broad market, an individual industry or sector may be more strongly affected by changes in the economic climate, broad market shifts, moves in a particular dominant stock or regulatory changes. Because the Fund focuses on investing in MLPs in the energy infrastructure sector, adverse events or economic changes that disproportionately affect the energy sector as a whole or parts thereof will have an adverse effect on the Fund.
Etfis Capital LLC serves as the investment advisor and Infrastructure Capital Advisors, LLC serves as the sub-advisor to the Fund. The Fund is distributed by ETF Distributors LLC, an affiliate of Etfis Capital LLC.
