The article provides an in-depth profile of a high-yield fund, covering dividends, holdings, performance, risks, and valuations. RVT has had a good return during the past 10 months. The analysis includes an examination of the fund's performance metrics and associated risks.
NEW YORK , Jan. 27, 2025 /PRNewswire/ -- Oldest and largest small-cap closed-end fund Average weekly trading volume of approximately 1,524,979 shares Fund's adviser has more than 50 years of small- and micro-cap investment experience CLOSING PRICES AS OF 12/31/24 NAV 16.99 MKT 15.80 AVERAGE ANNUAL TOTAL RETURN AS OF 12/31/24 NAV (%) MKT (%) One-Month* -7.06 -2.36 One-Year 12.64 18.13 Three-Year 2.57 1.29 Five-Year 9.54 10.49 10-Year 9.37 9.95 *Not Annualized Important Performance and Expense Information All performance information reflects past performance, is presented on a total return basis, net of the Fund's investment advisory fee, and reflects the reinvestment of distributions. Past performance is no guarantee of future results.
Royce Small-Cap Trust, a closed-end fund focusing on small-cap companies, offers a strategic diversification opportunity amid potential lower returns from large-cap indexes like the S&P 500 and NASDAQ. RVT has a diversified portfolio of 466 holdings, emphasizing free cash flow and low leverage. The fund's dividend yield is attractive, averaging 7.3% in 2024, making it suitable for income-focused investors seeking tax-efficient distributions.
NEW YORK , Dec. 2, 2024 /PRNewswire/ -- Royce Small-Cap Trust, Inc. (NYSE-RVT) (the "Fund") has declared a fourth quarter distribution of $0.44 per share on its Common Stock. The distribution, optionally payable in additional shares of Common Stock, or in cash by specific stockholder election, is to be paid on December 23, 2024 to stockholders of record at the close of business on December 12, 2024 (ex-dividend on December 12, 2024).
Index beating returns, a big discount to NAV, generous income. Since '86, this fund has outperformed its index, and we expect it to continue. A key holding for any serious income investor.
RVT is a closed-end fund that primarily invests in the small-cap space and invests in companies that have strong fundamentals and the potential to provide high growth. Besides growth potential, currently, the fund yields nearly 7.4%, making it a good investment for income investors. With the potential for year-end higher payouts, the yield can be even higher. With interest rates set to decline, this fund is likely to do well in 2025, even if rates decline at a slower pace than previously thought.
Small caps have underperformed compared to the S&P 500, but active management and stock picking are crucial for better returns. Royce Small-Cap Trust is recommended for its 7% dividend and strong long-term performance, outperforming both small-cap and S&P 500 indices. RVT is poised for an upside breakout, driven by post-election relief and undervalued stocks catching up.
Normally when interest rates fall, we closed-end fund (CEF) investors are tempted to pick up a fund like the 7.3%-paying Royce Small-Cap Trust (RVT).
Large-cap stocks like Apple and Microsoft dominate the market, but high valuations suggest limited growth, highlighting the need to explore new opportunities. RVT offers a unique investment in small-cap stocks with experienced management, diversified portfolio, and a sustainable, variable distribution policy. Limited analyst coverage in the small-cap universe provides ample opportunities for active management to find undervalued stocks.
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