Blue Chip Value Fund announces receipt of SEC order regarding capital gains distributions.DENVER--(BUSINESS WIRE)--June 18, 1996--Blue Chip Value Fund Inc. has been granted an exemptive order by the Securities and Exchange Commission. This order allows the fund to make up to four distributions of long-term capital gains Long-term capital gain A profit on the sale of a security or mutual fund share that has been held for more than one year. in a taxable year Taxable year The 12-month period an individual uses to report income for income tax purposes. For most individuals, their tax year is the calendar year. as long as it maintains a policy of distributing a fixed percentage of net asset value quarterly. The fund's treasurer, Mr. Wine, emphasized that the board of directors of the fund has made no decision as to whether the fund should implement the order. Since 1989 the fund has maintained a distribution policy of paying 10% of its average net asset value each year. In 1995, the fund declared three dividends from net investment income of 3 cents each, and a year-end distribution of 99 cents (which represented 81 cents in long-term capital gain, 14 cents in short-term capital gain Short-term capital gain A profit on the sale of a security or mutual fund share that has been held for one year or less. A short-term capital gain is taxed as ordinary income. , 3 cents in net investment income and 1 cent of return of capital). The 1995 distributions exceeded the fund's stated policy due to the strong stock market and investment performance of the fund last year. Blue Chip Value Fund is a closed-end diversified management investment company whose objective is to seek a high level of total return through investment in a diversified portfolio of common stocks. The portfolio is an approximately equally weighted portfolio of approximately 50 stocks selected using the advisor's Modern Value Investing Value Investing The strategy of selecting stocks that trade for less than their intrinsic value. Value investors actively seek stocks of companies with sound financial statements that they believe the market has undervalued. Approach(R). The fund features a dividend reinvestment Reinvestment Using dividends, interest and capital gains earned in an investment or mutual fund to purchase additional shares or units, rather than receiving the distributions in cash. 1. In terms of stocks, it is the reinvestment of dividends to purchase additional shares. and cash purchase plan. Denver Investment Advisors LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control is the fund's investment advisor. CONTACT: Blue Chip Value Fund Inc., Denver Steve Wine, 800/624-4190 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion