Putnam Investment Grade Municipal Trust Shareholders to Vote on Open-Ending.BOSTON -- Putnam Investments announced today that the agenda for the next annual meeting of shareholders of Putnam Investment Grade Municipal Trust (NYSE NYSE See: New York Stock Exchange : PGM PGM Program PGM Pragmatic General Multicast PGM Phosphoglucomutase PgM Program Manager PGM Platinum Group Metal PGM Pagemaker (software) PGM Portable Gray Map PGM Precision Guided Munition ) will include a vote on whether to convert the closed-end fund Closed-end fund An investment company that issues shares like any other corporation and usually does not redeem its shares. A publicly traded fund sold on stock exchanges or over the counter that may trade above or below its net asset value. Related: Open-end fund. to an open-end investment company open-end investment company: see mutual fund. . The next annual meeting is expected to be held in June 2006, although it could occur at an earlier or later date. The Fund's Declaration of Trust requires the submission of such a proposal to shareholders at the fund's next annual meeting if the average discount of its share price to net asset value exceeds 10% during the last 12 weeks of its fiscal year. The requirement has been triggered for the fiscal year ended November 30, 2005. According to the Declaration of Trust, the conversion proposal requires approval of at least 50% of the Fund's outstanding common shares and 50% of the Fund's outstanding preferred shares Preferred shares Preferred shares give investors a fixed dividend from the company's earnings and entitle them to be paid before common shareholders. See: Preferred stock. to take effect. While fund shareholders have not previously voted on a proposal to convert the fund to open-end status, conversion proposals that other Putnam closed-end municipal funds have submitted to their shareholders in recent years have consistently fallen well short of the requirement for approval. Putnam Investment Grade Municipal Trust is a closed-end bond fund that seeks as high a level of current income free from federal income tax as is believed to be consistent with the preservation of capital Preservation of Capital An investment strategy whose primary goal is to prevent the loss of an investment's total value. Notes: For investors using the capital preservation strategy to achieve their goal, they must ensure their portfolio is producing a return that is at . About Putnam Investments: Founded in 1937, Putnam Investments is one of the nation's oldest and largest money management firms. As of November 30, 2005, Putnam managed $190 billion in assets, of which $128 billion is for mutual fund investors and $62 billion is for institutional clients. Putnam has headquarters in Boston and offices in London and Tokyo. For more information, go to www.putnaminvestments.com. |
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