Lazard Global Total Return and Income Fund Declares Monthly Distribution and Issues Estimated Sources of the Distribution Announced in August
MWN-AI** Summary
Lazard Global Total Return and Income Fund, Inc. (NYSE: LGI) has announced a monthly distribution of $0.14646 per share on its outstanding common stock, in line with its Managed Distribution Policy approved by its Board of Directors. The distribution will be payable on October 22, 2025, to shareholders recorded on October 10, 2025, with the ex-dividend date also on October 10, 2025. Additionally, the Fund will distribute a previously declared amount of $0.14646 today, September 22, 2025.
In their announcement, the Fund provided a breakdown of the current distribution sources, showing that it comes primarily from net realized capital gains, rather than net investment income. The estimated distribution sources are as follows: net investment income contributed $0.01481 (10%), while net realized short-term capital gains added $0.00563 (4%), and net realized long-term capital gains comprised a significant $0.12602 (86%). Notably, there was no return of capital in the current distribution. Overall, cumulative distributions for the fiscal year so far total $1.31814 per share, with significant portions also derived from realized capital gains.
Investors should be aware that the Fund is distributing more than its net investment income and realized gains, indicating that a portion of the distribution might be classified as a return of capital. Such distributions do not equate to income or yield, affecting how income is reported for tax purposes.
The Fund aims for total return through capital appreciation and current income, maintaining a diversified portfolio of U.S. and international equities, including those in emerging markets. Lazard Asset Management, a subsidiary of Lazard, Inc., manages the Fund, which held approximately $258.4 billion in assets as of the end of August 2025.
MWN-AI** Analysis
The Lazard Global Total Return and Income Fund (NYSE: LGI) has announced a monthly distribution of $0.14646 per share, following its Managed Distribution Policy ratified by its Board of Directors. This decision is particularly relevant for investors seeking income stability during uncertain market conditions.
As of August 31, 2025, the fund's average annual total return over the past five years stands at a healthy 8.71%, while its annualized distribution rate expressed as a percentage of Net Asset Value (NAV) is 9.73%. This high yield suggests that LGI remains an attractive option for income-oriented investors. However, investors should note that the majority of this distribution – approximately 86% – stems from net realized long-term capital gains, with only 10% attributed to net income, and a significant portion being classified as return of capital.
Given that the Fund estimates it has distributed more than its net investment income and realized capital gains, investors should remain cautious. A return of capital does not equate to investment performance; instead, it often indicates that part of the initial investment is being returned. Therefore, it is crucial to evaluate long-term capital appreciation potential alongside current income needs.
Moreover, while the cumulative fiscal year distributions amount to 6.48% of NAV as of August 31, 2025, it highlights a robust income generation capability. However, the reliance on capital gains for distributions signals potential volatility, particularly if market conditions shift.
In conclusion, while LGI could serve as a solid component for income-focused portfolios, potential investors should weigh the benefits of yield against the underlying risks related to capital returns. Continuous monitoring of fund performance, market conditions, and the underlying asset quality will be essential for informed investment decisions.
**MWN-AI Summary and Analysis is based on asking OpenAI to summarize and analyze this news release.
Lazard Global Total Return and Income Fund, Inc. (the "Fund") (NYSE:LGI) is confirming today, pursuant to its Managed Distribution Policy, as previously authorized by its Board of Directors, a monthly distribution of $0.14646 per share on the Fund’s outstanding common stock. The distribution is payable on October 22, 2025, to shareholders of record on October 10, 2025. The ex-dividend date is October 10, 2025.
The Fund will pay a previously declared distribution today, September 22, 2025. The following table sets forth the estimated amounts of the current distribution and the cumulative distributions paid, including today’s distribution, from the following sources: net investment income, net realized capital gains (short-term and long-term), and return of capital. All amounts are expressed per share of common stock and are based on accounting principles generally accepted in the US, which may differ from federal income tax regulations.
Current Distribution | % of the Current Distribution | Total Cumulative Distributions for the Fiscal Year to Date | % of the Total Cumulative Distributions for the Fiscal Year to Date | |
Net Income | $0.01481 | 10% | $0.15014 | 11% |
Net Realized Short-Term Capital Gains | $0.00563 | 4% | $0.03809 | 3% |
Net Realized Long-Term Capital Gains | $0.12602 | 86% | $0.61821 | 47% |
Return of Capital | $0.00000 | 0% | $0.51170 | 39% |
Total | $0.14646 | 100% | $1.31814 | 100% |
Average annual total return (in relation to NAV) for the 5-year period ending on August 31, 2025 | 8.71% |
Annualized current distribution rate expressed as a percentage of NAV as of August 31, 2025 | 9.73% |
Cumulative total return (in relation to NAV) for the fiscal year through August 31, 2025 | 9.83% |
Cumulative fiscal year distributions as a percentage of NAV as of August 31, 2025 | 6.48% |
You should not draw any conclusions about the Fund's investment performance from the amount of this distribution or from the terms of the Fund's Managed Distribution Policy.
The Fund estimates that it has distributed more than its net investment income and net realized capital gains; therefore, a portion of your distribution may be 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" or "income".
The amounts and sources of distributions reported above are only estimates and are not being provided for tax reporting purposes. The actual amounts and sources of the amounts for tax reporting purposes will depend upon the Fund's investment experience during the remainder of its fiscal year and may be subject to changes based on tax regulations. The Fund provides financial intermediary firms the information necessary to produce the Form 1099-DIV, and then the relevant financial intermediary firm will send you a Form 1099-DIV for the calendar year that will tell you how to report these distributions for federal income tax purposes. If you have any questions, or need additional information, please call us at 1-800-823-6300.
Portfolio data as of August 31, 2025, including performance, asset allocation, top 10 holdings, sector weightings, regional exposure, and other Fund characteristics have been posted on Lazard Asset Management's ("LAM") website, www.LazardAssetManagement.com .
The Fund's investment objective is total return, consisting of capital appreciation and current income. The Fund's net assets are invested in a portfolio of approximately 60 to 80 US and non-US equity securities, including American Depository Receipts, generally of companies with market capitalizations greater than $2 billion, and may include investments in emerging markets. The Fund also invests in emerging market currencies (primarily by entry into forward currency contracts), or instruments whose value is derived from the performance of an underlying emerging market currency, and also may invest in debt obligations, including government, government agency and corporate obligations and structured notes denominated in emerging market currencies.
An indirect subsidiary of Lazard, Inc. (NYSE: LAZ), LAM, the Fund's investment manager, offers a range of equity, fixed-income, and alternative investment products worldwide. As of August 31, 2025, LAM and affiliated asset management companies in the Lazard Group managed $258.4 billion worth of client assets. For more information about LAM, please go to www.LazardAssetManagement.com . Follow LAM at @LazardAsset.
View source version on businesswire.com: https://www.businesswire.com/news/home/20250922798709/en/
Media contact:
Aziz Nayani, +1 212 632 6042
aziz.nayani@lazard.com
Investor contact:
Ben Wulfsohn, +1 800 823 6300
ben.wulfsohn@lazard.com
FAQ**
How does the "Lazard Global Total Return and Income Fund LGI" ensure its monthly distribution remains sustainable amidst varying market conditions?
What strategies does the "Lazard Global Total Return and Income Fund LGI" employ to generate net realized long-term capital gains contributing to its high distribution rate?
Can you explain the implications of "return of capital" in the context of the "Lazard Global Total Return and Income Fund LGI"?
How does the performance of the "Lazard Global Total Return and Income Fund LGI" compare to its peers in terms of total return and NAV over the past five years?
**MWN-AI FAQ is based on asking OpenAI questions about Lazard Global Total Return and Income Fund (NYSE: LGI).
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