Western Asset Inflation-Linked Income Fund (NYSE: WIA) Announces Distribution Source Notification
The Western Asset Inflation-Linked Income Fund (“the Fund”) has provided an update regarding the estimated sources of its distribution to be paid on November 29, 2024, as well as year-to-date distributions for the fiscal year ending November 30, 2024.
Estimated Allocations for November 2024 Distribution (as of October 31, 2024)
| Distribution Per Share | Net Investment Income | Net Realized Short-Term Capital Gains | Net Realized Long-Term Capital Gains | Return of Capital |
|---|---|---|---|---|
| $0.0500 | $0.0500 | $0.0000 | $0.0000 | $0.0000 |
| Percentage | 100.00% | 0.00% | 0.00% | 0.00% |
Cumulative Estimated Allocations for Fiscal Year-to-Date (as of October 31, 2024)
| Distribution Per Share | Net Investment Income | Net Realized Short-Term Capital Gains | Net Realized Long-Term Capital Gains | Return of Capital |
|---|---|---|---|---|
| $0.5500 | $0.5500 | $0.0000 | $0.0000 | $0.0000 |
| Percentage | 100.00% | 0.00% | 0.00% | 0.00% |
Important Shareholder Information
Shareholders should not infer the Fund’s investment performance from the amount or frequency of distributions. The Fund has distributed more than its income and net realized gains, meaning a portion of the distribution may represent a return of capital.
- A return of capital involves the repayment of a portion of the original investment. It does not necessarily reflect the Fund’s performance and should not be confused with income or yield.
- The amounts and sources of distributions are estimates and may differ from the final amounts provided for tax reporting purposes. Shareholders will receive a Form 1099-DIV for the calendar year detailing the tax treatment of distributions.
Performance and Distribution Rate Overview (as of October 31, 2024)
| Metric | Value |
|---|---|
| Average Annual Total Return (5 years) | 1.01% |
| Annualized Distribution Rate (as % of NAV) | 6.53% |
| Cumulative Total Return (fiscal year) | 5.74% |
| Cumulative Fiscal Year-To-Date Distribution Rate | 5.98% |
Managed Distribution Policy
The Fund follows a managed distribution policy aimed at delivering long-term total return potential through fixed-rate monthly distributions. These may include:
- Net investment income.
- Realized capital gains.
- Return of capital.
If distributions exceed net investment income and realized gains, the difference will be funded by returning shareholder capital. While a return of capital reduces the shareholder’s tax basis, it is not taxable.
The Fund’s Board of Directors retains the authority to modify or terminate this policy, which could impact the Fund’s market price. Shareholders are encouraged to consult with their financial advisors for guidance.
