ETG: Discount Widening Further Presents A Better Opportunity For Entry

Darren415 Written by Nick Ackerman, co-produced by Stanford Chemist. A version of this article was originally published to members of the CEF/ETF Income Laboratory on February 10th, 2023. Eaton Vance Tax-Advantaged Global Dividend Income Fund (NYSE: ETG ) has moved to a wider discount than when we last took a look at the fund. At that time, the discussion focused on the fund’s distribution cut. As an equity fund, a bear market doesn’t generally yield great results. Thus, the second distribution cut in this fund’s history happened. However, at that time, the discount was still fairly narrow. Now we’ve seen that widen out to a more compelling level. Additionally, since that previous update, the fund has been performing quite well. More recently, volatility has picked back up for equities, but there still was some rebounding since our last update. While the S&P 500 Index isn’t a direct benchmark, it can be used as a way to provide some context of the overall market. ETG has outperformed the broader market since that time on a total return basis. ETG Performance Since Prior Update (Seeking Alpha) These returns reflect the share price, but since we know the discount has widened further, […]

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