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Advent convertible & income fund trustee acquires $42,694 in stock

Published 21/10/2024, 16:20
AVK
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Randall C. Barnes, a trustee of Advent Convertible & Income Fund (NYSE:AVK), recently acquired 3,785 shares of common stock, valued at $42,694. The shares were purchased at a price of $11.28 each, as part of a rights offering. Following this transaction, Barnes now directly owns 15,140 shares in the fund.

In other recent news, Advent Convertible & Income Fund has announced a rights offering for its common shareholders. This offering, managed by Advent Capital Management and UBS Securities, allows shareholders to purchase additional common shares, with one right granted for every share owned. Moreover, every three rights will enable the purchase of a new common share. The offering also provides shareholders the opportunity to acquire additional shares that may remain unsubscribed, even allowing those owning less than three shares to subscribe for a full common share.

This development is part of a shelf registration statement previously filed with the SEC. Equiniti Trust Company and EQ Fund Solutions have been appointed to facilitate the offering as subscription and information agents. In other recent developments, trustee Derek Medina has resigned from his role due to other professional commitments, reducing the fund's Board of Trustees from eight members to seven. The resignation did not stem from disagreements with the fund's operations, policies, or practices. These are recent developments in the fund's operations.

InvestingPro Insights

Randall C. Barnes' recent acquisition of Advent Convertible & Income Fund (NYSE:AVK) shares comes at an interesting time for the fund. According to InvestingPro data, AVK currently boasts a substantial dividend yield of 12.32%, making it an attractive option for income-focused investors. This aligns with one of the InvestingPro Tips, which notes that AVK "pays a significant dividend to shareholders."

The fund's commitment to shareholder returns is further underscored by another InvestingPro Tip, which reveals that AVK "has maintained dividend payments for 22 consecutive years." This long-standing dividend history may have played a role in Barnes' decision to increase his stake in the fund.

However, investors should also consider that the fund's current price is 90.5% of its 52-week high, suggesting it may be approaching a resistance level. Additionally, the fund's negative P/E ratio of -10.19 indicates potential challenges in its earnings profile.

For a more comprehensive analysis, InvestingPro offers additional tips and insights that could provide valuable context to Barnes' recent purchase and the fund's overall performance. Investors interested in a deeper dive into AVK's financials and market position can explore these additional insights on the InvestingPro platform.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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