Macquarie Global Infrastructure Total Return Fund, Inc. (MGU)

Objective

The primary investment objective of the Fund is to provide investors with a high level of total return consisting of dividends and other income, and capital appreciation.

Strategy

The Fund seeks to achieve its investment objective by investing at least 80 per cent of its total assets in equity and equity like securities issued by US and non-US issuers that primarily own or operate infrastructure assets (Infrastructure Issuers).

In pursuit of its investment objective, the Fund will also seek to manage its investment so that at least 25 per cent of its distributions may qualify as tax-advantaged 'qualified dividend income' for US federal tax income purposes. 

It is anticipated that most of the Infrastructure Issuers in which the Fund will invest will be public companies listed on national or regional stock exchanges.

The Manager will seek to identify and select investments in Infrastructure Issuers that, over the long term, are anticipated to produce consistent and stable dividend yield, and capital appreciation commensurate with the underlying risk of the investment.

The Manager believes that analysis of an Infrastructure Issuer's underlying assets is key in determining the long-term quality of the company's potential revenue and income streams. The Manager believes that investments made on the basis of a systematic, bottom-up, fundamentals-based approach, identifying long-term potential value in Infrastructure Issuers, should outperform investments made on the basis of short-term market factors.

Fund information as of 02/29/2020
Ticker symbol (NAV)XMGUX
Ticker symbolMGU
Trading ExchangeNYSE
SEC yieldn/a
Expense ratio1.75%
Turnover ratio99%
Inception date08/26/2005
Brad Frishberg

Brad Frishberg, CFA

Chief Investment Officer — Global Listed Infrastructure Securities.

Start date on the Fund: December 2009

Years of industry experience: 30

(View bio)


Ratios and supplemental data
Year ended

  11/30/19 11/30/18 11/30/17 11/30/16 11/30/15
Net assets, end of period (000 omitted) $335,674  $298,271  $354,551 $287,710 $300,709
Ratio of expenses to average net assets1 2.50% 2.61% 2.44% 2.56% 2.37%
Ratio of expenses to average net assets prior to interest expenses reimbursed 2.50%  2.61%  2.50% 2.56% 2.37%
Ratio of expenses to average net assets excluding interest expenses 1.75%  1.76%  1.72% 1.83% 1.73%
Ratio of net investment income to average net assets 4.99% 4.67% 4.48% 3.73% 2.47%
Ratio of net investment income to average net assets prior to interest expenses reimbursed 4.99%  4.67%  4.42% 3.73% 2.47%
Portfolio turnover 99%  99%  71% 65% 53%

1For the years ended November 30, 2019, 2018, 2017, 2016, and 2015, the annualized ratios to Total Assets were 1.69%, 1.92%, 1.58%, 1.88%, and 1.89%, respectively. The prospectus for the Fund defines Total Assets as Total Net Assets plus leverage.

Investing in closed-end investment companies involves risk, including the possible loss of principal.

Diversification may not protect against market risk.

The Fund will be concentrated in the infrastructure industry, and will be more susceptible to adverse economic or regulatory occurrences affecting that industry than a fund that is not concentrated in a specific industry.

International investments entail risks not ordinarily associated with US investments including fluctuation in currency values, differences in accounting principles, or economic or political instability in other nations. Investing in emerging markets can be riskier than investing in established foreign markets due to increased volatility and lower trading volume.

The Fund expects to employ leverage as part of its investing strategy. The use of leverage will increase the volatility of the Fund and increase risk to investors. Diversification does not eliminate the risk of experiencing investment losses.

Narrowly focused investments may exhibit higher volatility than investments in multiple industry sectors.

The Fund may invest in derivatives, which may involve additional expenses and are subject to risk, including the risk that an underlying security or securities index moves in the opposite direction from what the portfolio manager anticipated. A derivatives transaction depends upon the counterparties’ ability to fulfill their contractual obligations.

Natural or environmental disasters, such as earthquakes, fires, floods, hurricanes, tsunamis, and other severe weather-related phenomena generally, and widespread disease, including pandemics and epidemics, have been and can be highly disruptive to economies and markets, adversely impacting individual companies, sectors, industries, markets, currencies, interest and inflation rates, credit ratings, investor sentiment, and other factors affecting the value of the Fund’s investments. Given the increasing interdependence among global economies and markets, conditions in one country, market, or region are increasingly likely to adversely affect markets, issuers, and/or foreign exchange rates in other countries. These disruptions could prevent the Fund from executing advantageous investment decisions in a timely manner and could negatively impact the Fund’s ability to achieve its investment objective. Any such event(s) could have a significant adverse impact on the value and risk profile of the Fund.

The Fund may experience portfolio turnover that approaches or exceeds 100%, which could result in higher transaction costs and tax liability.

Closed-end fund shares do not represent a deposit or obligation of, and are not guaranteed or endorsed by, any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation or any other government agency.

Closed-end funds, unlike open-end funds, are not continuously offered. After being issued during a one-time-only public offering, shares of closed-end funds are sold in the open market through a securities exchange. Net asset value (NAV) is calculated by subtracting total liabilities by total assets, then dividing by the number of shares outstanding. At the time of sale, your shares may have a market price that is above or below NAV, and may be worth more or less than your original investment.

The Fund may make distributions of ordinary income and capital gains at calendar year end. Those distributions temporarily cause extraordinarily high yields. There is no assurance that a Fund will repeat that yield in the future. Subsequent monthly distributions that do not include ordinary income or capital gains in the form of dividends will likely be lower.

NAV, market price, and premium or discount will fluctuate with changes in market conditions. At the time of sale, your shares may have a market price that is above or below net asset value, and may be worth more or less than your original investment.

Market Price is the price an investor would pay for shares of a fund on the secondary market. Market price shown is the market closing price as of the previous business day.

Premium/Discount is the amount by which the market price trades above or below the NAV.

All third-party marks cited are the property of their respective owners.

Not FDIC Insured | No Bank Guarantee | May Lose Value

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