Income Investors Face Setback as Gladstone Capital Reduces Dividend Payout

Gladstone Capital has announced a significant reduction to its monthly dividend, dealing a blow to investors who rely on the company for regular income. The financial services firm revealed it will decrease its payout by 9.1 percent, with the change taking effect for the October 31st distribution. Company leadership attributed this decision to declining short-term interest rates and expectations of further monetary policy easing.

The investment company previously distributed $0.165 per share but will now pay shareholders $0.15 per share monthly. This adjustment does not affect the Series A preferred shares, which will maintain their current distribution rate of $0.130208 per share.

Management explained that current investment yields no longer support the previous dividend level, citing the downward trend in short-term rates... Read more...