Neuberger NBXG Fund Discloses September 2026 Distribution Sources

Neuberger Next Generation Connectivity Fund Inc. (NYSE: NBXG) issued a formal notice to shareholders on Oct. 30, 2026, disclosing the sources of its September 2026 distribution as mandated under Section 19(a) of the Investment Company Act of 1940. The New York-based closed-end fund is required by law to inform investors when a distribution includes components beyond net investment income, such as returns of capital or realized capital gains.

Section 19(a) notices are a standard regulatory requirement for managed distribution plan funds, designed to ensure transparency so investors understand precisely what portion of a payment represents actual earnings versus other sources. Funds operating under a managed distribution plan commit to regular payouts regardless of short-term income generation, making these disclosures critical for shareholder awareness.

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NBXG focuses on next-generation connectivity themes, including telecommunications infrastructure, 5G technology, and related sectors. Distributions from such growth-oriented closed-end funds can vary in composition depending on the fund's realized gains, income generation, and overall portfolio performance during a given period.

Shareholders are encouraged to review the full Section 19(a) notice carefully, as the tax treatment of a distribution can differ significantly based on its source. Returns of capital, for instance, are generally not immediately taxable but reduce a shareholder's cost basis in the fund.

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