May. 19 at 1:26 PM
$ECAT Since its inception on September 28, 2021, the BlackRock ESG Capital Allocation Term Trust (NYSE: ECAT) has generated an annualized total return on Net Asset Value (NAV) of roughly \(7.60\%\) to \(7.72\%\), and a market price total return of about \(6.50\%\) to \(8.20\%\).
ECAT has a reputation for paying out a high 21%+ distribution yield, which equates to cumulative cash payouts of more than
$10.00 per share since inception. However, the total return (which reflects the actual growth of the fund's capital including these reinvested distributions) is significantly lower. Because the fund actively sells off portions of its capital to fund its large monthly distributions, the Net Asset Value per share has trended downward over time.
The fund went public on September 28, 2021, at an IPO price of
$20.00 per share.
