ReinvestCapture™: what reinvested distributions actually buy

When a closed-end fund trades below its net asset value, every dollar you reinvest buys shares that carry more than a dollar of assets. The ReinvestCapture™ rate puts a number on that: it is the regular distribution rate on price multiplied by NAV ÷ price. Read it as the asset value a year of reinvested distributions buys, expressed as a percentage of the price you paid.

Formula. ReinvestCapture™ rate = regular annualised distribution ÷ price × (NAV ÷ price). The first term is the ordinary distribution rate on price shown everywhere on this site. The second is the NAV multiplier: 1.25 at a 20% discount, 0.91 at a 10% premium, exactly 1 at NAV.

Why it is worth a column of its own. Two funds with identical payout rates are not identical for a reinvestor. The one at a discount compounds its holder's claim on assets faster, and if the discount later narrows the extra assets are realised in price. That second step is the catch: a discount can persist for years or widen further, and the rate assumes nothing about it. ReinvestCapture™ is a buying-power measure at today's prices, not a forecast and not a return.

What it does not tell you. It does not say whether the distribution is earned. A fund paying out capital (see return of capital) shrinks its own NAV to fund the payout, so part of what you "capture" is your own money coming back. Read the rate alongside the distribution rate on NAV, NII coverage where the fund reports it, and the fund's NAV total return. NAV itself is the fund's own valuation, which matters most for funds holding less-liquid assets.

Where it appears. As a column and a minimum filter on the screener, on each fund's overview and Distributions tab with the NAV multiplier spelled out, on the distributions page, and in the public API as reinvest_capture_rate_pct. It is blank when a fund has no regular distribution or no daily NAV. The methodology page states the calculation.

Relationship to the preferred-stock version. On our sister site for preferred shares the same idea uses face value instead of NAV, because a preferred's claim is its par amount. For a closed-end fund the claim is on the portfolio, so NAV is the right denominator.