Dallas, Texas 10/07/2013 (Financialstrend) – Western Asset Managed Municipals Fnd Inc (NYSE:MMU) close ended debt fund shares have been under pressure at the browsers. It has dropped in value by 2.1% in the last week, while it has shed close to 4.3% in the last 90 days. The shares are trading at $12.04 per share as of close of business on October 4, which is 23% less than its prior 52 week high valuation.
The current price of the stock is 1.4% less than the $12.22 per share MMU CEO Kenneth Fuller had paid in July to purchase close to 900 shares of the company from the open market. The stock has been range bound between $11.3 and $15.66 over the past 52 weeks. At current valuations, the share price indicates a 6.54% upside on its 52 week low pricing.
This weakness in the stock can be traced back to the company’s announcement in August of its dividend payout timetable for the months of September, October and November. The asset management firm had announced a $0.065 per share of common stock for all the three months. The October dividend will be paid out on October 25 with the stock going ex dividend on October 16. The share holders on record as of October 18 will get paid as per the plan. In November, the stock will go ex dividend on November 20, with the dividend payout of $0.065 scheduled to happen on November 29. The share holders on record as of November 22 will get paid out the dividend.
This close ended debt fund is invested into transportation and health care stock in a big way. Education and Power are other secotrs to which the fund has major exposure. Unlike its peers the fund has limited exposure to housing with only 1.8% of its investment going into the housing and real estate sector.