Gabelli Dividend & Income Trust

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT

INVESTMENT COMPANIES

Investment Company Act file number             811-21423                

                             The Gabelli Dividend & Income Trust                                

(Exact name of registrant as specified in charter)

One Corporate Center

                                 Rye, New York 10580-1422                             

(Address of principal executive offices) (Zip code)

Bruce N. Alpert

Gabelli Funds, LLC

One Corporate Center

                                 Rye, New York 10580-1422                             

(Name and address of agent for service)

Registrant’s telephone number, including area code: 1-800-422-3554

Date of fiscal year end: December 31

Date of reporting period: June 30, 2018

Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.

A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.

 


Item 1. Reports to Stockholders.

The Report to Shareholders is attached herewith.


The Gabelli Dividend & Income Trust

Semiannual Report — June 30, 2018

To Our Shareholders,

For the six months ended June 30, 2018, the net asset value (“NAV”) total return of The Gabelli Dividend & Income Trust (the “Fund”) was (2.0)%, compared with a total return of 2.7% for the Standard & Poor’s (“S&P”) 500 Index. The total return for the Fund’s publicly traded shares was (0.8)%. The Fund’s NAV per share was $23.95, while the price of the publicly traded shares closed at $22.56 on the New York Stock Exchange (“NYSE”). See page below for additional performance information.

Enclosed are the financial statements, including the schedule of investments, as of June 30, 2018.

Comparative Results

Average Annual Returns through June 30, 2018 (a) (Unaudited)

 

 

Since

Inception

 (11/28/03) 

   
    

 Year to Date 

 

 1 Year 

 

 5 Year 

 

 10 Year 

Gabelli Dividend & Income Trust

                    

  NAV Total Return (b)

       (2.03 )%       8.78 %       9.29 %       8.02 %       8.12 %

  Investment Total Return (c)

       (0.82 )       9.58       10.76       10.00       8.19

  S&P 500 Index

       2.65       14.37       13.42       10.17       8.90

  Dow Jones Industrial Average

       (0.73 )       16.26       12.89       10.73       9.12

  Nasdaq Composite Index

       9.38       23.71       18.61       13.96       10.91  

 

  (a)

Returns represent past performance and do not guarantee future results. Investment returns and the principal value of an investment will fluctuate. When shares are sold, they may be worth more or less than their original cost. Current performance may be lower or higher than the performance data presented. Performance returns for periods of less than one year are not annualized. Visit www.gabelli.com for performance information as of the most recent month end. Investors should carefully consider the investment objectives, risks, charges,and expenses of the Fund before investing. The Dow Jones Industrial Average is an unmanaged index of 30 large capitalization stocks. The S&P 500 and the Nasdaq Composite Indices are unmanaged indicators of stock market performance. Dividends are considered reinvested except for the Nasdaq Composite Index. You cannot invest directly in an index.

 
  (b)

Total returns and average annual returns reflect changes in the NAV per share and reinvestment of distributions at NAV on the ex-dividend date and adjustment for the spin-off and are net of expenses. Since inception return is based on an initial NAV of $19.06.

 
  (c)

Total returns and average annual returns reflect changes in closing market values on the NYSE, reinvestment of distributions and adjustment for the spin-off. Since inception return is based on an initial offering price of $20.00.

 


Summary of Portfolio Holdings (Unaudited)

The following table presents portfolio holdings as a percent of total investments as of June 30, 2018:

The Gabelli Dividend & Income Trust

 

Financial Services

     17.9

Food and Beverage

     14.1

Health Care

     8.5

Energy and Utilities: Oil

     6.1

Diversified Industrial

     4.1

Telecommunications

     3.8

Consumer Products

     3.5

Retail

     3.3

Computer Software and Services

     3.0

Aerospace

     2.6

Business Services

     2.6

Automotive: Parts and Accessories

     2.5

Electronics

     2.3

Specialty Chemicals

     2.2

Machinery.

     1.9

Energy and Utilities: Services

     1.8

Entertainment

     1.7

Equipment and Supplies

     1.7

Environmental Services

     1.6

Energy and Utilities: Natural Gas

     1.4

Energy and Utilities: Integrated

     1.3

Building and Construction

     1.3

Cable and Satellite

     1.3

Broadcasting

     1.1

Metals and Mining

     0.9

U.S. Government Obligations

     0.9

Computer Hardware

     0.8

Transportation

     0.8

Automotive

     0.8

Consumer Services

     0.7

Hotels and Gaming

     0.5

Energy and Utilities: Electric

     0.5

Real Estate

     0.5

Aviation: Parts and Services

     0.4

Communications Equipment

     0.4

Energy and Utilities: Water

     0.3

Energy and Utilities

     0.2

Wireless Communications

     0.2

Closed-End Funds

     0.2

Paper and Forest Products

     0.1

Publishing.

     0.1

Semiconductors

     0.1

Industrials

     0.0 %* 

Agriculture

     0.0 %* 
  

 

 

 
       100.0
  

 

 

 

 

*

Amount represents less than 0.05%.

 

 

The Fund files a complete schedule of portfolio holdings with the Securities and Exchange Commission (the “SEC”) for the first and third quarters of each fiscal year on Form N-Q. Shareholders may obtain this information at www.gabelli.com or by calling the Fund at 800-GABELLI (800- 422- 3554). The Fund’s Form N-Q is available on the SEC’s website at www.sec.gov and may also be reviewed and copied at the SEC’s Public Reference Room in Washington, DC. Information on the operation of the Public Reference Room may be obtained by calling 800-SEC-0330.

Proxy Voting

The Fund files Form N-PX with its complete proxy voting record for the twelve months ended June 30, no later than August 31 of each year. A description of the Fund’s proxy voting policies, procedures, and how the Fund voted proxies relating to portfolio securities is available without charge, upon request, by (i) calling 800-GABELLI (800-422-3554); (ii) writing to The Gabelli Funds at One Corporate Center, Rye, NY 10580-1422; or (iii) visiting the SEC’s website at www.sec.gov.

 

2


The Gabelli Dividend & Income Trust

Schedule of Investments — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS — 98.4%

 

  

Aerospace — 2.6%

 

  255,000     

Aerojet Rocketdyne Holdings Inc.†

  $ 3,111,396     $ 7,519,950  
  34,000     

Kaman Corp.

    675,256       2,369,460  
  91,800     

Rockwell Automation Inc.

    3,748,405       15,259,914  
  1,435,000     

Rolls-Royce Holdings plc

    10,819,570       18,714,921  
  104,015,000     

Rolls-Royce Holdings plc, Cl. C†(a)

    144,888       137,274  
  62,300     

The Boeing Co.

    5,389,314       20,902,273  
    

 

 

   

 

 

 
       23,888,829       64,903,792  
    

 

 

   

 

 

 
  

Agriculture — 0.0%

 

 
  2,000     

Bunge Ltd.

    128,286       139,420  
    

 

 

   

 

 

 
  

Automotive — 0.8%

 

 
  155,000     

Ford Motor Co.

    2,073,690       1,715,850  
  53,000     

General Motors Co.

    2,005,900       2,088,200  
  273,000     

Navistar International Corp.†

    7,166,104       11,116,560  
  84,000     

PACCAR Inc.

    3,802,072       5,204,640  
    

 

 

   

 

 

 
           15,047,766           20,125,250  
    

 

 

   

 

 

 
  

Automotive: Parts and Accessories — 2.5%

 

  12,713     

Adient plc

    597,511       625,352  
  12,000     

Allison Transmission Holdings Inc.

    517,195       485,880  
  52,676     

Aptiv plc

    3,164,608       4,826,702  
  204,000     

Dana Inc.

    3,784,076       4,118,760  
  10,892     

Delphi Technologies plc

    441,402       495,150  
  338,900     

Genuine Parts Co.

    21,598,388       31,107,631  
  7,000     

Lear Corp.

    920,864       1,300,670  
  60,500     

O’Reilly Automotive Inc.†

    11,412,372       16,550,985  
  60,000     

Tenneco Inc.

    3,629,886       2,637,600  
  10,000     

Visteon Corp.†

    773,094       1,292,400  
    

 

 

   

 

 

 
       46,839,396       63,441,130  
    

 

 

   

 

 

 
  

Aviation: Parts and Services — 0.4%

 

  92,000     

Arconic Inc.

    1,951,196       1,564,920  
  81,000     

KLX Inc.†

    3,202,272       5,823,900  
  21,101     

Rockwell Collins Inc.

    2,067,687       2,841,883  
    

 

 

   

 

 

 
       7,221,155       10,230,703  
    

 

 

   

 

 

 
  

Broadcasting — 1.1%

 

 
  24,900     

CBS Corp., Cl. A, Voting

    1,372,540       1,410,336  
  900,000     

Entercom Communications Corp., Cl. A

    8,561,902       6,795,000  
  15,000     

Liberty Broadband Corp., Cl. C†

    798,727       1,135,800  
  61,763     

Liberty Global plc, Cl. A†

    982,056       1,700,953  
  328,570     

Liberty Global plc, Cl. C†

    7,291,014       8,743,248  
  12,000     

Liberty Media Corp.-Liberty SiriusXM, Cl. A†

    293,384       540,600  
  30,000     

Liberty Media Corp.-Liberty SiriusXM, Cl. C†

    782,390       1,360,800  

Shares

        

Cost

   

Market

Value

 
  101,000     

MSG Networks Inc., Cl. A†

  $ 849,050     $ 2,418,950  
  89,158     

Tribune Media Co., Cl. A

    3,310,481       3,412,077  
    

 

 

   

 

 

 
       24,241,544       27,517,764  
    

 

 

   

 

 

 
  

Building and Construction — 1.3%

 

 
  58,000     

Armstrong Flooring Inc.†

    1,029,261       814,320  
  70,000     

Fortune Brands Home & Security Inc.

    941,518       3,758,300  
  14,500     

Gibraltar Industries Inc.†

    466,733       543,750  
  242,350     

Herc Holdings Inc.†

    8,940,258       13,653,999  
  387,018     

Johnson Controls International plc

    13,188,837       12,945,752  
  10,800     

Sika AG

    1,384,793       1,498,455  
    

 

 

   

 

 

 
       25,951,400       33,214,576  
    

 

 

   

 

 

 
  

Business Services — 2.6%

 

 
  25,000     

Aramark

    645,416       927,500  
  8,200     

Broadridge Financial Solutions Inc.

    957,120       943,820  
  85,000     

Diebold Nixdorf Inc.

    1,827,244       1,015,750  
  164,301     

Fly Leasing Ltd., ADR†

    2,226,052       2,315,001  
  5,000     

Jardine Matheson Holdings Ltd.

    304,206       315,500  
  38,000     

JCDecaux SA

    1,256,073       1,271,829  
  327,000     

Macquarie Infrastructure Corp.

    17,814,389       13,799,400  
  172,800     

Mastercard Inc., Cl. A

    8,592,937       33,958,656  
  2,700     

S&P Global Inc.

    542,852       550,503  
  7,700     

Square Inc., Cl. A†

    473,617       474,628  
  45,000     

Stericycle Inc.†

    3,385,704       2,938,050  
  19,000     

The Brink’s Co.

    472,783       1,515,250  
  29,600     

Visa Inc., Cl. A

    2,939,427       3,920,520  
    

 

 

   

 

 

 
       41,437,820       63,946,407  
    

 

 

   

 

 

 
  

Cable and Satellite — 1.2%

 

 
  54,000     

AMC Networks Inc., Cl. A†

    2,188,881       3,358,800  
  2,445     

Charter Communications Inc., Cl. A†

    347,387       716,898  
  15,000     

Cogeco Inc.

    296,908       663,142  
  258,600     

Comcast Corp., Cl. A

    7,430,660       8,484,666  
  199,000     

DISH Network Corp., Cl. A†

    6,296,699       6,688,390  
  50,000     

EchoStar Corp., Cl. A†

    1,296,581       2,220,000  
  9,507     

Liberty Latin America Ltd.,
Cl. A†

    165,069       181,774  
  22,116     

Liberty Latin America Ltd.,
Cl. C†

    568,678       428,608  
  153,000     

Rogers Communications Inc., Cl. B

    3,393,082       7,261,380  
  25,000     

WideOpenWest Inc.†

    345,838       241,500  
    

 

 

   

 

 

 
           22,329,783           30,245,158  
    

 

 

   

 

 

 
  

Communications Equipment — 0.4%

 

 
  330,000     

Corning Inc.

    4,042,401       9,078,300  
    

 

 

   

 

 

 
 

 

See accompanying notes to financial statements.

 

3


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

  

Computer Hardware — 0.8%

 

  111,712     

Apple Inc.

  $ 14,381,841     $ 20,679,008  
    

 

 

   

 

 

 
  

Computer Software and Services — 3.0%

 

  11,000     

Accenture plc, Cl. A

    1,785,244       1,799,490  
  7,400     

Adobe Systems Inc.†

    1,878,380       1,804,194  
  5,789     

Alphabet Inc., Cl. A†

    2,474,180       6,536,881  
  11,200     

Alphabet Inc., Cl. C†

        10,713,014           12,495,280  
  3,200     

Amazon.com Inc.†

    5,325,927       5,439,360  
  8,800     

Autodesk Inc.†

    1,202,606       1,153,592  
  33,130     

Black Knight Inc.†

    565,682       1,774,111  
  35,000     

Blucora Inc.†

    438,146       1,295,000  
  11,200     

Cognizant Technology Solutions Corp., Cl. A

    878,195       884,688  
  15,000     

CyrusOne Inc., REIT

    283,620       875,400  
  40,000     

Donnelley Financial Solutions Inc.†

    836,918       694,800  
  3,437     

DXC Technology Co.

    201,755       277,057  
  35,000     

eBay Inc.†

    782,634       1,269,100  
  11,800     

Fiserv Inc.†

    889,315       874,262  
  848,000     

Hewlett Packard Enterprise Co.

    11,518,812       12,389,280  
  19,300     

Internap Corp.†

    328,530       201,106  
  197,549     

Microsoft Corp.

    11,734,700       19,480,307  
  8,600     

Palo Alto Networks Inc.†

    1,772,770       1,767,042  
  1,718     

Perspecta Inc.

    31,016       35,305  
  8,400     

salesforce.com Inc.†

    1,134,668       1,145,760  
  6,600     

ServiceNow Inc.†

    1,212,748       1,138,302  
  9,400     

Tableau Software Inc., Cl. A†

    949,791       918,850  
    

 

 

   

 

 

 
       56,938,651       74,249,167  
    

 

 

   

 

 

 
  

Consumer Products — 3.5%

 

 
  5,200     

adidas AG

    1,212,972       1,135,266  
  165,000     

Avon Products Inc.†

    502,771       267,300  
  30,000     

Church & Dwight Co. Inc.

    1,199,580       1,594,800  
  60,000     

Coty Inc., Cl. A

    975,900       846,000  
  365,500     

Edgewell Personal Care Co.†

    29,018,213       18,443,130  
  65,000     

Energizer Holdings Inc.

    2,134,399       4,092,400  
  100,000     

Hanesbrands Inc.

    476,588       2,202,000  
  18,000     

Kimberly-Clark Corp.

    1,474,125       1,896,120  
  38,000     

Newell Brands Inc.

    1,050,194       980,020  
  24,000     

Philip Morris International Inc.

    1,376,885       1,937,760  
  7,000     

Stanley Black & Decker Inc.

    544,312       929,670  
  871,000     

Swedish Match AB

    12,507,935       43,147,648  
  96,000     

The Procter & Gamble Co.

    5,549,880       7,493,760  
  4,700     

The Sherwin-Williams Co.

    1,839,573       1,915,579  
    

 

 

   

 

 

 
       59,863,327       86,881,453  
    

 

 

   

 

 

 
  

Consumer Services — 0.7%

 

 
  51,000     

Ashtead Group plc

    902,614       1,529,892  
  550     

Booking Holdings Inc.†

    1,171,519       1,114,900  

Shares

        

Cost

   

Market

Value

 
  31,200     

Facebook Inc., Cl. A†

  $ 6,062,474     $ 6,062,784  
  41,279     

GCI Liberty Inc., Cl. A†

    1,701,722       1,860,857  
  7,700     

IAC/InterActiveCorp.†

    1,227,073       1,174,173  
  853     

Liberty Expedia Holdings Inc., Cl. A†

    19,923       37,481  
  95,000     

Qurate Retail Inc.†

    1,680,230       2,015,900  
  46,000     

ServiceMaster Global Holdings Inc.†

    1,766,708       2,735,620  
    

 

 

   

 

 

 
           14,532,263           16,531,607  
    

 

 

   

 

 

 
  

Diversified Industrial — 4.1%

 

 
  4,400     

3M Co.

    882,497       865,568  
  92,000     

Bouygues SA

    3,213,947       3,965,527  
  4,000     

Crane Co.

    303,120       320,520  
  39,700     

Eaton Corp. plc

    1,780,122       2,967,178  
  7,000     

EnPro Industries Inc.

    510,148       489,650  
  100,000     

Estre Ambiental Inc.†

    1,003,960       834,000  
  871,000     

General Electric Co.

    16,606,335       11,854,310  
  200,000     

Griffon Corp.

    3,935,385       3,560,000  
  316,826     

Honeywell International Inc.

    23,816,290       45,638,785  
  56,000     

ITT Inc.

    1,056,566       2,927,120  
  10,000     

Jardine Strategic Holdings Ltd.

    341,284       364,800  
  15,000     

nVent Electric plc†

    199,094       376,500  
  4,000     

Packaging Corp. of America

    488,540       447,160  
  20,000     

Pentair plc.

    530,274       841,600  
  2,000     

Roper Technologies Inc.

    539,054       551,820  
  4,000     

Sulzer AG

    394,160       487,125  
  13,000     

Terex Corp.

    536,015       548,470  
  362,000     

Textron Inc.

    8,403,474       23,859,420  
  315,000     

Toray Industries Inc.

    2,373,663       2,486,655  
    

 

 

   

 

 

 
       66,913,928       103,386,208  
    

 

 

   

 

 

 
  

Electronics — 2.3%

 

 
  13,000     

Emerson Electric Co.

    774,560       898,820  
  153,400     

Intel Corp.

    4,430,425       7,625,514  
  428,900     

Sony Corp., ADR

    8,433,208       21,985,414  
  65,700     

TE Connectivity Ltd.

    2,206,558       5,916,942  
  100,000     

Texas Instruments Inc.

    2,905,588       11,025,000  
  43,400     

Thermo Fisher Scientific Inc.

    7,747,055       8,989,876  
    

 

 

   

 

 

 
       26,497,394       56,441,566  
    

 

 

   

 

 

 
  

Energy and Utilities: Electric — 0.5%

 

  11,000     

ALLETE Inc.

    360,106       851,510  
  10,000     

American Electric Power Co. Inc.

    359,450       692,500  
  10,000     

Edison International

    366,166       632,700  
  17,000     

El Paso Electric Co.

    589,006       1,004,700  
  70,000     

Electric Power Development Co. Ltd.

    1,833,684       1,808,246  
  75,971     

Evergy Inc.

    2,102,035       4,265,772  
  18,000     

PG&E Corp.

    735,604       766,080  
  12,000     

Pinnacle West Capital Corp.

    468,584       966,720  
 

 

See accompanying notes to financial statements.

 

4


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

 
  

Energy and Utilities: Electric (Continued)

 

  60,000     

The AES Corp.

  $ 617,140     $ 804,600  
  25,000     

WEC Energy Group Inc.

    1,051,041       1,616,250  
    

 

 

   

 

 

 
       8,482,816       13,409,078  
    

 

 

   

 

 

 
  

Energy and Utilities: Integrated — 1.3%

 

  24,000     

Avangrid Inc.

    948,914       1,270,320  
  26,000     

Avista Corp.

    490,519       1,369,160  
  4,000     

Black Hills Corp.

    104,480       244,840  
  26,000     

Chubu Electric Power Co. Inc.

    448,302       390,065  
  100,000     

Edison SpA†(a)

    220,882       58,565  
  20,000     

Endesa SA

    506,664       441,312  
  230,000     

Enel SpA

    1,051,884       1,277,703  
  17,000     

Eversource Energy

    306,582       996,370  
  34,000     

Hawaiian Electric Industries Inc.

    794,771       1,166,200  
  401,000     

Hera SpA

    792,954       1,250,330  
  10,000     

Hokkaido Electric Power Co. Inc.

    107,280       68,103  
  24,000     

Hokuriku Electric Power Co.†

    386,941       241,268  
  45,000     

Iberdrola SA, ADR

    952,490       1,386,900  
  127,000     

Korea Electric Power Corp.,, ADR

    1,758,452       1,821,180  
  40,000     

Kyushu Electric Power Co. Inc.

    614,508       446,552  
  29,000     

MGE Energy Inc.

    621,355       1,828,450  
  51,000     

NextEra Energy Inc.

    2,671,298       8,518,530  
  20,000     

NextEra Energy Partners LP

    836,686       933,400  
  49,000     

NiSource Inc.

    397,054       1,287,720  
  57,500     

OGE Energy Corp.

    685,360       2,024,575  
  12,000     

Ormat Technologies Inc.

    180,000       638,280  
  30,000     

Public Service Enterprise Group Inc.

    906,080       1,624,200  
  58,000     

Shikoku Electric Power Co. Inc.

    1,066,813       776,372  
  50,000     

The Chugoku Electric Power Co. Inc.

    851,464       646,706  
  20,000     

The Kansai Electric Power Co. Inc.

    278,704       291,921  
  45,000     

Tohoku Electric Power Co. Inc.

    663,612       549,925  
  27,000     

Vectren Corp.

    759,384       1,929,150  
    

 

 

   

 

 

 
           19,403,433           33,478,097  
    

 

 

   

 

 

 
  

Energy and Utilities: Natural Gas — 1.4%

 

  20,000     

CNX Resources Corp.†

    206,086       355,600  
  100,000     

Kinder Morgan Inc.

    2,966,565       1,767,000  
  362,000     

National Fuel Gas Co.

    12,302,313       19,171,520  
  36,666     

National Grid plc

    574,588       405,701  
  24,750     

National Grid plc, ADR

    1,223,561       1,382,288  
  14,000     

ONEOK Inc.

    699,820       977,620  
  65,000     

Sempra Energy

    2,031,891       7,547,150  

Shares

        

Cost

   

Market

Value

 
  30,000     

South Jersey Industries Inc.

  $ 476,644     $ 1,004,100  
  44,000     

Southwest Gas Holdings Inc.

    1,159,950       3,355,880  
    

 

 

   

 

 

 
       21,641,418       35,966,859  
    

 

 

   

 

 

 
  

Energy and Utilities: Oil — 6.1%

 

  100,107     

Anadarko Petroleum Corp.

    5,706,240       7,332,838  
  37,000     

Apache Corp.

    2,562,592       1,729,750  
  87,000     

BP plc, ADR

    2,820,938       3,972,420  
  35,000     

Chesapeake Energy Corp.†

    426,982       183,400  
  148,222     

Chevron Corp.

    12,195,318       18,739,707  
  190,772     

ConocoPhillips

    9,982,178       13,281,547  
  95,000     

Devon Energy Corp.

    5,095,861       4,176,200  
  130,000     

Eni SpA, ADR

    4,789,601       4,825,600  
  495,000     

Equinor ASA, ADR

    8,248,862       13,072,950  
  85,500     

Exxon Mobil Corp.

    6,791,168       7,073,415  
  22,700     

Hess Corp.

    1,341,390       1,518,403  
  210,000     

Marathon Oil Corp.

    4,986,868       4,380,600  
  260,000     

Marathon Petroleum Corp.

    6,333,587       18,241,600  
  10,000     

Murphy Oil Corp.

    357,981       337,700  
  183,900     

Occidental Petroleum Corp.

    9,270,382       15,388,752  
  200     

PetroChina Co. Ltd., ADR

    12,118       15,254  
  20,000     

Petroleo Brasileiro SA, ADR

    266,014       200,600  
  128,000     

Phillips 66

    10,180,010       14,375,680  
  200,000     

Repsol SA, ADR

    4,155,562       3,908,000  
  194,800     

Royal Dutch Shell plc, Cl. A, ADR

    9,882,980       13,486,004  
  99,500     

TOTAL SA, ADR

    4,622,806       6,025,720  
    

 

 

   

 

 

 
       110,029,438       152,266,140  
    

 

 

   

 

 

 
  

Energy and Utilities: Services — 1.8%

 

  47,000     

ABB Ltd., ADR

    511,806       1,023,190  
  295,000     

Baker Hughes, a GE Company .

    13,360,871       9,743,850  
  44,000     

Diamond Offshore Drilling Inc.†

    1,550,996       917,840  
  381,145     

Halliburton Co.

    14,906,167       17,174,394  
  49,000     

Oceaneering International Inc.

    1,198,537       1,247,540  
  167,590     

Schlumberger Ltd.

    8,886,465       11,233,558  
  1,222,601     

Weatherford International plc†

    7,018,444       4,022,357  
    

 

 

   

 

 

 
           47,433,286           45,362,729  
    

 

 

   

 

 

 
  

Energy and Utilities: Water — 0.3%

 

  12,000     

American States Water Co.

    150,968       685,920  
  17,500     

American Water Works Co. Inc.

    430,104       1,494,150  
  39,500     

Aqua America Inc.

    550,691       1,389,610  
  50,000     

Mueller Water Products Inc., Cl. A

    567,098       586,000  
  30,000     

Severn Trent plc

    764,139       783,733  
  29,000     

SJW Group

    514,093       1,920,380  
  8,000     

The York Water Co.

    104,289       254,400  
 

 

See accompanying notes to financial statements.

 

5


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

 
  

Energy and Utilities: Water (Continued)

 

  6,000     

United Utilities Group plc, ADR

  $ 168,600     $ 122,880  
    

 

 

   

 

 

 
       3,249,982       7,237,073  
    

 

 

   

 

 

 
  

Entertainment — 1.7%

 

 
  14,900     

Activision Blizzard Inc.

    1,108,957       1,137,168  
  8,981     

Liberty Media Corp.-Liberty Braves, Cl. C†

    137,575       232,249  
  4,400     

Netflix Inc.†

    1,594,812       1,722,292  
  17,000     

Take-Two Interactive Software Inc.†

    167,997       2,012,120  
  31,733     

The Madison Square Garden Co, Cl. A†

    1,599,798       9,843,259  
  13,000     

The Walt Disney Co.

    1,319,921       1,362,530  
  156,653     

Twenty-First Century Fox Inc., Cl. A

    4,887,750       7,784,088  
  238,000     

Twenty-First Century Fox Inc., Cl. B

    6,593,775       11,726,260  
  17,000     

Viacom Inc., Cl. A

    675,548       602,650  
  56,000     

Viacom Inc., Cl. B

    1,793,984       1,688,960  
  154,000     

Vivendi SA

    3,980,403       3,776,670  
  300,000     

Wow Unlimited Media Inc.†(b)

    345,198       327,349  
    

 

 

   

 

 

 
           24,205,718           42,215,595  
    

 

 

   

 

 

 
  

Environmental Services — 1.6%

 

 
  205,000     

Republic Services Inc.

    7,346,840       14,013,800  
  23,000     

Veolia Environnement SA

    275,698       492,333  
  99,222     

Waste Connections Inc.

    3,205,232       7,469,432  
  216,600     

Waste Management Inc.

    8,555,145       17,618,244  
    

 

 

   

 

 

 
       19,382,915       39,593,809  
    

 

 

   

 

 

 
  

Equipment and Supplies — 1.7%

 

 
  92,000     

CIRCOR International Inc.

    2,307,769       3,400,320  
  12,300     

Danaher Corp.

    1,247,969       1,213,764  
  140,000     

Flowserve Corp.

    6,017,561       5,656,000  
  158,000     

Graco Inc.

    2,902,535       7,144,760  
  160,000     

Mueller Industries Inc.

    3,483,363       4,721,600  
  598,000     

RPC Inc.

    2,837,635       8,712,860  
  130,000     

Sealed Air Corp.

    3,131,382       5,518,500  
  46,000     

Tenaris SA, ADR

    1,825,138       1,673,940  
  94,000     

The Timken Co.

    3,525,103       4,093,700  
    

 

 

   

 

 

 
       27,278,455       42,135,444  
    

 

 

   

 

 

 
  

Financial Services — 17.9%

 

 
  8,000     

Alleghany Corp.

    2,949,449       4,599,760  
  461,608     

American Express Co.

    33,278,837       45,237,584  
  380,452     

American International Group Inc.

    23,104,229       20,171,565  
  270,200     

Bank of America Corp.

    3,081,289       7,616,938  
  13,500     

Berkshire Hathaway Inc.,
Cl. B†

    1,643,350       2,519,775  

Shares

        

Cost

   

Market

Value

 
  20,000     

BlackRock Inc.

  $ 3,031,089     $ 9,980,800  
  30,000     

Cannae Holdings Inc.†

    182,958       556,500  
  95,339     

Citigroup Inc.

    4,699,644       6,380,086  
  75,000     

Cohen & Steers Inc.

    2,990,737       3,128,250  
  27,000     

Cullen/Frost Bankers Inc.

    2,008,114       2,922,480  
  3,500     

EXOR NV

    180,936       235,837  
  8,000     

FCB Financial Holdings Inc.,
Cl. A†

    369,453       470,400  
  12,100     

First Republic Bank

    1,229,439       1,171,159  
  90,000     

FNF Group

    984,604       3,385,800  
  285,000     

H&R Block Inc.

    6,662,658       6,492,300  
  37,000     

HSBC Holdings plc, ADR

    2,070,772       1,744,180  
  49,498     

Interactive Brokers Group Inc., Cl. A

    1,876,717       3,188,166  
  170,000     

Invesco Ltd.

    3,951,101       4,515,200  
  501,217     

JPMorgan Chase & Co.

        27,286,184           52,226,811  
  135,000     

KeyCorp.

    2,036,253       2,637,900  
  30,000     

Kinnevik AB, Cl. B

    663,872       1,027,940  
  89,250     

KKR & Co. Inc., Cl. A

    1,768,935       2,217,863  
  468,452     

Legg Mason Inc.

    14,471,034       16,269,338  
  42,000     

M&T Bank Corp.

    2,747,488       7,146,300  
  189,452     

Morgan Stanley

    3,682,946       8,980,025  
  72,000     

National Australia Bank Ltd., ADR

    854,233       729,000  
  185,000     

Navient Corp.

    1,458,611       2,410,550  
  160,000     

New York Community Bancorp Inc.

    2,660,046       1,766,400  
  112,000     

Northern Trust Corp.

    5,232,255       11,523,680  
  304,034     

Oaktree Specialty Lending Corp.

    2,000,172       1,453,283  
  184,689     

PayPal Holdings Inc.†

    9,118,559       15,379,053  
  75,000     

Resona Holdings Inc.

    362,810       401,436  
  190,000     

SLM Corp.†

    901,225       2,175,500  
  211,000     

State Street Corp.

    10,610,186       19,641,990  
  218,900     

T. Rowe Price Group Inc.

    14,215,732       25,412,101  
  899,000     

The Bank of New York Mellon Corp.

    28,668,655       48,483,070  
  16,500     

The Charles Schwab Corp.

    936,044       843,150  
  2,000     

The Goldman Sachs Group Inc.

    312,050       441,140  
  145,000     

The Hartford Financial Services Group Inc.

    4,825,673       7,413,850  
  233,000     

The PNC Financial Services Group Inc.

    15,359,850       31,478,300  
  99,700     

The Travelers Companies Inc.

    6,928,233       12,197,298  
  47,271     

U.S. Bancorp

    1,648,760       2,364,495  
  49,000     

W. R. Berkley Corp.

    1,935,937       3,548,090  
  550,000     

Waddell & Reed Financial Inc., Cl. A

    10,188,445       9,883,500  
  600,300     

Wells Fargo & Co.

    20,871,572       33,280,632  
 

 

See accompanying notes to financial statements.

 

6


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

 
  

Financial Services (Continued)

 

  6,000     

Willis Towers Watson plc

  $ 477,521     $ 909,600  
    

 

 

   

 

 

 
       286,518,657       446,559,075  
    

 

 

   

 

 

 
  

Food and Beverage — 14.1%

 

 
  8,000     

Ajinomoto Co. Inc.

    137,110       151,452  
  12,500     

Brown-Forman Corp., Cl. B

    341,437       612,625  
  80,300     

Campbell Soup Co.

    2,742,658       3,255,362  
  1,000,000     

China Mengniu Dairy Co. Ltd.

    1,245,706       3,390,435  
  66,000     

Chr. Hansen Holding A/S

    2,705,045       6,097,289  
  425,000     

Conagra Brands Inc.

        12,726,088           15,185,250  
  21,700     

Constellation Brands Inc., Cl. A

    515,259       4,749,479  
  216,222     

Danone SA

    10,776,069       15,874,948  
  3,850,000     

Davide Campari-Milano SpA

    11,061,775       31,674,569  
  80,000     

Diageo plc, ADR

    9,680,592       11,520,800  
  193,000     

Dr Pepper Snapple Group Inc.

    8,753,145       23,546,000  
  70,954     

Flowers Foods Inc.

    1,053,433       1,477,972  
  371,900     

General Mills Inc.

    17,302,026       16,460,294  
  18,000     

Heineken Holding NV

    747,987       1,725,777  
  275,000     

ITO EN Ltd.

    6,032,373       12,742,176  
  86,600     

Kellogg Co.

    6,142,302       6,050,742  
  360,000     

Kikkoman Corp.

    4,276,456       18,176,399  
  190,000     

Lamb Weston Holdings Inc.

    6,917,205       13,016,900  
  100,000     

Maple Leaf Foods Inc.

    1,890,018       2,528,430  
  3,000     

McCormick & Co. Inc., Cl. V

    290,905       347,400  
  90,000     

Molson Coors Brewing Co., Cl. B

    5,616,364       6,123,600  
  801,694     

Mondelēz International Inc., Cl. A

    23,495,024       32,869,454  
  30,000     

Morinaga Milk Industry Co. Ltd.

    588,860       1,121,799  
  2,000     

National Beverage Corp.†

    163,804       213,800  
  22,000     

Nestlé SA.

    1,644,475       1,708,371  
  35,000     

Nestlé SA, ADR

    2,563,158       2,710,050  
  160,000     

Nissin Foods Holdings Co. Ltd.

    5,465,019       11,575,667  
  1,740,151     

Parmalat SpA

    5,262,732       5,872,916  
  339,450     

Parmalat SpA, GDR(b)(c)

    981,615       1,145,372  
  199,000     

PepsiCo Inc.

    13,839,857       21,665,130  
  62,000     

Pernod Ricard SA

    5,311,274       10,129,276  
  45,000     

Pinnacle Foods Inc.

    2,546,524       2,927,700  
  25,000     

Post Holdings Inc.†

    1,694,095       2,150,500  
  25,000     

Remy Cointreau SA

    1,396,049       3,240,649  
  18,000     

Suntory Beverage & Food Ltd.

    573,702       769,001  
  478,400     

The Coca-Cola Co.

    15,367,029       20,982,624  
  7,000     

The J.M. Smucker Co.

    690,177       752,360  
  265,212     

The Kraft Heinz Co.

    14,606,087       16,660,618  
  25,000     

Unilever plc, ADR

    800,393       1,382,000  
  287,000     

Yakult Honsha Co. Ltd.

    7,192,434       19,182,586  
    

 

 

   

 

 

 
       215,136,261       351,767,772  
    

 

 

   

 

 

 

Shares

        

Cost

   

Market

Value

 
  

Health Care — 8.4%

 

 
  190,000     

Abbott Laboratories

  $ 6,283,503     $ 11,588,100  
  11,500     

AbbVie Inc.

    1,136,415       1,065,475  
  9,000     

Aetna Inc.

    631,250       1,651,500  
  90,000     

Akorn Inc.†

    2,491,022       1,493,100  
  5,000     

Alexion Pharmaceuticals Inc.†

    635,800       620,750  
  1,800     

Align Technology Inc.†

    618,115       615,852  
  75,390     

Allergan plc.

        16,652,114           12,569,021  
  59,500     

AmerisourceBergen Corp.

    3,937,302       5,073,565  
  10,000     

Anthem Inc.

    885,792       2,380,300  
  40,000     

Baxter International Inc.

    1,453,203       2,953,600  
  17,900     

Becton, Dickinson and Co.

    3,297,914       4,288,124  
  735,000     

BioScrip Inc.†

    2,305,334       2,153,550  
  31,300     

Bristol-Myers Squibb Co.

    1,940,006       1,732,142  
  12,500     

Cardiovascular Systems Inc.†

    339,293       404,250  
  10,000     

Charles River Laboratories International Inc.†

    1,038,800       1,122,600  
  5,000     

Chemed Corp.

    323,860       1,609,050  
  15,000     

Cigna Corp.

    2,775,190       2,549,250  
  35,000     

DaVita Inc.†

    2,192,140       2,430,400  
  4,400     

Edwards Lifesciences Corp.†

    622,309       640,508  
  85,000     

Eli Lilly & Co.

    3,524,417       7,253,050  
  130,000     

Envision Healthcare Corp.†

    8,375,789       5,721,300  
  250,000     

Evolent Health Inc., Cl. A†

    4,318,117       5,262,500  
  40,000     

Express Scripts Holding Co.†

    2,831,314       3,088,400  
  40,000     

Gerresheimer AG

    2,664,055       3,246,488  
  58,543     

Gilead Sciences Inc.

    4,806,640       4,147,186  
  40,000     

HCA Healthcare Inc.

    2,418,679       4,104,000  
  35,000     

Henry Schein Inc.†

    2,232,450       2,542,400  
  4,300     

Humana Inc.

    1,251,638       1,279,809  
  4,400     

Illumina Inc.†

    1,238,952       1,228,876  
  6,500     

Incyte Corp.†

    712,456       435,500  
  35,000     

Integer Holdings Corp.†

    1,025,724       2,262,750  
  2,500     

Intuitive Surgical Inc.†

    1,208,026       1,196,200  
  119,100     

Johnson & Johnson

    11,046,903       14,451,594  
  130,000     

Kindred Healthcare Inc.†

    1,132,140       1,170,000  
  28,400     

Laboratory Corp. of America Holdings†

    3,623,223       5,098,652  
  8,000     

Ligand Pharmaceuticals Inc.†

    813,131       1,657,360  
  13,349     

Mallinckrodt plc†

    803,487       249,092  
  20,000     

McKesson Corp.

    3,193,060       2,668,000  
  40,000     

Medtronic plc

    3,023,885       3,424,400  
  223,179     

Merck & Co. Inc.

    9,073,786       13,546,965  
  50,000     

Mylan NV†

    2,900,000       1,807,000  
  163,196     

NeoGenomics Inc.†

    1,253,112       2,139,500  
  12,202     

Nevro Corp.†

    913,191       974,330  
  45,000     

Orthofix International NV†

    1,458,930       2,556,900  
  114,992     

Owens & Minor Inc.

    2,445,659       1,921,516  
  140,000     

Patterson Cos., Inc.

    4,658,654       3,173,800  
  557,424     

Pfizer Inc.

    12,170,627       20,223,343  
  25,000     

Shire plc, ADR

    3,811,825       4,220,000  
  21,800     

Stryker Corp.

    2,475,600       3,681,148  
 

 

See accompanying notes to financial statements.

 

7


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

 
  

Health Care (Continued)

 

  16,000     

The Cooper Companies Inc.

  $ 2,078,450     $ 3,767,200  
  30,000     

UnitedHealth Group Inc.

    3,956,118       7,360,200  
  43,000     

Zimmer Biomet Holdings Inc.

    4,341,287       4,791,920  
  158,702     

Zoetis Inc.

    5,854,303       13,519,823  
    

 

 

   

 

 

 
       167,194,990       211,112,339  
    

 

 

   

 

 

 
  

Hotels and Gaming — 0.5%

 

 
  19,000     

Accor SA

    654,124       932,349  
  95,000     

Boyd Gaming Corp.

    520,622       3,292,700  
  23,034     

GVC Holdings plc

    298,449       319,494  
  52,000     

Las Vegas Sands Corp.

    2,356,286       3,970,720  
  400,000     

Mandarin Oriental International Ltd.

    680,880       932,000  
  18,000     

MGM Resorts International

    626,780       522,540  
  35,000     

Ryman Hospitality Properties Inc., REIT

    1,928,422       2,910,250  
  6,000     

Wyndham Destinations Inc.

    195,037       265,620  
  6,000     

Wyndham Hotels & Resorts Inc.

    229,308       352,980  
    

 

 

   

 

 

 
       7,489,908       13,498,653  
    

 

 

   

 

 

 
  

Industrials — 0.0%

 

 
  20,250     

Granite Construction Inc.

    924,119       1,127,115  
    

 

 

   

 

 

 
  

Machinery — 1.9%

 

 
  8,500     

Astec Industries Inc.

    499,945       508,300  
  170,000     

CNH Industrial NV, Borsa Italiana.

    1,339,904       1,805,795  
  1,145,000     

CNH Industrial NV, New York

    8,774,837       12,056,850  
  88,000     

Deere & Co.

    5,479,960       12,302,400  
  7,500     

Oshkosh Corp.

    575,951       527,400  
  289,000     

Xylem Inc.

    10,905,595       19,472,820  
    

 

 

   

 

 

 
           27,576,192           46,673,565  
    

 

 

   

 

 

 
  

Metals and Mining — 0.9%

 

 
  65,000     

Agnico Eagle Mines Ltd.

    2,061,450       2,978,950  
  29,563     

Alliance Resource Partners LP

    253,047       542,481  
  172,588     

Barrick Gold Corp.

    3,346,411       2,266,080  
  8,000     

BHP Billiton Ltd., ADR

    217,549       400,080  
  36,000     

Franco-Nevada Corp.

    1,500,629       2,627,467  
  145,000     

Freeport-McMoRan Inc.

    1,820,069       2,502,700  
  285,332     

Newmont Mining Corp.

    11,417,134       10,759,870  
  88,004     

TimkenSteel Corp.†

    1,169,040       1,438,865  
    

 

 

   

 

 

 
       21,785,329       23,516,493  
    

 

 

   

 

 

 
  

Paper and Forest Products — 0.1%

 

 
  64,000     

International Paper Co.

    2,918,317       3,333,120  
    

 

 

   

 

 

 
  

Publishing — 0.1%

 

 
  600     

Graham Holdings Co., Cl. B

    296,058       351,660  

Shares

        

Cost

   

Market

Value

 
  90,000     

News Corp., Cl. B

  $ 1,400,496     $ 1,426,500  
    

 

 

   

 

 

 
       1,696,554       1,778,160  
    

 

 

   

 

 

 
  

Real Estate — 0.5%

 

 
  9,000     

American Tower Corp., REIT

    1,272,456       1,297,530  
  19,500     

Brookfield Asset Management Inc., Cl. A

    132,340       790,530  
  50,500     

Crown Castle International Corp., REIT

    2,371,891       5,444,910  
  1,000     

Equinix Inc., REIT

    419,218       429,890  
  18,000     

Forest City Realty Trust Inc., Cl. A, REIT

    439,998       410,580  
  16,000     

QTS Realty Trust Inc., Cl. A, REIT

    345,246       632,000  
  3,000     

SBA Communications Corp., REIT†

    487,639       495,360  
  80,000     

Uniti Group Inc., REIT†

    1,477,610       1,602,400  
  50,000     

Weyerhaeuser Co., REIT

    1,663,190       1,823,000  
    

 

 

   

 

 

 
       8,609,588       12,926,200  
    

 

 

   

 

 

 
  

Retail — 3.3%

 

 
  118,500     

AutoNation Inc.†

    5,864,587       5,756,730  
  2,300     

AutoZone Inc.†

    1,480,520       1,543,139  
  2,300     

Costco Wholesale Corp.

    453,619       480,654  
  274,500     

CVS Health Corp.

        17,831,024           17,664,075  
  151,000     

Hertz Global Holdings Inc.†

    3,048,754       2,316,340  
  135,000     

Ingles Markets Inc., Cl. A

    2,134,014       4,293,000  
  90,000     

Lowe’s Companies Inc.

    2,027,654       8,601,300  
  70,800     

Macy’s Inc.

    1,327,569       2,650,044  
  6,000     

MSC Industrial Direct Co. Inc., Cl. A

    430,132       509,100  
  39,000     

Murphy USA Inc.†

    1,564,328       2,897,310  
  16,900     

NIKE Inc., Cl. B

    1,251,258       1,346,592  
  25,000     

Rush Enterprises Inc., Cl. B†

    599,173       1,097,500  
  275,000     

Sally Beauty Holdings Inc.†

    4,365,683       4,408,250  
  110,000     

Seven & i Holdings Co. Ltd.

    3,335,405       4,799,801  
  92,217     

Starbucks Corp.

    5,131,451       4,504,800  
  39,700     

The Home Depot Inc.

    2,973,694       7,745,470  
  12,900     

The TJX Companies Inc.

    1,195,756       1,227,822  
  160,200     

Walgreens Boots Alliance Inc.

    6,805,991       9,614,403  
  20,000     

Walmart Inc.

    970,066       1,713,000  
    

 

 

   

 

 

 
       62,790,678       83,169,330  
    

 

 

   

 

 

 
  

Semiconductors — 0.1%

 

 
  7,300     

NVIDIA Corp.

    1,886,697       1,729,370  
    

 

 

   

 

 

 
  

Specialty Chemicals — 2.2%

 

 
  35,000     

Air Products & Chemicals Inc.

    3,307,890       5,450,550  
  60,000     

Ashland Global Holdings Inc.

    2,434,452       4,690,800  
  1,000     

Axalta Coating Systems Ltd.†

    25,039       30,310  
  323,969     

DowDuPont Inc.

    15,662,992       21,356,036  
  445,000     

Ferro Corp.†

    5,114,101       9,278,250  
  23,000     

GCP Applied Technologies Inc.†

    775,399       665,850  
 

 

See accompanying notes to financial statements.

 

8


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

Shares

        

Cost

   

Market

Value

 
  

COMMON STOCKS (Continued)

 

 
  

Specialty Chemicals (Continued)

 

  35,000     

International Flavors & Fragrances Inc.

  $ 4,330,609     $ 4,338,600  
  89,000     

Olin Corp.

    1,629,332       2,556,080  
  5,000     

Praxair Inc.

    556,243       790,750  
  9,000     

The Chemours Co.

    58,593       399,240  
  192,359     

Valvoline Inc.

    2,575,777       4,149,184  
    

 

 

   

 

 

 
             36,470,427             53,705,650  
    

 

 

   

 

 

 
  

Telecommunications — 3.7%

 

 
  350,885     

AT&T Inc.

    10,225,885       11,266,917  
  212,000     

BCE Inc.

    5,623,821       8,583,880  
  495,000     

Deutsche Telekom AG, ADR

    8,414,160       7,640,325  
  56,000     

Harris Corp.

    4,952,691       8,094,240  
  195,000     

Hellenic Telecommunications Organization SA, ADR

    1,323,723       1,217,580  
  75,000     

Loral Space & Communications Inc.†

    3,158,177       2,820,000  
  50,000     

Orange SA, ADR

    1,066,613       833,500  
  50,000     

Pharol SGPS SA†

    14,182       13,897  
  39,000     

Proximus SA

    1,195,261       879,460  
  50,084     

Telefonica SA, ADR

    718,792       427,217  
  295,000     

Telekom Austria AG

    1,968,837       2,459,740  
  23,000     

Telenet Group Holding NV†

    1,046,305       1,074,377  
  150,000     

Telephone & Data Systems Inc.

    4,429,792       4,113,000  
  110,000     

Telstra Corp. Ltd., ADR

    2,014,389       1,071,400  
  135,000     

TELUS Corp.

    1,405,698       4,793,850  
  40,000     

T-Mobile US Inc.†

    2,310,516       2,390,000  
  150,000     

VEON Ltd., ADR

    548,352       357,000  
  635,886     

Verizon Communications Inc.

    27,938,862       31,991,425  
  135,000     

Vodafone Group plc, ADR

    4,864,717       3,281,850  
    

 

 

   

 

 

 
       83,220,773       93,309,658  
    

 

 

   

 

 

 
  

Transportation — 0.8%

 

  30,000     

Daseke Inc.†

    267,000       297,900  
  25,313     

Fortress Transportation & Infrastructure Investors LLC

    406,046       457,406  
  239,000     

GATX Corp.

    7,386,430       17,740,970  
  16,500     

Kansas City Southern

    277,030       1,748,340  
    

 

 

   

 

 

 
       8,336,506       20,244,616  
    

 

 

   

 

 

 
  

Wireless Communications — 0.2%

 

  130,000     

United States Cellular Corp.†

    5,740,722       4,815,200  
    

 

 

   

 

 

 
  

TOTAL COMMON STOCKS

    1,669,658,963       2,461,942,649  
    

 

 

   

 

 

 
  

CLOSED-END FUNDS — 0.2%

 

 
  50,000     

Altaba Inc.†

    1,756,739       3,660,500  
    

 

 

   

 

 

 

Shares

        

Cost

   

Market

Value

 
  

CONVERTIBLE PREFERRED STOCKS — 0.3%

 

  

Energy and Utilities — 0.2%

 

  126,000     

El Paso Energy Capital Trust I, 4.750%

  $       4,555,360     $     5,985,000  
    

 

 

   

 

 

 
  

Telecommunications — 0.1%

 

 
  53,000     

Cincinnati Bell Inc., 6.750%, Ser. B

    1,813,938       2,620,850  
    

 

 

   

 

 

 
  

TOTAL CONVERTIBLE PREFERRED STOCKS

    6,369,298       8,605,850  
    

 

 

   

 

 

 
  

PREFERRED STOCKS — 0.1%

 

  

Consumer Services — 0.0%

 

  2,000     

GCI Liberty Inc., 5.000%, Ser. A

    36,491       48,300  
    

 

 

   

 

 

 
  

Health Care — 0.1%

 

 
  133,681     

The Phoenix Companies Inc., 7.450%, 01/15/32

    2,857,139       2,489,809  
    

 

 

   

 

 

 
  

Real Estate — 0.0%

 

 
  21,643     

Regional Health Properties Inc., 10.875%, Ser. A

    330,966       58,311  
    

 

 

   

 

 

 
  

TOTAL PREFERRED STOCKS

    3,224,596       2,596,420  
    

 

 

   

 

 

 
  

RIGHTS — 0.0%

 

 
  

Hotels and Gaming — 0.0%

 

 
  150,000     

Ladbrokes plc, CVR†

    0       7,226  
    

 

 

   

 

 

 

Principal

Amount

                  
  

CONVERTIBLE CORPORATE BONDS — 0.1%

 

  

Cable and Satellite — 0.1%

 

 
  $  1,700,000     

DISH Network Corp. 3.375%, 08/15/26

    1,700,000       1,650,863  
    

 

 

   

 

 

 
  

CORPORATE BONDS — 0.0%

 

  

Equipment and Supplies — 0.0%

 

 
  50,000     

Mueller Industries Inc., 6.000%, 03/01/27

    50,000       49,250  
    

 

 

   

 

 

 
  

U.S. GOVERNMENT OBLIGATIONS — 0.9%

 

  23,280,000     

U.S. Treasury Bills,
1.850% to 1.901%††,
08/23/18 to 10/11/18

    23,187,737       23,189,224  
    

 

 

   

 

 

 
 

TOTAL INVESTMENTS — 100.0%

  $ 1,705,947,333       2,501,701,982  
    

 

 

   
 

 

See accompanying notes to financial statements.

 

9


The Gabelli Dividend & Income Trust

Schedule of Investments (Continued) — June 30, 2018 (Unaudited)

 

 

           

Market

Value

 

Other Assets and Liabilities (Net)

  $ 76,717  

PREFERRED STOCK
(8,331,947 preferred shares outstanding)

    (527,479,175
     

 

 

 

NET ASSETS — COMMON STOCK
(82,432,426 common shares outstanding)

  $ 1,974,299,524  
     

 

 

 

NET ASSET VALUE PER COMMON SHARE
($1,974,299,524 ÷ 82,432,426 shares outstanding)

  $ 23.95  
     

 

 

 

 

(a)

Security is valued using significant unobservable inputs and is classified as Level 3 in the fair value hierarchy.

(b)

Security exempt from registration under Rule 144A of the Securities Act of 1933, as amended. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At June 30, 2018, the market value of Rule 144A securities amounted to $1,472,721 or 0.06% of total investments.

(c)

At June 30, 2018, the Fund held a restricted and illiquid security amounting to $1,145,372 or 0.05% of total investments, which was valued under methods approved by the Board of Trustees as follows:

 

Acquisition
Shares
   

Issuer

  Acquisition
Dates
    Acquisition
Cost
    6/30/18
Carrying
Value
Per
Share
 
  339,450    

Parmalat SpA, GDR

    12/02/03-12/11/03       $981,615       $3.3742  

Non-income producing security.

††

Represents annualized yields at dates of purchase.

ADR

American Depositary Receipt

CVR

Contingent Value Right

GDR

Global Depositary Receipt

REIT

Real Estate Investment Trust

 

Geographic Diversification

  

    % of Total    

Investments

 

Market

Value

Long Positions

        

North America

       83.6 %     $ 2,092,869,266

Europe

       12.0       299,536,541

Japan

       3.9       98,611,544

Asia/Pacific

       0.4       9,039,649

Latin America

       0.1       1,644,982
    

 

 

     

 

 

 

Total Investments

       100.0 %     $ 2,501,701,982
    

 

 

     

 

 

 
 

 

See accompanying notes to financial statements.

 

10


The Gabelli Dividend & Income Trust

 

Statement of Assets and Liabilities

June 30, 2018 (Unaudited)

 

 

Assets:

  

Investments, at value (cost $1,705,947,333)

   $ 2,501,701,982  

Foreign currency, at value (cost $15,524)

     15,664  

Cash

     99,611  

Deposit at brokers

     122  

Receivable for investments sold

     3,004,346  

Dividends and interest receivable

     3,672,855  

Deferred offering expense

     117,992  

Prepaid expenses

     18,139  
  

 

 

 

Total Assets

     2,508,630,711  
  

 

 

 

Liabilities:

  

Distributions payable

     231,602  

Payable for investments purchased

     1,830,893  

Payable for investment advisory fees

     1,731,830  

Payable for payroll expenses

     63,085  

Payable for accounting fees

     11,250  

Payable for auction agent fees (a)

     2,840,609  

Other accrued expenses

     142,743  
  

 

 

 

Total Liabilities.

     6,852,012  
  

 

 

 

Cumulative Preferred Shares each at $0.001 par value:

 

Series A (5.875%, $25 liquidation value,
3,200,000 shares authorized with 3,048,019 shares issued and outstanding)

     76,200,475  

Series B (Auction Market, $25,000 liquidation value, 4,000 shares authorized with 3,600 shares issued and outstanding)

     90,000,000  

Series C (Auction Market, $25,000 liquidation value, 4,800 shares authorized with 4,320 shares issued and outstanding)

     108,000,000  

Series D (6.000%, $25 liquidation value,
2,600,000 shares authorized with 1,271,148 shares issued and outstanding)

     31,778,700  

Series E (Auction Rate, $25,000 liquidation value,
5,400 shares authorized with 4,860 shares issued and outstanding)

     121,500,000  

Series G (5.250%, $25 liquidation value,
4,000,000 shares authorized with 4,000,000 shares issued and outstanding)

     100,000,000  
  

 

 

 

Total Preferred Shares

     527,479,175  
  

 

 

 

Net Assets Attributable to Common Shareholders

   $ 1,974,299,524  
  

 

 

 

Net Assets Attributable to Common Shareholders Consist of:

 

Paid-in capital

   $ 1,171,200,350  

Undistributed net investment income

     2,218,884  

Accumulated net realized gains on investments and foreign currency transactions

     5,129,915  

Net unrealized appreciation on investments

     795,754,649  

Net unrealized depreciation on foreign currency translations

     (4,274
  

 

 

 

Net Assets

   $ 1,974,299,524  
  

 

 

 

Net Asset Value per Common Share at $0.001 par value:

 

($1,974,299,524 ÷ 82,432,426 shares outstanding; unlimited number of shares authorized)

     $23.95  

 

(a)

This amount represents auction agent fees accrued for earlier fiscal periods, and not for the period covered by this report.

Statement of Operations

For the Six Months Ended June 30, 2018 (Unaudited)

 

 

Investment Income:

  

Dividends (net of foreign withholding taxes of $852,705)

   $ 28,658,814  

Interest.

     290,426  
  

 

 

 

Total Income

     28,949,240  
  

 

 

 

Expenses:

  

Investment advisory fees

     12,813,670  

Shareholder communications expenses

     214,044  

Custodian fees

     145,667  

Trustees’ fees.

     122,166  

Payroll expenses

     121,400  

Shelf registration expense

     69,824  

Legal and audit fees

     31,350  

Shareholder services fees

     27,890  

Accounting fees

     22,500  

Interest expense

     169  

Miscellaneous expenses

     151,077  
  

 

 

 

Total Expenses.

     13,719,757  
  

 

 

 

Less:

  

Advisory fee reduction (See Note 3)

     (2,257,391

Expenses paid indirectly by broker (See Note 3)

     (8,330
  

 

 

 

Total Credits and Reductions

     (2,265,721
  

 

 

 

Net Expenses

     11,454,036  
  

 

 

 

Net Investment Income

     17,495,204  
  

 

 

 

Net Realized and Unrealized Gain/(Loss) on Investments and Foreign Currency:

  

Net realized gain on investments

     74,168,589  

Net realized loss on foreign currency transactions.

     (47,507
  

 

 

 

Net realized gain on investments, and foreign currency transactions

     74,121,082  
  

 

 

 

Net change in unrealized appreciation/depreciation:

  

on investments

     (120,406,299

on foreign currency translations

     (6,083
  

 

 

 

Net change in unrealized appreciation/depreciation on investments and foreign currency translations

     (120,412,382
  

 

 

 

Net Realized and Unrealized Gain/(Loss) on Investments and Foreign Currency

     (46,291,300
  

 

 

 

Net Decrease in Net Assets Resulting from Operations

     (28,796,096
  

 

 

 

Total Distributions to Preferred Shareholders

     (12,369,779
  

 

 

 

Net Decrease in Net Assets Attributable to Common Shareholders Resulting from Operations

   $ (41,165,875
  

 

 

 
 

 

See accompanying notes to financial statements.

 

11


The Gabelli Dividend & Income Trust

Statements of Changes in Net Assets Attributable to Common Shareholders

 

 

 

     Six Months Ended
June 30, 2018
(Unaudited)
  Year Ended
December 31, 2017

Operations:

        

Net investment income

     $ 17,495,204     $ 26,555,452

Net realized gain on investments, securities sold short, and foreign currency transactions

       74,121,082       100,297,972

Net change in unrealized appreciation/depreciation on investments, securities sold short, and foreign currency translations

       (120,412,382 )       236,425,188
    

 

 

     

 

 

 

Net Increase/(Decrease) in Net Assets Resulting from Operations

       (28,796,096 )       363,278,612
    

 

 

     

 

 

 

Distributions to Preferred Shareholders:

        

Net investment income

       (3,657,993 )*       (5,209,062 )

Net realized capital gain

       (8,711,786 )*       (17,802,379 )
    

 

 

     

 

 

 

Total Distributions to Preferred Shareholders.

       (12,369,779 )       (23,011,441 )
    

 

 

     

 

 

 

Net Increase/(Decrease) in Net Assets Attributable to Common Shareholders Resulting from Operations

       (41,165,875 )       340,267,171
    

 

 

     

 

 

 

Distributions to Common Shareholders:

        

Net investment income

       (11,375,675 )*       (23,259,325 )

Net realized capital gain

       (43,029,726 )*       (79,490,563 )

Return of capital

             (6,060,914 )
    

 

 

     

 

 

 

Total Distributions to Common Shareholders

       (54,405,401 )       (108,810,802 )
    

 

 

     

 

 

 

Fund Share Transactions:

        

Adjustment to offering costs for preferred shares

             9,373
    

 

 

     

 

 

 

Net Increase/(Decrease) in Net Assets Attributable to Common Shareholders

       (95,571,276 )       231,465,742

Net Assets Attributable to Common Shareholders:

        

Beginning of year

       2,069,870,800       1,838,405,058
    

 

 

     

 

 

 

End of period (including undistributed net investment income of $2,218,884 and $0, respectively)

     $ 1,974,299,524     $ 2,069,870,800
    

 

 

     

 

 

 

 

*

Based on year to date book income. Amounts are subject to change and recharacterization at year end.

 

See accompanying notes to financial statements.

 

12


The Gabelli Dividend & Income Trust

Financial Highlights

 

Selected data for a common share of beneficial interest outstanding throughout each period:

 

    Six Months Ended                                                              
    June 30, 2018     Year Ended December 31,  
    (Unaudited)     2017     2016     2015     2014     2013  

Operating Performance:

                                  

Net asset value, beginning of year

    $ 25.11       $ 22.30       $ 21.07       $ 23.57       $ 24.18       $ 18.58  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Net investment income

      0.21         0.32         0.36         0.30         0.41         0.36  

Net realized and unrealized gain/(loss) on investments, securities sold short, and foreign currency transactions

      (0.56       4.09         2.45         (1.39       1.54         6.45  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Total from investment operations

      (0.35       4.41         2.81         (1.09       1.95         6.81  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Distributions to Preferred Shareholders: (a)

                       

Net investment income

      (0.04 )*        (0.06       (0.05       (0.06       (0.03       (0.05

Net realized gain

      (0.11 )*        (0.22       (0.17       (0.12       (0.15       (0.13
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Total distributions to preferred shareholders

      (0.15       (0.28       (0.22       (0.18       (0.18       (0.18
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Net Increase/(Decrease) in Net Assets Attributable to Common Shareholders Resulting from Operations

      (0.50       4.13         2.59         (1.27       1.77         6.63  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Distributions to Common Shareholders:

                       

Net investment income

      (0.14 )*        (0.28       (0.31       (0.31       (0.39       (0.31

Net realized gain

      (0.52 )*        (0.97       (1.01       (0.65       (1.97       (0.72

Return of capital

              (0.07               (0.28       (0.02        
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Total distributions to common shareholders

      (0.66       (1.32       (1.32       (1.24       (2.38       (1.03
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Fund Share Transactions:

                       

Increase in net asset value from repurchase of common shares

                      0.00 (b)        0.01                 0.00 (b) 

Offering costs and adjustment to offering costs for preferred shares charged to paid-in capital

              0.00 (b)        (0.04                        
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Total from Fund share transactions

              0.00 (b)        (0.04       0.01                 0.00 (b) 
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Net Asset Value Attributable to Common Shareholders, End of Period

    $ 23.95       $ 25.11       $ 22.30       $ 21.07       $ 23.57       $ 24.18  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

NAV total return †

      (2.03 )%        19.14       12.70       (5.59 )%        7.48       36.47
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Market value, end of period

    $ 22.56       $ 23.41       $ 20.04       $ 18.46       $ 21.66       $ 22.17  
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Investment total return ††

      (0.82 )%        24.11       16.47       (9.32 )%        8.82       44.38
   

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

 

Ratios to Average Net Assets and Supplemental Data:

                       

Net assets including liquidation value of preferred shares, end of period (in 000’s)

    $ 2,501,779       $ 2,629,129       $ 2,397,663       $ 2,198,198       $ 2,410,290       $ 2,460,474  

Net assets attributable to common shares, end of period (in 000’s)

    $ 1,974,300       $ 2,069,871       $ 1,838,405       $ 1,738,940       $ 1,951,032       $ 2,001,217  

Ratio of net investment income to average net assets attributable to common shares before preferred share distributions

      1.74 %(c)        1.38       1.69       1.60       1.71       1.65

Ratio of operating expenses to average net assets attributable to common shares before fees
waived(d)

      1.36 %(c)(e)        1.38 %(e)        1.39 %(e)        1.33 %(e)        1.36       1.34

Ratio of operating expenses to average net assets attributable to common shares net of advisory fee reduction, if any (f)

      1.14 %(c)(e)        1.38 %(e)        1.39 %(e)        1.09 %(e)        1.36       1.34

Portfolio turnover rate

      6.1       13.3       15.6       8.1       18.4       15.8

 

See accompanying notes to financial statements.

 

13


The Gabelli Dividend & Income Trust

Financial Highlights (Continued)

 

Selected data for a common share of beneficial interest outstanding throughout each period:

 

    Six Months Ended                                                              
    June 30, 2018     Year Ended December 31,  
    (Unaudited)     2017     2016     2015     2014     2013  

Cumulative Preferred Shares:

                                    

5.875% Series A Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 76,201       $ 76,201       $ 76,201       $ 76,201       $ 76,201       $ 76,200  

Total shares outstanding (in 000’s)

      3,048         3,048         3,048         3,048         3,048         3,048  

Liquidation preference per share

    $ 25.00       $ 25.00       $ 25.00       $ 25.00       $ 25.00       $ 25.00  

Average market value (g)

    $ 25.68       $ 26.31       $ 26.32       $ 25.63       $ 25.26       $ 25.31  

Asset coverage per share(h)

    $ 118.57       $ 117.53       $ 107.18       $ 119.66       $ 131.21       $ 133.94  

Series B Auction Market Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 90,000       $ 90,000       $ 90,000       $ 90,000       $ 90,000       $ 90,000  

Total shares outstanding (in 000’s)

      4         4         4         4         4         4  

Liquidation preference per share

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Liquidation value (i)

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Asset coverage per share(h)

    $ 118,572       $ 117,528       $ 107,181       $ 119,660       $ 131,206       $ 133,938  

Series C Auction Market Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 108,000       $ 108,000       $ 108,000       $ 108,000       $ 108,000       $ 108,000  

Total shares outstanding (in 000’s)

      4         4         4         4         4         4  

Liquidation preference per share

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Liquidation value (i)

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Asset coverage per share(h)

    $ 118,572       $ 117,528       $ 107,181       $ 119,660       $ 131,206       $ 133,938  

6.000% Series D Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 31,779       $ 63,557       $ 63,557       $ 63,557       $ 63,557       $ 63,557  

Total shares outstanding (in 000’s)

      1,271         2,542         2,542         2,542         2,542         2,542  

Liquidation preference per share

    $ 25.00       $ 25.00       $ 25.00       $ 25.00       $ 25.00       $ 25.00  

Average market value (g)

    $ 25.99       $ 26.57       $ 26.58       $ 25.70       $ 25.53       $ 26.25  

Asset coverage per share(h)

    $ 118.57       $ 117.53       $ 107.18       $ 119.66       $ 131.21       $ 133.94  

Series E Auction Rate Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 121,500       $ 121,500       $ 121,500       $ 121,500       $ 121,500       $ 121,500  

Total shares outstanding (in 000’s)

      5         5         5         5         5         5  

Liquidation preference per share

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Liquidation value (i)

    $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000       $ 25,000  

Asset coverage per share(h)

    $ 118,572       $ 117,528       $ 107,181       $ 119,660       $ 131,206       $ 133,938  

5.250% Series G Preferred

                       

Liquidation value, end of period (in 000’s)

    $ 100,000       $ 100,000       $ 100,000                          

Total shares outstanding (in 000’s)

      4,000         4,000         4,000                          

Liquidation preference per share

    $ 25.00       $ 25.00       $ 25.00                          

Average market value (g)

    $ 25.02       $ 25.29       $ 25.20                          

Asset coverage per share(h)

    $ 118.57       $ 117.53       $ 107.18              

Asset Coverage (j)

      474       470       429       479       525       536

 

Based on net asset value per share and reinvestment of distributions at net asset value on the ex-dividend date. Total return for a period of less than one year is not annualized.

††

Based on market value per share, adjusted for reinvestment of distributions at prices obtained under the Fund’s dividend reinvestment plan. Total return for a period of less than one year is not annualized.

*

Based on year to date book income. Amounts are subject to change and recharacterization at year end.

(a)

Calculated based on average common shares outstanding on the record dates throughout the years.

(b)

Amount represents less than $0.005 per share.

(c)

Annualized.

(d)

Ratio of operating expenses to average net assets including liquidation value of preferred shares before fee waived for the six months ended June 30, 2018 and the years ended December 31, 2017, 2016, 2015, 2014, and 2013 would have been 1.07%, 1.07%, 1.07%, 1.07%, 1.10%, and 1.07%, respectively.

(e)

The Fund received credits from a designated broker who agreed to pay certain Fund operating expenses. For the six months ended June 30, 2018 and the years ended December 31, 2017, 2016, and 2015, there was no impact on the expense ratios.

(f)

Ratio of operating expenses to average net assets including liquidation value of preferred shares net of advisory fee reduction for the six months ended June 30, 2018 and the years ended December 31, 2017, 2016, 2015, 2014, and 2013 would have been 0.89%, 1.07%, 1.07%, 0.88%, 1.10%, and 1.07%, respectively.

(g)

Based on weekly prices.

(h)

Asset coverage per share is calculated by combining all series of preferred shares.

(i)

Since February 2008, the weekly auctions have failed. Holders that have submitted orders have not been able to sell any or all of their shares in the auction.

(j)

Asset coverage is calculated by combining all series of preferred shares.

 

See accompanying notes to financial statements.

 

14


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited)

 

1. Organization. The Gabelli Dividend & Income Trust (the “Fund”) currently operates as a diversified closed-end management investment company organized as a Delaware statutory trust on November 18, 2003 and registered under the Investment Company Act of 1940, as amended (the “1940 Act”). Investment operations commenced on November 28, 2003.

The Fund’s investment objective is to provide a high level of total return on its assets with an emphasis on dividends and income. The Fund will attempt to achieve its investment objective by investing, under normal market conditions, at least 80% of its assets in dividend paying securities (such as common and preferred stock) or other income producing securities (such as fixed income debt securities and securities that are convertible into equity securities).

2. Significant Accounting Policies. As an investment company, the Fund follows the investment company accounting and reporting guidance, which is part of U.S. generally accepted accounting principles (“GAAP”) that may require the use of management estimates and assumptions in the preparation of its financial statements. Actual results could differ from those estimates. The following is a summary of significant accounting policies followed by the Fund in the preparation of its financial statements.

Security Valuation. Portfolio securities listed or traded on a nationally recognized securities exchange or traded in the U.S. over-the-counter market for which market quotations are readily available are valued at the last quoted sale price or a market’s official closing price as of the close of business on the day the securities are being valued. If there were no sales that day, the security is valued at the average of the closing bid and asked prices or, if there were no asked prices quoted on that day, then the security is valued at the closing bid price on that day. If no bid or asked prices are quoted on such day, the security is valued at the most recently available price or, if the Board of Trustees (the “Board”) so determines, by such other method as the Board shall determine in good faith to reflect its fair market value. Portfolio securities traded on more than one national securities exchange or market are valued according to the broadest and most representative market, as determined by Gabelli Funds, LLC (the “Adviser”).

Portfolio securities primarily traded on a foreign market are generally valued at the preceding closing values of such securities on the relevant market, but may be fair valued pursuant to procedures established by the Board if market conditions change significantly after the close of the foreign market, but prior to the close of business on the day the securities are being valued. Debt obligations for which market quotations are readily available are valued at the average of the latest bid and asked prices. If there were no asked prices quoted on such day, the security is valued using the closing bid price, unless the Board determines such amount does not reflect the securities’ fair value, in which case these securities will be fair valued as determined by the Board. Certain securities are valued principally using dealer quotations. Futures contracts are valued at the closing settlement price of the exchange or board of trade on which the applicable contract is traded. OTC futures and options on futures for which market quotations are readily available will be valued by quotations received from a pricing service or, if no quotations are available from a pricing service, by quotations obtained from one or more dealers in the instrument in question by the Adviser.

Securities and assets for which market quotations are not readily available are fair valued as determined by the Board. Fair valuation methodologies and procedures may include, but are not limited to: analysis and review of available financial and non-financial information about the company; comparisons with the valuation and changes in valuation of similar securities, including a comparison of foreign securities with the equivalent U.S.

 

15


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

dollar value American Depositary Receipt securities at the close of the U.S. exchange; and evaluation of any other information that could be indicative of the value of the security.

The inputs and valuation techniques used to measure fair value of the Fund’s investments are summarized into three levels as described in the hierarchy below:

 

   

Level 1 — quoted prices in active markets for identical securities;

 

   

Level 2 — other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.); and

 

   

Level 3 — significant unobservable inputs (including the Board’s determinations as to the fair value of investments).

A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input both individually and in the aggregate that is significant to the fair value measurement. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The summary of the Fund’s investments in securities by inputs used to value the Fund’s investments as of June 30, 2018 is as follows:

 

    Valuation Inputs                                                                                                
    Level 1
Quoted Prices
  Level 2 Other Significant
Observable Inputs
  Level 3 Significant
Unobservable Inputs
  Total Market Value
at 6/30/18

INVESTMENTS IN SECURITIES:

               

ASSETS (Market Value):

               

Common Stocks:

               

Aerospace

    $ 64,766,518           $ 137,274     $ 64,903,792

Energy and Utilities: Integrated

      33,419,532             58,565       33,478,097

Entertainment

      41,888,246     $ 327,349             42,215,595

Food and Beverage

      350,622,400       1,145,372             351,767,772

Other Industries (a)

      1,969,577,393                   1,969,577,393

Total Common Stocks

      2,460,274,089       1,472,721       195,839       2,461,942,649

Closed-End Funds

      3,660,500                   3,660,500

Convertible Preferred Stocks (a)

      2,620,850       5,985,000             8,605,850

Preferred Stocks (a)

      106,611       2,489,809             2,596,420

Rights (a)

            7,226             7,226

Convertible Corporate Bonds (a)

            1,650,863             1,650,863

Corporate Bonds (a)

            49,250             49,250

U.S. Government Obligations

            23,189,224             23,189,224

TOTAL INVESTMENTS IN SECURITIES – ASSETS

    $ 2,466,662,050     $ 34,844,093     $ 195,839     $ 2,501,701,982

 

(a)

Please refer to the Schedule of Investments for the industry classifications of these portfolio holdings.

During the six months ended June 30, 2018, the Fund had transfers of $1,263,603 or 0.06% and $306,720 or 0.02% of net assets as of December 31, 2017 from Level 1 to Level 2 and Level 2 to Level 1, respectively. Transfers from Level 1 to Level 2 and Level 2 to Level 1 are due to a decline or an increase in market activity, e.g., frequency of trades, respectively, which resulted in a decrease or an increase in available market inputs to determine price. The Fund’s policy is to recognize transfers among Levels as of the beginning of the reporting period.

 

16


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

Additional Information to Evaluate Qualitative Information.

General. The Fund uses recognized industry pricing services – approved by the Board and unaffiliated with the Adviser – to value most of its securities, and uses broker quotes provided by market makers of securities not valued by these and other recognized pricing sources. Several different pricing feeds are received to value domestic equity securities, international equity securities, preferred equity securities, and fixed income securities. The data within these feeds are ultimately sourced from major stock exchanges and trading systems where these securities trade. The prices supplied by external sources are checked by obtaining quotations or actual transaction prices from market participants. If a price obtained from the pricing source is deemed unreliable, prices will be sought from another pricing service or from a broker/dealer that trades that security or similar securities.

Fair Valuation. Fair valued securities may be common or preferred equities, warrants, options, rights, or fixed income obligations. Where appropriate, Level 3 securities are those for which market quotations are not available, such as securities not traded for several days, or for which current bids are not available, or which are restricted as to transfer. When fair valuing a security, factors to consider include recent prices of comparable securities that are publicly traded, reliable prices of securities not publicly traded, the use of valuation models, current analyst reports, valuing the income or cash flow of the issuer, or cost if the preceding factors do not apply. A significant change in the unobservable inputs could result in a lower or higher value in Level 3 securities. The circumstances of Level 3 securities are frequently monitored to determine if fair valuation measures continue to apply.

The Adviser reports quarterly to the Board the results of the application of fair valuation policies and procedures. These may include backtesting the prices realized in subsequent trades of these fair valued securities to fair values previously recognized.

Securities Sold Short. The Fund may enter into short sale transactions. Short selling involves selling securities that may or may not be owned and, at times, borrowing the same securities for delivery to the purchaser, with an obligation to replace such borrowed securities at a later date. The proceeds received from short sales are recorded as liabilities and the Fund records an unrealized gain or loss to the extent of the difference between the proceeds received and the value of an open short position on the day of determination. The Fund records a realized gain or loss when the short position is closed out. By entering into a short sale, the Fund bears the market risk of an unfavorable change in the price of the security sold short. Dividends on short sales are recorded as an expense by the Fund on the ex-dividend date and interest expense is recorded on the accrual basis. The broker retains collateral for the value of the open positions, which is adjusted periodically as the value of the position fluctuates.

Investments in Other Investment Companies. The Fund may invest, from time to time, in shares of other investment companies (or entities that would be considered investment companies but are excluded from the definition pursuant to certain exceptions under the 1940 Act) (the “Acquired Funds”) in accordance with the 1940 Act and related rules. Shareholders in the Fund would bear the pro rata portion of the periodic expenses of the Acquired Funds in addition to the Fund’s expenses. For the six months ended June 30, 2018, the Fund’s pro rata portion of the periodic expenses charged by the Acquired Funds was less than 1 basis point.

 

17


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Foreign currencies, investments, and other assets and liabilities are translated into U.S. dollars at current exchange rates. Purchases and sales of investment securities, income, and expenses are translated at the exchange rate prevailing on the respective dates of such transactions. Unrealized gains and losses that result from changes in foreign exchange rates and/or changes in market prices of securities have been included in unrealized appreciation/depreciation on investments and foreign currency translations. Net realized foreign currency gains and losses resulting from changes in exchange rates include foreign currency gains and losses between trade date and settlement date on investment securities transactions, foreign currency transactions, and the difference between the amounts of interest and dividends recorded on the books of the Fund and the amounts actually received. The portion of foreign currency gains and losses related to fluctuation in exchange rates between the initial purchase trade date and subsequent sale trade date is included in realized gain/(loss) on investments.

Foreign Securities. The Fund may directly purchase securities of foreign issuers. Investing in securities of foreign issuers involves special risks not typically associated with investing in securities of U.S. issuers. The risks include possible revaluation of currencies, the inability to repatriate funds, less complete financial information about companies, and possible future adverse political and economic developments. Moreover, securities of many foreign issuers and their markets may be less liquid and their prices more volatile than securities of comparable U.S. issuers.

Foreign Taxes. The Fund may be subject to foreign taxes on income, gains on investments, or currency repatriation, a portion of which may be recoverable. The Fund will accrue such taxes and recoveries as applicable, based upon its current interpretation of tax rules and regulations that exist in the markets in which it invests.

Restricted Securities. The Fund is not subject to an independent limitation on the amount it may invest in securities for which the markets are restricted. Restricted securities include securities whose disposition is subject to substantial legal or contractual restrictions. The sale of restricted securities often requires more time and results in higher brokerage charges or dealer discounts and other selling expenses than the sale of securities eligible for trading on national securities exchanges or in the over-the-counter markets. Restricted securities may sell at a price lower than similar securities that are not subject to restrictions on resale. Securities freely saleable among qualified institutional investors under special rules adopted by the SEC may be treated as liquid if they satisfy liquidity standards established by the Board. The continued liquidity of such securities is not as well assured as that of publicly traded securities, and, accordingly, the Board will monitor their liquidity. For restricted securities the Fund held as of June 30, 2018, refer to the Schedule of Investments.

Securities Transactions and Investment Income. Securities transactions are accounted for on the trade date with realized gain/(loss) on investments determined by using the identified cost method. Interest income (including amortization of premium and accretion of discount) is recorded on an accrual basis. Premiums and discounts on debt securities are amortized using the effective yield to maturity method. Dividend income is recorded on the ex-dividend date, except for certain dividends from foreign securities that are recorded as soon after the ex-dividend date as the Fund becomes aware of such dividends.

Custodian Fee Credits. When cash balances are maintained in the custody account, the Fund receives credits which are used to offset custodian fees. The gross expenses paid under the custody arrangement are included in custodian fees in the Statement of Operations with the corresponding expense offset, if any, shown as “Custodian fee credits.”

 

18


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

Distributions to Shareholders. Distributions to common shareholders are recorded on the ex-dividend date. Distributions to shareholders are based on income and capital gains as determined in accordance with federal income tax regulations, which may differ from income and capital gains as determined under GAAP. These differences are primarily due to differing treatments of income and gains on various investment securities held by the Fund, timing differences, and differing characterizations of distributions made by the Fund. Distributions from net investment income for federal income tax purposes include net realized gains on foreign currency transactions. These book/tax differences are either temporary or permanent in nature. To the extent these differences are permanent, adjustments are made to the appropriate capital accounts in the period when the differences arise. These reclassifications have no impact on the NAV of the Fund.

Under the Fund’s current common share distribution policy, the Fund declares and pays monthly distributions from net investment income, capital gains, and paid-in capital. The actual source of the distribution is determined after the end of the calendar year. Pursuant to this policy, distributions during the year may be made in excess of required distributions. To the extent such distributions are made from current earnings and profits, they are considered ordinary income or long term capital gains. The Fund’s current distribution policy may restrict the Fund’s ability to pass through to shareholders all of its net realized long term capital gains as a Capital Gain Distribution, subject to the maximum federal income tax rate and may cause such gains to be treated as ordinary income. Distributions sourced from paid-in capital should not be considered as dividend yield or the total return from an investment in the Fund. The Board will continue to monitor the Fund’s distribution level, taking into consideration the Fund’s NAV and the financial market environment. The Fund’s distribution policy is subject to modification by the Board at any time.

Distributions to shareholders of the Fund’s 5.875% Series A Preferred Shares, Series B Auction Market Preferred Shares, Series C Auction Market Preferred Shares, 6.000% Series D Preferred Shares, Series E Auction Rate Preferred Shares, and 5.250% Series G Preferred Shares (“Preferred Shares”) are recorded on a daily basis and are determined as described in Note 5.

The tax character of distributions paid during the year ended December 31, 2017 was as follows:

 

     Common      Preferred  

Distributions paid from:

     

Ordinary income (inclusive of short term gain)

   $ 23,259,325      $ 5,209,062  

Net long term capital gains

     79,490,563        17,802,379  

Return of capital

     6,060,914         
  

 

 

    

 

 

 

Total distributions paid

   $ 108,810,802      $ 23,011,441  
  

 

 

    

 

 

 

Provision for Income Taxes. The Fund intends to continue to qualify as a regulated investment company under Subchapter M of the Internal Revenue Code of 1986, as amended (the “Code”). It is the policy of the Fund to comply with the requirements of the Code applicable to regulated investment companies and to distribute substantially all of its net investment company taxable income and net capital gains. Therefore, no provision for federal income taxes is required.

 

19


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

The following summarizes the tax cost of investments and the related net unrealized appreciation at June 30, 2018:

 

     Cost      Gross
Unrealized
Appreciation
     Gross
Unrealized
Depreciation
     Net
Unrealized
Appreciation
 

Investments

   $ 1,723,350,645      $ 866,658,161      $ (88,306,824    $ 778,351,337  

The Fund is required to evaluate tax positions taken or expected to be taken in the course of preparing the Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Income tax and related interest and penalties would be recognized by the Fund as tax expense in the Statement of Operations if the tax positions were deemed not to meet the more-likely-than-not threshold. During the six months ended June 30, 2018, the Fund did not incur any income tax, interest, or penalty. As of June 30, 2018, the Adviser has reviewed all open tax years and concluded that there was no impact to the Fund’s net assets or results of operations. The Fund’s federal and state tax returns for the prior three fiscal years remain open, subject to examination. On an ongoing basis, the Adviser will monitor the Fund’s tax positions to determine if adjustments to this conclusion are necessary.

3. Investment Advisory Agreement and Other Transactions. The Fund has entered into an investment advisory agreement (the “Advisory Agreement”) with the Adviser which provides that the Fund will pay the Adviser a fee, computed weekly and paid monthly, equal on an annual basis to 1.00% of the value of the Fund’s average weekly net assets including the liquidation value of preferred shares. In accordance with the Advisory Agreement, the Adviser provides a continuous investment program for the Fund’s portfolio and oversees the administration of all aspects of the Fund’s business and affairs.

The Adviser has agreed to reduce the management fee on the incremental assets attributable to the Series A, Series B, Series C, Series D, and Series E Preferred Shares if the total return of the NAV of the common shares of the Fund, including distributions and advisory fee subject to reduction, does not exceed the stated dividend rate of each particular series of the Preferred Shares for the year. The Fund’s total return on the NAV of the common shares is monitored on a monthly basis to assess whether the total return on the NAV of the common shares exceeds the stated dividend rate or corresponding swap rate of each particular series of Preferred Shares for the period. For the six months ended June 30, 2018, the Fund’s total return on the NAV of the common shares did not exceed the stated dividend rate or corresponding swap rate on each of the outstanding Preferred Shares. Thus, advisory fees with respect to the liquidation value of the Preferred Shares were reduced by $2,257,391. Advisory fees were accrued on Series G.

During the six months ended June 30, 2018, the Fund paid $47,968 in brokerage commissions on security trades to G.research, LLC, an affiliate of the Adviser.

During the six months ended June 30, 2018, the Fund received credits from a designated broker who agreed to pay certain Fund operating expenses. The amount of such expenses paid through this directed brokerage arrangement during this period was $8,330.

The cost of calculating the Fund’s NAV per share is a Fund expense pursuant to the Advisory Agreement. During the six months ended June 30, 2018, the Fund accrued $22,500 in accounting fees in the Statement of Operations.

 

20


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

As per the approval of the Board, the Fund compensates officers of the Fund, who are employed by the Fund and are not employed by the Adviser (although the officers may receive incentive based variable compensation from affiliates of the Adviser). During the six months ended June 30, 2018 the Fund accrued $121,400 in payroll expenses in the Statement of Operations.

The Fund pays each Trustee who is not considered an affiliated person an annual retainer of $18,000 plus $2,000 for each Board meeting attended. Each Trustee is reimbursed by the Fund for any out of pocket expenses incurred in attending meetings. All Board committee members receive $1,000 per meeting attended, the Audit Committee Chairman receives an annual fee of $3,000, and the Nominating Committee Chairman and the Lead Trustee each receives an annual fee of $2,000. A Trustee may receive a single meeting fee, allocated among the participating funds, for participation in certain meetings held on behalf of multiple funds. Trustees who are directors or employees of the Adviser or an affiliated company receive no compensation or expense reimbursement from the Fund.

4. Portfolio Securities. Purchases and sales of securities during the six months ended June 30, 2018, other than short term securities and U.S. Government obligations, aggregated $156,278,779, and $212,360,237, respectively.

5. Capital. The Fund is authorized to issue an unlimited number of common shares of beneficial interest (par value $0.001). The Board has authorized the repurchase and retirement of its shares on the open market when the shares are trading at a discount of 7.5% or more (or such other percentage as the Board may determine from time to time) from the NAV of the shares. During the six months ended June 30, 2018 and the year ended December 31, 2017, the Fund did not repurchase any common shares.

As of June 30, 2018, the Fund has $400 million available for issuing additional common or preferred shares or notes under the current shelf registration.

The Fund’s Declaration of Trust, as amended, authorizes the issuance of an unlimited number of shares of $0.001 par value Preferred Shares. The Preferred Shares are senior to the common shares and result in the financial leveraging of the common shares. Such leveraging tends to magnify both the risks and opportunities to common shareholders. Dividends on the Preferred Shares are cumulative. The Fund is required by the 1940 Act and by the Statements of Preferences to meet certain asset coverage tests with respect to the Preferred Shares. If the Fund fails to meet these requirements and does not correct such failure, the Fund may be required to redeem, in part or in full, the Series A, Series B, Series C, Series D, Series E, and Series G Preferred Shares at redemption prices of $25, $25,000, $25,000, $25, $25,000, and $25, respectively, per share plus an amount equal to the accumulated and unpaid dividends whether or not declared on such shares in order to meet these requirements. Additionally, failure to meet the foregoing asset coverage requirements could restrict the Fund’s ability to pay dividends to common shareholders and could lead to sales of portfolio securities at inopportune times. The income received on the Fund’s assets may vary in a manner unrelated to the fixed and variable rates, which could have either a beneficial or detrimental impact on net investment income and gains available to common shareholders.

For Series B, Series C, and Series E Preferred Shares, the dividend rates, as set by the auction process that is generally held every seven days, are expected to vary with short term interest rates. Since February 2008, the number of Series B, Series C, and Series E Preferred Shares subject to bid orders by potential holders

 

21


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

has been less than the number of shares of Series B, Series C, and Series E Preferred Shares subject to sell orders. Holders that have submitted sell orders have not been able to sell any or all of the Series B, Series C, and Series E Preferred Shares for which they have submitted sell orders. Therefore the weekly auctions have failed, and the dividend rate has been the maximum rate. The current maximum rate for Series B, Series C, and Series E Preferred Shares is 150, 150, and 250, respectively, basis points greater than the seven day ICE LIBOR rate on the date of such auction. Existing Series B, Series C, and Series E Preferred shareholders may submit an order to hold, bid, or sell such shares on each auction date, or trade their shares in the secondary market. There were no redemptions of Series B, Series C, and Series E Preferred Shares during the six months ended June 30, 2018.

The Fund may redeem in whole or in part the 5.875% Series A and 6.000% Series D Preferred Shares at the redemption price at any time. Commencing July 1, 2021 and at any time thereafter, the Fund, at its option, may redeem the 5.250% Series G Cumulative Preferred Shares in whole or in part at the redemption price. The Board has authorized the repurchase of Series A, Series D, and Series G Preferred Shares in the open market at prices less than the $25 liquidation value per share. During the six months ended June 30, 2018, the Fund redeemed and retired 1,271,148 shares of the 6.000% Series D Preferred Stock at the liquidation value of $31,778,700. During the six months ended June 30, 2018 and the year ended December 31, 2017, the Fund did not repurchase any shares of Series A or Series G Preferred Shares.

The Fund has the authority to purchase its auction rate and auction market preferred shares through negotiated private transactions. The Fund is not obligated to purchase any dollar amount or number of auction rate or auction market preferred shares, and the timing and amount of any auction rate or auction market preferred shares purchased will depend on market conditions, share price, capital availability, and other factors. The Fund is not soliciting holders to sell these shares nor recommending that holders offer them to the Fund. Any offers can be accepted or rejected in the Fund’s discretion.

The following table summarizes Cumulative Preferred Share information:

 

Series    Issue Date    Authorized    Number of Shares
Outstanding at
06/30/18
   Net
Proceeds
   2018 Dividend
Rate Range
   Dividend
Rate at
06/30/18
  Accrued
Dividend at
06/30/18

A 5.875%

   October 12, 2004        3,200,000        3,048,019      $ 77,280,971    Fixed Rate        5.875 %     $ 62,177

B Auction Market

   October 12, 2004        4,000        3,600        98,858,617    2.964% to 3.487%        3.487 %       26,153

C Auction Market

   October 12, 2004        4,800        4,320        118,630,341    2.965% to 3.482%        3.480 %       10,440

D 6.000%

   November 3, 2005        2,600,000        1,271,148        62,617,239    Fixed Rate        6.000 %       26,482

E Auction Rate

   November 3, 2005        5,400        4,860        133,379,387    3.965% to 4.953%        4.953 %       33,433

G 5.250%

   July 1, 2016        4,000,000        4,000,000        96,634,565    Fixed Rate        5.250 %       72,917

The holders of Preferred Shares generally are entitled to one vote per share held on each matter submitted to a vote of shareholders of the Fund and will vote together with holders of common shares as a single class. The holders of Preferred Shares voting together as a single class also have the right currently to elect two Trustees and under certain circumstances are entitled to elect a majority of the Board of Trustees. In addition, the affirmative vote of a majority of the votes entitled to be cast by holders of all outstanding shares of the Preferred Shares, voting as a single class, will be required to approve any plan of reorganization adversely affecting the Preferred Shares, and the approval of two-thirds of each class, voting separately, of the Fund’s outstanding voting stock must approve the conversion of the Fund from a closed-end to an open-end investment company. The approval of a majority (as defined in the 1940 Act) of the outstanding Preferred Shares and a

 

22


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

majority (as defined in the 1940 Act) of the Fund’s outstanding voting securities are required to approve certain other actions, including changes in the Fund’s investment objectives or fundamental investment policies.

6. Indemnifications. The Fund enters into contracts that contain a variety of indemnifications. The Fund’s maximum exposure under these arrangements is unknown. However, the Fund has not had prior claims or losses pursuant to these contracts. Management has reviewed the Fund’s existing contracts and expects the risk of loss to be remote.

7. Subsequent Events. Management has evaluated the impact on the Fund of all subsequent events occurring through the date the financial statements were issued and has determined that there were no subsequent events requiring recognition or disclosure in the financial statements.

 

23


The Gabelli Dividend & Income Trust

Notes to Financial Statements (Unaudited) (Continued)

 

 

Certifications

The Fund’s Chief Executive Officer has certified to the New York Stock Exchange (“NYSE”) that, as of May 23, 2018, he was not aware of any violation by the Fund of applicable NYSE corporate governance listing standards. The Fund reports to the SEC on Form N-CSR which contains certifications by the Fund’s principal executive officer and principal financial officer that relate to the Fund’s disclosure in such reports and that are required by Rule 30a-2(a) under the 1940 Act.

Shareholder Meeting – May 14, 2018 – Final Results

The Fund’s Annual Meeting of Shareholders was held on May 14, 2018 in Greenwich, Connecticut. At that meeting, common and preferred shareholders, voting together as a single class, elected Salvatore M. Salibello and Edward T. Tokar as Trustees of the Fund. A total of 82,879,876 votes and 83,025,481 votes were cast in favor of these Trustees, and a total of 2,138,949 votes and 1,993,285 votes were withheld for these Trustees, respectively.

In addition, preferred shareholders, voting as a separate class, elected James P. Conn as a Trustee of the Fund. A total of 8,055,167 votes were cast in favor of this Trustee and a total of 275,258 votes were withheld for this Trustee.

Mario J. Gabelli, Anthony J. Colavita, Frank J. Fahrenkopf, Jr., Michael J. Melarkey, Anthonie C. van Ekris, Susan V. Watson, and Salvatore J. Zizza continue to serve in their capacities as Trustees of the Fund.

Effective May 16, 2018, Kuni Nakamura was appointed to the Board.

We thank you for your participation and appreciate your continued support.

 

We have separated the portfolio managers’ commentary from the financial statements and investment portfolio due to corporate governance regulations stipulated by the Sarbanes-Oxley Act of 2002. We have done this to ensure that the content of the portfolio managers’ commentary is unrestricted. Both the commentary and the financial statements, including the portfolio of investments, will be available on our website at www.gabelli.com.

The Net Asset Value per share appears in the Publicly Traded Funds column, under the heading “General Equity Funds,” in Monday’s The Wall Street Journal. It is also listed in Barron’s Mutual Funds/Closed End Funds section under the heading “General Equity Funds.”

The Net Asset Value per share may be obtained each day by calling (914) 921-5070 or visiting www.gabelli.com.

The NASDAQ symbol for the Net Asset Value is “XGDVX.”

Notice is hereby given in accordance with Section 23(c) of the Investment Company Act of 1940, as amended, that the Fund may from time to time purchase its common shares in the open market when the Fund’s shares are trading at a discount of 7.5% or more from the net asset value of the shares. The Fund may also from time to time purchase its preferred shares in the open market when the preferred shares are trading at a discount to the liquidation value.

 

24


THE GABELLI DIVIDEND & INCOME TRUST

One Corporate Center

Rye, NY 10580-1422

Portfolio Management Team Biographies

 

LOGO      

Mario J. Gabelli, CFA, is Chairman, Chief Executive Officer, and Chief Investment Officer - Value Portfolios of GAMCO Investors, Inc. that he founded in 1977, and Chief Investment Officer - Value Portfolios of Gabelli Funds, LLC and GAMCO Asset Management Inc. He is also Executive Chairman of Associated Capital Group, Inc. Mr. Gabelli is a summa cum laude graduate of Fordham University and holds an MBA degree from Columbia Business School and Honorary Doctorates from Fordham University and Roger Williams University.

LOGO      

Christopher J. Marangi joined Gabelli in 2003 as a research analyst. Currently he is a Managing Director and Co-Chief Investment Officer for GAMCO Investors, Inc.’s Value team. In addition, he serves as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Fund Complex. Mr. Marangi graduated magna cum laude and Phi Beta Kappa with a BA in Political Economy from Williams College and holds an MBA degree with honors from Columbia Business School.

LOGO      

Kevin V. Dreyer joined Gabelli in 2005 as a research analyst covering companies within the consumer sector. Currently he is a Managing Director and Co-Chief Investment Officer for GAMCO Investors, Inc.’s Value team. In addition, he serves as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Fund Complex. Mr. Dreyer received a BSE from the University of Pennsylvania and an MBA degree from Columbia Business School.


LOGO      

Sarah Donnelly joined Gabelli in 1999 as a junior research analyst working with the consumer staples and media analysts. Currently she is a Portfolio Manager of Gabelli Funds, LLC, a Senior Vice President and the Food, Household, and Personal Care products research analyst for Gabelli & Company. In 2013, she was named the Health & Wellness research platform leader. Ms. Donnelly received a BS in Business Administration with a concentration in Finance and minor in History from Fordham University.

LOGO      

Robert D. Leininger, CFA, joined GAMCO Investors, Inc. in 1993 as an equity analyst. Subsequently, he was a partner and portfolio manager at Rorer Asset Management before rejoining GAMCO in 2010 where he currently serves as a portfolio manager of Gabelli Funds, LLC. Mr. Leininger is a magna cum laude graduate of Amherst College with a degree in Economics and holds an MBA degree from the Wharton School at the University of Pennsylvania.

LOGO      

Jeffrey J. Jonas, CFA, joined Gabelli in 2003 as a research analyst focusing on companies across the healthcare industry. In 2006, he began serving as a portfolio manager of Gabelli Funds, LLC and manages several funds within the Gabelli/GAMCO Fund Complex. Mr. Jonas was a Presidential Scholar at Boston College, where he received a BS in Finance and Management Information Systems.

LOGO      

Brian C. Sponheimer is a portfolio manager and research analyst, responsible for coverage of automotive, trucking, and machinery stocks. In 2010, 2011, and 2016, Brian was recognized by various financial publications, including the Wall Street Journal and the Financial Times, as a “Best on the Street” analyst. He began his business career in institutional equities at CIBC World Markets in New York and Boston. Brian graduated cum laude from Harvard University with a BA in Government and received an MBA in Finance and Economics from Columbia Business School.


LOGO      

Regina M. Pitaro is a Managing Director and Head of Institutional Marketing at GAMCO Investors, Inc. Ms. Pitaro joined the firm in 1984 and coordinates the organization’s focus with consultants and plan sponsors. She also serves as a Managing Director and Director of GAMCO Asset Management, Inc., and serves as a portfolio manager for Gabelli Funds, LLC. Ms. Pitaro holds an MBA in Finance from the Columbia University Graduate School of Business, a Master’s degree in Anthropology from Loyola University of Chicago, and a Bachelor’s degree from Fordham University.

LOGO      

Howard F. Ward, CFA, joined Gabelli Funds in 1995 and currently serves as GAMCO’s Chief Investment Officer of Growth Equities as well as a Gabelli Funds, LLC portfolio manager for several funds within the Gabelli/GAMCO Fund Complex. Prior to joining Gabelli, Mr. Ward served as Managing Director and Lead Portfolio Manager for several Scudder mutual funds. He also was an Investment Officer in the Institutional Investment Department with Brown Brothers, Harriman & Co. Mr. Ward received his BA in Economics from Northwestern University.


THE GABELLI DIVIDEND & INCOME TRUST

One Corporate Center

Rye, NY 10580-1422

t  800-GABELLI (800-422-3554)

f  914-921-5118

e  info@gabelli.com

    GABELLI.COM

 

 

 

TRUSTEES

 

Mario J. Gabelli, CFA

Chairman and

Chief Executive Officer,

GAMCO Investors, Inc.

Executive Chairman,

Associated Capital Group, Inc.

 

Anthony J. Colavita

President,

Anthony J. Colavita, P.C.

 

James P. Conn

Former Managing Director &

Chief Investment Officer,

Financial Security Assurance

Holdings Ltd.

 

Frank J. Fahrenkopf, Jr.

Former President &

Chief Executive Officer,

American Gaming Association

 

Michael J. Melarkey

Of Counsel,

McDonald Carano Wilson LLP

 

Kuni Nakamura

President,

Advanced Polymer, Inc.

 

Salvatore M. Salibello

Senior Partner,

Bright Side Consulting

 

Edward T. Tokar

Former Chief Executive Officer of Allied

Capital Management, LLC, &

Vice President of Honeywell International, Inc.

 

Anthonie C. van Ekris

Chairman,

BALMAC International, Inc.

 

Susan V. Watson

Former President,

Investor Relations Association

  

Salvatore J. Zizza

Chairman,

Zizza & Associates Corp.

 

OFFICERS

 

Bruce N. Alpert

President

 

John C. Ball

Treasurer

 

Agnes Mullady

Vice President

 

Andrea R. Mango

Secretary &

Vice President

 

Richard J. Walz

Chief Compliance Officer

 

Carter W. Austin

Vice President & Ombudsman

 

Laurissa M. Martire

Vice President & Ombudsman

 

David I. Schachter

Vice President

 

INVESTMENT ADVISER

 

Gabelli Funds, LLC

One Corporate Center

Rye, New York 10580-1422

 

CUSTODIAN

 

State Street Bank and Trust

Company

 

COUNSEL

 

Skadden, Arps, Slate, Meagher &

Flom LLP

 

TRANSFER AGENT AND

REGISTRAR

 

Computershare Trust Company, N.A.

 

 

GDV Q2/2018

LOGO

 


Item 2. Code of Ethics.

Not applicable.

Item 3. Audit Committee Financial Expert.

Not applicable.

Item 4. Principal Accountant Fees and Services.

Not applicable.

Item 5. Audit Committee of Listed Registrants.

Not applicable.

Item 6. Investments.

 

(a)

Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1 of this form.

 

(b)

Not applicable.

 

Item 7.

 Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment  Companies.

Not applicable.


Item 8. Portfolio Managers of Closed-End Management Investment Companies.

Effective May 30, 2018, Howard F. Ward was named a portfolio manager of the Fund. Mr. Ward joined Gabelli Funds in 1995 and currently serves as GAMCO’s Chief Investment Officer of Growth Equities as well as a Gabelli Funds, LLC portfolio manager for several funds within the Gabelli/GAMCO Fund Complex. Prior to joining Gabelli, Mr. Ward served as Managing Director and Lead Portfolio Manager for several Scudder mutual funds. He also was an Investment Officer in the Institutional Investment Department with Brown Brothers, Harriman & Co. Mr. Ward received his BA in Economics from Northwestern University.

There have been no other changes to the portfolio management team since December 31, 2017.

MANAGEMENT OF OTHER ACCOUNTS

The table below shows the number of other accounts managed by Mr. Ward and the total assets in each of the following categories: registered investment companies, other pooled investment vehicles and other accounts as of December 31, 2017. For each category, the table also shows the number of accounts and the total assets in the accounts with respect to which the advisory fee is based on account performance.

 

Name of Portfolio Manager   

Type of

Accounts

  

Total

No. of

Accounts Managed

  

Total  

Assets  

  

No. of

Accounts

where

Advisory

Fee is Based

on

Performance

  

Total Assets

in Accounts where

Advisory

Fee is Based

on

Performance

Howard F. Ward    Registered Investment Companies:    2    $698.6   million      0    $0
     Other Pooled Investment Vehicles:    0    $0      0    $0
    

Other

Accounts:

   18    $138.5   million      0    $0

POTENTIAL CONFLICTS OF INTEREST

As reflected above, the Portfolio Managers manage accounts in addition to the Trust. Actual or apparent conflicts of interest may arise when a Portfolio Manager also has day to day management responsibilities with respect to one or more other accounts. These potential conflicts include:

ALLOCATION OF LIMITED TIME AND ATTENTION. As indicated above, the Portfolio Managers manage multiple accounts. As a result, he/she will not be able to devote all of their time to the management of the Trust. The Portfolio Managers, therefore, may not be able to formulate as


complete a strategy or identify equally attractive investment opportunities for each of those accounts as might be the case if he/she were to devote all of their attention to the management of only the Trust.

ALLOCATION OF LIMITED INVESTMENT OPPORTUNITIES. As indicated above, the Portfolio Managers manage accounts with investment strategies and/or policies that are similar to the Trust. In these cases, if the Portfolio Manager identifies an investment opportunity that may be suitable for multiple accounts, a fund may not be able to take full advantage of that opportunity because the opportunity may be allocated among all or many of these accounts or other accounts managed primarily by other Portfolio Managers of the Adviser, and their affiliates. In addition, in the event a Portfolio Manager determines to purchase a security for more than one account in an aggregate amount that may influence the market price of the security, accounts that purchased or sold the security first may receive a more favorable price than accounts that made subsequent transactions.

SELECTION OF BROKER/DEALERS. Because of Mr. Gabelli’s indirect majority ownership interest in G.research, LLC, he may have an incentive to use G.research to execute portfolio transactions for a fund.

PURSUIT OF DIFFERING STRATEGIES. At times, the Portfolio Managers may determine that an investment opportunity may be appropriate for only some of the accounts for which he/she exercises investment responsibility, or may decide that certain of the funds or accounts should take differing positions with respect to a particular security. In these cases, the Portfolio Manager may execute differing or opposite transactions for one or more accounts which may affect the market price of the security or the execution of the transaction, or both, to the detriment of one or more other accounts.

VARIATION IN COMPENSATION. A conflict of interest may arise where the financial or other benefits available to the Portfolio Manager differs among the accounts that they manage. If the structure of the Adviser’s management fee or the Portfolio Manager’s compensation differs among accounts (such as where certain accounts pay higher management fees or performance-based management fees), the portfolio managers may be motivated to favor certain accounts over others. The portfolio managers also may be motivated to favor accounts in which they have an investment interest, or in which the Adviser, or their affiliates have investment interests. Similarly, the desire to maintain assets under management or to enhance a Portfolio Manager’s performance record or to derive other rewards, financial or otherwise, could influence the Portfolio Manager in affording preferential treatment to those accounts that could most significantly benefit the Portfolio Manager. For example, as reflected above, if the Portfolio Manager manages accounts which have performance fee arrangements, certain portions of his/her compensation will depend on the achievement of performance milestones on those accounts. The Portfolio Manager could be incented to afford preferential treatment to those accounts and thereby be subject to a potential conflict of interest.

The Adviser, and the Funds have adopted compliance policies and procedures that are designed to address the various conflicts of interest that may arise for the Adviser and their staff members. However, there is no guarantee that such policies and procedures will be able to detect and prevent every situation in which an actual or potential conflict may arise.

COMPENSATION STRUCTURE FOR MARIO J. GABELLI

Mr. Gabelli receives incentive-based variable compensation based on a percentage of net revenues received by the Adviser for managing the Trust. Net revenues are determined by deducting from gross


investment management fees the firm’s expenses (other than Mr. Gabelli’s compensation) allocable to this Trust. Five closed-end registered investment companies (including this Trust) managed by Mr. Gabelli have arrangements whereby the Adviser will only receive its investment advisory fee attributable to the liquidation value of outstanding preferred stock (and Mr. Gabelli would only receive his percentage of such advisory fee) if certain performance levels are met. Additionally, he receives similar incentive based variable compensation for managing other accounts within the firm and its affiliates. This method of compensation is based on the premise that superior long-term performance in managing a portfolio should be rewarded with higher compensation as a result of growth of assets through appreciation and net investment activity. The level of compensation is not determined with specific reference to the performance of any account against any specific benchmark. One of the other closed-end registered investment companies managed by Mr. Gabelli has a performance (fulcrum) fee arrangement for which his compensation is adjusted up or down based on the performance of the investment company relative to an index. Mr. Gabelli manages other accounts with performance fees. Compensation for managing these accounts has two components. One component is based on a percentage of net revenues to the investment adviser for managing the account. The second component is based on absolute performance of the account, with respect to which a percentage of such performance fee is paid to Mr. Gabelli. As an executive officer of the Adviser’s parent company, GBL, Mr. Gabelli also receives ten percent of the net operating profits of the parent company. He receives no base salary, no annual bonus, and no stock options.

COMPENSATION STRUCTURE FOR THE PORTFOLIO MANAGERS OTHER THAN MR. GABELLI

The compensation for the Portfolio Managers other than Mr. Gabelli for the Trust is structured to enable the Adviser to attract and retain highly qualified professionals in a competitive environment. The Portfolio Managers other than Mr. Gabelli receive a compensation package that includes a minimum draw or base salary, equity-based incentive compensation via awards of restricted stock, and incentive based variable compensation based on a percentage of net revenue received by the Adviser for managing the Trust to the extent that the amount exceeds a minimum level of compensation. Net revenues are determined by deducting from gross investment management fees certain of the firm’s expenses (other than the Portfolio Managers’ compensation) allocable to the Trust (the incentive-based variable compensation for managing other accounts is also based on a percentage of net revenues to the investment adviser for managing the account). This method of compensation is based on the premise that superior long-term performance in managing a portfolio should be rewarded with higher compensation as a result of growth of assets through appreciation and net investment activity. The level of equity-based incentive and incentive-based variable compensation is based on an evaluation by the Adviser’s parent, GBL, of quantitative and qualitative performance evaluation criteria. This evaluation takes into account, in a broad sense, the performance of the accounts managed by the Portfolio Managers, but the level of compensation is not determined with specific reference to the performance of any account against any specific benchmark. Generally, greater consideration is given to the performance of larger accounts and to longer term performance over smaller accounts and short-term performance.

OWNERSHIP OF SHARES IN THE FUND

Howard F. Ward owned $0 of shares of the Fund as of December 31, 2017.


Item 9.

 Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.

REGISTRANT PURCHASES OF EQUITY SECURITIES

 

Period

 

  

(a) Total Number of
Shares (or Units)
Purchased

 

  

(b) Average Price Paid
per Share (or Unit)

 

  

(c) Total Number of
Shares (or Units)
Purchased as Part of
Publicly Announced
Plans or Programs

 

  

(d) Maximum Number (or
Approximate Dollar
Value) of Shares (or
Units) that May  Yet Be
Purchased Under the
Plans or Programs

 

Month #1

01/01/2018   through 01/31/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 2,542,296

 

Preferred Series G – 4,000,000

 

Month #2

02/01/2018   through 02/28/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 2,542,296

 

Preferred Series G – 4,000,000

 

Month #3

03/01/2018   through 03/31/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 2,542,296

 

Preferred Series G – 4,000,000

 

Month #4

04/01/2018   through 04/30/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 2,542,296

 

Preferred Series G –

4,000,000

 


                     

Month #5

05/01/2018   through 05/31/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 2,542,296

 

Preferred Series G – 4,000,000

 

Month #6

06/01/2018   through 06/30/2018  

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

  

Common – 82,432,426

 

Preferred Series A – 3,048,019

 

Preferred Series D – 1,271,148

 

Preferred Series G – 4,000,000

 

Total   

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

  

Common – N/A

 

Preferred Series A – N/A

 

Preferred Series D – N/A

 

Preferred Series G – N/A

 

   N/A

Footnote columns (c) and (d) of the table, by disclosing the following information in the aggregate for all plans or programs publicly announced:

 

a.

The date each plan or program was announced – The notice of the potential repurchase of common and preferred shares occurs quarterly in the Fund’s quarterly report in accordance with Section 23(c) of the Investment Company Act of 1940, as amended.

b.

The dollar amount (or share or unit amount) approved – Any or all common shares outstanding may be repurchased when the Fund’s common shares are trading at a discount of 7.5% or more from the net asset value of the shares.

Any or all preferred shares outstanding may be repurchased when the Fund’s preferred shares are trading at a discount to the liquidation value of $25.00.

c.

The expiration date (if any) of each plan or program – The Fund’s repurchase plans are ongoing.

d.

Each plan or program that has expired during the period covered by the table – The Fund’s repurchase plans are ongoing.

e.

Each plan or program the registrant has determined to terminate prior to expiration, or under which the registrant does not intend to make further purchases. – The Fund’s repurchase plans are ongoing.


Item 10. Submission of Matters to a Vote of Security Holders.

There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s Board of Trustees, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.

Item 11. Controls and Procedures.

 

  (a)

The registrant’s principal executive and principal financial officers, or persons performing similar functions have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.

 

  (b)

The registrant’s certifying officers are not aware of any changes in the registrant’s internal control over financial reporting (as defined in rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

 

Item 12.

 Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.

Not applicable.

Item 13. Exhibits.

 

(a)(1)    Not applicable.
(a)(2)   

Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto.

(a)(3)    Not applicable.
(a)(4)    Not applicable.
(b)   

Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes- Oxley Act of 2002 are attached hereto.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

(Registrant)      The Gabelli Dividend & Income Trust                                                                 

By (Signature and Title)*        /s/ Bruce N. Alpert                                                                         

                                                  Bruce N. Alpert, Principal Executive Officer

Date    8/27/2018                                                                                                                               

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title)*        /s/ Bruce N. Alpert                                                                         

                                                  Bruce N. Alpert, Principal Executive Officer

Date    8/27/2018                                                                                                                               

By (Signature and Title)*       /s/ John C. Ball                                                                               

                                                 John C. Ball, Principal Financial Officer and Treasurer

Date    8/27/2018                                                                                                                               

 

* 

Print the name and title of each signing officer under his or her signature.