DWS 2023 Interim Capital Gains

To view the latest by fund, please click HERE.

Capital gains are distributions related to the sale of a security within a mutual fund portfolio.  Each security can be sold at a gain or loss, which means the price at sale was either more or less than the initial purchase price. 

For mutual fund investors, the sum of all gains and losses are brought together which may result in a distribution to shareholders in a year.  This is called a capital gain.  Generally, this distribution is taxable unless your account is in an individual retirement account (“IRA”) or other type of qualified retirement plan account.  In some years there is a net capital gain paid to mutual fund shareholders, and in some years, there are none.  It all depends on the underlying portfolio security sales each year.  Any capital gains are paid in dollar terms.  DWS will also publish this payment as well as a percentage of the mutual fund’s net asset value (NAV) for illustrative purposes.

It is important for shareholders to understand that capital gains can be paid even in years when the fund has negative performance.  This can happen if a security in the portfolio was bought years earlier at a low cost and then is sold at a higher price.  At times securities must be sold to meet shareholder redemptions which can result in taxable gains.  Portfolio managers work to manage this impact but it is a factor when investing in a mutual fund. 

Please consult a tax advisor regarding your specific tax situation.  DWS does not provide tax advice.

DWS will be updating capital gain estimates continuously.  To view the latest estimates by fund, please click HERE.