The BlackRock Long-Term Municipal Advantage Trust (NYSE: BTA) has declared a monthly dividend of $0.0495 per share, as announced on December 12, 2023. Stockholders of record as of December 22, 2023 will receive this payment on December 31, 2023. The dividend yield stands at 6.3%, reflecting the trust’s commitment to providing income exempt from federal income taxes.
Investors should note that the ex-dividend date is also set for December 22, 2023. The trust opened trading on December 12 at a price of $9.43, with its stock showing a 50-day simple moving average of $9.47 and a 200-day simple moving average of $9.27. Over the past year, the trust reached a low of $8.73 and a high of $10.19.
Investment Strategy and Objectives
Established in December 2009, the BlackRock Long-Term Municipal Advantage Trust is a closed-end management investment company. Its primary aim is to deliver current income that is exempt from federal income tax. The trust offers investors exposure to a diversified portfolio of long-term municipal securities, focusing on purchasing investment-grade municipal bonds with longer maturities. This strategy has historically provided higher yields compared to shorter-duration bonds, aligning with the trust’s goal of achieving favorable risk-adjusted returns.
The trust’s approach is particularly significant for investors seeking tax-exempt income in a challenging interest rate environment. By emphasizing long-term holdings, BlackRock seeks to navigate market fluctuations while prioritizing the stability and income potential of its investments.
This announcement signals the continued efforts of the BlackRock Long-Term Municipal Advantage Trust to support its investors through regular dividend distributions. As the financial landscape evolves, the trust remains committed to its foundational objectives of income generation and tax efficiency.
