Eaton Vance Tax-Advantaged Dividend Income Fund (EVT)

My income portfolio prioritizes resilient, high-dividend securities with long-term positive NAV trends rather than trading based on unpredictable short-term price movements. Therefore, I focus on funds that have demonstrated value creation since launch, especially those with at least a decade of performance history, with its accompanying ups and downs. In this article, I show how the NAVs of all my securities behaved during the worst moments of their existence and how they largely rebounded.

Eaton Vance Tax-Advantaged Dividend Income Fund is a diversified, large-cap equity CEF focused on consistent monthly dividends. EVT employs modest leverage (~18%), maintains a conservative sector allocation, and has a high expense ratio (2.27%, 1.11% ex-interest). Dividend payouts have been stable, but recent performance lags tech-heavy benchmarks; NAV discounts are limited (~8%).

The rebound that began in April on stock markets around the world is leading to a positive double-digit year-end close for Wall Street. This increase has been partially reflected in my portfolio, which focuses on high-dividend securities, showing a gain of more than 6% against the cost basis. In addition, there has been a recent flurry of positive news regarding various special year-end distributions announced by several funds in my portfolio.

Eaton Vance's top taxable closed-end funds offer attractive yields, discounts to NAV, and strong long-term returns, making them appealing for income-focused investors. Current market volatility has widened discounts to NAV, creating buying opportunities which I highlight in the article. I prioritize funds trading at an 8%+ yield and significant NAV discounts, with a preference for those using tax-advantaged strategies and diversified asset mixes.

Eaton Vance Tax-Advantaged Dividend Income Fund remains a strong buy, trading at one of its most attractive discounts to NAV in a decade. EVT offers an 8% dividend yield, monthly payouts, and a diversified portfolio focused on tax-advantaged income from equities and preferreds. While EVT underperforms broad market indexes like SPY in total return, it excels in delivering consistent, tax-efficient income for long-term investors.

Closed-end funds (CEFs) are the last bargains left on the board. CEFs are often confused with mutual funds and ETFs, but they are different because they often trade at discounts to their net asset values (NAVs).

Explore three tax-efficient, high-yield funds suitable for investors of all ages seeking income and lower tax implications in taxable accounts. DNP Select Income Fund offers stable, monthly dividends (7.8% yield) with a focus on essential utilities and a long history of capital preservation. Eaton Vance Tax-Advantaged Dividend Income Fund provides an 8.1% yield, equity exposure, and capital preservation, with most distributions as long-term capital gains.

The Eaton Vance Tax-Advantaged Dividend Income Fund offers a compelling value-oriented alternative to tech-heavy markets, with a strong allocation to financials and some fixed-income exposure for diversification. The fund's -8.29% discount remains attractive for long-term investors, with borrowing costs easing and further cuts expected. The distribution yield is healthy at 8.34%, supported by a balanced payout policy and tax-advantaged income through long-term capital gains and qualified dividends.

Caring about dividends can increase our returns, but caring about NAV can save our portfolio. Return and NAV protection must go hand in hand, because there can be no sustainable return without protecting the value of the underlying assets. As far as I am concerned, the way to protect my portfolio is to favor only securities with a positive NAV over time.

5 Closed-End Fund Buys In The Month Of July 2025

Eaton Vance Tax-Advantaged Dividend Income Fund (EVT) pays a monthly distribution yielding 8.5%, trading at a -8.3% discount to NAV. Eaton Vance's conservative management, quality stock selection, and tax-advantaged dividends make EVT ideal for long-term, buy-and-hold retirement portfolios. EVT outperforms peer funds on total return, offers diversification beyond REITs, MLPs, BDCs, and bonds, and provides reliable, growing income.

Eaton Vance Tax-Advantaged Dividend Income Fund offers an attractive 8.4% yield, tax-advantaged income, and trades at a deeper-than-average 8% discount to NAV, enhancing its appeal. The EVT closed-end fund focuses on value-driven, dividend-paying stocks, with a heavy tilt toward Financials, and has outperformed its benchmark over the long term. Distribution coverage has improved, with no return of capital, and assets have grown, though dividend growth has been modest at 2.54% over five years.

NEW YORK--(BUSINESS WIRE)--EVT (ASX: EVT) and IMAX Corporation (NYSE: IMAX) today announced a significant expansion of their fast-growing partnership, with an agreement for four new state-of-the-art IMAX® with Laser systems across Australia. The agreement represents the largest deal ever for new IMAX locations in Australia and triples the IMAX network with EVT. Three locations are set to open before the end of 2026, with an additional location set to open in 2027. EVT has rapidly grown its offe.

April's market volatility, driven by tariffs and led by tech sector declines, created opportunities to deploy cash. However, it was an opportunity to reposition my portfolio as well, with 2 swap trades to de-risk my portfolio. There were 2 corporate actions in the last month that also saw two more positions removed from my CEF portfolio, but overall, I was a net buyer for the month.

Total Return can be misleading if not supported by NAV growth, as it may include unsustainable distributions and Return of Capital. Behavioral finance shows markets are irrational, making it crucial to consider practical aspects beyond theoretical Total Return calculations. I believe that NAV performance can affect our discretion in the reinvestment choices for the distributions we receive from our savings much more than Total Return.

I recently added to my Eaton Vance Tax-Advantaged Dividend Income Fund position due to its attractive discount and market downturn. EVT's value-oriented portfolio, with significant exposure to financials, healthcare, and industrials, offers diversification away from tech-heavy indices like the S&P 500. This is a leveraged fund, which adds further volatility and risk that investors should consider before investing.