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Fidelity
About 4.5% recurring income, but over the last 3 years capital fell 1%/yr.
Payout over time
Fund health
For bond funds, the useful comparison is the recent cash payout beside the portfolio's yield to maturity, duration, credit quality, and sector mix. These are portfolio facts, not a forecast of future distributions.
Interest-rate sensitivity
6.4 years effective duration
A 1 percentage point rise in interest rates would move the unit price about -6.4%; a 1 point fall, about +6.4%.
Evidence: worst 5-year drawdown was -16.5%.
Credit quality
84% investment grade (BBB and above), the rest below it. A mixed credit profile: investment-grade bonds are the majority, with a meaningful below-investment-grade sleeve.
How it's taxed
The CRA taxes each distribution dollar by its character. These shares are measured against the full taxable distribution, including any portion the fund reinvested as units rather than paying in cash.
| Character | % of taxable | $ / unit |
|---|---|---|
| Foreign income | 100% | $0.8950 |
Based on Fidelity's 2025 T3 / tax-factor filing. Character can vary year to year. This is not tax advice; consult a tax professional about your situation.
Character mix by year
What you keep, in your account
Each figure below starts from the headline yield of 4.5% and shows an estimate of what you keep after tax. Where you hold the fund changes the answer: a TFSA shelters Canadian tax and can still lose foreign withholding tax when the fund has foreign withholding, a non-registered account taxes each character at its own rate, and an RRSP defers tax until you withdraw.
These figures are estimates at the top ON marginal tax rate, not your personal rate.
Illustrative, not tax advice.
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Next steps
Prices as of 2026-07-27. Distributions as of 2026-07-28. Tax character year 2025.
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Portfolio data as of May 2026.
Own payout record
Cash distributed per unit, by calendar year, from the fund's own distribution history (up to the last 6 years). "Reduced" marks a year where the cash paid per unit fell more than 5% versus the prior year.