Estimated Distributions
Understanding types and why funds pay them
Don't let tax time catch you off guard. Review initial distribution estimates for many of our funds.1, 2 For your non-retirement accounts, these numbers can help you gauge the income and capital gains that appear on your Form 1099-DIV in late January (mid February for real estate funds).
There are two types of distributions: income and capital gains. Mutual fund companies must pass along 98% of net investment income and 98.2% capital gains to their shareholders.
You could receive income distributions if the securities in your fund pay dividends or interest.
You may receive capital gain distributions if the sale of securities within your mutual fund creates a profit. These gains will be designated as short- or long-term based on how long the securities were held in the portfolio, not on when you purchased fund shares.
2026 Distributions
Estimated distributions as of September 30, 20262,3,4
Note: If you have a managed account in the Private Client Group, please contact your service team at the number found on your statement.
Frequently Asked Questions
Why Do Funds Pay Distributions?
Tax rules require mutual funds to distribute 98% of net investment income and 98.2% capital gains to shareholders each year. The rules also allow mutual funds to offset capital gains with losses carried forward from a prior year.
Why are Some Distributions Larger than Others?
The amount of a distribution can increase when the dividend payments or profits increase. A fund's capital gain distribution, however, is not necessarily a reflection of its overall performance. Because regulations regarding distributions are complex, you may want to consult a tax advisor about your circumstances.
American Century Investments® pays per-share distributions to shareholders invested on the fund's record day. On the Payable Date, each fund's share price is reduced by the amount of its distribution.
If distributions are paid to your account, you will see them on your fourth quarter statement and for taxable accounts in taxable funds, on the IRS Form 1099-DIV you will receive in January.
When Can I Expect Tax Information?
You can view distributions paid in December on your annual account statement, which is sent in early January. If your fund pays a distribution to your taxable account or you have sold shares, we will mail your tax forms by the end of January. For Real Estate Fund and Global Real Estate Fund shareholders, we will mail your Form 1099-DIV/B in late February.
Need Additional Help?
Dividend income estimates for income funds that declare distributions daily are not generally listed, although they may pay distributions. In addition, some stock funds in the chart may show no estimated distributions at this time. However, please keep in mind that this may change.
The estimates provided are as of September 30, 2026. Keep in mind that market conditions, portfolio changes and/or changes in outstanding fund shares could affect these estimates substantially. In addition, there is a possibility that funds not listed above could be eligible to pay a capital gains distribution. This information is not final and is subject to change until the ex-dividend date.
Qualified Dividend Income estimates are as of September 30, 2026. These estimates may change based on activity of the fund through December 31, 2026.
Per-share distributions are paid to investors who are shareholders of record with American Century Investments the business day before the payable date.
IRS Circular 230 Disclosure: American Century Companies, Inc. and its affiliates do not provide tax advice. Accordingly, any discussion of U.S. tax matters contained herein (including any attachments) is not intended or written to be used, and cannot be used, in connection with the promotion, marketing or recommendation by anyone unaffiliated with American Century Companies, Inc. of any of the matters addressed herein or for the purpose of avoiding U.S. tax-related penalties.
This information is for educational purposes only and is not intended as tax advice. Please consult your tax advisor for more detailed information or for advice regarding your individual situation.