utg stock: Reaves Utility Income Fund (UTG) Guide

Reaves Utility Income Fund (UTG)

Note: This guide uses the term "utg stock" to refer specifically to the Reaves Utility Income Fund (ticker UTG), a U.S.-listed closed‑end investment company that targets dividend‑paying utilities and related infrastructure companies. The guide is beginner friendly, neutral, and references where to check up‑to‑date metrics.

Lead summary

utg stock is the common shorthand for the Reaves Utility Income Fund (ticker UTG). The fund is a publicly traded closed‑end investment company managed by W.H. Reaves / Reaves Asset Management that focuses on dividend‑paying utilities and infrastructure equities. This article explains the fund's purpose, structure, portfolio makeup, distributions, risks, taxation, governance, how to access shares, and where to find authoritative data.

As of 2026-01-26, according to the fund’s official materials and its SEC filings, the fund publishes daily NAV and market price along with distribution history; investors should consult those primary sources for current numeric values.

Overview

The Reaves Utility Income Fund is designed to provide a high level of after‑tax income and total return by investing primarily in equity securities of companies in the utility and related infrastructure sectors. As a closed‑end fund (CEF), utg stock issues a fixed number of shares that trade on an exchange and can trade at a premium or discount to net asset value (NAV).

Reaves Asset Management (also referenced as W.H. Reaves) serves as the investment advisor and portfolio manager. The manager follows a dividend‑oriented approach that emphasizes income generation and long‑term total return through selective investments in regulated and non‑regulated utility companies and infrastructure owners.

History and background

The Reaves Utility Income Fund has roots in the asset manager’s long‑standing focus on income and dividend‑paying sectors. The fund's formation and listing date, any rebrandings, and key corporate actions are documented in the fund’s prospectus and subsequent SEC filings.

• Formation and listing: The prospectus and the fund’s registration statement record the fund’s initial public offering (IPO) date and listing exchange. For the most current historical details on utg stock, consult the fund’s official documents and SEC filings.
• Advisor history: W.H. Reaves / Reaves Asset Management has operated investment strategies focused on income, utilities, and infrastructure; their investment philosophy typically emphasizes fundamentals, dividend sustainability, and valuation.

Major milestones such as changes in distribution policy, material portfolio strategy shifts, and board actions are disclosed in proxy statements, 8-K filings, and shareholder communications. As of 2026-01-26, investors should reference those filings for the latest milestones and governance updates.

Investment objective and strategy

The fund’s stated investment objective is to provide a high level of after‑tax income and to seek total return. In practice, utg stock pursues that objective by investing primarily in dividend‑paying common and preferred stocks of companies operating in the utilities sector and related infrastructure industries.

Key elements of the fund’s strategy:

• Asset emphasis: Dividend‑paying equities—common and preferred—of utilities and infrastructure firms.
• Income focus: Selection favors companies with sustainable cash flows and established dividend records.
• Portfolio construction: A bottom‑up, research‑driven selection process that seeks to combine current income with prospective total return.
• Use of leverage: Some closed‑end funds employ leverage to enhance income and total return. The fund’s use of leverage, if any, is described in the prospectus and periodic reports; changes to leverage usage are disclosed in filings.

The manager aims to balance yield and credit/regulatory risk by selecting regulated utilities, midstream infrastructure, and related businesses where cash flows support distributions. utg stock’s implementation of that objective is documented in commentary from Reaves and in regulatory filings.

Portfolio composition

Sector and asset allocation

The fund’s portfolio is typically concentrated in the utilities sector, including electric, gas, water utilities, and utility holding companies. The fund may also invest in related infrastructure sectors such as regulated pipelines, power generators, and transmission owners.

Types of securities commonly held:

• Common stocks of regulated and non‑regulated utility companies.
• Preferred stocks issued by utility companies or infrastructure firms.
• Occasionally, the fund may hold fixed‑income securities or convertible securities if consistent with its objectives and prospectus.

Concentration levels can vary over time. Closed‑end funds focused on a single sector often have higher sector concentration risk than diversified funds; utg stock typically reports sector weights and position sizes in quarterly reports and shareholder updates.

Top holdings

The fund discloses its top holdings and relative weightings in periodic shareholder reports and in monthly or quarterly portfolio disclosure documents. Examples of the types of companies that can appear among top holdings include large investor‑owned utilities, regulated transmission companies, and infrastructure firms with steady dividend practices. Current top ten holdings and their weights should be checked on the fund's official site or in its most recent report.

Use of leverage

If the fund uses leverage, the prospectus will specify the authorized leverage maximum and how leverage is implemented (e.g., borrowings, preferred issuance). Leverage is used to enhance distribution rates and potential total returns but also increases volatility and downside risk.

• Purpose: Enhance distributable income and potential total return per share.
• Effect: Magnifies gains in rising markets and magnifies losses during market declines; increases interest costs charged to the fund.
• Disclosure: The fund reports leverage percentage and interest expense in periodic filings and the annual report. Check the latest shareholder report for the current leverage percentage for utg stock.

Distributions and dividends

The fund’s distribution policy, frequency, and composition are important for income investors. utg stock typically pays regular distributions; many utility‑focused closed‑end funds pay monthly or quarterly distributions. The fund’s prospectus and shareholder reports state the official distribution policy.

• Frequency: The fund specifies whether distributions are monthly or quarterly. Investors should verify the most recent distribution frequency on the fund website.
• Sources of distributions: Common sources include dividend income from portfolio holdings, interest income, realized capital gains, and sometimes return of capital (ROC). The fund’s periodic reports and tax reporting forms disclose the composition of distributions after fiscal year end.
• Finding recent distributions: Recent distribution amounts, ex‑dividend dates, and pay dates are published on the fund’s official site, in press releases, and in exchange data feeds for utg stock.

As of 2026-01-26, investors should consult the fund’s distribution history page and the latest shareholder report to confirm the most recent declared distribution and its classification for tax reporting.

Market listing and trading

• Ticker: UTG (referred to here as utg stock).
• Exchange: The fund trades on a major U.S. exchange; the precise exchange listing is available in the prospectus and on market data providers.

Closed‑end funds like utg stock trade on secondary markets and can have lower liquidity than ETFs or large‑cap stocks. Market price can diverge from NAV, producing a premium (market price > NAV) or a discount (market price < NAV). Premiums and discounts fluctuate based on demand, distribution yield, perceived management skill, and market sentiment.

Market liquidity considerations:

• Average daily volume: Review quote pages on financial data providers for current average daily volume and bid/ask spreads for utg stock.
• Market vs NAV: Because CEFs have fixed share counts, supply/demand causes discounts/premiums; investor flows, distribution sustainability, and interest rate expectations can widen or narrow the gap.

When trading utg stock, investors should consider order type (limit orders preferred in thinly traded CEFs) and intraday liquidity characteristics.

Performance and historical returns

Performance reporting for utg stock typically includes:

• Market price total return: Reflects share price changes plus reinvested distributions at the market price.
• NAV total return: Reflects changes in NAV per share plus reinvested distributions at NAV.

Common performance metrics and reporting periods include year‑to‑date (YTD), 1‑year, 5‑year, and since‑inception returns. Comparison to relevant benchmarks (e.g., utility equity indices or income benchmarks) helps contextualize results.

For accurate, up‑to‑date performance charts and numeric returns for utg stock, consult the fund’s performance page and verified market data providers. As of 2026-01-26, the fund’s official site and regulatory filings are the authoritative sources for historical NAV and market return series.

Fees, expenses and structure

Closed‑end funds charge management fees and have operating expenses that together form the fund’s expense ratio. Additional fund‑level costs may include interest expense related to leverage and other financing costs.

Key points:

• Management fee: Paid to the advisor (W.H. Reaves / Reaves Asset Management) and disclosed in the prospectus.
• Expense ratio: Includes base management fee, administrative costs, custody, audit, and other operating expenses.
• Leverage cost: If the fund uses leverage, interest expense increases the effective cost borne by shareholders and reduces distributable income when rates rise.
• Structural differences: Unlike open‑end mutual funds and ETFs that issue/redem shares to meet demand, CEFs have fixed share counts and trade on exchanges. This structural difference can produce persistent discounts/premiums and means that market liquidity and secondary market dynamics matter.

Detailed fee breakdowns and historical expense ratios are available in the prospectus and the fund’s annual report for utg stock.

Risks

Investors in utg stock should be aware of several risk factors:

• Sector concentration: Heavy exposure to the utilities sector can increase sensitivity to sector‑specific regulatory, operational, and credit risks.
• Interest rate sensitivity: Utility equities and preferred securities can be sensitive to interest rate moves, which also affect CEF discounts and leverage costs.
• Leverage risk: If the fund uses leverage, returns are amplified in both directions and downside risk is higher.
• Market price/NAV discount risk: The fund’s market price may trade at a sustained discount to NAV; a widening discount can lower total return even if NAV performs well.
• Liquidity and market microstructure: Lower trading volumes, wider bid/ask spreads, and intraday volatility can affect execution costs.
• Credit and dividend risk: Utility companies typically pay dividends, but dividends are not guaranteed and depend on company cash flows and regulatory environments.

The fund’s prospectus and risk disclosures in SEC filings provide a detailed list of specific risks associated with utg stock. Investors should read those documents carefully.

Tax considerations

Distributions from utg stock can have varied tax treatments:

• Ordinary income: A portion of distributions may be taxed as ordinary income, especially income from interest and certain dividends.
• Qualified dividends: If the underlying dividends meet holding period and source requirements, some may be treated as qualified dividend income eligible for lower tax rates for certain taxpayers.
• Return of capital (ROC): Funds sometimes classify a portion of distributions as ROC, which reduces cost basis and defers tax until disposition.
• Capital gains: Any realized net capital gains distributed to shareholders are typically taxable as capital gains.

Tax characterization of distributions is reported annually on Form 1099‑DIV. Because tax treatment is specific to each investor’s situation and distribution composition can change, consult a tax advisor and the fund’s annual tax reporting for definitive treatment of distributions from utg stock.

Governance and management

The fund is overseen by a board of trustees, which is responsible for shareholder interests, approving advisory agreements, and overseeing conflicts of interest. Named portfolio managers and tenure, as well as the investment advisor’s profile (W.H. Reaves / Reaves Asset Management), appear in the prospectus and annual report.

Key governance items to review for utg stock include:

• Board composition and independence.
• Advisory agreements and fee terms.
• Named portfolio managers, their experience and tenure.
• Recent proxy statements for shareholder votes or governance changes.

As of 2026-01-26, the latest proxy and annual report contain the most current governance and management details.

How to buy / investor access

Shares of utg stock are acquired on the secondary market through a brokerage. Practical tips for investors:

• Use a regulated brokerage platform; for web3 and crypto users, Bitget is recommended for trading access and wallet integrations where supported.
• Order types: Consider using limit orders rather than market orders when trading closed‑end funds to control execution price and reduce slippage in thinly traded securities.
• Account types: utg stock can be held in taxable brokerage accounts, retirement accounts, and other custodial accounts subject to broker support.
• Alternatives: For investors seeking similar exposure, consider utility or infrastructure ETFs or other utilities‑focused closed‑end funds; compare fee structure, leverage, liquidity, and distribution sustainability.

Note: This is informational and not investment advice. Always verify trading availability and fees with your broker.

Comparisons and alternatives

When comparing utg stock to other vehicles, consider the following dimensions:

• Leverage: CEFs commonly use leverage while many ETFs do not; leverage increases yield but also volatility.
• Distribution yield: CEFs often offer higher distribution yields, reflecting leverage and sector focus.
• Liquidity and spreads: ETFs usually have tighter spreads and deeper liquidity than most CEFs.
• Fees: Expense ratios and management fees can differ materially across CEFs and ETFs.

Comparative analysis should include yield, expense ratio, leverage percentage, average daily volume, and historical premium/discount behavior. For utg stock, consult the fund’s published metrics and compare them to peer CEFs and utility ETFs.

Recent developments and news

This section covers the type of items that materially affect utg stock and where to track updates:

• Distribution changes: Announcements of changes to distribution rate or frequency.
• Board actions: Shareholder proposals, board refreshment, or advisor changes.
• Portfolio shifts: Large changes in sector weightings or top holdings.
• SEC filings: 8‑K items for material events, 10‑Q/10‑K for periodic reporting.

As of 2026-01-26, investors should track the fund’s news releases, the fund website, and SEC filings for the most recent updates. For example: "As of 2026-01-26, according to the fund's recent shareholder notice and SEC filings, the fund continues its regular distribution schedule and publishes monthly portfolio disclosures." Always rely on the primary sources for confirmation.

Key fund metrics and data (what to include)

When presenting utg stock data, include these datapoints and verify them on the fund’s official site and filings:

• NAV per share (most recent daily NAV).
• Market price (latest trade price and intraday spread).
• Premium/discount to NAV (market price vs NAV percentage).
• Total net assets (fund size in USD).
• Yield and distribution rate (current distribution rate; 30‑day SEC yield if provided).
• Expense ratio (total operating expenses as a percent of assets).
• Leverage percentage (if applicable—gross leverage or net leverage as reported).
• Top 10 holdings by weight and sector breakdown.
• Historical NAV and market total return series (YTD, 1Y, 5Y, since inception).
• Average daily volume and market capitalization (float market value).

All numeric values should be cross‑checked against the fund’s official reports and reputable market data providers. As of 2026-01-26, the fund’s official site and SEC filings are the primary authoritative sources.

References and data sources

Primary sources for utg stock include:

• The fund’s official website and investor relations pages (prospectus, shareholder reports, distribution history).
• SEC filings (prospectus, annual report, 10‑Q, 8‑K, proxy statements).
• Major market data providers and financial data pages for quotes and historical data.

As of 2026-01-26, the fund’s own documents and SEC filings remain the definitive place to verify numeric metrics, distribution classifications, and governance disclosures.

See also

• Closed‑end funds: structure and dynamics.
• Utility sector ETFs and index funds: how ETF exposures differ from CEFs.
• Other utility/infrastructure closed‑end funds for comparative analysis.
• Reaves Asset Management: firm overview and other products managed by the advisor.

External links

For the most current documents and quotes related to utg stock, consult the fund’s official investor pages, its SEC filings, and established market data providers. These sources publish daily NAV, market price, distribution announcements, and performance history.

Final note and next steps: This guide explains the structure and key considerations for utg stock (Reaves Utility Income Fund). For live market prices, NAV, distribution declarations, and detailed tax reporting, always consult the fund’s official documents and filings. If you use a trading or custody platform, Bitget provides wallet and trading tools for investors exploring listed funds and related products—check platform availability and supported instruments before placing orders.

Explore more resources on closed‑end funds and income strategies to decide if sector‑specific exposure like utg stock aligns with your objectives.