NXG NextGen Infrastructure Income Fund

NXG

Market cap $205M

The NXG NextGen Infrastructure Income Fund has outperformed the Morningstar US CEF Sector Equity category over the past 6-month, 1-, 3-, and 5-year periods on an NAV basis. Management continues to increase NXG's NAV/share - it has risen from $23.83 at inception, to over $51.00, as of 10/15/25. It pays a monthly distribution of $.54, currently yielding over 13%.

DALLAS , Sept. 2, 2025 /PRNewswire/ -- NXG NextGen Infrastructure Income Fund (NYSE: NXG) (the "Fund") declared monthly distributions of $0.54 per common share for each of September, October, and November 2025.

DALLAS , Aug. 14, 2025 /PRNewswire/ -- The NXG NextGen Infrastructure Income Fund (NYSE: NXG) (the "Fund") announced the preliminary results of its transferable rights offering (the "Offer").  The Offer commenced on July 21, 2025, and expired on August 13, 2025 (the "Expiration Date").

NXG's offering is closing soon. The discount remains narrower than -10%, so it makes sense to subscribe. Strong NAV performance likely contributed to steady discount valuation.

For income investors, closed-end funds remain an attractive investment class that covers various asset classes and promises high distributions and reasonable total returns. Closed-end funds, or CEFs, are generally characterized by higher volatility and deeper drawdowns than the broader market. For these reasons, they are not suited for everyone. In this monthly series, we highlight five CEFs with solid track records that pay high distributions and offer "excess" discounts. We try to separate the wheat from the chaff using our filtering process to select just five CEFs every month from around 500 closed-end funds.

NXG offers a high 13.8% yield and focuses on modern infrastructure, but current entry is not ideal due to a rights offering and premium valuation. The fund's strategy emphasizes income over growth, using aggressive leverage that poses risks in today's high interest rate environment. Dividend coverage is inconsistent, with most payouts funded by return of capital; a lower payout could enhance stability and sustainability.

I maintain my Hold rating on NXG, as risks I highlighted previously persist, despite no immediate negative developments since my last review. NXG NextGen Infrastructure Income Fund continues to pay dividends in excess of distributable cash flow, relying on return of capital rather than organic portfolio income. The upcoming rights offering does not present a compelling opportunity, especially as shares now trade at a premium to NAV.

DALLAS , July 10, 2025 /PRNewswire/ -- The board of trustees (the "Board") of NXG NextGen Infrastructure Income Fund (NYSE: NXG) (the "Fund") has approved the terms of the issuance of transferable rights ("Rights") to the holders of the Fund's common shares (the "Common Shareholders") of beneficial interest, par value $0.001 per share ("Common Shares"), as of the record date, entitling the holders of those Rights to subscribe for Common Shares (the "Offer"). The Board, based on the recommendations and presentations of the Fund's investment adviser, Cushing ® Asset Management, LP, doing business as NXG Investment Management (the "Investment Adviser"), and others, has determined that it is in the best interests of the Fund and the Common Shareholders to conduct the Offer and thereby to increase the assets of the Fund available for investment.

DALLAS , June 2, 2025 /PRNewswire/ -- NXG NextGen Infrastructure Income Fund (NYSE: NXG) (the "Fund") declared monthly distributions of $0.54 per common share for each of June, July, and August 2025.  These monthly distributions will be payable to common shareholders pursuant to the table below: Record Date Ex-Dividend Date Payment Date Distribution Amount Return of Capital Estimate 1 6/16/2025 6/16/2025 6/30/2025 $0.54 100 % 7/2/2025 7/2/2025 7/31/2025 $0.54 100 % 8/15/2025 8/15/2025 8/29/2025 $0.54 100 % 1 The return of capital estimate is based on the Fund's current anticipated earnings and profits for the fiscal year and does not include a projection of gains and losses on the sale of securities which may occur during the remainder of the year.

NXG NextGen Infrastructure Income Fund offers high monthly income and diversified infrastructure exposure, benefiting from AI-driven energy demand. NXG currently pays a generous distribution yield of just below 14% and trades at a small premium. The fund has performed very well on a five-year basis; however, the long-term performance over 10 years has been subpar, partly due to the oil price crash in 2014.