What is a fund distribution?

Fund distributions are the transfer of cash or securities from a venture capital fund to its investors. Investors receive distributions after the fund exits its position in one of the companies in the fund's portfolio (known as a liquidity event).

What is a mutual fund distribution?

Mutual fund distributions consist of net capital gains made from the profitable sale of portfolio assets, along with dividend income and interest earned by those assets. With securities, like stocks or bonds, a distribution is a payment of interest, principal, or dividend by the issuer of the security to investors.

What is a distribution in finance?

In finance, a distribution can mean many things; however, the term is used most commonly to describe the following situations: Regardless of the situation, distributions can generally be regarded as "cash" that goes straight into your pocket.