Eaton Vance said on Monday it has launched the Eaton Vance Tax-Managed Dividend Income Fund, an equity-income fund designed to take advantage of new favorable tax rates on dividend income.

The fund’s investment objective is to achieve after-tax total return and invests mainly in common and preferred stocks that pay dividends that qualify for the new federal tax rules. Under the new legislation, the most dividends will be taxes is at 15%, compared to the 35% ceiling rate on ordinary return, according to the firm.

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