The folks over at BlackRock have made a large cash distribution for the iShares Global Telecom ETF (NYSE: IXP – $62.98). According to their website, a $6.37 per share payout has been made with an ex-dividend date as of today. Therefore, all holders of record as of yesterday will receive the windfall payment. Needless-to-say, the shares of IXP have been adjusted downward to reflect the special one-time dividend, so for the casual observer it appears that the shares are down $6.37 in today’s trading, due to the fact that holders as of today will not participate in the payout. Unfortunately, BlackRock has not released an explanation for the special payment, but I suspect it relates to the fund’s holdings in Vodafone Group, plc, that was the recipient of $58.9 billion in cash from Verizon Communications (NYSE: VZ – $49.30) pursuant to the purchase of Vodafone’s 45% stake in Verizon Wireless. I will continue to monitor the situation and report back once more details are forthcoming from the fund’s sponsor. For those income investors with holdings in IXP, don’t be alarmed when you receive your June statement and see the shares down by about 9% from May. You should see an offsetting increase in your cash account in July when the funds are distributed. In order to reflect the large distribution and fairly represent the price differential in today’s price relative to when it was entered into the income portfolio in October of 2010, I will be adjusting the entry value from $59.00 to $52.63 per share.