On January 22, 2024, Sit Investment Associates, Inc announced that it delivered a letter to DWS Municipal Income Trust expressing concern about the persistently high Net Asset Value (NAV) discount (the share price relative to net asset value) for the Company. The Sit Entities believe that the NAV discount is the result of the Company's significant underperformance versus the benchmark and considerable reduction in the size of the Company's monthly dividends. The Sit Entities believe that the overuse of leverage is the primary driver of these two factors.

The Sit Entities requested that the Company take corrective action, including proactive measures to reduce the NAV discount. Such action should include providing shareholders with the opportunity to redeem shares at the Fund's NAV. The investment adviser should refund to the Company any management fees collected which were based on the value of the borrowed assets during the periods in which the cost of borrowing exceeded the return on the Company's holdings.