Core Viewpoint - Closed-end funds (CEFs) are attractive for income-focused investors but carry heightened risks in the current economic environment due to their leveraged nature and potential market volatility [2][4][6] Advantages of Investing In Closed-End Funds - CEFs offer diversification by holding numerous individual positions, which mitigates risks associated with single companies [3] - They are often actively managed, allowing for strategic adjustments based on macroeconomic changes [3] - CEFs can trade at discounts to their net asset value (NAV), providing opportunities for investors to buy at lower prices compared to ETFs [3] - High distribution yields are a significant advantage for income-focused investors, with many CEFs paying monthly distributions [3] - Leverage is commonly used in CEFs to enhance yields, allowing for potentially higher total returns during rising markets [3] Risks Associated with Closed-End Funds - The leveraged nature of CEFs increases risk, especially in a high-interest rate environment, which can impact long-term compounding [4][5] - Historical examples illustrate the dangers of margin leverage, as significant market downturns can lead to forced selling and permanent losses [4][5] - Current economic indicators suggest a potential slowdown, with manufacturing activity contracting and GDP growth forecasts being revised downwards [5] - Geopolitical tensions and an inverted yield curve further contribute to market risks, making leveraged investments like CEFs particularly vulnerable [5] - Specific CEFs, such as the PIMCO Dynamic Income Fund (PDI), are highlighted as risky due to their premium to NAV and high leverage [5] Investor Takeaway - While CEFs can provide substantial passive income, their risks necessitate careful consideration, especially for retirees relying on these funds [6] - Diversification into more stable positions or high-quality individual stocks is recommended to mitigate risks associated with CEFs [6]

-Oxford-/E+ via Getty Images Thesis The 6.75% Series 2024 Term Preferred Shares (NASDAQ:OXLCM) are exchange traded term preferred shares from the Oxford Lane Capital Corporation (OXLC) closed end fund. We covered these securities last year here, where we assigned them a 'Buy' rating based on their short tenor, reduced risk and high yield. The securities have delivered a steady stream of income since, outperforming treasury funds. With the term redemption date for the securities shortly coming up at the end ...

Seeking Alpha The fund's performance relative to its peers was not the worst, but it is far from being the best. After all, the best-performing fund in this peer group, the Calamos Convertible Opportunities Fund, delivered an 11.49% gain. In fact, every fund in this peer comparison except for the Virtus Convertible & Income Fund outperformed the Bancroft Fund. This is likely to turn off potential investors in this fund. However, as I pointed out in a recent article: Kameleon007 The Bancroft Fund (NYSE:BCV) ...

The Liberty All-Star Equity Fund (NYSE:USA) is truly an "all star" investment. As one of the oldest closed end funds trading today, USA has an extraordinary track record for investors. USA has been a focal point of our coverage for several years. In that initial coverage we outlined the fund's structure, asset allocation, and management approach. The article served as an initiation for covering USA with a broad overview including the distribution history and total return profile. More recently, we took a di ...

The Voya Infrastructure, Industrials, and Materials Fund certainly does not sacrifice any yield despite being an equity fund. At the current share price, the fund boasts an 11.74% yield that is obviously very attractive compared to most assets in the current market environment. It also compares quite well to its peers, as can be seen here: AdShooter The Voya Infrastructure Industrials and Materials Fund (NYSE:IDE) is a little-known closed-end fund, or CEF, that investors can employ as a means of generating ...

Market Overview - The Weekly Closed-End Fund Roundup summarizes recent price movements in closed-end fund (CEF) sectors, highlighting that 16 out of 22 sectors were positive on price with an average price return of +1.07%, down from +2.05% the previous week [3] - The leading gainer was Commodities with a price increase of +4.44%, while Asia Equity lagged with a decrease of -0.81% [3] NAV Performance - 21 out of 22 sectors reported positive net asset value (NAV), with an average NAV return of +1.25%, an increase from +1.01% last week [4] - Commodities led the NAV performance with a return of +3.62%, while Asia Equity was the weakest sector with a NAV decline of -0.53% [4] Premium/Discount Analysis - The sector with the highest premium was Limited Duration at +0.80%, while Asia Equity had the widest discount at -15.29% [5] - The average sector discount was recorded at -7.21% [5] - MLPs experienced the highest increase in premium/discount at +1.56%, while Taxable Munis showed the lowest decline at -1.07% [6] Z-Score and Yield Insights - Senior Loans had the highest average 1-year z-score at +1.37, while Taxable Munis had the lowest at -0.94 [7] - The average z-score across sectors was +0.48 [7] - The sectors with the highest yields included Senior Loans at +11.97%, Emerging Market Income at +10.83%, and Convertibles at +10.48%, with an average sector yield of +8.14% [9] Individual CEF Performance - The top 10 CEFs with the greatest decrease in premium/discount valuation included RENN Fund ord (RCG) with a decrease of -4.58% and a yield of -21.70% [11] - Conversely, Gabelli Utility Trust (GUT) saw a significant increase in premium/discount value by +6.44% [13] Corporate Actions - Recent corporate actions included Virtus Total Return Fund Inc. announcing final results of a tender offer on May 7, 2024 [16] - First Trust completed mergers on May 6, 2024 [17] - RiverNorth Capital and Income Fund, Inc. announced final results of a non-transferable rights offering on April 23, 2024 [18] Distribution Changes - Distribution changes included DWS Strategic Muni Income (KSM) reducing its distribution by -4.8% [22] - MFS Government Markets Inc. also saw a reduction of -2.0% in its distribution [22] Commentary on Rights Offerings - The rights offering for RiverNorth Capital and Income Fund (RSF) was not fully subscribed, with only 949,525 new shares issued, indicating a subscription rate of around 84% [27] - The offering's structure included a subscription price that was the higher of 90% of NAV or 95% of the market price at expiry, which influenced investor decisions [25][27] Shareholder Activism - Saba Capital has accumulated a ~17% stake in ASA Gold and Precious Metals Limited (ASA), which is currently trading at a -14% discount [31] - ASA management activated a shareholder rights plan to counter Saba's influence, which could lead to a 1-for-1 rights offering if Saba's stake exceeds 15% [32]

Fixed-income CEF sector discounts are trading near their tights over the past year. Equity CEF discounts remain more subdued. Systematic Income PM Images Welcome to another installment of our CEF Market Weekly Review, where we discuss closed-end fund ("CEF") market activity from both the bottom-up - highlighting individual fund news and events - as well as the top-down - providing an overview of the broader market. We also try to provide some historical context as well as the relevant themes that look to be ...

Eric Fry’s gold prediction is playing out… investors hate gold’s bull run… who is buying gold?… the case for more gains to come… how to play itIn January, our macro expert Eric Fry made a prediction:The precious metals markets, as represented by the Sprott Physical Gold and Silver Trust (CEF) will outperform the S&P 500 index this year.We’re a long way from 2024 being in the history books, but that prediction is spot on so far.As you can see below, CEF is up 17% on the year, which is not only beating the S& ...

FG Trade Latin CEF Overview The Sprott Physical Gold and Silver Trust (NYSEARCA:CEF) is a closed-end fund that invests in gold and silver. The metals are fully allocated for and held at The Royal Canadian Mint. Typically, the mix is around 2/3 in gold and 1/3 in silver. I first covered CEF almost a year ago here, which is a good place to start for those not familiar with the fund. Key facts include a MER of 0.49%, and a redemption feature allowing exchange for the physical assets. The exchange feature a ...

Exhibit 99.1 SPROTT PHYSICAL GOLD & SILVER TRUST Amendment No. 1 to the Amended and Restated Sales Agreement April 6, 2023 Cantor Fitzgerald & Co. 499 Park Avenue New York, NY 10022 Virtu Americas LLC 1633 Broadway New York, NY 10019 Virtu Canada Corp. 222 Bay Street Suite 2600, P.O. Box 33 Toronto, ON M5K 1B7 Ladies and Gentlemen: Reference is made to the Amended and Restated Sales Agreement, dated November 2, 2020, including the Schedules thereto (the "Sales Agreement"), by and among Sprott Physical Gold ...