Core Viewpoint - The Herzfeld Caribbean Basin Fund, Inc. is proposing a shift in its investment strategy to focus on a "CLO Equity Strategy," aiming for total return and high current income for stockholders [1]. Group 1: Fund's New Strategy - The Fund will redirect its investment focus to equity and junior debt tranches of collateralized loan obligations (CLOs), which consist primarily of below investment grade U.S. senior secured loans [1]. - The primary investment objective will change to maximizing risk-adjusted total returns, with a secondary objective of generating high current income [7]. Group 2: Special Meeting Details - A special meeting of stockholders is scheduled for June 17, 2025, to vote on the proposed changes, with May 5, 2025, set as the record date for stockholder eligibility [2]. - The meeting will take place at the Fund's offices in Miami Beach, Florida, at 10:00 a.m. Eastern Time [2]. Group 3: Proposals for Consideration - Proposal 1 involves the approval of an amended investment advisory agreement allowing the Adviser to receive fees based on managed assets and an incentive fee [7]. - Proposal 2 seeks to revise the Fund's investment objective and reclassify it as non-fundamental [7]. - Proposal 3 aims to amend fundamental policies related to borrowing, senior securities issuance, and other investment activities [7]. Group 4: Proxy Materials and Information Access - Preliminary proxy materials have been filed with the SEC, with a definitive Proxy Statement expected to be filed in late May 2025 [4]. - Stockholders can access these documents for free on the SEC's website and the Fund's website when available [4].