Weekly Closed-End Fund Roundup: Oct. 11, 2020

ETFS

Author’s note: This article was previously released to CEF/ETF Income Laboratory members on Oct. 12, 2020. Please check latest data before investing.

The Weekly Closed-End Fund Roundup will be put out at the start of each week to summarize recent price movements in closed-end fund [CEF] sectors in the last week, as well as to highlight recently concluded or upcoming corporate actions on CEFs, such as tender offers. Most of the information has been sourced from CEFInsight or the Closed-End Fund Center. I also will link to some articles from Seeking Alpha that I have found for useful reading over the past week. The searchable tag for this feature is “cildoc.” Data is taken from the close of Friday, Oct. 9, 2020.

Weekly performance roundup

Twenty out of 23 sectors were positive on price (down from 22 last week) and the average price return was +2.37% (up from +1.25% last week). The lead gainer was MLPs (+11.85%), followed by Convertibles (+4.61%) and Sector Equity (+4.47%), while the weakest sectors by Price were Taxable Munis (-0.12%), followed by National Munis (-0.04%) and New York Munis (-0.03%).

(Source: Stanford Chemist, CEFConnect)

Eighteen out of 23 sectors were positive on NAV (up from 17 last week), while the average NAV return was +1.72% (up from +1.05% last week). The top sectors by NAV were MLPs (+7.55), Sector Equity (+4.10%) and U.S. Equity (+4.09%). The weakest sectors by NAV was Taxable Munis (-0.88%), New York Munis (-0.69%) and California Munis (-0.64%).

(Source: Stanford Chemist, CEFConnect)

The highest premium sector was Taxable Munis (+3.82%), while the sector with the widest discount is MLPs (-23.33%). The average sector discount is -8.06% (up from -8.55% last week).

(Source: Stanford Chemist, CEFConnect)

The sector with the highest premium/discount increase was MLPs (+2.95%), while Emerging Market Income (-0.89%) showed the lowest premium/discount decline. The average change in premium/discount was +0.50% (up from +0.29% last week).

(Source: Stanford Chemist, CEFConnect)

The sector with the highest average 1-year z-score is Taxable Munis (+0.93), followed by Single-state Munis (+0.48). The sector with the lowest average 1-year z-score was Covered Call (-1.01), followed by U.S. Allocation (-0.99). The average z-score is -0.32 (up from -0.45 last week).

(Source: Stanford Chemist, CEFConnect)

The sectors with the highest yields are MLPs (18.63%), Global Allocation (10.46%), Limited Duration (9.31%), Emerging Market Income (9.10%) and Real Estate (8.87%). Discounts and z-scores for the sectors are included for comparison. The average sector yield is +7.43% (down from +7.68% last week).

(Source: Stanford Chemist, CEFConnect)

Individual CEFs that have undergone a significant decrease in premium/discount value over the past week, coupled optionally with an increasing NAV trend, a negative z-score, and/or are trading at a discount, are potential buy candidates.

Fund Ticker P/D decrease Yield P/D Z-Score Price change NAV change
Gabelli Utility Trust (GUT) -10.74% 7.89% 87.19% 0.9 -1.04% 4.64%
Western Asset Income (PAI) -4.74% 3.88% -1.09% -0.3 -4.03% 0.58%
Nuveen Municipal Income (NMI) -4.66% 3.51% 1.62% 0.5 -4.73% -0.36%
DNP Select Income (DNP) -4.64% 7.67% 13.37% -2.3 0.39% 4.51%
Nuveen Emrg Mkts Debt 2022 Target Term (JEMD) -4.02% 5.38% -3.11% -0.3 -3.11% 0.92%
PIMCO Dynamic Income Fund (PDI) -3.44% 10.72% 5.29% -1.1 -3.06% 0.13%
FIRST TRUST HY OPPORTUNITIES 2027 Term (FTHY) -3.38% % -2.37% 0.0 -2.04% 1.37%
Aberdeen Standard Global Infra Inc (ASGI) -3.35% 7.69% -15.62% 0.0 -0.82% 3.14%
PIMCO Dynamic Credit and Mortgage Inc (PCI) -3.02% 10.69% 4.66% -0.3 -3.03% -0.21%
Japan Smaller Cap Fund (JOF) -2.97% 3.17% -15.79% -0.1 -2.07% 1.40%

(Source: Stanford Chemist, CEFConnect)

Conversely, individual CEFs that have undergone a significant increase in premium/discount value in the past week, coupled optionally with a decreasing NAV trend, a positive z-score, and/or are trading at a premium, are potential sell candidates.

Fund

Ticker

P/D increase

Yield

P/D

z-score

Price change

NAV change

First Trust Spec Finance & Fincl Opp

(FGB)

10.73%

12.22%

-9.40%

-1.1

13.45%

0.00%

Eagle Point Credit Company LLC

(ECC)

10.66%

10.12%

11.12%

1.0

10.61%

0.00%

OFS Credit Company Inc

(OCCI)

7.92%

22.49%

-13.95%

-0.5

10.12%

0.00%

Kayne Anderson MLP/Midstream

(KYN)

7.25%

12.90%

-17.84%

-0.5

16.25%

5.99%

Oxford Lane Capital Corp

(OXLC)

5.59%

17.31%

24.47%

-0.5

4.70%

0.00%

XAI Octagon FR & Alt Income Term Trust

(XFLT)

5.35%

10.79%

0.91%

0.2

6.55%

0.92%

Aberdeen Global Income Fund, Inc.

(FCO)

5.22%

11.85%

5.82%

1.1

7.26%

1.98%

First Trust MLP and Energy Income Fund

(FEI)

5.16%

11.24%

-18.22%

-0.7

13.86%

6.70%

Tortoise Essential Assets Income Term

(TEAF)

5.03%

7.77%

-23.30%

2.8

9.03%

1.89%

BlackRock Invest Qual Muni

(BKN)

4.77%

4.59%

1.98%

2.1

4.18%

-0.68%

(Source: Stanford Chemist, CEFConnect)

Recent corporate actions

These are from the past month. Any new news in the past week has a bolded date:

October 5, 2020 | RiverNorth/DoubleLine Strategic Opportunity Fund, Inc. Announces Final Results of Rights Offering. RiverNorth/DoubleLine Strategic Opportunity Fund, Inc. (the “Fund”) (OPP) today announced the final results of its transferable rights offering (the “Offering”). The Fund will issue a total of 472,995 new shares of common stock as a result of the Offering, which closed on October 1, 2020 (the “Expiration Date”). The subscription price of $13.88 per share in the Offering was established on the Expiration Date based on a formula equal to 92.5% of the reported net asset value on the Expiration Date. Gross proceeds received by the Fund, before any expenses of the Offering, are expected to total approximately $6.6 million. The shares of common stock issued as a result of the rights offering will not be record date shares for the Fund’s monthly distributions paid in August or September 2020. As the final subscription price was higher than the original estimated subscription price, there are no excess payments to be returned to subscribing rights holders.

September 28, 2020 | Goldman Sachs Asset Management Announces Completion of Reorganization of Goldman Sachs MLP Income Opportunities Fund into Goldman Sachs MLP and Energy Renaissance Fund. Goldman Sachs Asset Management (“GSAM”), investment adviser for the Goldman Sachs MLP Income Opportunities Fund (GMZ) and Goldman Sachs MLP and Energy Renaissance Fund (GER)(together, the “Funds”), announced today that the reorganization of GMZ with and into GER (the “Reorganization”) was completed prior to the open of trading on the New York Stock Exchange on September 28, 2020. When the New York Stock Exchange opens on Monday, September 28, 2020, shareholders of GMZ will hold newly issued common shares of GER, the aggregate net asset value (“NAV”) (not the market value) of which will equal the aggregate NAV (not the market value) of the common shares of GMZ held by such shareholders as of the valuation time specified in the Agreement and Plan of Reorganization (although such shareholders will receive cash for fractional common shares). The Reorganization was a tax-free event, and as a result, shareholders of GMZ and GER are not expected to recognize a gain or loss for federal income tax purposes as a result of the Reorganization (except any gain or loss that may result from the receipt of cash in lieu of fractional shares). Detailed information on the Reorganization is contained in the Joint Proxy Statement/Prospectus previously filed with the SEC.

September 25, 2020 | BrandywineGLOBAL – Global Income Opportunities Fund Inc. Announces Final Results of Issuer Tender Offer for Common Stock. BrandywineGLOBAL-Global Income Opportunities Fund Inc. (BWG) (the “Fund”) announced today the final results for its issuer tender offer for up to 20% of the outstanding shares of common stock (“Shares”) of the Fund at a price equal to 99.5% of the Fund’s net asset value per Share as determined as of the close of the regular trading session of the New York Stock Exchange on September 23, 2020. The Fund’s offer expired on Tuesday, September 22, 2020 at 11:59 p.m., New York City time. Based on current information, approximately 14,111,137 Shares were duly tendered and not withdrawn. Because the number of Shares tendered exceeds 4,197,959 Shares, the tender offer is oversubscribed. Therefore, in accordance with the terms and conditions specified in the tender offer, the Fund will purchase Shares from all tendering stockholders on a pro rata basis, disregarding fractions. Payment for such Shares will be made on or about September 28, 2020. The purchase price of properly tendered Shares is $13.53 per Share, equal to 99.5% of the per Share net asset value of $13.60 as of the close of the regular trading session of the New York Stock Exchange on September 23, 2020. Shares that were not tendered will remain outstanding.

September 8, 2020 | Adams Natural Resources Fund Announces Preliminary Tender Offer Results. Adams Natural Resources Fund, Inc. (PEO) (“PEO”) today announced the preliminary results of its offer to purchase up to 5,955,676 of its common shares at $11.95, 95% of the $12.58 net asset value per share (“NAV”) at the close of regular trading on the New York Stock Exchange on September 4, 2020, the expiration date. Based on the preliminary count by American Stock Transfer & Trust Co., LLC (“AST”), the depositary for the tender offer, a total of 9,454,445 common shares of PEO were validly tendered and not withdrawn. The total amount of shares tendered exceeded the offer amount, and the Fund expects to purchase tendered shares on a pro rata basis. In accordance with the terms and conditions of the tender offer and based on the preliminary count by AST, PEO expects to accept for payment all 5,955,676 common shares subject to the tender offer.

Upcoming corporate actions

These are from the past month. Any new news in the past week has a bolded date:

October 1, 2020 | BlackRock New York Municipal Bond Trust Declares Special Distribution Before Merger and Announces Trading Halt in Advance of Merger. BlackRock Advisors, LLC today announced the declaration of a special distribution for BlackRock New York Municipal Bond Trust (BQH) in relation to the previously announced merger with BlackRock New York Municipal Opportunities Fund (“MENKX” and together with BQH, the “Funds”) an open-end mutual fund and a series of BlackRock Multi-State Municipal Series Trust, with MENKX being the surviving Fund (the “Merger”). The special distribution declared today represents BQH’s regular monthly distribution plus any undistributed net investment income earned through the effective date of the Merger. Other than the special distribution announced today, BQH will declare no further distributions prior to or following the Merger. BQH is declaring a special distribution that will be payable on October 19, 2020. The ex-dividend date for the distribution is October 9, 2020, and the record date is October 13, 2020. Accordingly, persons who are holders of record of BQH common shares on October 13, 2020 should expect to receive the distribution. The distribution payable to shareholders of BQH will be paid in cash and will not be eligible for dividend reinvestment. Common shares of BQH acquired after October 8, 2020 will not be entitled to the distribution. It is currently expected that the Merger will be effective with the open for business of the New York Stock Exchange (“NYSE”) on October 26, 2020, subject to the satisfaction of customary closing conditions and the prior redemption of all of BQH’s outstanding variable rate demand preferred shares. To facilitate the Merger, all shares of BQH will cease trading on the NYSE as of market close on Monday, October 19, 2020. On Monday, October 26, 2020, common shareholders of BQH who become shareholders of MENKX in the Merger will hold MENKX. Common shareholders of BQH who become shareholders of MENKX will receive newly issued Investor A Shares of MENKX in the Merger.

September 21, 2020 | RiverNorth Opportunities Fund, Inc. Announces Rights Offering. RiverNorth Opportunities Fund, Inc. (RIV) (the “Fund”) announces that its Board of Directors has authorized and set the terms of an offering to the Fund’s stockholders of rights to purchase additional shares of common stock of the Fund. In this offering, the Fund will issue transferable subscription rights (“Rights”) to its stockholders of record as of October 2, 2020 (the “Record Date” and such stockholders, “Record Date Stockholders”) allowing the holder to subscribe for new shares of common stock of the Fund (the “Primary Subscription”). Record Date Stockholders will receive one Right for each share of common stock held on the Record Date. For every three Rights held, a holder of Rights may buy one new share of common stock of the Fund. Record Date Stockholders who exercise their Rights will not be entitled to distributions payable during October 2020 on shares issued in connection with the Rights Offering. The Rights are expected to be listed and tradable on the New York Stock Exchange (“NYSE”) under the ticker: RIV RT. Record Date Stockholders who fully exercise all Rights initially issued to them in the Primary Subscription will be entitled to buy those shares of common stock that are not purchased by other Record Date Stockholders. The subscription price per share of common stock will be determined based upon a formula equal to 95% of the reported net asset value or 95% of the market price per share of common stock, whichever is higher on the Expiration Date (as defined below). Market price per share of common stock will be determined based on the average of the last reported sales price of a share of common stock on the NYSE for the five trading days preceding (and not including) the Expiration Date. The subscription period will expire on November 3, 2020, unless extended by the Board (the “Expiration Date”).

August 14, 2020 | Western Asset Global High Income Fund Inc. Announces Additional Tender Offer Details. Western Asset Global High Income Fund Inc. (EHI) (the “Fund”) announced today additional details concerning its previously announced cash tender offer for up to 50% of the Fund’s outstanding shares of common stock (the “Shares”) at a price per Share equal to 99.5% of the Fund’s net asset value per Share as of the business day immediately following the expiration date of the tender offer (the “Offer”). The Fund currently intends to commence the Offer on or about October 19, 2020 with an expiration time of 11:59 p.m., New York City time, on or about November 16, 2020, unless extended. If the Offer expires on November 16, 2020, the net asset value per Share for purposes of the Offer would be calculated as of the close of regular trading session on the New York Stock Exchange on November 17, 2020 (or if the Offer is extended, as of the close of the next trading day after the day to which the Offer is extended). The Fund will repurchase Shares tendered and accepted in the Offer in exchange for cash. In the event the Offer is oversubscribed, Shares will be repurchased on a pro rata basis.

August 14, 2020 | Western Asset High Income Fund II Inc. Announces Additional Tender Offer Details. Western Asset High Income Fund II Inc. (HIX) (the “Fund”) announced today additional details concerning its previously announced cash tender offer for up to 35% of the Fund’s outstanding shares of common stock (the “Shares”) at a price per Share equal to 99.5% of the Fund’s net asset value per Share as of the business day immediately following the expiration date of the tender offer (the “Offer”). The Fund currently intends to commence the Offer on or about October 19, 2020 with an expiration time of 11:59 p.m., New York City time, on or about November 16, 2020, unless extended. If the Offer expires on November 16, 2020, the net asset value per Share for purposes of the Offer would be calculated as of the close of regular trading session on the New York Stock Exchange on November 17, 2020 (or if the Offer is extended, as of the close of the next trading day after the day to which the Offer is extended). The Fund will repurchase Shares tendered and accepted in the Offer in exchange for cash. In the event the Offer is oversubscribed, Shares will be repurchased on a pro rata basis.

August 14, 2020 | Western Asset High Income Opportunity Fund Inc. Announces Additional Tender Offer Details. Western Asset High Income Opportunity Fund Inc. (HIO) (the “Fund”) announced today additional details concerning its previously announced cash tender offer for up to 25% of the Fund’s outstanding shares of common stock (the “Shares”) at a price per Share equal to 99.5% of the Fund’s net asset value per Share as of the business day immediately following the expiration date of the tender offer (the “Offer”). The Fund currently intends to commence the Offer on or about October 19, 2020 with an expiration time of 11:59 p.m., New York City time, on or about November 16, 2020, unless extended. If the Offer expires on November 16, 2020, the net asset value per Share for purposes of the Offer would be calculated as of the close of regular trading session on the New York Stock Exchange on November 17, 2020 (or if the Offer is extended, as of the close of the next trading day after the day to which the Offer is extended). The Fund will repurchase Shares tendered and accepted in the Offer in exchange for cash. In the event the Offer is oversubscribed, Shares will be repurchased on a pro rata basis.

July 13, 2020 | Eagle Growth and Income Opportunities Fund Announces Additional Liquidation Details. Eagle Growth and Income Opportunities Fund (the “Fund”) (EGIF) today announced additional details related to the Fund’s liquidation. As previously announced on May 27, 2020, pursuant to a Plan of Liquidation (the “Plan”) adopted by the Fund’s Board of Trustees (the “Board”), the Fund has commenced the process of winding up its affairs. The Fund has sold all of its portfolio holdings and the proceeds have been invested in a U.S. Treasury money market fund. In connection with the Fund’s liquidation, the Board is required to discharge or make reasonable provision for the Fund’s claims and obligations, including potential claims and obligations. As part of this process, the Board reviewed certain potential claims (the “Contingent Liabilities”) threatened by the Fund’s former investment adviser, Four Wood Capital Advisors, LLC (“FWCA”), and its parent, Four Wood Capital Partners, LLC (“FWCP” and, collectively with FWCA, “Four Wood”) arising in connection with a decision by a majority of the Fund’s Trustees, after months of review, to pursue a strategic alternative for the Fund other than the one for which FWCA would have received compensation. In accordance with the Plan and as required by applicable law, the Board has determined that $29 million of the Fund’s net assets should be reserved by the Fund and not immediately distributed to the Fund’s shareholders (the “Reserve”) to provide for these Contingent Liabilities, certain estimated but un-invoiced expenses of the Fund and the estimated expenses of operating a liquidating trust to hold the Reserve and the Contingent Liabilities (the “Liquidating Trust”). The amount of the Reserve is based upon the amount of damages that Four Wood has alleged and not the Independent Trustees’ view of the merits of the potential claims. Amounts related to the threatened litigation comprise the largest single component of the Reserve. Upon dissolution of the Fund, Delaware state law focuses on protecting creditors or potential creditors of the Fund. Under certain limited circumstances, in the event that the Reserve is insufficient to cover the Fund’s Contingent Liabilities, it is possible that a creditor may seek payment for claims against the Fund by claiming against the beneficiaries of the Liquidating Trust who received Liquidating Trust distributions. Under applicable state law, absent misconduct by a beneficial owner, that beneficial owner’s liability for such claims should be limited to the amount of any Liquidating Trust distributions received though there is no definitive guidance on this point. As previously announced, it is anticipated that the Fund’s liquidating distributions will be comprised of one or more cash distributions plus a 1:1 per share interest in the Liquidating Trust. The liquidating distributions together will represent substantially all of the Fund’s net assets at the time of liquidation. As part of winding up its affairs, the Fund has undertaken to pay known expenses of the Fund incurred in the ordinary course of its business and in connection with its liquidation. As a result, the value of the Fund’s net assets has been, and will continue to be, reduced by an amount equal to those expenses until the date on which the Reserve and the Contingent Liabilities are anticipated to be contributed to the Liquidating Trust (i.e., August 20, 2020). The Fund has fixed the close of business on July 27, 2020 as the closing of the Fund’s transfer books and effective date for determining the shareholders of the Fund entitled to receive liquidating distributions from the Fund. The Fund’s shares will continue trading on the New York Stock Exchange through July 27, 2020 and will be suspended from trading before the open of trading on July 28, 2020, after which time there will be no secondary market for the Fund’s shares. It is anticipated that the Fund will pay one or more liquidating distributions, collectively representing the Fund’s net assets other than the Reserve, beginning on or about August 3, 2020.

June 16, 2020 | BlackRock Announces Board Approval of Municipal Closed-End Fund Reorganizations. BlackRock Advisors, LLC announced today that the Boards of Trustees of BlackRock New York Municipal Income Trust II (BFY), BlackRock New York Municipal Income Quality Trust (BSE) and BlackRock New York Municipal Income Trust (BNY) (collectively, the “Funds”) have approved the reorganizations of each of BFY and BSE with and into BNY, with BNY continuing as the surviving Fund (together, the “Reorganizations”). It is currently expected that the Reorganizations will be completed in or before the first quarter of 2021, subject to the requisite approvals by each Fund’s shareholders, the refinancing of BNY’s preferred shares and the satisfaction of customary closing conditions.

June 16, 2020 | BlackRock Announces Board Approval of Municipal Closed-End Fund Reorganizations. BlackRock Advisors, LLC announced today that the Boards of Directors or Trustees, as applicable, of BlackRock Maryland Municipal Bond Trust (BZM), BlackRock Massachusetts Tax-Exempt Trust (MHE), BlackRock MuniYield Arizona Fund, Inc. (MZA), BlackRock MuniYield Investment Fund (MYF), BlackRock MuniEnhanced Fund, Inc. (MEN) and BlackRock MuniYield Quality Fund, Inc. (MQY) (collectively, the “Funds”) have approved the reorganizations of each of BZM, MHE, MZA, MYF and MEN with and into MQY, with MQY continuing as the surviving Fund (collectively, the “Reorganizations”). It is currently expected that the Reorganizations will be completed in or before the first quarter of 2021, subject to the requisite approvals by each Fund’s shareholders and the satisfaction of customary closing conditions.

June 16, 2020 | BlackRock Announces Board Approval of Municipal Closed-End Fund Reorganizations. BlackRock Advisors, LLC announced today that the Boards of Trustees of The BlackRock Strategic Municipal Trust (BSD), BlackRock MuniYield Investment Quality Fund (MFT), BlackRock Municipal Income Investment Trust (BBF) and BlackRock Municipal Income Trust II (BLE) (collectively, the “Funds”) have approved the reorganizations of each of BSD, MFT and BBF with and into BLE, with BLE continuing as the surviving Fund (collectively, the “Reorganizations”). It is currently expected that the Reorganizations will be completed in or before the first quarter of 2021, subject to the requisite approvals by each Fund’s shareholders, the refinancing of BBF’s preferred shares and the satisfaction of customary closing conditions.

June 16, 2020 | BlackRock Announces Board Approval of Municipal Closed-End Fund Reorganizations. BlackRock Advisors, LLC announced today that the Boards of Directors or Trustees, as applicable, of BlackRock Municipal Income Investment Quality Trust (BAF), BlackRock Municipal Bond Trust (BBK), BlackRock MuniHoldings Fund II, Inc. (MUH), BlackRock MuniHoldings Quality Fund, Inc. (MUS) and BlackRock MuniHoldings Fund, Inc. (MHD) (collectively, the “Funds”) have approved the reorganizations of each of BAF, BBK, MUH and MUS with and into MHD, with MHD continuing as the surviving Fund (collectively, the “Reorganizations”). It is currently expected that the Reorganizations will be completed in or before the first quarter of 2021, subject to the requisite approvals by each Fund’s shareholders and the satisfaction of customary closing conditions.

Recent activist or other CEF news

These are from the past month. Any new news in the past week has a bolded date:

October 1, 2020 | XAI Octagon Floating Rate & Alternative Income Term Trust Declares its Monthly Distribution of $0.073 per Share and Announces Change in Non-Fundamental Investment Policy.XAI Octagon Floating Rate & Alternative Income Term Trust (XFLT) has declared its regular monthly distribution of $0.073 per share on the Trust’s common shares, payable on November 2, 2020 to common shareholders of record as of October 15, 2020, as noted below. The amount of the distribution represents a 21.67% increase from the previous month’s distribution amount of $0.060 per share. Effective as of November 1, 2020, it will no longer be the Trust’s policy to limit its investments in CLO securities, including debt and subordinated (i.e., residual or equity) CLO securities, to 50% of its Managed Assets. Effective as of November 1, 2020, the Trust may invest without limitation in CLO securities, including debt and subordinated (i.e., residual or equity) CLO securities. The Trust will continue to pursue its investment objective to seek attractive total return with an emphasis on income generation across multiple stages of the credit cycle. The Trust will continue to seek to achieve its investment objective by investing in a dynamically managed portfolio of opportunities primarily within the private credit markets. The Trust will continue to invest, under normal market conditions, at least 80% of its Managed Assets in floating rate credit instruments and other structured credit investments. There can be no assurance that the Trust will achieve its investment objective.

September 28, 2020 | Western Asset Inflation-Linked Income Fund (NYSE:WIA) Announces Shareholder Approval of New Management and Subadvisory Agreements. Western Asset Inflation-Linked Income Fund (“WIA” or the “Fund”) announced that, based on certified voting results from the Fund’s Special Meeting of Shareholders (the “Special Meeting”), shareholders have voted to approve the new management agreement with the Fund’s manager and the new subadvisory agreements with the Fund’s subadvisers. Approval of these new agreements was proposed in connection with the consummated combination of Legg Mason Inc. (“Legg Mason”), the parent company of the Fund’s manager and subadvisers, and Franklin Resources, Inc. (“Franklin Resources”), a global investment management organization operating as Franklin Templeton (the “Transaction”), which resulted in the automatic termination of the Fund’s current management and subadvisory agreements. The Fund’s manager and the subadvisers continued to provide uninterrupted services with respect to the Fund pursuant to interim management and subadvisory agreements that were approved by the Fund’s Board of Trustees. The new management and subadvisory agreements each became effective upon receipt of requisite approval of the agreements by shareholders of the Fund at the Special Meeting.

September 28, 2020 | KMF Announces Name Change to Kayne Anderson NextGen Energy & Infrastructure. Kayne Anderson NextGen Energy & Infrastructure, Inc. (KMF) (the “Fund”) announced today that the Fund’s name has been changed from Kayne Anderson Midstream/Energy Fund, Inc. to Kayne Anderson NextGen Energy & Infrastructure, Inc. KMF previously announced its plan to make this change when it provided a strategic update in July 2020. The changes to certain of KMF’s non-fundamental investment policies, which were also announced as part of the strategic update, take effect today as well. The Fund, which is traded on the New York Stock Exchange (“NYSE”), will begin trading under its new name on September 29, 2020. It will continue to trade under the ticker symbol KMF.

September 28, 2020 | Dividend and Income Fund Files to Voluntarily Delist Its Common Shares of Beneficial Interest. Dividend and Income Fund (DNI) (NASDAQ:XDNIX) (the “Fund”) today announced that it has filed a Form 25 with the Securities and Exchange Commission (“SEC”) to voluntarily withdraw its common shares of beneficial interest (“Shares”) listing from the New York Stock Exchange (“NYSE”) to become effective on October 8, 2020, following the close of regular trading on the NYSE. Following the effectiveness of the Form 25 filing, the Fund anticipates that its Shares will be quoted over-the-counter through the OTC Bulletin Board (“OTCBB”), OTC Markets Group (“OTC Markets”), or otherwise to the extent market makers commit to make a market in the Shares, although the Fund has not arranged for quotation of its Shares on any other exchange or quotation medium and can provide no assurance that trading in the Shares will continue. The OTCBB and OTC Markets are electronic networks through which participating broker-dealers can make markets and enter orders to buy and sell shares of issuers. As a result of delisting, the Fund will acquire a new trading symbol which, the Fund understands, will be generated by the Financial Industry Regulatory Authority as part of transitioning to the over-the-counter market. The Fund intends to notify shareholders through a press release or other public announcement of its new trading symbol.

September 21, 2020 | The Putnam Closed-End Funds Renew the Share Repurchase Program. Putnam Investments announced today that the Trustees of the Putnam Funds have authorized the Putnam closed-end funds to renew the current share repurchase program, allowing each Putnam closed-end fund, during the 365-day period beginning October 1, 2020 and ending September 30, 2021, to repurchase at a discount to net asset value up to 10% of its outstanding common shares (based on common shares outstanding as of September 30, 2020) in open market transactions. The Putnam Funds instituted the share repurchase program in 2005. The share repurchase program is intended to enhance shareholder value, as repurchases made at a discount will have the effect of increasing the net asset value per share of the applicable fund’s remaining shares. The Trustees authorized both the share repurchase program and its current renewal in the belief that repurchases of fund shares may at times represent attractive investment opportunities for the funds. The renewal of the share repurchase program applies to each of the Putnam closed-end funds:

Putnam Managed Municipal Income Trust (PMM) Putnam Master Intermediate Income Trust (PIM) Putnam Municipal Opportunities Trust (PMO) Putnam Premier Income Trust (PPT).

Putnam Investments and the Trustees of the Putnam Funds take actions and make recommendations that they believe are in the long-term best interests of fund shareholders. There is no assurance that the funds will repurchase shares at any particular discount levels or in any particular amounts. Under certain conditions, regulatory requirements and other legal considerations may limit a fund’s ability to repurchase shares. Each fund’s repurchase activity will be disclosed in its shareholder reports for the relevant fiscal periods. There is also no assurance that the market price of a fund’s shares, either absolutely or relative to net asset value, will increase as a result of any share repurchases. Some of Putnam’s closed-end funds use leverage, which involves risk and may increase the volatility of the fund’s net asset value.

September 15, 2020 | First Trust Advisors L.P. Announces Share Repurchase Programs for Certain Closed-end Funds. First Trust Advisors L.P. (“FTA”) is pleased to announce that the Board of Trustees of each of First Trust Energy Income and Growth Fund (FEN), First Trust New Opportunities MLP & Energy Fund (FPL), First Trust MLP and Energy Income Fund (FEI) and First Trust Energy Infrastructure Fund (FIF) has authorized a Share Repurchase Program for each Fund. Pursuant to each Fund’s Share Repurchase Program, each Fund may, from time to time and at the direction of management personnel, repurchase up to the amount of shares in each Fund’s Share Repurchase Program described below in secondary market transactions in accordance with applicable law. Each Fund’s Share Repurchase Program will continue until the earlier of (i) the repurchase 5% of each Fund’s outstanding shares or (II) March 15, 2021.

Fund

Number of Shares Available for Repurchase through March 15, 2021

First Trust Energy Income and Growth Fund

1,001,042

First Trust New Opportunities MLP & Energy Fund

1,285,769

First Trust MLP and Energy Income Fund

2,350,362

First Trust Energy Infrastructure Fund

877,512

Each Fund’s repurchase activity will be disclosed in its shareholder report for the relevant fiscal period. There is no assurance that any Fund will purchase shares at any specific levels or in any specific amounts.

August 14, 2020 | Closed-End Funds Advised by Legg Mason Partners Fund Advisor, LLC Announce Election To Opt In to Maryland Control Share Acquisition Act. Each of the Funds announced today that it has elected, by resolution unanimously adopted by the board of directors of the Fund, to be subject to the Maryland Control Share Acquisition Act (the “MCSAA”), effective immediately. The MCSAA protects the interests of all stockholders of a Maryland corporation by providing that any holder of “control shares” acquired in a “control share acquisition” will not be entitled to vote its shares unless the other stockholders of the corporation reinstate those voting rights at a meeting of stockholders by a vote of two-thirds of the votes entitled to be cast on the matter, excluding the “acquiring person” (i.e., the holder or group of holders acting in concert that acquires, or proposes to acquire, “control shares”) and any other holders of “interested shares” as defined in the MCSAA. Generally, “control shares” are shares that, when aggregated with shares already owned by an acquiring person, would entitle the acquiring person to exercise 10% or more, 33 1/3% or more, or a majority of the total voting power of shares entitled to vote in the election of directors. Application of the MCSAA seeks to limit the ability of an acquiring person to achieve a short-term gain at the expense of a Fund’s ability to pursue its investment objective and policies and seek long-term value for the rest of the Fund’s stockholders.

Distribution changes announced this month

These are sorted in ascending order of distribution change percentage. Funds with distribution changes announced this month are included. Any distribution declarations made this week are in bold. I’ve also added monthly/quarterly information as well as yield, coverage (after the boost/cut), discount and 1-year z-score information. I’ve separated the funds into two sub-categories, cutters and boosters.

October distribution changes haven’t been updated in CEFConnect’s database yet. Notably, XFLT (an Income Generator portfolio) holding boosted their distribution by +22%, from $0.06 to $0.073/month.

CEF analysis from around Seeking Alpha…

A1 Investments presents NZF: Why You Should Be Invested In Muni Bonds (Oct. 5)

ADS Analytics presents NCV: Attractive Entry Point For This High-Yielding Multi-Sector CEF (Oct. 5), Generating Alpha With CEF Tender Offers (Oct. 8)

Alpha Gen Capital presents Weekly CEF And Market Commentary: Sept. 28, 2020 (Oct. 8), Failed Rights Offering Doesn’t Change Underlying Strength Of OPP’s Strategy (Oct. 9)

BOOX Research presents RFI: Recent Underperformance Highlights A Cautious Outlook (Oct. 6), Aberdeen Asia-Pacific Income Fund: 8% Yield Supported By World Leading Economic Growth (Oct. 6)

Bridger Research presents HPI: Resilient So Far, But The COVID-19 Pandemic Is Still Here (Oct. 6)

Dan Plettner presents Brandywine Global Income: Tax Efficient Way To Live Off Global Bond Coupons (Oct. 7)

Dividend Seeker presents HYT: If You Must Buy High Yield, Buy It At A Discount (Oct. 7)

Donald R. Chambers presents Business Development Companies: A Primer With 2 Warnings (Oct. 8)

Michael A. Gayed presents BlackRock Utility & Infrastructure Trust: The Right Choice In The Right Sector (Oct. 4), DNP Select Income Fund: Rock Steady (Oct. 10)

*Nick Ackerman presents Closed-End Funds: Watch These 4 Tech Funds As Volatility Increases (Oct. 4), Introductory: Premiums And Discounts Explained (Oct. 7), CII: Tech-Heavy Portfolio Yielding 6.74% (Oct. 9)

Rida Morwa presents PTY: Safest +9% Yield Cash Machine, Paid Monthly (Oct. 3)

*Stanford Chemist presents Closed-End Fund ‘High-High-Low’ Report: September 2020 (Oct. 4), Weekly Closed-End Fund Roundup: September 27, 2020 (Oct. 5), Activists Fail To Secure Concessions From WIA (Oct. 5), DNI: Delisting Imminent(Oct. 5), BWG: Tender Offer Over, But Still A Fine Hold For Volatility Ahead (Oct. 8), Oxford Lane And Eagle Point: A Look At >100% Coverage Ratios (Oct. 8), PGZ: A Contrarian Play On Commercial Real Estate With An 8.8% Yield (Oct. 8)

Tom Roseen presents The Month In Closed-End Funds: September 2020 (Oct. 6)

Trapping Value presents KYN: For Those That Feel The Need For Speed (Oct. 8)

Macro/market section

Fear & Greed Trader presents S&P 500 Weekly Update: Dow Transports And Small Caps Lead This Leg Of The Rally (Oct. 10)

Lance Roberts presents MacroView: More Stimulus And The 2nd Derivative Effect (Oct. 10)

Profitable CEF and ETF income and arbitrage ideas

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Disclosure: I am/we are long OXLC, OCCI, PCI, PDI, XFLT. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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