Recent CEF Research
Searching for CEF Aristocrats Looks at closed end funds from the perspective of a dividend growth investor. Doesn’t find many funds that meet the consistently growing dividends criterion. However, there is potential to achieve growth by finding a consistent dividend payer, then regularly reinvesting those dividends. A Fund For A Global Recovery Interesting analysis at […]
Bulldog Investors in 2017Q3
Bulldog Investors was the most active CEF activist fund in 2017Q3. Here are the most recently launched campaigns:
Turkish Investment Fund (6.75%)
Bulldog filed an initial 13D on August 7, and continued adding to the stake.
On August 7, 2017, the Fund announced that a proposal by management to liquidate it failed to achieve the requisite shareholder vote. The filing persons have had a discussion (and may have additional discussions) with management about the need to provide a liquidity event and about the future of the Fund.
Aberdeen Chile Fund (13.51%)
Bulldog filed an initial 13D on August 14. The purpose of the transaction is left open ended in the filing:
The filing persons believe the stock is undervalued and may communicate with management regarding measures to enhance shareholder value.
Clough Global Equity Fund (4.99%)
Bulldog filed an initial 13D on July 11, announcing a standstill agreement that they reached with the fund on July 10. The fund has agreed to a tender offer for 37.5% of outstanding shares.
Bulldog has sold down its stake from 6.34% at the time of initial filing, down to 4.99% as of August 11.
Closed End Funds vs. Business Development Companies
With Financial Times coverage of closed end interval funds, and the recent growth in credit focused closed end funds, its a good time to compare the business development company structure to the closed end fund structure.
The chart below compares the two structures:
Tracking Closed End Fund Activism
Closed End Fund Tracker exists to improve transparency in the closed end fund marketplace. We’ve launched coverage of activist campaigns, including:
- Links to the latest 13D, along with all historical filings of the activist investor and for the target fund.
- Summary of Item 4. Reason for transaction, explaining the activist’s plans/suggestions.
- % ownership of 13D filer
- Ability to sort by, fund, investor, percentage ownership or date of latest filing.