I still wouldn’t buy shares in this fund because its expense ratio is very high, and its long-term performance has not been impressive. But it is a good sign that the management of Equus II was willing to distribute this much cash to shareholders so quickly following the sale of one of their holdings.
When a fund is trading near a 25% discount, it is difficult to deliver returns that would be better than just returning money to shareholders. The management of Equus II should continue to do this at every opportunity they get.
EQS 1-yr chart:
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