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Michael Willman

 
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  • High Conviction: 2 Undervalued CEFs With Hedge Fund Fee Structures [View article]
    Dan and Patrick,

    I too love the back and forth banter and love the CEF space. Thanks for your comments.

    Mike
    Apr 8 03:11 PM | Likes Like |Link to Comment
  • High Conviction: 2 Undervalued CEFs With Hedge Fund Fee Structures [View article]
    I disagree. I don't think the change in dividend policy is causing the fund to trade at a discount. The discount widened before this announcement. Also, no one really invests in a small cap fund for the dividends.
    Apr 7 06:37 PM | Likes Like |Link to Comment
  • High Conviction: 2 Undervalued CEFs With Hedge Fund Fee Structures [View article]
    The CEF space, particularly fund discounts and premiums, can be a mystery. Nearly all investors in CEFs are retail investors. If these investors tend to feel good about the market, a particular market segment and/or fund manager, the fund may trade at a premium. On the other hand if feelings are negative, funds can trade at discounts.

    As I mentioned in the article, I focus on well managed funds that have historically traded near NAV that currently trade at a discount. If the discount never closes, you still own two funds run by a top tier small/micro-cap manager that have outperformed their benchmarks over time.

    There is nothing in the fee structure or NAV calculation methodology that would cause the fund to trade at a discount.
    Apr 7 03:18 PM | Likes Like |Link to Comment
  • High Conviction: 2 Undervalued CEFs With Hedge Fund Fee Structures [View article]
    The "hedge fund fee structure" means the fund has a performance fee in place similar to the way hedge fund managers are paid for performance. The fund does not have a 2% and 20% fee structure, nor does any closed end fund.
    Apr 7 03:03 PM | Likes Like |Link to Comment
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