Welcome to our dedicated page for Herzfeld Caribbean Basin Fund news (Ticker: CUBA), a resource for investors and traders seeking the latest updates and insights on Herzfeld Caribbean Basin Fund stock.
Herzfeld Caribbean Basin Fund Inc. (NASDAQ: CUBA) is a closed-end management investment company dedicated to providing long-term capital appreciation to its investors. The Fund seeks to achieve this by investing in equity and equity-linked securities of public and private companies, with a particular focus on those based in the United States and the Caribbean Basin. The investment portfolio includes companies operating across various sectors, ensuring a diversified and balanced approach.
Managed by Thomas J. Herzfeld Advisors, Inc., a firm established in 1984 and known for its expertise in closed-end funds and Caribbean Basin investments, the Fund offers customized discretionary account management and fund management services to both individual and institutional investors. The Herzfeld/CUBA division within the advisor firm is specifically tasked with the oversight and strategic direction of the Fund.
The Fund's revenue is primarily generated through dividends received from its investments. The geographic allocation of the Fund's investments spans the United States, Puerto Rico, Mexico, and other Caribbean Basin countries, optimizing regional opportunities and risks.
Recent developments include the implementation of a quarterly distribution policy, allowing stockholders to receive their dividends in cash or additional shares of common stock. This policy aims to enhance the Fund's balance sheet and prepare for future investment opportunities. Important dates related to this policy, such as the expiration date of the Rights Offer and deadlines for election forms, are clearly communicated to stockholders to ensure transparency and informed decision-making.
The Fund's announcements often include updates on self-tender policies, dividend reinvestment plans, and management fee waivers, reflecting a proactive approach to maximizing stockholder value and adapting to market conditions. The Board of Directors regularly reviews the distribution policy to ensure it aligns with the best interests of the Fund and its stockholders, with the flexibility to amend, suspend, or terminate the policy as needed.
Herzfeld Caribbean Basin Fund Inc. emphasizes transparency and compliance with regulatory standards, providing detailed information on the composition of distributions and expected tax implications. Stockholders are encouraged to consult their tax advisors for appropriate tax treatment of distributions.
Investors considering the Fund should be aware of risks including market volatility, political and economic changes in the Caribbean Basin, and other factors that may impact the Fund's performance. The Fund's shares may trade at a discount from their net asset value, and investments are subject to market risks. Prospective investors are advised to thoroughly review the Fund's disclosure documents and consult with financial advisors before making investment decisions.
The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA) has paid its quarterly distribution of $0.135375 per share on July 15, 2024. The distribution was made under the Fund's Managed Distribution Policy, with 20% paid in cash and 80% in stock. Stockholders who didn't elect a preference received about 0.058 shares for each share owned. The Fund's primary goal is to provide a fixed minimum distribution rate each quarter, currently set at an annual rate of 15% of the Fund's NAV.
The distribution included $0.119929 (88.59%) from net realized long-term capital gains and $0.015446 (11.41%) as return of capital. The Fund's 5-year average annual total return is -3.70%, with a current annualized distribution rate of 17.47% of NAV. The Board has flexibility to adjust distribution timing to account for year-end regulatory capital gains distributions.
The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA) announced a corrected schedule for its upcoming distribution in stock and cash. The revised Ex-Date is 06/03/2024. The distribution will be paid on 07/15/2024, with a per-share amount of $0.135375. Stockholders may choose to receive their distribution in cash or stock, with the total cash portion to 20%. The rest will be distributed as common stock. The average stock price on June 27, 28, and July 1, 2024, will determine the number of shares issued. This distribution aims to strengthen the Fund's balance sheet and capitalize on future investment opportunities. The distribution includes a return of capital, meaning part of the stockholder's original investment is paid back. The Fund's policy ensures a 15% annual rate of distribution, reviewed quarterly. The policy may be amended or terminated, impacting the market price of the Fund's shares. The current distribution is solely from capital returns and not investment income or capital gains.
The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA) has announced a distribution combining shares of common stock and cash, per their managed distribution policy. Stockholders will receive $0.135375 per share, with 80% of the distribution in stock and 20% in cash. Key dates include the declaration date on May 23, 2024, ex-date on May 31, 2024, record date on June 3, 2024, and payment date on July 15, 2024. Stockholders must elect their preferred form of distribution by July 1, 2024, or default to receiving the distribution in stock. The Fund anticipates these distributions will likely include returns of capital, which may reduce the Fund's total assets and increase its expense ratio. The Policy has been extended through June 30, 2025, with potential adjustments by the Board. Capital gains as of May 15, 2024, stand at approximately $3.6 million.
The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA) is celebrating its 30th year on NASDAQ, emphasizing Cuba's economic potential. The Fund extends its Managed Distribution Plan (MDP) and Self-Tender Policy to June 30, 2025. The MDP aims to provide a 15% annual distribution rate, allowing adjustments for regulatory compliance. Capital gains are about $3.6 million as of May 15, 2024. The Fund anticipates that distributions will likely include returns of capital, which could increase the expense ratio and necessitate untimely securities sales. The Self-Tender Policy will initiate a tender offer by October 31, 2024, if the average discount exceeds 10%, repurchasing up to 5% of shares at 97.5% of NAV. Additionally, HERZFELD/CUBA extends a management fee waiver, reducing fees by ten basis points, with further reductions for assets over $30 million.
The Herzfeld Caribbean Basin Fund, Inc. (NASDAQ: CUBA) has announced a quarterly distribution under its Managed Distribution Plan. Stockholders received a distribution of $0.135375 per share on May 10, 2024, with 80% paid in shares and 20% in cash. The distribution totaled $437,354.93 in cash and 680,934 shares. The Fund aims to provide a consistent distribution each quarter, subject to market price fluctuations. Stockholders can receive distributions in cash, stock, or a combination of both.
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