Welcome to our dedicated page for Herzfeld Caribbean Basin news (Ticker: CUBA), a resource for investors and traders seeking the latest updates and insights on Herzfeld Caribbean Basin stock.
The news feed for The Herzfeld Caribbean Basin Fund, Inc. (NASDAQ: CUBA) provides detailed updates on the fund’s strategic transition and ongoing distribution activity. Recent press releases describe stockholder approval of a conversion from the fund’s prior investment strategy to a CLO Equity Strategy, with a primary objective of total return and a secondary objective of generating high current income. News items also cover the planned change of the fund’s name to Herzfeld Credit Income Fund, Inc. and its continuation on NASDAQ under the ticker symbol HERZ.
Investors following CUBA-related news can review announcements about the fund’s focus on investing in equity and junior debt tranches of collateralized loan obligations (CLOs), which are portfolios of below investment grade U.S. senior secured loans across many borrowers and sectors. Coverage includes results of the special meeting of stockholders, details of proposals affecting the investment advisory agreement with Thomas J. Herzfeld Advisors, Inc., and amendments to fundamental policies under the Investment Company Act of 1940.
News releases also highlight the fund’s Managed Distribution Policy, including cash and stock distributions, the composition of distributions among net investment income, capital gains, and return of capital, and the Board’s decisions on timing and structure of payouts. Additional items report on changes to the Dividend Reinvestment Plan, such as allowing new share issuance regardless of premium or discount to net asset value and setting the pricing formula for reinvested distributions.
By reviewing this news stream, readers can track key developments in the fund’s strategy shift toward CLO investments, Board and governance decisions, and the mechanics of its managed distributions and reinvestment programs.
The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA) announced a quarterly distribution of $0.15525 per share, as part of its Managed Distribution Policy (MDP). This distribution equates to 4.46% based on the market price and 3.75% on the net asset value as of March 31, 2020. The MDP aims to provide stockholders with consistent quarterly distributions, although future amounts may vary. The Fund's annualized distribution rate is approximately 15.64%. The MDP may involve returns of capital, which can impact total assets and expenses.
Thomas J. Herzfeld Advisors, Inc. announced updates on its Managed Distribution Plan and the suspension of its Self-Tender Policy for The Herzfeld Caribbean Basin Fund (NASDAQ: CUBA). The Fund's revised distribution will be 15% of its net asset value (NAV) as of March 31, 2020, expected at $0.15525 per quarter. This change comes in response to the impacts of the COVID-19 pandemic on share prices. The suspension of the Self-Tender Policy, initiated in May 2019, will be reviewed in the future. Investors should note that distributions may include a return of capital, which could affect total assets.