Herzfeld (NASDAQ: HERZ) reports 37.89% ownership and pre-split stake update

Rhea-AI Filing Summary

Herzfeld Credit Income Fund, Inc. received an updated ownership report from Erik M. Herzfeld and related advisory accounts. The filing states beneficial ownership of 7,381,500 shares of common stock, equal to 37.89% of the 19,483,671 shares outstanding as of December 30, 2025.

The report explains that this amount reflects stock received in the Fund’s December 30, 2025 cash-or-stock distribution of $0.6867 per share, where roughly 20% was paid in cash and about 80% in stock, based on a share price of $2.5799. Mr. Herzfeld received 120,584 shares and advisory clients received 1,141,754 shares through that distribution.

The filing also lists numerous open-market purchases and sales by advisory clients around year-end 2025 and early 2026. It notes that effective February 6, 2026 the Fund executed a 10‑to‑1 reverse stock split, though the reported ownership figures are presented on a pre-split basis for consistency with the prior amendment.

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

SCHEDULE 13D

Under the Securities Exchange Act of 1934

(Amendment No. 26)

Herzfeld Credit Income Fund, Inc.

(Name of Issuer)

Common Stock

(Title of Class of Securities)

42804T106

(CUSIP Number)

Thomas K. Morgan
119 Washington Ave., Suite 504
Miami Beach, FL, 33139
(305) 777-1660

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

01/07/2026

(Date of Event Which Requires Filing of This Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.

The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

SCHEDULE 13D

CUSIP No. 42804T106

1

Name of reporting person

Erik M. Herzfeld, et al.

2

Check the appropriate box if a member of a Group (See Instructions)

(a)
(b)

3

SEC use only

4

Source of funds (See Instructions)

PF, OO

5

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)

6

Citizenship or place of organization

UNITED STATES

Number of Shares Beneficially Owned by Each Reporting Person With:

7	Sole Voting Power 714,113.00
8	Shared Voting Power 6,667,387.00
9	Sole Dispositive Power 714,113.00
10	Shared Dispositive Power 6,667,387.00

11

Aggregate amount beneficially owned by each reporting person

7,381,500.00

12

Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)

13

Percent of class represented by amount in Row (11)

37.89 %

14

Type of Reporting Person (See Instructions)

IN, IA

SCHEDULE 13D

Item 1.	Security and Issuer
(a)	Title of Class of Securities: Common Stock
(b)	Name of Issuer: Herzfeld Credit Income Fund, Inc.
(c)	Address of Issuer's Principal Executive Offices: 119 Washington Ave., Suite 504, Miami Beach, FLORIDA , 33139.
Item 5.	Interest in Securities of the Issuer
(a)	The aggregate number of shares of common stock to which this Schedule 13D relates is 7,381,500 shares representing 37.89% of the 19,483,671 shares outstanding as reported by the issuer as of December 30, 2025. (1) 1. The amount reported represents the actual number of shares, which differs from the estimate reported in a prior amendment to this Schedule 13D (the "Prior Amendment"), received by the reporting person and the Advisory clients in connection with the cash or stock distribution announced on December 30, 2025. The ratio of cash and stock received by the reporting person was based on such person's election as well as elections of other stockholders, subject to the pro-rata limitation. Further, the amount reported reflects additional transactions that have occurred in the Accounts subsequent to the filing of the Prior Amendment. Effective February 6, 2026 at 5:00pm, the issuer effected a 10-to-1 reverse stock split. The number of shares reported on this amendment are reported on a pre-split basis to accord with the Prior Amendment. All future amendments will be reported exclusively on a post-split basis.
(b)	With respect to the shares of common stock owned individually, the Reporting Person beneficially owns with sole power to vote and dispose of 714,113 shares of common stock. With respect to the Accounts, the Reporting Person beneficially owns with shared power to vote and/or dispose of 6,667,387 shares of common stock.
(c)	On December 24, 2025 through open market transactions, the Advisory clients sold 8,308 shares at $2.60. On December 30, 2025 through open market transactions, the Advisory clients sold 42,346 shares at $2.7619. On January 2, 2026 through open market transactions, the Advisory clients sold 11,237 shares at $2.2117. On January 5, 2026 through open market transactions, the Advisory clients sold 38,866 shares at $2.0806. On January 7, 2026 through open market transactions, the Advisory clients sold 22,617 shares at $1.9612. On January 15, 2026, through open market transactions, the Advisory clients sold 777 shares at $1.949. On January 20, 2026, through open market transactions, the Advisory clients sold 1,018 shares at $1.91 and bought 497 shares at $1.918. On January 21, 2026, through open market transactions, the Advisory clients bought 13,040 shares at $1.9794. On January 22, 2026, through open market transactions, the Advisory clients sold 770 shares at $1.94 and bought 18,023 shares at $1.9396. On January 23, 2026, through open market transactions, the Advisory clients bought 13,609 shares at $1.9296. On January 26, 2026, through open market transactions, the Advisory clients bought 13,435 shares at $1.9191. On January 27, 2026, through open market transactions, the Advisory clients bought 4,229 shares at $1.95. On January 28, 2026, through open market transactions, the Advisory clients sold 86,573 shares at $1.9312 and bought 86,573 shares at $1.9309. On January 29, 2026, through open market transactions, the Advisory clients sold 815 shares at $1.92 and bought 14,982 shares at $1.9646. On January 30, 2026, through open market transactions, the Advisory clients bought 7,705 shares at $1.978. On February 2, 2026, through open market transactions, the Advisory clients bought 2,153 shares at $1.938. On February 3, 2026, through open market transactions, the Advisory clients sold 1,384 shares at $1.905. On February 4, 2026, through open market transactions, the Advisory clients sold 8,994 shares at $1.8331. On February 5, 2026, through open market transactions, the Advisory clients sold 8,730 shares at $1.8704. On December 30, 2025, the Fund paid a distribution, in cash and shares of common stock, of $0.6867 per share owned by each stockholder as of the payment date of December 30, 2025 (the "December 2025 Distribution"). The December 2025 Distribution was paid in cash or shares of the Fund's common stock at the election of stockholders with the total amount of cash distributed to all stockholders limited to 20% of the total distribution to be paid, excluding any cash paid for fractional shares. The remainder of the December 2025 Distribution (approx. 80%) was paid in the form of shares of the Fund's common stock. The exact distribution of cash and stock to any given stockholder was dependent upon their election as well as elections of other stockholders, subject to the pro-rata limitation. The price per share used to calculate the number of shares to be issued in lieu of cash was $2.5799, which was determined using the volume weighted average price per share of the Fund on December 12, 15 and 16, 2025. Mr. E. Herzfeld received 120,584 shares of common stock of the Fund in connection with the December 2025 Distribution. The Advisory clients received 1,141,754 shares of common stock of the Fund in connection with the December 2025 Distribution.
(d)	The owner of each of the Accounts individually has the right to receive and the power to direct the receipt of dividends from, or proceeds from the sale of, the shares of common stock. To date no owner of an Account holds more than 5% of the Issuer's common shares.
(e)	Not applicable.

SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Erik M. Herzfeld, et al.

Signature:	/s/ Erik M. Herzfeld
Name/Title:	Erik M. Herzfeld, President
Date:	02/10/2026

FAQ

What ownership stake does Erik M. Herzfeld report in Herzfeld Credit Income Fund (HERZ)?

Erik M. Herzfeld and related advisory accounts report beneficial ownership of 7,381,500 shares of Herzfeld Credit Income Fund common stock, equal to 37.89% of the 19,483,671 shares outstanding as of December 30, 2025, based on issuer information.

How many shares does Erik M. Herzfeld control directly versus through advisory accounts?

The filing states Mr. Herzfeld has sole voting and dispositive power over 714,113 shares. Through advisory client accounts, he has shared voting and/or dispositive power over an additional 6,667,387 shares of Herzfeld Credit Income Fund common stock, together totaling the reported 7,381,500 shares.

What distribution did Herzfeld Credit Income Fund pay on December 30, 2025?

On December 30, 2025, the Fund paid a distribution of $0.6867 per share, partly in cash and partly in stock. Cash was limited to 20% of the total distribution, with the remaining approximately 80% paid in common shares to stockholders electing stock.

How was the share price determined for the December 2025 stock distribution at HERZ?

For stock issued instead of cash in the December 2025 distribution, the Fund used a share price of $2.5799. This was calculated from the volume-weighted average price of the Fund’s shares on December 12, 15 and 16, 2025, as disclosed in the report.

How many distribution shares did Erik M. Herzfeld and his advisory clients receive?

In the December 2025 distribution, Erik M. Herzfeld received 120,584 shares of the Fund’s common stock. Advisory clients received an additional 1,141,754 shares of common stock, with individual allocations depending on each stockholder’s cash versus stock election and applicable pro‑rata limits.

Did Herzfeld Credit Income Fund complete a reverse stock split, and how is it reflected here?

The Fund effected a 10‑to‑1 reverse stock split effective February 6, 2026 at 5:00 p.m.. This amendment reports ownership figures on a pre‑split basis to align with the prior amendment, while stating that all future amendments will use post‑split share counts exclusively.

What recent trading activity by advisory clients in HERZ shares is disclosed?

The filing lists numerous open‑market trades by advisory clients from December 24, 2025 through February 5, 2026, including multiple sales and purchases in the roughly $1.83–$2.76 price range. Each transaction’s date, share amount, and average price per share are specified in detail.