(a)
|
|
Net asset value returns
|
1 year
|
5 years
|
10 years
|
Special Opportunities Fund, Inc.
|
24.15%
|
9.31%
|
7.18%
|
Market price returns
|
|||
Special Opportunities Fund, Inc.
|
27.81%
|
9.47%
|
7.43%
|
Index returns
|
|||
S&P 500® Index
|
24.56%
|
15.05%
|
12.86%
|
Share price as of 6/30/2024
|
|||
Net asset value
|
$15.53
|
||
Market price
|
$13.08
|
Value
|
Percent
|
||||||
Investment Companies
|
$
|
149,757,235
|
67.07
|
%
|
|||
Special Purpose Acquisition Vehicles
|
36,233,892
|
16.23
|
%
|
||||
Money Market Funds
|
14,645,576
|
6.56
|
%
|
||||
Other Common Stocks
|
13,470,084
|
6.03
|
%
|
||||
Real Estate Investment Trusts
|
3,934,489
|
1.76
|
%
|
||||
Unsecured Notes
|
2,343,597
|
1.05
|
%
|
||||
Trusts
|
1,524,260
|
0.68
|
%
|
||||
Corporate Obligations
|
954,818
|
0.43
|
%
|
||||
Preferred Stocks
|
345,936
|
0.16
|
%
|
||||
Warrants
|
51,507
|
0.02
|
%
|
||||
Rights
|
16,243
|
0.01
|
%
|
||||
Total Investments
|
$
|
223,277,637
|
100.00
|
%
|
(1)
|
As a percentage of total investments.
|
% of Total
|
|||
Country
|
Investments
|
||
United States
|
91.09
|
%
|
|
Cayman Islands
|
2.31
|
%
|
|
Australia
|
2.16
|
%
|
|
China
|
1.45
|
%
|
|
Hong Kong
|
0.99
|
%
|
|
Guernsey
|
0.95
|
%
|
|
Singapore
|
0.62
|
%
|
|
Ireland
|
0.43
|
%
|
|
100.00
|
%
|
Shares
|
Value
|
|||||||
INVESTMENT COMPANIES—89.81%
|
||||||||
Closed-End Funds—77.73%
|
||||||||
AllianceBernstein National Municipal Income Fund, Inc.
|
273,326
|
$
|
3,036,652
|
|||||
Bancroft Fund Ltd.
|
22,345
|
350,146
|
||||||
BlackRock California Municipal Income Trust
|
57,423
|
687,353
|
||||||
BlackRock Municipal Income Fund, Inc.
|
115,899
|
1,430,193
|
||||||
BNY Mellon Alcentra Global Credit Income 2024 Target Term Fund, Inc.
|
54,458
|
481,953
|
||||||
BNY Mellon Municipal Income, Inc.
|
621,787
|
4,470,649
|
||||||
BNY Mellon Strategic Municipal Bond Fund, Inc.
|
474,121
|
2,816,279
|
||||||
Central and Eastern Europe Fund, Inc.
|
188,883
|
2,013,493
|
||||||
Central Securities Corp.
|
219,394
|
9,657,724
|
||||||
ClearBridge Energy Midstream Opportunity Fund, Inc.
|
14,534
|
599,092
|
||||||
ClearBridge MLP & Midstream Total Return Fund, Inc.
|
5,344
|
217,394
|
||||||
Destra Multi-Alternative Fund
|
226,142
|
1,824,966
|
||||||
Bexil Investment Trust
|
350,673
|
4,400,946
|
||||||
DWS Municipal Income Trust
|
612,979
|
5,804,911
|
||||||
DWS Strategic Municipal Income Trust
|
322,797
|
3,182,778
|
||||||
Eaton Vance New York Municipal Bond Fund
|
399,295
|
3,937,049
|
||||||
Ellsworth Growth and Income Fund Ltd.
|
83,179
|
685,395
|
||||||
Gabelli Dividend & Income Trust
|
133,595
|
3,033,942
|
||||||
General American Investors Co., Inc.
|
324,541
|
16,136,179
|
||||||
Herzfeld Caribbean Basin Fund, Inc.
|
20,443
|
48,041
|
||||||
High Income Securities Fund
|
242,733
|
1,696,704
|
||||||
Highland Opportunities and Income Fund
|
310,059
|
1,937,869
|
||||||
Invesco High Income 2024 Target Term Fund
|
210,539
|
1,543,251
|
||||||
Magellan Global Fund/Close Class
|
3,182,844
|
4,798,588
|
||||||
Mexico Equity & Income Fund, Inc.
|
100,100
|
960,960
|
||||||
MFS High Yield Municipal Trust
|
764,782
|
2,623,202
|
||||||
MFS Investment Grade Municipal Trust
|
245,919
|
1,942,760
|
||||||
Miller/Howard High Dividend Fund
|
132,868
|
1,489,450
|
||||||
Morgan Stanley Emerging Markets Domestic Debt Fund, Inc.
|
162,390
|
740,498
|
||||||
Neuberger Berman Municipal Fund, Inc.
|
278,884
|
2,978,481
|
||||||
Neuberger Berman Next Generation Connectivity Fund, Inc.
|
436,931
|
5,640,779
|
||||||
New America High Income Fund, Inc.
|
198,535
|
1,455,262
|
||||||
Nuveen Multi-Asset Income Fund
|
12,779
|
157,821
|
||||||
Nuveen Preferred & Income Term Fund
|
85,424
|
1,661,497
|
||||||
Pershing Square Holdings Ltd. Fund
|
30,000
|
1,585,933
|
Shares
|
Value
|
|||||||
INVESTMENT COMPANIES—(continued)
|
||||||||
Closed-End Funds—(continued)
|
||||||||
Pershing Square Holdings Ltd. Fund
|
10,000
|
$
|
524,800
|
|||||
PGIM Short Duration High Yield Opportunities Fund
|
20,310
|
311,352
|
||||||
Platinum Asia Investments Ltd. (a)
|
24,235
|
14,874
|
||||||
Principal Real Estate Income Fund
|
201,915
|
2,061,552
|
||||||
Saba Capital Income & Opportunities Fund
|
237,096
|
1,669,156
|
||||||
SRH Total Return Fund, Inc.
|
1,116,522
|
16,245,395
|
||||||
Taiwan Fund, Inc.
|
57,019
|
2,505,415
|
||||||
The Swiss Helvetia Fund, Inc.
|
236,992
|
1,912,525
|
||||||
Tortoise Energy Independence Fund, Inc.
|
49,741
|
1,800,127
|
||||||
Tortoise Power and Energy Infrastructure Fund, Inc.
|
175,844
|
2,776,577
|
||||||
Virtus Convertible & Income 2024 Target Term Fund
|
161,186
|
1,452,608
|
||||||
Virtus Total Return Fund, Inc.
|
388,231
|
2,117,800
|
||||||
Western Asset Intermediate Muni Fund, Inc.
|
24,397
|
191,760
|
||||||
129,612,131
|
||||||||
Business Development Companies—12.08%
|
||||||||
CION Investment Corp.
|
899,218
|
10,898,522
|
||||||
FS KKR Capital Corp.
|
171,024
|
3,374,304
|
||||||
Logan Ridge Finance Corp.
|
81,161
|
1,818,006
|
||||||
Portman Ridge Finance Corp.
|
93,672
|
1,837,845
|
||||||
Runway Growth Finance Corp.
|
145,403
|
1,709,940
|
||||||
SuRo Capital Corp. (a)
|
126,306
|
506,487
|
||||||
20,145,104
|
||||||||
Total Investment Companies (Cost $126,178,031)
|
149,757,235
|
|||||||
Shares/Units
|
||||||||
SPECIAL PURPOSE ACQUISITION VEHICLES—21.73%
|
||||||||
99 Acquisition Group, Inc. (a)
|
154,727
|
1,624,850
|
||||||
Agriculture & Natural Solutions Acquisition Corp. (a)
|
25,000
|
256,000
|
||||||
Ai Transportation Acquisition Corp. (a)
|
57,331
|
593,565
|
||||||
AP Acquisition Corp. (a)(c)
|
193,647
|
2,217,258
|
||||||
Ares Acquisition Corp. II (a)
|
161,985
|
1,728,380
|
||||||
Cartesian Growth Corp. II (a)
|
35,068
|
395,392
|
||||||
Centurion Acquisition Corp. (a)
|
156,250
|
1,560,937
|
Shares/Units
|
Value
|
|||||||
SPECIAL PURPOSE ACQUISITION VEHICLES—(continued)
|
||||||||
Chenghe Acquisition II Co. (a)
|
139,331
|
$
|
1,394,703
|
|||||
Churchill Capital Corp. IX (a)
|
4,032
|
40,763
|
||||||
Colombier Acquisition Corp. II (a)
|
61,998
|
637,029
|
||||||
EVe Mobility Acquisition Corp. (a)
|
34,200
|
379,962
|
||||||
Flag Ship Acquisition Corp. (a)
|
137,500
|
1,376,375
|
||||||
Global Lights Acquisition Corp. (a)
|
314,976
|
3,245,828
|
||||||
Graf Global Corp. (a)
|
184,789
|
1,848,038
|
||||||
Haymaker Acquisition Corp. 4 (a)
|
179,631
|
1,887,922
|
||||||
IB Acquisition Corp. (a)
|
214,860
|
2,142,154
|
||||||
Inflection Point Acquisition Corp. II (a)
|
326,335
|
3,459,151
|
||||||
Keen Vision Acquisition Corp. (a)
|
47,067
|
498,016
|
||||||
Lionheart Holdings (a)
|
323,525
|
3,231,077
|
||||||
Melar Acquisition Corp. I (a)
|
75,000
|
750,000
|
||||||
Nabors Energy Transition Corp. II (a)
|
31,658
|
333,359
|
||||||
Quetta Acquisition Corp. (a)
|
167,742
|
1,736,130
|
||||||
Spring Valley Acquisition Corp. II (a)
|
82,000
|
911,840
|
||||||
TG Venture Acquisition Corp. (a)(c)
|
309,207
|
3,342,528
|
||||||
Trailblazer Merger Corp. I (a)
|
59,479
|
642,635
|
||||||
Total Special Purpose Acquisition Vehicles (Cost $35,579,249)
|
36,233,892
|
|||||||
Shares
|
||||||||
PREFERRED STOCKS—0.21%
|
||||||||
Diversified REITs—0.20%
|
||||||||
NexPoint Diversified Real Estate Trust (a)
|
22,324
|
327,047
|
||||||
Office REITs—0.01%
|
||||||||
Brookfield DTLA Fund Office Trust Investor, Inc. (a)
|
171,723
|
18,889
|
||||||
Total Preferred Stocks (Cost $4,932,717)
|
345,936
|
|||||||
OTHER COMMON STOCKS—8.08%
|
||||||||
Broadline Retail—0.58%
|
||||||||
Macy’s, Inc.
|
50,000
|
960,000
|
||||||
Financial Services—2.41%
|
||||||||
Cannae Holdings, Inc.
|
221,441
|
4,016,940
|
||||||
Food Products—0.25%
|
||||||||
Limoneira Co.
|
20,000
|
416,200
|
Shares
|
Value
|
|||||||
OTHER COMMON STOCKS—(continued)
|
||||||||
Oil, Gas & Consumable Fuels—4.36%
|
||||||||
Texas Pacific Land Corp.
|
9,900
|
$
|
7,269,273
|
|||||
Personal Care Products—0.00%
|
||||||||
Big Tree Cloud Holdings Ltd.—ADR (a)
|
2,300
|
3,887
|
||||||
Real Estate Management & Development—0.48%
|
||||||||
Howard Hughes Holdings, Inc. (a)
|
12,000
|
777,840
|
||||||
Trinity Place Holdings, Inc. (a)
|
221,748
|
25,944
|
||||||
803,784
|
||||||||
Total Other Common Stocks (Cost $11,252,782)
|
13,470,084
|
|||||||
TRUSTS—0.91%
|
||||||||
BlackRock Innovation and Growth Term Trust
|
12,462
|
90,100
|
||||||
Copper Property CTL Pass Through Trust
|
157,427
|
1,434,160
|
||||||
Lamington Road Grantor Trust (a)(c)
|
320,690
|
0
|
||||||
Total Trusts (Cost $1,912,627)
|
1,524,260
|
|||||||
REAL ESTATE INVESTMENT TRUSTS—2.36%
|
||||||||
Equity Commonwealth (a)
|
150,000
|
2,910,000
|
||||||
NexPoint Diversified Real Estate Trust
|
185,260
|
1,024,489
|
||||||
Total Real Estate Investment Trusts (Cost $5,210,150)
|
3,934,489
|
|||||||
Principal
|
||||||||
Amount
|
||||||||
CORPORATE OBLIGATIONS—0.57%
|
||||||||
Lamington Road DAC (b)(c)
|
||||||||
8.000%, 2121-04-0%(a)(c)
|
$
|
17,891,840
|
715,673
|
|||||
14.000%, 2121-04-0%(a)(c)
|
1,804,866
|
239,145
|
||||||
Total Corporate Obligations (Cost $6,976,095)
|
954,818
|
|||||||
UNSECURED NOTES—1.40%
|
||||||||
Legacy IMBDS, Inc. (c)
|
||||||||
8.500%, 09/30/2026
|
23,458
|
0
|
||||||
Sachem Capital Corp. (a)
|
||||||||
7.750%, 09/30/2025
|
78,092
|
1,915,597
|
||||||
6.000%, 03/30/2027
|
20,000
|
428,000
|
||||||
Total Unsecured Notes (Cost $2,999,704)
|
2,343,597
|
Shares
|
Value
|
|||||||
WARRANTS—0.03%
|
||||||||
Agriculture & Natural Solutions Acquisition Corp.
|
||||||||
Expiration: December 2028
|
||||||||
Exercise Price: $11.50 (a)
|
12,500
|
$
|
2,001
|
|||||
Big Tree Cloud Holdings Ltd.
|
||||||||
Expiration: June 2029
|
||||||||
Exercise Price: $11.50 (a)
|
101,969
|
5,150
|
||||||
Blockchain Coinvestors Acquisition Corp. I
|
||||||||
Expiration: November 2028
|
||||||||
Exercise Price: $11.50 (a)
|
32,500
|
1,943
|
||||||
Cactus Acquisition Corp. 1 Ltd.
|
||||||||
Expiration: October 2026
|
||||||||
Exercise Price: $11.50 (a)
|
40,700
|
2,218
|
||||||
Cartesian Growth Corp. II
|
||||||||
Expiration: July 2028
|
||||||||
Exercise Price: $11.50 (a)
|
21,986
|
2,221
|
||||||
Churchill Capital Corp. VII
|
||||||||
Expiration: February 2028
|
||||||||
Exercise Price: $11.50 (a)
|
24,984
|
8,744
|
||||||
Colombier Acquisition Corp. II
|
||||||||
Expiration: December 2028
|
||||||||
Exercise Price: $11.50 (a)
|
20,666
|
6,200
|
||||||
Corner Growth Acquisition Corp.
|
||||||||
Expiration: December 2027
|
||||||||
Exercise Price: $11.50 (a)(c)
|
33,333
|
7,000
|
||||||
Corner Growth Acquisition Corp. 2
|
||||||||
Expiration: June 2026
|
||||||||
Exercise Price: $11.50 (a)
|
14,366
|
431
|
||||||
HWH INTL INC WT EXP
|
||||||||
Expiration: January 2027
|
||||||||
Exercise Price: $1.00 (a)(c)(e)
|
23,750
|
0
|
||||||
iCoreConnect, Inc.
|
||||||||
Expiration: May 2028
|
||||||||
Exercise Price: $11.50 (a)
|
150,000
|
165
|
||||||
Investcorp Europe Acquisition Corp. I
|
||||||||
Expiration: November 2028
|
||||||||
Exercise Price: $11.50 (a)
|
150,000
|
10,875
|
||||||
Lamington Road
|
||||||||
Expiration: July 2025
|
||||||||
Exercise Price: $0.20 (a)(c)(e)
|
640,000
|
0
|
Shares
|
Value
|
|||||||
WARRANTS—(continued)
|
||||||||
TG Venture Acquisition Corp.
|
||||||||
Expiration: August 2028
|
||||||||
Exercise Price: $11.50 (a)(c)(e)
|
100,000
|
$
|
0
|
|||||
VSee Health, Inc.
|
||||||||
Expiration: August 2028
|
||||||||
Exercise Price: $11.50 (a)
|
8,700
|
1,883
|
||||||
Zapata Computing Holdings, Inc.
|
||||||||
Expiration: August 2028
|
||||||||
Exercise Price: $11.50 (a)
|
72,334
|
2,676
|
||||||
ZyVersa Therapeutics, Inc.
|
||||||||
Expiration: December 2027
|
||||||||
Exercise Price: $11.50 (a)(c)(e)
|
65,250
|
0
|
||||||
Total Warrants (Cost $246,495)
|
51,507
|
|||||||
RIGHTS—0.01%
|
||||||||
IB Acquisition Corp. (Expiration: September 28, 2025) (a)
|
214,860
|
16,243
|
||||||
Total Rights (Cost $16,090)
|
16,243
|
|||||||
MONEY MARKET FUNDS—8.78%
|
||||||||
Fidelity Institutional Government Portfolio—Class I, 5.213% (d)
|
7,322,788
|
7,322,788
|
||||||
Invesco Treasury Portfolio—Institutional Class, 5.216% (d)
|
5,690,591
|
7,322,788
|
||||||
Total Money Market Funds (Cost $14,645,576)
|
14,645,576
|
|||||||
Total Investments (Cost $213,205,379)—133.89%
|
223,277,637
|
|||||||
Liabilities in Excess of Other Assets—(0.14)%
|
(240,078
|
)
|
||||||
Preferred Stock—(33.75)%
|
(56,280,725
|
)
|
||||||
TOTAL NET ASSETS—100.00%
|
$
|
166,756,834
|
(a)
|
Non-income producing security.
|
(b)
|
The coupon rate shown represents the rate at June 30, 2024.
|
(c)
|
Fair valued securities. The total market value of these securities was $6,521,604, representing 3.91% of net assets. Value determined using significant unobservable inputs.
|
(d)
|
The rate shown represents the seven-day yield at June 30, 2024.
|
(e)
|
Illiquid securities. The total market value of these securities was $0, representing 0.00% of net assets.
|
Assets:
|
||||
Investments, at value (Cost $209,949,516)
|
$
|
223,277,637
|
||
Cash
|
385,605
|
|||
Receivables:
|
||||
Investments sold
|
368,722
|
|||
Dividends and interest
|
413,520
|
|||
Other assets
|
24,240
|
|||
Total assets
|
224,469,724
|
|||
Liabilities:
|
||||
Due to custody
|
—
|
|||
Payables:
|
||||
Investments purchased
|
190,061
|
|||
Payable for shares redeemed
|
717,558
|
|||
Advisory fees
|
181,859
|
|||
Administration fees
|
16,025
|
|||
Chief Compliance Officer fees
|
6,125
|
|||
Director fees
|
59,134
|
|||
Fund accounting fees
|
651
|
|||
Custody fees
|
5,444
|
|||
Transfer Agent fees
|
7,231
|
|||
Legal fees
|
4,283
|
|||
Audit fees
|
22,569
|
|||
Reports and notices to shareholders
|
22,179
|
|||
Accrued expenses and other liabilities
|
10,240
|
|||
Total liabilities
|
1,243,359
|
|||
Preferred Stock:
|
||||
% Convertible Preferred Stock—$0.001 par value, liquidation value per share; |
||||
|
||||
Total preferred stock
|
56,086,400
|
|||
Net assets applicable to common shareholders
|
$
|
167,139,965
|
||
Net assets applicable to common shareholders:
|
||||
—$0.001 par value per common share; shares authorized; |
||||
10,753,236 shares issued and outstanding,
shares held in treasury |
$
|
397,849,386
|
||
Cost of shares held in treasury
|
(248,420,167
|
)
|
||
Total distributable earnings (deficit)
|
17,710,746
|
|||
Net assets applicable to common shareholders
|
$
|
167,139,965
|
||
Net asset value per common share ($167,139,965 applicable to
|
||||
|
$
|
|
For the six months
|
||||
ended June 30, 2024
|
||||
(unaudited)
|
||||
Investment income:
|
||||
Dividends
|
$
|
4,966,499
|
||
Interest
|
335,194
|
|||
Total investment income
|
5,301,693
|
|||
Expenses:
|
||||
Investment advisory fees
|
1,080,104
|
|||
Directors’ fees and expenses
|
126,735
|
|||
Administration fees and expenses
|
95,559
|
|||
Compliance fees and expenses
|
35,540
|
|||
Legal fees and expenses
|
27,450
|
|||
Transfer agency fees and expenses
|
24,027
|
|||
Reports and notices to shareholders
|
23,238
|
|||
Audit fees and expenses
|
22,569
|
|||
Other expenses
|
19,620
|
|||
Custody fees and expenses
|
16,883
|
|||
Insurance fees and expenses
|
16,413
|
|||
Stock exchange listing fees
|
15,804
|
|||
Accounting fees and expenses
|
1,817
|
|||
Net expenses
|
1,505,759
|
|||
Net investment income
|
3,795,934
|
|||
Net realized and unrealized gains (losses) from investment activities:
|
||||
Net realized gain (loss) from:
|
||||
Investments
|
8,860,983
|
|||
Foreign currency translations
|
(4,650
|
)
|
||
Distributions received from investment companies
|
26,327
|
|||
Net realized loss
|
8,882,660
|
|||
Change in net unrealized appreciation (depreciation) on:
|
||||
Investments
|
7,162,112
|
|||
Foreign currency translations
|
(8,730
|
)
|
||
Net realized and unrealized gains from investment activities
|
16,036,042
|
|||
Discount on redemption and repurchase of preferred shares
|
21,643
|
|||
Increase in net assets resulting from operations
|
19,853,619
|
|||
Distributions to preferred stockholders
|
(771,919
|
)
|
||
Net increase in net assets applicable to common shareholders resulting from operations
|
$
|
19,081,700
|
For the six months
|
||||
ended June 30, 2024
|
||||
(unaudited)
|
||||
Cash flows from operating activities:
|
||||
Net increase in net assets
|
$
|
19,853,619
|
||
Adjustments to reconcile net increase in net assets applicable to common
|
||||
shareholders resulting from operations to net cash provided by operating activities:
|
||||
Purchases of investments
|
(61,413,616
|
)
|
||
Proceeds from sales of investments
|
71,789,441
|
|||
Net purchases and sales of short-term investments
|
(3,264,395
|
)
|
||
Return of capital distributions received from underlying investments
|
47,602
|
|||
Accretion of discount
|
(1,422
|
)
|
||
Decrease in dividends and interest receivable
|
1,174,386
|
|||
Decrease in receivable for investments sold
|
369,325
|
|||
Increase in other assets
|
1,612
|
|||
Due to custody
|
—
|
|||
Increase in payable for investments purchased
|
(1,298,749
|
)
|
||
Decrease in payable to Adviser
|
1,602
|
|||
Increase in accrued expenses and other liabilities
|
742,740
|
|||
Net distributions received from investment companies
|
26,327
|
|||
Net realized loss from investments
|
(8,871,217
|
)
|
||
Litigation and other proceeds
|
—
|
|||
Discount on redemption and repurchase of preferred shares
|
(21,643
|
)
|
||
Net change in unrealized appreciation of investments
|
(7,162,097
|
)
|
||
Net cash used in operating activities
|
10,847,416
|
|||
Cash flows from financing activities:
|
||||
Distributions paid to common shareholders
|
(6,230,153
|
)
|
||
Distributions paid to preferred shareholders
|
(771,919
|
)
|
||
Repurchase of common stock
|
(3,211,951
|
)
|
||
Repurchase of preferred stock
|
(277,525
|
)
|
||
Net cash provided by financing activities
|
(10,491,548
|
)
|
||
Net change in cash
|
$
|
355,868
|
||
Cash:
|
||||
Beginning of period
|
8,094
|
|||
End of period
|
$
|
385,605
|
For the
|
||||||||
six months ended
|
For the
|
|||||||
June 30, 2024
|
year ended
|
|||||||
(unaudited)
|
December 31, 2023
|
|||||||
From operations:
|
||||||||
Net investment income
|
$
|
3,795,934
|
$
|
6,679,706
|
||||
Net realized gain (loss) from:
|
||||||||
Investments
|
8,860,983
|
1,077,661
|
||||||
Foreign currency translations
|
(4,650
|
)
|
5,001
|
|||||
Distributions received from investment companies
|
26,327
|
1,144,856
|
||||||
Net change in unrealized appreciation (depreciation) on:
|
||||||||
Investments
|
7,162,112
|
17,743,241
|
||||||
Foreign currency translations
|
(8,730
|
)
|
8,730
|
|||||
Discount on redemption and repurchases of preferred shares
|
21,643
|
179,207
|
||||||
Net increase (decrease) in net assets resulting from operations
|
19,853,619
|
26,838,402
|
||||||
Distributions paid to preferred shareholders:
|
||||||||
Net dividends and distributions
|
(771,919
|
)
|
(1,587,197
|
)
|
||||
Total dividends and distributions paid to preferred shareholders
|
(771,919
|
)
|
(1,587,197
|
)
|
||||
Net increase (decrease) in net assets applicable to common
|
||||||||
shareholders resulting from operations
|
19,081,700
|
25,251,205
|
||||||
Distributions paid to common shareholders:
|
||||||||
Net dividends and distributions
|
(6,230,153
|
)
|
(6,271,117
|
)
|
||||
Return of capital
|
—
|
(5,512,039
|
)
|
|||||
Total dividends and distributions paid to common shareholders
|
(6,230,153
|
)
|
(11,783,156
|
)
|
||||
Capital Stock Transactions (Note 4)
|
||||||||
Repurchase of common stock through tender offer
|
—
|
—
|
||||||
Repurchase of common stock
|
(3,211,951
|
)
|
(5,077,215
|
)
|
||||
Total capital stock transactions
|
(3,211,951
|
)
|
(5,077,215
|
)
|
||||
Net increase (decrease) in net assets
|
||||||||
applicable to common shareholders
|
9,639,596
|
8,390,834
|
||||||
Net assets applicable to common shareholders:
|
||||||||
Beginning of year
|
157,500,369
|
149,109,535
|
||||||
End of year
|
$
|
167,139,965
|
$
|
157,500,369
|
For the six months
|
||||
ended June 30, 2024
|
||||
(unaudited)
|
||||
Net asset value, beginning of period
|
$
|
14.30
|
||
Net investment income (loss)(1)
|
0.45
|
|||
Net realized and unrealized gains (losses) from investment activities
|
1.35
|
|||
Total from investment operations
|
1.80
|
|||
Common share equivalent of dividends paid to preferred shareholders from:
|
||||
Net investment income
|
(0.07
|
)
|
||
Net realized gains from investment activities
|
—
|
|||
Net increase (decrease) in net assets attributable to common
|
||||
stockholders resulting form operations
|
1.73
|
|||
Dividends and distributions paid to common shareholders from:
|
||||
Net investment income
|
(0.57
|
)
|
||
Net realized gains from investment activities
|
—
|
|||
Return of capital
|
—
|
|||
Total dividends and distributions paid to common shareholders
|
(0.57
|
)
|
||
Anti-Dilutive effect of Common Share Repurchase
|
0.05
|
|||
Dilutive effect of conversions of preferred shares to common shares
|
—
|
|||
Anti-Dilutive effect of tender offer
|
—
|
|||
Net asset value, end of period
|
$
|
|
||
Market value, end of period
|
$
|
|
||
Total net asset value return(2)
|
12.82
|
%
|
||
Total market price return(3)
|
15.45
|
%
|
||
Ratio to average net assets attributable to common shares:
|
||||
Ratio of expenses to average assets(4)
|
0.94
|
%
|
||
Ratio of net investment income to average net assets(1)
|
2.36
|
%
|
||
Supplemental data:
|
||||
Net assets applicable to common shareholders, end of period (000’s)
|
$
|
167,140
|
||
Liquidation value of preferred stock (000’s)
|
$
|
|
||
Portfolio turnover
|
30
|
%
|
||
Preferred Stock:
|
||||
Total Shares Outstanding
|
2,254,557
|
|||
Asset coverage per share of preferred shares, end of period
|
$
|
|
For the year ended December 31,
|
||||||||||||||||||
2023
|
2022
|
2021
|
2020
|
2019
|
||||||||||||||
$
|
13.01
|
$
|
16.55
|
$
|
16.13
|
$
|
16.06
|
$
|
13.78
|
|||||||||
0.58
|
0.28
|
0.18
|
0.59
|
0.31
|
||||||||||||||
1.80
|
(2.43
|
)
|
4.06
|
0.84
|
3.13
|
|||||||||||||
2.38
|
(2.15
|
)
|
4.24
|
1.43
|
3.44
|
|||||||||||||
(0.14
|
)
|
(0.03
|
)
|
(0.05
|
)
|
(0.21
|
)
|
(0.05
|
)
|
|||||||||
—
|
(0.09
|
)
|
(0.03
|
)
|
(0.02
|
)
|
(0.18
|
)
|
||||||||||
2.24
|
(2.27
|
)
|
4.16
|
1.20
|
3.21
|
|||||||||||||
(0.55
|
)
|
(0.34
|
)
|
(0.23
|
)
|
(0.65
|
)
|
(0.20
|
)
|
|||||||||
—
|
(0.96
|
)
|
(1.57
|
)
|
(0.48
|
)
|
(0.73
|
)
|
||||||||||
(0.49
|
)
|
(0.02
|
)
|
—
|
—
|
—
|
||||||||||||
(1.04
|
)
|
(1.32
|
)
|
(1.80
|
)
|
(1.13
|
)
|
(0.93
|
)
|
|||||||||
0.05
|
—
|
—
|
—
|
—
|
||||||||||||||
—
|
—
|
(1.94
|
)
|
—
|
—
|
|||||||||||||
—
|
0.05
|
—
|
—
|
—
|
||||||||||||||
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||
18.74
|
%
|
-13.81
|
%
|
14.09
|
%
|
9.24
|
%
|
23.72
|
%
|
|||||||||
14.13
|
%
|
-18.33
|
%
|
23.62
|
%
|
5.00
|
%
|
32.93
|
%
|
|||||||||
1.95
|
%
|
1.89
|
%
|
1.57
|
%
|
2.13
|
%
|
1.99
|
%
|
|||||||||
4.40
|
%
|
2.03
|
%
|
0.72
|
%
|
1.96
|
%
|
2.01
|
%
|
|||||||||
$
|
157,500
|
$
|
149,110
|
$
|
210,394
|
$
|
137,129
|
$
|
136,504
|
|||||||||
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
|||||||||
64
|
%
|
54
|
%
|
80
|
%
|
85
|
%
|
75
|
%
|
|||||||||
|
|
|
|
|
||||||||||||||
$
|
|
$
|
|
$
|
|
$
|
|
$
|
|
(1)
|
Recognition of investment income by the Fund is affected by the timing and declaration of dividends by the underlying investment companies in which the Fund invests.
|
(2)
|
Total net asset value return is calculated assuming a $10,000 purchase of common stock at the current net asset value on the first day of each period reported and a sale at the current net asset value on the last
day of each period reported, and assuming reinvestment of dividends and other distributions at the net asset value on the ex-dividend date. Total investment return based on net asset value is hypothetical as investors can not purchase or sell
Fund shares at net asset value but only at market prices. Returns do not reflect the deduction of taxes that a shareholder could pay on Fund dividends and other distributions, if any, or the sale of Fund shares.
|
(3)
|
Total market price return is calculated assuming a $10,000 purchase of common stock at the current market price on the first day of each period reported and a sale at the current market price on the last day of each
period reported, and assuming reinvestment of dividends and other distributions to common shareholders at the lower of the NAV or the closing market price on the ex-dividend date. Total investment return does not reflect brokerage commissions
and has not been annualized for the period of less than one year. Returns do not reflect the deduction of taxes that a shareholder could pay on Fund dividends and other distributions, if any, or the sale of Fund shares.
|
(4)
|
Does not include expenses of the investment companies in which the Fund invests.
|
Level 1—
|
Unadjusted quoted prices in active markets for identical assets or liabilities that the Fund has the ability to access.
|
Level 2—
|
Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These inputs may include quoted prices for the identical instrument on
an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates and similar data.
|
Level 3—
|
Unobservable inputs for the asset or liability, to the extent relevant observable inputs are not available, representing the Fund’s own assumptions about the assumptions a market participant would use in valuing the
asset or liability, and would be based on the best information available.
|
Quoted Prices in
|
||||||||||||||||
Active Markets
|
||||||||||||||||
for Identical
|
Significant Other
|
Unobservable
|
||||||||||||||
Investments
|
Observable Inputs
|
Inputs
|
||||||||||||||
(Level 1)
|
(Level 2)
|
(Level 3)*
|
Total
|
|||||||||||||
Investment Companies
|
||||||||||||||||
Closed-End Funds
|
$
|
129,612,131
|
$
|
—
|
$
|
—
|
$
|
129,612,131
|
||||||||
Business Development
|
||||||||||||||||
Companies
|
20,145,104
|
—
|
—
|
20,145,104
|
||||||||||||
Trusts
|
90,100
|
1,434,160
|
—
|
1,524,260
|
||||||||||||
Preferred Stocks
|
||||||||||||||||
Diversified REITs
|
327,047
|
—
|
—
|
327,047
|
||||||||||||
Office REITs
|
—
|
18,889
|
—
|
18,889
|
||||||||||||
Other Common Stocks
|
||||||||||||||||
Broadline Retail
|
960,000
|
—
|
—
|
960,000
|
||||||||||||
Financial Services
|
4,016,940
|
—
|
—
|
4,016,940
|
||||||||||||
Food Products
|
416,200
|
—
|
—
|
416,200
|
||||||||||||
Oil, Gas & Consumable Fuels
|
7,269,273
|
—
|
—
|
7,269,273
|
||||||||||||
Personal Care Products
|
3,887
|
—
|
—
|
3,887
|
||||||||||||
Real Estate Management
|
||||||||||||||||
& Development
|
803,784
|
—
|
—
|
803,784
|
||||||||||||
Real Estate Investment Trusts
|
3,934,489
|
—
|
—
|
3,934,489
|
||||||||||||
Special Purpose
|
||||||||||||||||
Acquisition Vehicles
|
30,674,106
|
—
|
5,559,786
|
36,233,892
|
||||||||||||
Corporate Obligations
|
—
|
—
|
954,818
|
954,818
|
||||||||||||
Unsecured Notes
|
2,343,597
|
—
|
—
|
2,343,597
|
||||||||||||
Warrants
|
42,341
|
2,166
|
7,000
|
51,507
|
||||||||||||
Rights
|
16,243
|
—
|
—
|
16,243
|
||||||||||||
Money Market Funds
|
14,645,576
|
—
|
—
|
14,645,576
|
||||||||||||
Total
|
$
|
215,300,818
|
$
|
1,455,215
|
$
|
6,521,604
|
$
|
223,277,637
|
*
|
The Fund measures Level 3 activity as of the beginning and end of each financial reporting period.
|
Derivatives not accounted
|
Statement of Assets &
|
|
for as hedging instruments
|
Liabilities Location
|
Value
|
Equity Contracts – Warrants
|
Investments, at value
|
$51,507
|
Amount of Realized Loss on Derivatives Recognized in Income
|
|||
Derivatives not accounted
|
Statement of
|
||
for as hedging instruments
|
Operations Location
|
Value
|
|
Equity Contracts – Warrants
|
Net Realized Loss
|
$(117,141)
|
|
on Investments
|
|||
Change in Unrealized Appreciation on Derivatives Recognized in Income
|
|||
Derivatives not accounted
|
Statement of
|
||
for as hedging instruments
|
Operations Location
|
Total
|
|
Equity Contracts – Warrants
|
Net change in unrealized
|
$104,918
|
|
appreciation of investments
|
Special Purpose
|
Other
|
|||||||||||||||
Acquisition
|
Common
|
Corporate
|
||||||||||||||
Category
|
Vehicles
|
Stocks
|
Obligations
|
Warrants
|
||||||||||||
Balance as of 12/31/2023
|
$
|
—
|
$
|
—
|
$
|
1,598,381
|
$
|
—
|
||||||||
Acquisitions
|
—
|
—
|
718,436
|
—
|
||||||||||||
Dispositions
|
—
|
(632,000
|
)
|
—
|
—
|
|||||||||||
Transfers into (out of) Level 3
|
5,507,095
|
608,000
|
—
|
3,107
|
||||||||||||
Accretion/Amortization
|
—
|
—
|
1,422
|
—
|
||||||||||||
Corporate Actions
|
—
|
—
|
—
|
945
|
||||||||||||
Realized Gain (Loss)
|
—
|
80,922
|
—
|
—
|
||||||||||||
Change in unrealized appreciation (depreciation)
|
52,691
|
(56,922
|
)
|
(1,363,421
|
)
|
2,948
|
||||||||||
Balance as of 6/30/2024
|
$
|
5,559,786
|
$
|
—
|
$
|
954,818
|
$
|
7,000
|
||||||||
Change in unrealized appreciation (depreciation)
|
||||||||||||||||
during the period for Level 3 investments
|
||||||||||||||||
held at June 30, 2024
|
$
|
52,691
|
$
|
(56,922
|
)
|
$
|
(1,363,421
|
)
|
$
|
2,948
|
Fair Value
|
Valuation
|
Unobservable
|
Impact to valuation
|
|||
Category
|
6/30/2024
|
Methodologies
|
Inputs
|
Range
|
from an increase to input
|
|
Special
|
$5,559,786
|
Reported Cash
|
Market Price
|
$9.70-
|
Discount–Decrease
|
|
Purpose
|
in Trust Account,
|
Discount to
|
11.11
|
|||
Acquisition
|
Last Market Price
|
Reported Cash
|
||||
Vehicles
|
Discount to
|
in Trust
|
||||
Reported Cash in
|
Account
|
|||||
Trust Account
|
||||||
Other Common
|
—
|
Last trade price
|
Financial
|
3.00-
|
Financial Assessments/
|
|
Stocks
|
less 10% haircut
|
Assessments/
|
3.15
|
Company Announcements
|
||
(Shares
|
Company
|
|||||
un-registered)
|
Announcements
|
|||||
Trusts
|
—
|
Last Traded Price
|
Market
|
0.00
|
Significant changes in
|
|
Assessments
|
market conditions could
|
|||||
result in direct and
|
||||||
proportional changes in the
|
||||||
fair value of the security
|
||||||
Corporate
|
954,818
|
Last Traded Price,
|
Terms of the Note/
|
4.00-
|
Significant changes in
|
|
Obligations
|
Company-Specific
|
Company’s
|
51.90
|
company’s financials,
|
||
Information
|
Financial
|
changes to the terms of the
|
||||
Assessments/
|
notes or changes to the
|
|||||
Company
|
general business conditions
|
|||||
Announcements
|
impacting the company’s
|
|||||
business may result in
|
||||||
changes to the fair value of
|
||||||
the securities
|
||||||
Unsecured Notes
|
—
|
Last Traded Price,
|
Terms of the Note/
|
0.00
|
Significant changes in
|
|
Company-Specific
|
Company’s
|
company’s financials,
|
||||
Information
|
Financial
|
changes to the terms of the
|
||||
Assessments/
|
notes or changes to the
|
|||||
Company
|
general business conditions
|
|||||
Announcements
|
impacting the company’s
|
|||||
business may result in
|
||||||
changes to the fair value of
|
||||||
the securities
|
||||||
Warrants
|
7,000
|
Last Traded Price
|
Market
|
0.00-
|
Significant changes in
|
|
Assessments
|
1.07
|
market conditions could
|
||||
result in direct and
|
||||||
proportional changes in the
|
||||||
fair value of the security
|
For the
|
For the
|
|||||||
year ended
|
year ended
|
|||||||
Distributions paid to common shareholders from:
|
December 31, 2023
|
December 31, 2022
|
||||||
Ordinary income
|
$
|
6,271,117
|
$
|
4,047,986
|
||||
Long-term capital gains
|
—
|
11,269,599
|
||||||
Return of capital
|
5,512,039
|
226,028
|
||||||
Total distributions paid
|
$
|
11,783,156
|
$
|
15,543,613
|
||||
For the
|
For the
|
|||||||
year ended
|
year ended
|
|||||||
Distributions paid to preferred shareholders from:
|
December 31, 2023
|
December 31, 2022
|
||||||
Ordinary income
|
$
|
1,587,197
|
$
|
387,696
|
||||
Long-term capital gains
|
—
|
1,079,344
|
||||||
Total distributions paid
|
$
|
1,587,197
|
$
|
1,467,040
|
Tax cost of investments
|
$
|
207,940,261
|
||
Unrealized appreciation
|
25,436,273
|
|||
Unrealized depreciation
|
(20,065,643
|
)
|
||
Net unrealized depreciation
|
5,370,630
|
|||
Undistributed ordinary income
|
—
|
|||
Undistributed long-term gains
|
—
|
|||
Total distributable earnings
|
—
|
|||
Other accumulated/gains losses and other temporary differences
|
(511,416
|
)
|
||
Total accumulated losses
|
$
|
4,859,214
|
Term of
|
Number of
|
Other
|
|||
Office
|
Portfolios
|
Directorships
|
|||
and
|
in Fund
|
held by
|
|||
Position(s)
|
Length
|
Principal Occupation
|
Complex
|
Director During
|
|
Name, Address
|
Held with
|
of Time
|
During the Past
|
Overseen
|
the Past
|
and Age*
|
the Fund
|
Served
|
Five Years
|
by Director**
|
Five Years
|
INTERESTED DIRECTORS
|
|||||
Andrew Dakos***
|
President
|
1 year;
|
Partner of the Adviser since
|
1
|
Director, Brookfield
|
(58)
|
as of
|
Since
|
2009; Partner of Ryan
|
DTLA Fund Office
|
|
October
|
2009
|
Heritage, LLP since 2019;
|
Trust Investor, Inc.
|
||
2009.
|
Principal of the former
|
and BNY Mellon
|
|||
general partner of several
|
Municipal Income
|
||||
private investment partnerships
|
Inc.; Trustee,
|
||||
in the Bulldog Investors group
|
Crossroads
|
||||