Cornerstone Strategic Value Fund (CLM)

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I've long owned a small amount of ADX, Adams Diversified Equity Fund which used to be called Adam's Express. Its current discount is about 14%. When I bought ADX, its discount was about the same. It's an "original" CEF in that it was founded in the 1920s.

ADX joined the "gimmick" club a few years ago when it started paying a "managed distribution" of 6% regardless of its own earnings which are about 1.5%. The fixed 6% minimum didn't narrow its perpetual discount much but it certainly confuses some reviewers.

I can envision the whole CEF sector getting a bad reputation in a prolonged bear market because of the gimmicks. Last night I skimmed thru a a few CEFs and noticed that premiums seemed to be plummeting, Cornerstone especially.

I've often warned that CEF premiums tend to disappear when the broad market declines. I'd never pay a premium for a CEF.