Herzfeld Caribbean Basin Fund, Inc. Unveils Latest Cash Distribution

Cash Distribution Announced by Herzfeld Caribbean Basin Fund

The Herzfeld Caribbean Basin Fund, Inc. (NASDAQ: CUBA) has made an exciting announcement regarding their cash distribution that aligns with their managed distribution policy. This decision is part of the Fund’s regular measures to provide value to its stockholders.

Details of the Cash Distribution

The Fund has declared a cash distribution which will provide stockholders with cash payouts based on shares held. The specified amount for this distribution is $0.2325 per share. This reflects a distribution rate of 9.69% based on the market price per share and 7.22% based on the net asset value per share as of the specified date.

Distribution Schedule

The distribution will be executed on a set schedule that entails the following key dates:

• Declaration Date: Recent announcement
• Ex-Date: End of the month
• Record Date: Same as Ex-Date
• Payment Date: Following mid-January

Understanding the Managed Distribution Policy

The Herzfeld Caribbean Basin Fund operates under a Managed Distribution Policy, ensuring stockholders receive all available investment income aligned with their investment goals. The Fund, currently aiming to maintain a steady distribution rate, is vigilant in managing and distributing available capital gains as required by regulatory frameworks.

Policy Guidelines

According to the Board, the structured policy allows the Fund to distribute a fixed minimum annual rate of 15%, calculated based on the net asset value as of mid-year. This policy signifies a commitment to stockholders, fostering trust and encouraging ongoing investment.

The Rationale Behind Distribution Adjustments

The Board of the Herzfeld Caribbean Basin Fund regularly reviews the distribution approach, enabling it to adapt to varying income levels and market conditions. In recent times, this flexibility has become vital, considering the dynamic financial landscape faced across investment sectors, particularly in Caribbean markets.

Impact of Market Conditions

Stockholders should note that the Fund may also allocate returns of capital as part of its distribution strategy. Though a return of capital does not equate to the direct earnings from investment performance, it is crucial in maintaining the distribution levels expected by stockholders.

Thomas J. Herzfeld Advisors, Inc.: The Force Behind the Fund

Established in 1984, Thomas J. Herzfeld Advisors, Inc. is the SEC-registered investment advisor steering the Fund. Their expertise lies in investment analysis and management within the realm of closed-end funds, particularly those operating in the Caribbean Basin.

Commitment to Growth and Stability

Through informed decision-making and strategic distribution policies, Thomas J. Herzfeld Advisors, Inc. aims to bolster the Fund’s value, allowing it to capitalize on emerging investment opportunities while protecting stockholder interests.

Frequently Asked Questions

What is the declared cash distribution amount?

The announced cash distribution amount is $0.2325 per share.

When will the distribution be paid to stockholders?

The payment is scheduled for mid-January of the following year.

What percentage does the distribution represent?

The distribution represents approximately 9.69% based on market price and 7.22% on net asset value.

Are returns of capital included in the distribution?

Yes, the Fund may include returns of capital in addition to traditional investment income in their distributions.

Who manages the Herzfeld Caribbean Basin Fund?

Thomas J. Herzfeld Advisors, Inc. manages the Fund and is committed to its long-term growth and stability.

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