Advanced
Investigating catalysts behind a discount thesis
A discount thesis needs more than a low price relative to NAV. Identify what could change investor demand or unlock value, and what could prevent it.
Read articleFOLITIC / Closed End Funds
Closed End Funds Investment Guide
Understand closed end funds, investigate discounts and distributions, and build a disciplined research process. Follow eight stages from ownership and market pricing to portfolio construction and advanced analysis.
Start with What you own in a closed end fund, then follow the next lesson links. Explore 32 lessons with worked examples, exercises and further reading.
Explore the learning path
Browse by topic
Advanced Research and Review · All lessons
Advanced Research and Review
Combine valuation, governance and stress testing in a complete research process.
Advanced
Stress testing NAV, leverage and market discounts
A useful stress test combines portfolio losses, financing and market valuation. Testing each input separately can understate the damage when several risks occur together.
Read article
Advanced
Manager incentives, governance and review decisions
A fund is managed within a set of incentives and governance arrangements. Reviewing those arrangements helps distinguish a temporary setback from a weakening investment case.
Read article
Advanced
A complete closed end fund research case
A complete research case connects the mandate, portfolio, financing, distributions and valuation. Each attractive number should survive a test of its assumptions.
Read article