#United States #New York #Closed-End Fund #Cohen Steers #investment returns

Overview of Cohen & Steers Closed-End Opportunity Fund

Cohen & Steers Closed-End Opportunity Fund, Inc. (NYSE: FOF) has issued an announcement directed at its shareholders, providing crucial details regarding the forthcoming distribution sources. This notification outlines the payment set for December 31, 2025, and presents the cumulative distributions paid thus far in the fiscal year.

In December 2021, the Fund adopted a managed distribution policy that aligns with the exemptive relief permitted by the Securities and Exchange Commission. This strategy aims to fulfill the Fund's long-term total return potential by offering regular monthly distributions, which are declared at a fixed rate for each common share. Such a policy allows for increased flexibility, enabling the Fund to attain long-term capital gains that can be distributed monthly to shareholders.

Key Details on Current and Year-to-Date Distributions

The following insights summarize the distribution estimates:


It's essential to highlight that the Fund may amend, suspend, or terminate this managed distribution policy at any point, which might adversely impact the market price of its shares.

Understanding Returns and Capital

Investors should note that returns of capital may occur when distributions exceed the Fund's net investment income and net realized capital gains. Such returns do not incur tax liabilities, but they do reduce the shareholders' tax basis in their shares. Variations in monthly distributions are permissible and are dependent on portfolio performances and broader market conditions.

Updates on Performance Metrics

The Fund's management wants to ensure that shareholders interpret distributions carefully. Any conclusions drawn about the Fund's investment performance should not be based solely on distribution values, as a return of capital does not indicate asset appreciation or investment success. Hence, the estimated amounts and sources of distributions are subject to change.

For the fiscal year to date, the Year-to-date Cumulative Total Return has reached 17.83%, while the Cumulative Distribution Rate stands at 7.99%. Over the last five years ending November 30, 2025, the Average Annual Total Return was 10.36%, accompanying a Current Annualized Distribution Rate of 7.99%.

These performance indicators are derived from the Fund's net asset value (NAV), calculated by subtracting total liabilities from the total market value of the securities and assets held by the Fund, divided by the entire number of outstanding shares. Investors' returns are ultimately guided by the market price driven by supply and demand for the Fund's shares.

Investment Considerations

Before investing, analysts recommend reviewing the Fund’s investment goals, risks, charges, and expenses thoroughly. The most recent periodic reports and regulatory filings concerning the Fund can be readily accessed through their official site or via their financial advisors.

Conclusion

Investors should closely follow any updates relating to distribution sources, performance metrics, and overall Fund strategy, ensuring informed decision-making aligned with their financial goals. Shareholders will receive Form 1099-DIV at year's end detailing how to report these distributions for tax purposes. By maintaining awareness of how distributions are structured and what they mean for returns, shareholders can maximize their investment outcomes with Cohen & Steers.