Special Opportunities Fund, Inc. (NYSE:SPE) reported a significant decline in short interest for December 2023, with numbers falling by 52.5% from the previous month. As of December 15, short interest totaled 7,822 shares, down from 16,465 shares on November 30. This reduction reflects a days-to-cover ratio of 0.3 days, based on an average daily trading volume of 25,850 shares. Currently, only 0.1% of the company’s shares are sold short.
In trading activity on Friday, the stock advanced by $0.10, reaching $15.55 per share. A total of 59,990 shares exchanged hands, exceeding the average volume of 25,628 shares. The stock’s fifty-day moving average stands at $15.26, while the two-hundred-day moving average is $15.41. Over the past year, the stock has fluctuated between a low of $12.72 and a high of $15.98.
Dividend Increase Announcement
In addition to the changes in short interest, Special Opportunities Fund announced an increase in its monthly dividend. Shareholders of record by December 29 will receive a dividend of $0.70 per share, payable on January 30, 2024. This represents a substantial increase from the previous monthly dividend of $0.11. The upcoming dividend payment translates to an impressive annualized yield of 54.0%.
Investment Strategy Overview
Special Opportunities Fund operates as a closed-end management investment company focused on generating attractive total returns by investing across various corporate capital structures. The fund strategically allocates capital to both public and private equity and debt securities, with an emphasis on special situations, distressed credits, and event-driven opportunities. This flexible, multi-asset strategy allows portfolio managers to adapt their investments among high-yield bonds, leveraged loans, convertible securities, preferred stock, and equity positions.
As investor interest continues to grow, the fund remains committed to its strategy of navigating complex financial landscapes to deliver value.
