GUG - GLO: Much Improved Vs. A Year Ago But Some Concerns Persist
2024-04-18 05:02:29 ET
Summary
- Clough Global Opportunities Fund offers a high level of income with a distribution yield of 11.63%, higher than its peers.
- The fund has underperformed the S&P 500 and MSCI World Index over the past year but has a total return of 14.33% since the last article was published.
- GLO has a diverse portfolio, but its high expenses and leverage have hindered its performance relative to its peers.
- Clough Global Opportunities is improved compared to a year ago, with much lower leverage. However, it may still have some interest rate risk.
- The fund is currently trading at an incredibly large discount on NAV, but it has failed to cover its distribution for two straight years.
The Clough Global Opportunities Fund ( GLO ) is a closed-end fund that investors can purchase in order to achieve a high level of income without the need to sacrifice the upside potential possessed by common equities. The fund certainly does quite reasonably in this area, as its 11.63% distribution yield is significantly higher than many of its peers. We can see this here:
| Fund Name |
| Morningstar Classification |
| Current Yield |
| Clough Global Opportunities Fund |
| Hybrid-Global Allocation |
| 11.63% |
| Calamos Global Total Return Fund ( CGO ) |
| Hybrid-Global Allocation |
| 9.83% |
| Eaton Vance Tax-Advantaged Global Dividend Opportunities Fund ( ETO ) |
| Hybrid-Global Allocation |
| 8.73% |
| Guggenheim Active Allocation Fund ( GUG ) |
| Hybrid-Global Allocation |
| 10.11% |
| PIMCO Global StocksPLUS & Income Fund ( PGP ) |
| Hybrid-Global Allocation |
| 11.52% |
| Virtus Total Return Fund ( ZTR ) |
| Hybrid-Global Allocation |
| 11.43% |