While most income investors do not maintain a huge allocation to CEFs due to a variety of risks, income inefficiency, and accounting quirks, a peripheral eye should be kept on them due to value dislocations that can suddenly appear. Despite the complexity, CEFs can provide investors an easy, leveraged way to generate elevated income across various corners of financial markets.
In a recent article, Doug Albo suggested an Eaton Vance fund swap - out of ETO, Eaton Vance Tax-Advantaged Global Dividend Opportunities Fund, and into ETG, Eaton Vance Tax-Advantaged Global Dividend Income