BRW: Broad Diversification Challenged By Performance
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Michael Del Monte6.22K FollowersFollow5ShareSavePlay(6min)CommentsSummarySaba Capital Income & Opportunities Fund offers a 14.43% yield, trading at a 9.94% discount to NAV.BRW employs a diversified, multi-asset strategy across debt, equities, derivatives, and private funds, with 14.35% leverage.Performance has lagged peers, impacted by large positions in underperforming holdings like ETCG and BMBL.I rate BRW as a "Hold," citing higher fees, complex risk profile, and more attractive peer alternatives. Noko LTD/E+ via Getty Images The Saba Capital Income & Opportunities Fund (BRW) is a closed-end fund designed to provide investors with high current income and capital appreciation by investing in various debt, equity, and derivative securities for both public and private companies. The strategy currently hasThis article was written byMichael Del Monte6.22K FollowersFollowMonte Independent Investment Research: Michael Del Monte is a buy-side equity analyst with expertise in the technology, energy, industrials, and materials sectors. Prior to working in the investment management industry, Michael spent over a decade in professional services working across industries that include O&G, OFS, Midstream, Industrials, Information Technology, EPC Services, and consumer discretionary.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.