The Central and Eastern Europe Fund, Inc. Announces Proposal to Change its Concentration Policy at the Annual Meeting of Stockholders and Related Change to the Fund’s Benchmark
The Central and Eastern Europe Fund, Inc. (NYSE: CEE) announced at its upcoming Annual Meeting on June 23, 2022, stockholders will vote on a proposal to amend its investment concentration policy. Currently focused on the energy sector, the Fund seeks to allow diversification, prohibiting investment of 25% or more in any one industry. Additionally, the Fund plans to change its benchmark index from the MSCI Emerging Markets Eastern Europe Index to a custom blend that includes indices from Germany, Austria, Switzerland, and Eastern Europe, pending approval.
- Proposal to diversify investment policy may reduce risk exposure.
- Planned change of benchmark index could better reflect Fund's investment strategy.
- Current concentration in the energy sector increases vulnerability.
- Investing in foreign securities poses risks like currency fluctuations and political instability.
For more information on the Funds, including their most recent month-end performance, visit dwsfunds.com or call (800) 349-4281.
Important Information
Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are sold in the open market through a stock exchange. Shares of closed-end funds frequently trade at a discount to net asset value. The price of the fund’s shares is determined by a number of factors, several of which are beyond the control of the fund. Therefore, the fund cannot predict whether its shares will trade at, below or above net asset value.
The Fund is non-diversified and can take larger positions in fewer issues, increasing its potential risk, and also concentrates its investments in the energy sector. Investing in foreign securities presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Any fund that focuses in a particular segment of the market or region of the world will generally be more volatile than a fund that invests more broadly.
The shares of most closed-end funds, including the Fund, are not continuously offered. Once issued, shares of closed-end funds are bought and sold in the open market through a stock exchange. Shares of closed-end funds frequently trade at a discount to net asset value. The price of a fund’s shares is determined by a number of factors, several of which are beyond the control of the fund. Therefore, a fund cannot predict whether its shares will trade at, below, or above net asset value.
War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led, and, in the future, may lead to significant disruptions in US and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the fund and its investments.
This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.
Certain statements contained in this release may be forward-looking in nature. These include all statements relating to plans, expectations, and other statements that are not historical facts and typically use words like “expect,” “anticipate,” “believe,” “intend,” and similar expressions. Such statements represent management’s current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, such statements. Management does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. The following factors, among others, could cause actual results to differ materially from forward-looking statements: (i) the effects of adverse changes in market and economic conditions; (ii) legal and regulatory developments; and (iii) other additional risks and uncertainties, including public health crises (including the recent pandemic spread of the novel coronavirus), war, terrorism, trade disputes and related geopolitical events.
Past performance is no guarantee of future results.
NOT |
|
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as
View source version on businesswire.com: https://www.businesswire.com/news/home/20220422005376/en/
For additional information:
DWS Press Office (212) 454-4500
Shareholder Account Information (800) 294-4366
DWS Closed-End Funds (800) 349-4281
Source: The
FAQ
What is the proposal at the Central and Eastern Europe Fund's Annual Meeting on June 23, 2022?
How will the benchmark index for the Central and Eastern Europe Fund change?
What are the risks associated with the Central and Eastern Europe Fund's current investment strategy?
