The Central and Eastern Europe Fund, Inc., The European Equity Fund, Inc., and The New Germany Fund, Inc. Make Yearly Distribution Announcements

Rhea-AI Summary

The Central and Eastern Europe Fund (CEE), The New Germany Fund (GF), and The European Equity Fund (EEA) have announced their yearly distributions for 2024. CEE and EEA distributions will be paid in stock, with stockholders having the option to elect cash payments, while GF distributions will be paid entirely in cash.

The distributions per share are: CEE at $0.3532, GF at $0.0482, and EEA at $0.1410, all consisting of net investment income with no capital gains. The key dates are: Declaration on 12/18/2024, Ex-Date and Record Date on 12/30/2024, and Payment Date on 1/31/2025.

The funds note potential risks including market volatility, geopolitical events, and particularly for CEE, the ongoing impact of Russia's invasion of Ukraine and related sanctions.

Positive

• CEE announces highest distribution per share at $0.3532 among the three funds
• Stockholders of CEE and EEA have flexibility to choose between stock or cash distributions

Negative

• No short-term or long-term capital gains distributions for any of the funds
• Russia-Ukraine conflict continues to materially affect CEE's portfolio value and liquidity
• Funds frequently trade at a discount to net asset value

Insights

Financial Analyst

The distribution announcements by CEE, GF and EEA represent <p>The declared distributions show varying yields, with CEE offering <money>$0.3532</money> per share, GF at <money>$0.0482</money> and EEA at <money>$0.1410</money> per share. Notably, these distributions consist entirely of net investment income, with no short-term or long-term capital gains components. The payment structure differs between funds - CEE and EEA offer stock distributions with a cash option, while GF provides cash-only payments. The timing of these distributions, with a record date of December 30, 2024 and payment on January 31, 2025, allows investors to plan their year-end tax strategies accordingly.</p><p>The geopolitical risk factors, particularly regarding CEE's exposure to Eastern European markets amid ongoing Russia-Ukraine tensions, warrant careful consideration. The sanctions environment continues to impact market liquidity and portfolio valuations, especially for funds with exposure to affected regions.</p>

Market Research Analyst

<p>The distribution pattern reveals important insights about these closed-end funds' performance and market positioning. The significant variation in distribution amounts - CEE's <money>$0.3532</money> versus GF's <money>$0.0482</money> - reflects the underlying market dynamics and investment success in their respective geographical focuses. The stock-based distribution method chosen by CEE and EEA suggests a strategic approach to capital retention, while GF's cash distribution indicates strong liquidity position.</p><p>These funds typically trade at a discount to NAV, which creates potential opportunities for value investors. However, the concentration risk in specific regions, particularly CEE's exposure to Eastern European markets and GF's focus on Germany, means these distributions should be evaluated within the context of broader geopolitical and economic risks affecting these regions.</p>

NEW YORK--(BUSINESS WIRE)-- The Central and Eastern Europe Fund, Inc. (NYSE: CEE), The New Germany Fund, Inc. (NYSE: GF) and The European Equity Fund, Inc. (NYSE: EEA) (each, a “Fund,” and collectively, the “Funds”) each announced today that its Board of Directors declared the distributions set forth below. CEE’s and EEA’s total distributions will be paid in stock except that any stockholder of record as of December 30, 2024 may elect to receive such distribution in cash. GF’s total distributions will be paid in cash to the stockholders of record as of December 30, 2024.

Details for each Fund’s 2024 yearly December distributions are as follows:

Declaration- 12/18/2024

Ex-Date- 12/30/2024

Record- 12/30/2024

Payable- 1/31/2025

Fund	Ticker	Net Investment	Short-Term	Long-Term	Total
		Income per Share	Capital Gains per Share	Capital Gains per Share	Distribution per Share
The Central and Eastern Europe Fund, Inc.	CEE	$0.3532	$0.0000	$0.0000	$0.3532
The New Germany Fund, Inc.	GF	$0.0482	$0.0000	$0.0000	$0.0482
The European Equity Fund, Inc.	EEA	$0.1410	$0.0000	$0.0000	$0.1410

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 Central and Eastern Europe Fund, Inc. is non-diversified and can take larger positions in fewer issues, increasing its potential risk. Investing in foreign securities, particularly of emerging markets, 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. This fund is non-diversified and can take larger positions in fewer issues, increasing its potential risk.

The European Equity Fund, Inc. is diversified and primarily focuses its investments in equity securities of issuers domiciled in Europe, thereby increasing its vulnerability to developments in that region. Investing in foreign securities, particularly of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Any fund that concentrates in a particular segment of the market or a particular geographical region will generally be more volatile than a fund that invests more broadly.

The New Germany Fund, Inc. is diversified, and primarily focuses its investments in Germany, thereby increasing its vulnerability to developments in that region. Investing in foreign securities, particularly of emerging markets, presents certain risks, such as currency fluctuations, political and economic changes, and market risks. Any fund that concentrates in a particular segment of the market or a particular geographical region will generally be more volatile than a fund that invests more broadly.

The shares of most closed-end funds, including the Funds, 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. In the case of The Central and Eastern Europe Fund, Russia’s invasion of Ukraine has materially adversely affected, and may continue to materially adversely affect, the value and liquidity of the Fund’s portfolio.

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 Funds and their investments.

The European Union, the United States and other countries have imposed sanctions on Russia in response to Russian military and other actions in recent years. These sanctions have adversely affected Russian individuals, issuers and the Russian economy. Russia, in turn, has imposed sanctions targeting Western individuals, businesses and products. The various sanctions have adversely affected, and may continue to adversely affect, not only the Russian economy, but also the economies of many countries in Europe, including countries in Central and Eastern Europe. The continuation of current sanctions or the imposition of additional sanctions may materially adversely affect the value of the Funds’ portfolios.

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 FDIC/ NCUA INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
NOT A DEPOSIT • NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

DWS Distributors, Inc.
222 South Riverside Plaza
Chicago, IL 60606-5808
www.dws.com
Tel (800) 621-1148
© 2024 DWS Group GmbH & Co. KGaA. All rights reserved

The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc. which offers investment products or DWS Investment Management Americas, Inc. and RREEF America L.L.C. which offer advisory services. (R-104056-) (12/24)

View source version on businesswire.com: https://www.businesswire.com/news/home/20241218770631/en/

For additional information:

DWS Press Office (212) 454-4500

Shareholder Account Information (800) 294-4366

DWS Closed-End Funds (800) 349-4281

Source: DWS

FAQ

What is the distribution amount for CEE stock in 2024?

The Central and Eastern Europe Fund (CEE) declared a distribution of $0.3532 per share for 2024, payable on January 31, 2025.

When is the record date for CEE's 2024 distribution?

The record date for CEE's 2024 distribution is December 30, 2024.

How will CEE's 2024 distribution be paid to shareholders?

CEE's distribution will be paid in stock, but stockholders of record as of December 30, 2024, can elect to receive the distribution in cash instead.

Are there any capital gains distributions for CEE in 2024?

No, CEE's total distribution of $0.3532 consists entirely of net investment income, with no short-term or long-term capital gains distributions.

How does the Russia-Ukraine conflict affect CEE's portfolio?

The Russia-Ukraine conflict materially adversely affects CEE's portfolio value and liquidity, with ongoing impacts from sanctions and related geopolitical events.