The GDL Fund (NYSE:GDL) Share Price Passes Above 200-Day Moving Average – Should You Sell?

The GDL Fund (NYSE:GDL)’s share price passed above its 200-day moving average during trading on Friday . The stock has a 200-day moving average of $8.46 and traded as high as $8.48. The GDL Fund shares last traded at $8.4650, with a volume of 5,737 shares changing hands.

The GDL Fund Stock Up 0.1%

The firm’s 50 day simple moving average is $8.46 and its 200-day simple moving average is $8.46.

The GDL Fund Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, June 23rd. Stockholders of record on Monday, June 15th were issued a $0.12 dividend. This represents a $0.48 annualized dividend and a dividend yield of 5.7%. The ex-dividend date of this dividend was Monday, June 15th.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in GDL. Raymond James Financial Inc. purchased a new position in The GDL Fund during the 2nd quarter worth approximately $29,000. Closed End Fund Advisors Inc. purchased a new stake in The GDL Fund in the fourth quarter valued at approximately $95,000. Private Advisor Group LLC boosted its holdings in shares of The GDL Fund by 25.1% in the first quarter. Private Advisor Group LLC now owns 14,970 shares of the investment management company’s stock valued at $125,000 after acquiring an additional 3,000 shares during the period. Evolve Private Wealth LLC acquired a new stake in shares of The GDL Fund in the fourth quarter valued at approximately $164,000. Finally, GatePass Capital LLC acquired a new stake in shares of The GDL Fund in the fourth quarter valued at approximately $241,000.

The GDL Fund Company Profile

The GDL Fund, Inc (NYSE: GDL) is a closed-end management investment company that seeks total return through a combination of current income and capital appreciation. The fund maintains a diversified portfolio of primarily U.S. dollar-denominated fixed-income securities, including investment-grade and high-yield corporate bonds, asset-backed and mortgage-related securities, and sovereign debt. In addition to cash instruments, the fund employs derivative instruments—most notably credit default swaps and other credit derivatives—to gain exposure to or hedge against movements in credit spreads.

Since its inception in the mid-2000s, The GDL Fund has aimed to capitalize on opportunities across the credit spectrum by blending traditional bond investments with credit derivative strategies.