GGZ Overview

Distribution Increase: The Gabelli Global Small and Mid Cap Value Trust has approved an increase in its annualized distribution to $0.84 per share, payable quarterly, starting December 19, 2025, due to a strong market return of 25% year-to-date.

Distribution Policy: The Fund's Board of Trustees will review and determine quarterly distributions based on income and realized capital gains, with the possibility of additional adjusting distributions in December to meet IRS requirements.

Tax Implications: Portions of the distribution may be classified as long-term capital gains or qualified dividend income, subject to federal tax rates, and excess distributions may be treated as a return of capital, reducing the shareholder's cost basis.

Investment Overview: The Gabelli Global Small and Mid Cap Value Trust is a diversified investment company focused on long-term capital growth, primarily investing in small to medium-sized companies, with total net assets of $169 million.

Closed-End Funds as Investment Opportunities: Closed-end funds present unique investment opportunities by allowing investors to buy assets for less than their net asset value (NAV), benefiting from discounts that can narrow over time due to market sentiment and corporate actions.

Total Return Securities Fund (SWZ): SWZ is undergoing a transformation with a new adviser and a total-return mandate, currently trading at a 15.8% discount to NAV, offering a near 10% distribution yield while the manager redeploys capital.

Gabelli Global Small and Mid-Cap Value Trust (GGZ): GGZ focuses on global small and mid-cap value investments, trading at a 14% discount to NAV, and is positioned for potential gains as market conditions improve, despite its distribution relying on return of capital.

Oxford Lane Capital Corporation (OXLC): OXLC is a high-yield fund concentrated on CLO equity and junior debt, trading at a 20% discount to NAV with a distribution yield between 26% and 31%, appealing to investors willing to navigate credit market risks.

Fund Recognition: Gabelli U.S. Treasury Money Market Fund has been awarded top honors by iMoneyNet™, ranking #1 in the 100% U.S. Treasury Retail category and achieving the highest 12-month total return in the Government Retail category as of April 2025, with $5.6 billion in assets under management.

Investment Strategy: Managed since 1992 by Judith Raneri and Ronald Eaker, the Fund focuses solely on U.S. Treasury securities, offering a low-cost, tax-efficient investment option that emphasizes safety, liquidity, and competitive yields for investors.

Award Announcement: Jennifer A. Wallace has been awarded the 2025 Graham & Dodd, Murray, Greenwald Prize for Value Investing by Gabelli Funds during their fortieth client conference in New York on May 16th.

Career Recognition: Tano Santos highlighted Wallace's dedication to value investing throughout her career, including her founding of Summit Street Capital, which focuses on deep value investment strategies.

Distribution Announcement: The Gabelli Global Small and Mid Cap Value Trust declared a cash distribution of $0.16 per share, payable on June 23, 2025, to shareholders of record by June 13, 2025, with potential quarterly adjustments based on the Fund's income and capital gains.

Tax Implications and Performance: Portions of the distribution may be treated as long-term capital gains or return of capital, affecting tax liabilities for shareholders; however, the distribution amount does not reflect the Fund's investment performance.

David Schachter's Visit: David Schachter, Senior Vice President of Gabelli Funds, is traveling to the UK to engage with investment trusts and investors, emphasizing the importance of closed-end funds as a long-term investment strategy.

Historical Context and Current Challenges: Closed-end funds have historically supported significant infrastructure projects in the U.S., but they now face threats from short-term focused activists aiming for quick value extraction, which undermines their role as stable, patient capital.