The GDL Fund

Frequently Asked Questions About GDL

What does GDL invest in?

The GDL Fund, a closed-ended equity mutual fund, was initially launched by GAMCO Investors, Inc., and is currently overseen by Gabelli Funds, LLC. This fund's strategy involves investing in publicly traded equities across various global markets, focusing on companies within a wide range of sectors. A core part of its investment approach targets firms involved in significant corporate events such as publicly announced mergers, acquisitions, tender offers, and leveraged buyouts. It also allocates capital to businesses undergoing corporate restructurings, including stubs, spin-offs, and liquidations. For performance assessment, the fund's portfolio is benchmarked against the Bank of America Merrill Lynch 3 Month U.S. Treasury Bill Index. Established in the United States on October 17, 2006, the fund was previously known as the Gabelli Global Deal Fund.

What is the expense ratio of GDL?

The GDL Fund (GDL) charges an expense ratio of 3.25%. This is the annual fee deducted from fund assets to cover management and operations.

What is GDL's dividend yield?

GDL's trailing-twelve-month yield is 5.78%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of GDL?

Effective duration measures GDL's sensitivity to interest-rate changes: a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. GDL's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of GDL?

GDL's credit quality breakdown (the share of holdings rated AAA through CCC and below) is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of GDL?

Yield to maturity (YTM) is the total return you'd earn from GDL if every bond in the portfolio is held to maturity at the current price. GDL's YTM is published on the fund's factsheet on the issuer's website. It differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.