Benefits of a CEFA Membership
The Closed-End Fund Association is committed to fostering awareness and understanding of closed-end funds and to providing a resource for information about its members and their offerings. CEFA offers a variety of exceptional services and benefits to its members, such as:
- Trade Association Membership
- National Secondary Marketing Program
- Closed-End Fund Services
The Closed-End Fund Association (CEFA) is the national trade association representing the closed-end fund industry, including business development companies (BDCs). A not-for-profit association, CEFA is committed to educating investors and advisors about the many benefits of these unique investment products and to providing a resource for information about its members and their offerings. Today’s closed-end fund industry is comprised of more than 625 funds, with approximately $250 billion in net assets. A core component, CEFA’s members are among the leading investment companies in the United States, Canada and abroad, recognized for their long-term service to shareholders. Membership in CEFA is available to investment companies, business development companies (BDCs), brokerage firms, legal firms, accounting firms, data providers, transfer agencies and other organizations that manage, directly distribute or provide services to closed-end funds.
Mission and Goals
CEFA is committed to education and awareness about the many benefits of closed-end funds (CEFs). Together, CEFA and its members work dynamically to foster awareness, understanding and responsiveness in serving the needs of individual investors, advisors and institutions that use CEFs to reach their long-term investment goals. CEFA is also committed to providing a resource for information about its members.
The Association and its members believe strongly that the closed-end structure, with a stable pool of assets and an opportunity for leverage, among other attributes, provides a meaningful alternative for portfolio managers and investors. Focusing on CEFs as long-term investment vehicles that offer attractive income and diversification potential, CEFs may provide a strategic element in an income investor’s portfolio.
National Secondary Marketing Program
Education. Awareness. Brand exposure. Secondary market support.
The comprehensive Marketing Program helps increase the exposure and understanding of closed-end funds. The program is designed to directly engage advisors and clients with a continuous stream of content and support. The Marketing Program provides an important platform for members of the CEF industry to raise awareness and understanding of closed-end funds and their unique roles in client portfolios. As a complement to your individual fund and sponsor initiatives, the program is intended to strengthen relationships with advisors, home offices, research analysts and the financial media. These relationships can be critical to increasing secondary market support and laying groundwork for more robust IPO activity. Ultimately, the end investor will benefit from the additional closed-end fund support brought to market through the program.
As a CEFA member, there is no additional charge for most of the program components. We have also made the cost structure for the Advisor Summit conferences more affordable, to make it easier for all members to participate. We look forward to partnering with you on this marketing initiative. For questions and additional information, please contact us at 816.413.8900 or firstname.lastname@example.org.
Industry Representation and Issue Advocacy
CEFA takes on important issues that affect the industry and has been instrumental in helping improve the image and operating environment for closed-end funds. CEFA developed a Closed-End Fund Data Survey in an effort to improve the accuracy, consistency and timeliness in reporting on closed-end funds and has lent its voice to numerous issues on behalf of the industry.
Closed-End Fund Services
National Press Representation
CEFA serves as a resource for members of the financial media, helping ensure that coverage of the industry is accurate, informative and timely. To achieve that goal, CEFA works to harness the expertise of its members to serve as a central point of contact for the media. CEFA provides a spokesperson to coordinate storylines and provide background. CEFA also distributes press releases on important subjects and has generated original research to highlight the benefits of closed-end funds.
Monthly Activist Report and Corporate Actions Report
Through a special arrangement with associate member AST Fund Solutions, CEFA delivers monthly reports detailing actions taken by activist organizations, as well as those filings made by closed-end management firms. Together, these reports keep CEFA member firms up-to-date with the latest developments in the industry.
Lipper Fund Market Insight Report
Associate member Lipper, Inc. provides CEFA with a month-end analysis of the closed-end fund industry. This vital report provides observations on the performance of the overall industry, average NAV return, number and size of the month’s IPOs and premium and discount behavior, as well as industry news pertaining to rights, repurchases, tender offers, mergers and reorganizations.
Morningstar CEF Monthly Report and Article
Weekly research reports and articles reviewing recent news across the closed-end fund world are available to members to help you stay current with the latest insight and information.
CEFA strives to educate and inform advisors about the benefits of investing in closed-end funds. The Association maintains relationships and a database of advisors, and sends communications on a regular basis.
CEFA produces and distributes a 32-page booklet, Understanding the Advantages of Closed-End Funds. Copies are available for members to purchase for distribution. CEFA will also work with members to make their educational materials accessible for investors to download from the CEFA website.