Special Opportunities Fund Inc. (SPE) 2017年年度报告「NYSE」.pdf

1、 Special Opportunities Fund,Inc.(SPE)Annual ReportFor the year endedDecember 31,2017 February 26,2018Dear Fellow Shareholders:In the second half of 2017,the net asset value(NAV)of the common stock ofSpecial Opportunities Fund increased by 6.29%(after accounting for the year-endcash dividend of$1.33

2、per share)to close at$16.70.For the entire year,the netasset value(NAV)was up by 15.93%.The price of the common stock was$14.88 at the end of 2017,a discount of 10.90%from the NAV.By comparison,the S&P 500 Index advanced by 11.42%in the second half of the year and21.83%for the entire year.As a resul

3、t of the aforementioned dividend of$1.33 per share,a holder ofconvertible preferred stock who elects to convert it to common stock wouldcurrently receive 1.4828 shares of common stock in exchange for each share ofconvertible preferred stock(which equates to a conversion price of$16.86 pershare).The

4、most recent NAV and diluted NAV of the Funds common stock(assuming all shares of convertible preferred stock are converted to common stock)are provided weekly on its website at .Here are updates on some of our significant positions.In July 2017 Emergent Capital(EMGC.PK),which owns a large portfolio

5、of lifeinsurance policies,completed its recapitalization.We participated in the recapand currently own common stock and convertible notes,both of which haveincreased in value.Emergent recently announced a proposed acquisition of aspecialty finance company in exchange for 6.4 million shares of stock.

6、Althoughcomplete details of the transaction have not yet been disclosed,we see the effortto diversify Emergents existing platform as a positive.In our last letter,we said that we expected shareholders of Stewart InformationServices(STC),a provider of title insurance and other services in connection