In a remarkable show of strength, INSI stock has soared to a 52-week high, reaching a price level of $18.2. This peak reflects a significant uptrend for the Cutwater Select Income Fund, which has seen an impressive 1-year change of 15.99%. Investors have been closely monitoring INSI's performance, as the fund's strategic moves and market conditions have combined to propel its value to this new high. The 52-week high serves as a testament to the fund's robust performance over the past year, marking a period of substantial growth and investor confidence.
In other recent news, KKR Income Opportunities Fund (KIO) is set to acquire the assets of Insight Select Income Fund (INSI) in a definitive agreement that is expected to close in the fourth quarter of 2024. The acquisition, approved by the boards of both funds, will result in the delisting of INSI shares from public markets, while KIO will maintain its NYSE listing. KIO's investment strategy will remain focused on secured and unsecured loans, as well as high yield corporate debt instruments.
The merger is anticipated to bring increased fund size and scale, potentially enhancing earnings profiles due to expanded investment opportunities. KIO's monthly dividend rate stands at 9.9% annually, with dividends set to continue at $0.1215 per share for the closing quarter of the year. The transaction is also expected to improve trading liquidity, investor visibility, and operating expense savings for KIO shareholders due to economies of scale.
Furthermore, INSI shareholders will gain access to KKR's credit platform, which manages $237 billion in assets as of June 30, 2024. As part of the acquisition, KKR will offer a temporary management fee waiver, reducing the fee from 1.10% to 0.99% for a year post-acquisition. The transaction is structured as a tax-free reorganization, with INSI shareholders receiving KIO shares and the option for up to 5% of the consideration in cash.
InvestingPro Insights
INSI's recent 52-week high is further supported by data from InvestingPro, which reveals that the stock is currently trading at 97.18% of its 52-week high, with a price of $17.26 at the previous close. This aligns with the InvestingPro Tip that INSI is "Trading near 52-week high," confirming the article's focus on the stock's strong performance.
The fund's impressive 1-year change of 15.99% mentioned in the article is complemented by InvestingPro data showing a 1-year price total return of 22.25%, indicating even stronger performance than initially reported. Additionally, INSI has demonstrated consistent growth across various timeframes, with a 7.14% return over 3 months and a 10.76% return year-to-date.
For income-focused investors, it's worth noting that INSI offers a dividend yield of 4.63% and has maintained dividend payments for 53 consecutive years, according to an InvestingPro Tip. This long-standing dividend history may contribute to the stock's appeal and its recent price strength.
InvestingPro offers 6 additional tips for INSI, providing further insights for investors interested in a deeper analysis of the stock's potential.
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