Company: CLM
Filing Date: 2025-04-08
Form Type: N-2/A
Source: 0001398344-25-006812
Chunk: 12

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-04-08
Form: N-2/A
Chunk 12
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 on the Fund’s net asset value               
 on the last business day in October. The terms of the Distribution Policy will be reviewed and approved at least annually by the           
 Fund’s Board of Directors and can be modified at the Board’s discretion. To the extent that these distributions exceed                     
 the current earnings of the Fund, the balance will be generated from sales of portfolio securities held by the Fund, and will be           
 distributed as either short-term or long-term capital gains or a tax-free return-of-capital. To the extent these distributions are         
 not represented by net investment income and capital gains, they will not represent yield or investment return on the Fund’s               
 investment portfolio. As shown on page 35 in the table which identifies the constituent components of the Fund’s distributions             
 under its Managed Distribution Policy for years 2020-2024, a majority of the distributions that the Fund made to its Stockholders          
 for 2020, 2021, 2023 and 2024 consisted of a return of its Stockholders’ capital, and not of income or gains generated from                
 the Fund’s investment portfolio, and substantially all of the distributions that the Fund made to its Stockholders for 2022                
 consisted of a return of its Stockholders’ capital, and not of income or gains generated from the Fund’s investment                        
 portfolio. Although return of capital distributions may not be taxable, such distributions may reduce a Stockholder’s cost                 
 basis in his or her Shares, and therefore may result in an increase in the amount of any taxable gain on a subsequent disposition of       
 such Shares, even if such Shares are sold at a loss to the Stockholder’s original investment amount. The Fund plans to                     
 maintain the Distribution Policy even if a return-of-capital distribution would exceed an investor’s tax basis and therefore               
 be a taxable distribution.                                                                                                                 |

| 9 |

| On August 2, 2024, the Board of Directors of                                                                                                
 the Fund determined that the distribution percentage for the calendar year 2025 would remain at 21%, which was the same distribution        
 percentage used in 2024, which was then applied to the net asset value of the Fund at the end of October 2024 to determine the distribution 
 amounts for calendar year 2025. During 2025, the Board of Directors of the Fund will make a determination regarding the distribution        
 percentage for 2026 which will then be applied to the net asset value of the Fund at the end of October 2025 to determine the distribution  
 amounts for calendar year