Company: CLM
Filing Date: 2025-04-21
Form Type: 424B3
Source: 0001398344-25-007380
Chunk: 44

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-04-21
Form: 424B3
Chunk 44
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 limitation in other emerging countries. With respect to risks associated with changes in foreign currency exchange rates, the Fund does not expect to engage in foreign currency hedging transactions. See “Foreign Currency Risk.”

Global Market Risk.An investment in Fund shares is subject to investment risk, including the possible loss of the entire principal amount invested. The Fund is subject to the risk that geopolitical and other similar events will disrupt the economy on a national or global level. For instance, war, terrorism, market manipulation, government defaults, government shutdowns, political changes or diplomatic developments, public health emergencies (such as the spread of infectious diseases, pandemics and epidemics) and natural/environmental disasters can all negatively impact the securities markets.

Managed Distribution Policy Risk.Under
the Fund’s Distribution Policy, the Fund makes monthly distributions to Stockholders at a rate that may include periodic distributions
of its net income and net capital gains (“Net Earnings”), or from return-of-capital. For any fiscal year where total cash
distributions exceeded Net Earnings (the “Excess”), the Excess would decrease the Fund’s total assets and, as a result,
would have the likely effect of increasing the Fund’s expense ratio. There is a risk that the total Net Earnings from the Fund’s
portfolio would not be great enough to offset the amount of cash distributions paid to Stockholders. If this were to be the case, the
Fund’s assets would be depleted, and there is no guarantee that the Fund would be able to replace the assets. In addition, in order
to make such distributions, the Fund may have to sell a portion of its investment portfolio, including securities purchased with the
proceeds of the Offering, at a time when independent investment judgment might not dictate such action. Furthermore, such assets used
to make distributions will not be available for investment pursuant to the Fund’s investment objective. The Fund adopted the Distribution
Policy in 2002, and during recent years the Fund’s distributions have exceeded its Net Earnings. The Fund may use the proceeds
of the Offering to maintain the Distribution Policy by providing funding for future distributions, which may constitute a return of capital
to Stockholders and lower the tax basis in their Shares which, for the taxable Stockholders, will defer any potential gains until the
Shares are sold. For the taxable Stockholders, the portion of distribution that constitutes ordinary income and/or capital gains is taxable
to such Stockholders in the year the distribution is declared. A return of capital is non-taxable to the extent of