Company: CLM
Filing Date: 2025-02-21
Form Type: N-2
Source: 0001398344-25-003234
Chunk: 14

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-02-21
Form: N-2
Chunk 14
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 the NYSE American, subject to the NYSE American being officially notified of the issuance
of those Shares.

Purpose of the Offering. At a meeting
held on February 21, 2025, the Board considered, in addition to other factors, the success of the Prior Rights Offerings, and determined
that the current Offering was in the best interests of the Fund and its existing Stockholders to increase the assets of the Fund and
approved the current Offering. The primary reasons include:

| - | The Basic Subscription will provide existing                                                                                      
 Stockholders an opportunity to purchase additional Shares at a price that is potentially below market value without incurring any 
 commission or transaction charges.                                                                                                |

| 12 |

| - | Raising more cash will better position the                                                                                            
 Fund to take advantage of investment opportunities that exist or may arise, however as has been the case with Prior Rights Offerings, 
 a portion of the increase in the Fund’s assets will also be used to maintain the Fund’s Distribution Policy. Since the                
 Fund adopted the Distribution Policy, the Fund’s investments have failed to provide adequate net income or net capital gains          
 to meet the requirements of the Fund’s Distribution Policy and the Fund has made return of capital distributions to maintain          
 its Distribution Policy.                                                                                                              |

| - | Increasing the Fund’s assets will                                                                                                            
 provide the Fund additional flexibility in maintaining the Fund’s Distribution Policy. The Distribution Policy permits Stockholders          
 to receive a predictable level of cash flow and some liquidity periodically with respect to their Shares without having to sell Shares.      
 Stockholders should be aware that: (i) for 2020, 2021, 2023 and 2024, a majority of the distributions that the Fund made to its Stockholders 
 consisted of a return of its Stockholders’ capital, and not of income or gains generated from the Fund’s investment portfolio,               
 and (ii) for  2022, substantially all of the distributions that the Fund made to its Stockholders consisted of a return of                   
 its Stockholders’ capital, and not of income or gains generated from the Fund’s investment portfolio.                                        |

| - | Increasing Fund assets may lower the Fund’s                                                                                    
 expenses as a proportion of net assets because the Fund’s fixed costs would be spread over a larger asset base. There can be   
 no assurance that by increasing the size of the Fund, the Fund’s expense ratio will be lowered. However, increasing the Fund’s 
 assets results in a benefit to the Fund’s Investment Adviser because the Management