Company: RIV
Filing Date: 2025-09-05
Form Type: N-CSR
Source: 0001398344-25-017710
Chunk: 43

Company: RIVERNORTH OPPORTUNITIES FUND, INC.
Filing Date: 2025-09-05
Form: N-CSR
Chunk 43
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’s warrants into common shares. The Fund may redeem common shares of a SPAC in exchange for the
Fund’s pro rata portion of the SPAC’s trust account.

The Fund also may invest up to 20% of its Managed
Assets in exchange-traded notes (“ETNs”), certain derivatives, such as options and swaps, cash and cash equivalents. Such
investments will not be counted towards the Fund’s 80% policy.

The Fund may invest directly in debt securities
issued by certain credit-oriented unlisted funds and BDCs (“Private Debt”) identified by the Adviser in its due diligence
process. The Adviser believes that investments in Private Debt can provide the Fund with the opportunity to obtain more favorable terms
and similar risk profiles to similar publicly traded debt investments available. Private Debt often may be illiquid and is typically not
listed on an exchange and traded less actively than similar securities issued by publicly traded-vehicles. For certain Private Debt investments,
trading may only be possible through the assistance of the broker who originally brought the security to the market and has a relationship
with the issuer. Due to the limited trading market, independent pricing services may be unable to provide a price for Private Debt, and
the fair value of the securities may be determined in good faith under procedures approved by the Board, which typically will include
the use of one or more independent broker quotes.

RiverNorth Opportunities Fund, Inc.

In selecting appropriate Private Debt investments
for the Fund, the Adviser completes a fundamental and technical analysis of the issuer, with a focus on reducing downside risk. As part
of this analysis, the Adviser evaluates the manager’s experience and ability based on historical track record regarding credit performance
of previously originated loans and meetings with the management team. In addition, the Adviser reviews the issuer’s investment portfolio,
including the issuer’s asset diversification across type and sector, before further evaluating the issuer’s financials to
review its capital structure, particularly details of any existing leverage and the maximum leverage permitted on any senior debt of the
issuer. Once comfort is reached regarding the issuer’s investment portfolio, manager, and capital structure, the Adviser then evaluates
details of the terms of the Private Debt opportunity, beginning with a review to ensure appropriate covenants are contained within to
limit the Fund’s downside risk across a range of scenarios (which typically will include a minimum level of subordination requirement.)
Following, the Adviser will review and weigh pricing levels on the Private Debt compared to other opportunities in the