Company: CLM
Filing Date: 2025-04-21
Form Type: 424B3
Source: 0001398344-25-007380
Chunk: 61

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-04-21
Form: 424B3
Chunk 61
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’s total assets and, as a result, will have the likely effect of increasing the Fund’s expense ratio.
There is a risk that the total Net Earnings and unrealized gain or loss for years from the Fund’s portfolio would not be great
enough to fully offset the amount of cash distributions paid to Fund stockholders. If this were to be the case, the Fund’s assets
would be partially reduced by an equal amount, 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 need to sell a portion of its investment portfolio at a time when independent investment
judgment might not dictate such action. Furthermore, the cash used to make distributions will not be available for investment pursuant
to the Fund’s investment objective.

Funds maintain varying degrees of cash levels pursuant
to market conditions and the judgment of the portfolio managers. In addition, portfolio managers must raise cash periodically to cover
operating expenses. For any fund, to the extent that cash is held at any given time for operating expenses or other purposes, it will
not be available for investment pursuant to that fund’s investment objective. In addition to these general cash requirements, a
fund’s distribution policy may also require that securities be sold to raise cash for those stockholders who elect to take cash
distributions rather than reinvest in shares of the fund, in which case, it will also not be available for investment pursuant to the
fund’s investment objective. It is possible that a situation will occur where the Distribution Policy contributes to a reduction
of assets over an extended period of time such that the assets of the Fund are reduced to a point where the Fund would no longer be economically
viable. In such event, the Fund would need to take additional actions, which may include, for example, liquidation or merger, to address
the situation. While this is one of the risk factors of any managed distribution policy, including the Distribution Policy, it is important
to note that the Distribution Policy was not designed to be a mechanism for the dissolution of the Fund or a short-term liquidation policy,
and it is not the intention of the Board to allow the Fund to self-liquidate through the unsupervised effects of the Distribution Policy.
The Board monitors the Distribution Policy and the Fund’s asset levels regularly, and remains ready to modify the terms of the
Distribution Policy if, in its judgment, the Board believes it is in the best interests of the Fund and its Stock