Company: CLM
Filing Date: 2025-02-21
Form Type: N-2
Source: 0001398344-25-003234
Chunk: 35

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-02-21
Form: N-2
Chunk 35
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-end investment company’s expenses, including advisory fees. These expenses are in addition to the
direct expenses of the Fund’s own operations.

Exchange Traded Funds

The Fund may invest in ETFs, which are investment
companies that aim to track or replicate a desired index, such as a sector, market or global segment. ETFs are passively managed and
their shares are traded on a national exchange. ETFs do not sell individual shares directly to investors and only issue their shares
in large blocks known as “creation units.” The investor purchasing a creation unit may sell the individual shares on a secondary
market. Therefore, the liquidity of ETFs depends on the adequacy of the secondary market. There can be no assurance that an ETF’s
investment objective will be achieved, as ETFs based on an index may not replicate and maintain exactly the composition and relative
weightings of securities in the index. ETFs are subject to the risks of investing in the underlying securities. The Fund, as a holder
of the securities of the ETF, will bear its pro rata portion of the ETF’s expenses, including advisory fees. These expenses are
in addition to the direct expenses of the Fund’s own operations.

Foreign Securities

The Fund may invest in foreign securities, including
direct investments in securities of foreign issuers that are traded on a U.S. securities exchange or over the counter and investments
in depository receipts (such as American depositary receipts (“ADRs”)), exchange-traded funds (“ETFs”) and other
closed-end investment companies that represent indirect interests in securities of foreign issuers. The Fund is not limited in the amount
of assets it may invest in such foreign securities. These investments involve risks not associated with investments in the United States,
including the risk of fluctuations in foreign currency exchange rates, unreliable and untimely information about the issuers and political
and economic instability. These risks could result in the Investment Adviser’s misjudging the value of certain securities or in
a significant loss in the value of those securities.

The value of foreign securities is affected by changes
in currency rates, foreign tax laws (including withholding tax), government policies (in this country or abroad), relations between nations
and trading, settlement, custodial and other operational risks. In addition, the costs of investing abroad are generally higher than
in the United States, and foreign securities markets may be less liquid, more volatile and less subject to governmental supervision than
markets in the United States. As an alternative to holding foreign