Company: CLM
Filing Date: 2025-04-21
Form Type: 424B3
Source: 0001398344-25-007380
Chunk: 72

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-04-21
Form: 424B3
Chunk 72
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 and other non-corporate taxpayers is (i) the same as the maximum
ordinary income tax rate for gains recognized on the sale of capital assets held for one year or less or (ii) generally, 20% for gains
recognized on the sale of capital assets held for more than one year (as well as certain capital gain dividends). Any loss on a disposition
of Shares held for six months or less will be treated as a long-term capital loss to the extent of any capital gain dividends received
with respect to those Shares. The use of capital losses is subject to limitations. For purposes of determining whether Shares have been
held for six months or less, the holding period is suspended for any periods during which the Stockholder’s risk of loss is diminished
as a result of holding one or more other positions in substantially similar or related property, or through certain options or short
sales. Any loss realized on a sale or exchange of Shares will be disallowed to the extent those Shares are replaced by other substantially
identical Shares within a period of 61 days beginning 30 days before and ending 30 days after the date of disposition of the Shares (whether
through the reinvestment of distributions, which could occur, for example, if the Stockholder is a participant in the Plan or otherwise).
In that event, the basis of the replacement Shares will be adjusted to reflect the disallowed loss.

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An investor should be aware that, if Shares are purchased
shortly before the record date for any taxable dividend (including a capital gain dividend), the purchase price likely will reflect the
value of the dividend and the investor then would receive a taxable distribution likely to reduce the trading value of such Shares, in
effect resulting in a taxable return of some of the purchase price. Taxable distributions to individuals and certain other non-corporate
Stockholders, including those who have not provided their correct taxpayer identification number and other required certifications, may
be subject to “backup” federal income tax withholding currently equal to 24%.

An investor should also be aware that the benefits
of the reduced tax rate applicable to long-term capital gains and qualified dividend income may be impacted by the application of the
alternative minimum tax to individual stockholders.

If the Fund utilizes leverage through borrowing,
it may be restricted by loan covenants with respect to the declaration of, and payment of, dividends in certain circumstances. Limits
on the Fund’s payments of dividends may prevent the Fund from meeting the distribution requirements, described above, and may