Company: CLM
Filing Date: 2025-02-21
Form Type: N-2
Source: 0001398344-25-003234
Chunk: 52

Company: Cornerstone Strategic Investment Fund, Inc.
Filing Date: 2025-02-21
Form: N-2
Chunk 52
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 value. For example, even if the securities prices are unchanged on their
primary foreign stock exchange, the Fund’s net asset value may change because of a change in the rate of exchange between the U.S.
dollar and the trading currency of that primary foreign stock exchange. Certain currencies are more volatile than those of other countries
and Fund investments related to those countries may be more affected. Generally, if a foreign currency depreciates against the dollar
(i.e., if the dollar strengthens), the value of the existing investment in the securities denominated in that currency will decline.
When a given currency appreciates against the dollar (i.e., if the dollar weakens), the value of the existing investment in the
securities denominated in that currency will rise. Certain foreign countries may impose restrictions on the ability of foreign securities
issuers to make payments of principal and interest to investors located outside of the country, due to a blockage of foreign currency
exchanges or otherwise.

| 34 |

Illiquid Securities.The Fund may invest
up to 15% of its respective net assets in illiquid securities. Illiquid securities may offer a higher yield than securities which are
more readily marketable, but they may not always be marketable on advantageous terms. The sale of illiquid securities often requires
more time and results in higher brokerage charges or dealer discounts than does the sale of securities eligible for trading on national
securities exchanges or in the over-the-counter markets. A security traded in the U.S. that is not registered under the Securities Act
will not be considered illiquid if Fund management determines that an adequate investment trading market exists for that security. However,
there can be no assurance that a liquid market will exist for any security at a particular time.

Interest Rate Risk.Debt securities
have varying levels of sensitivity to changes in interest rates. In general, the price of a debt security can fall when interest rates
rise and can rise when interest rates fall. Securities with longer maturities and mortgage securities can be more sensitive to interest
rate changes although they usually offer higher yields to compensate investors for the greater risks. The longer the maturity of the
security, the greater the impact a change in interest rates could have on the security’s price. In addition, short-term and long-term
interest rates do not necessarily move in the same amount or the same direction. Short-term securities tend to react to changes in short-term
interest rates and long-term securities tend to react to changes in long-term interest rates.

Investment