Money Stuff: The Podcast · Friday, August 14, 2026
Boaz Weinstein draws parallels between activism in closed-end funds and Business Development Companies (BDCs), noting that the fundamental principles are similar due to both being 40 Act products. He explains that activism can involve replacing management or seeking fee reductions, a strategy he has employed successfully in the past.
“Like yes, so they are. They are not close cousins. They're literally like brother and sister. You might even say they're like identical twins, but like there's one thing different about them, you know, the redemption rights. This kind of like history we have in closing in funds is not just like tangentially helpful. It is front end center the more or less the same. There are forty act products that manager is the sec to deal with. If they don't treat their investors properly, we can avail ourselves of the courts as we have in closed in funds.”
“So in order to actually take one of these over, you're going to have the manager tell the clients you shouldn't listen to them, and a lot of them are actually going to not listen to the activist. But imagine this, Matt Okay, we say we're going to do no fees for a year.”