SCHEDULE 14A
Proxy Statement Pursuant to Section 14(a)
of the Securities Exchange Act of 1934
Filed by the Registrant ¨
Filed by a Party other than the Registrant þ
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| ¨ | Preliminary Proxy Statement |
| ¨ | Confidential, for Use of the Commission Only (as permitted by Rule 14a-6(e)(2)) |
| ¨ | Definitive Proxy Statement |
| þ | Definitive Additional Materials |
| ¨ | Soliciting Material Under Rule 14a-12 |
Clough Global Dividend and Income Fund
(Name of Registrant as Specified In Its Charter)
Saba Capital Management, L.P.
Boaz R. Weinstein
Thomas H. McGlade
Peter Tchir
(Name of Person(s) Filing Proxy Statement, if other than the Registrant)
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SHAREHOLDERS OF CLOUGH GLOBAL DIVIDEND AND INCOME FUND:
IT IS TIME TO HOLD CLOUGH ACCOUNTABLE FOR POOR PERFORMANCE AND EXCEPTIONALLY HIGH FEES
IT IS EXTREMELY IMPORTANT THAT YOU COMPLETE, SIGN AND RETURN THE ENCLOSED GOLD PROXY CARD. HELP YOUR FELLOW SHAREHOLDERS PREVENT CLOUGH FROM CONTINUING TO TAKE EXORBITANT FEES FROM YOUR INVESTMENT AND RETURNING PROLONGED POOR PERFORMANCE.
FEES AMONG HIGHEST IN INDUSTRY
Clough is not being upfront with shareholders about their exorbitant fees. The truth is that this is a greedy attempt by Clough to continue taking fees that are among the highest in the industry! Clough refuses to display their total fees on their website, will only inform you of fees that have been “adjusted”, and tells you that if you want to know the actual expense ratio then you need to call them. The simple fact is their Total Expense Ratio was 3.65% in 2016. If you are hesitant to believe the expense ratio is truly this high then please go to Morningstar.com or CEFA.com and you will see what Clough won’t publically acknowledge.
According to the fund’s audited financial statements, Clough has generated $62 million dollars of fees and expenses since inception! This is $62 million that has come directly from shareholder’s pockets. Since the inception of the fund through the end of 2016, the fund has returned shareholders 86% (inclusive of all distributions). Excluding these fees and expenses your share price would be 52% higher.
The only person doing well here is Clough’s management team. The below chart illustrates the return that Clough has generated their shareholders when compared to the S&P500 or the Down Jones Industrial Average. We believe this is the result of Clough putting itself before creating value for shareholders.
THE TABLE BELOW TELLS YOU ALL YOU NEED TO KNOW
FROM INCEPTION THROUGH DECEMBER 2016, THE FUND HAS UNDERPERFORMED THE S&P 500 BY 77.3%
| INDEX/TICKER | IPO-2016 |
| S&P500 | 163.3% |
| DOW JONES | 168.1% |
| GLV | 86.0% |
For the past ten years, the fund has traded at a price that is on average 13% less than the value of its portfolio. What this means to shareholders is that there are simple actions Clough could take that would generate a double digit return for all shareholders. The board must take these actions and allow all shareholders to sell their investments at its true value; something shareholders haven’t been able to do since 2006.
Your vote for Saba Capital will allow us to fight for lower fees for all shareholders and for better management. Through these improvements, we are confident that the fund will trade at a higher price.
Clough will spend hundreds of thousands of YOUR dollars on phone calls and mailings; this is money that will come out of the value of your fund and highlights Clough’s willingness to put their own interests above shareholders.
Please take a few minutes to sign, date and mail the GOLD proxy card following the instructions on the enclosed card. Your vote will help allow us to get you the value you deserve for your investment.
Sincerely,
Saba Capital Management, L.P.
212-542-4646