Saba Opportunistically Hedged Closed - End Funds ETF ( CEFS ) Announces Adjustment to Allocation Rate and Frequency
The fund will be allocated quarterly instead of monthly.
Oklahoma City, October 2, 2026 / PRNewswire / — Saba Opportunistically Hedged Closed - End Funds ETF ( Cboe BZX : CEFS, hereinafter referred to as "this Fund") today announces that, in accordance with the recommendations of this Fund's deputy investment advisors Saba Capital Management and L.P (hereinafter referred to as " Saba"), the ratio and frequency of distributions to shareholders will be adjusted.
Effective from September 25, 2026, this fund will seek to distribute profits at an annualized rate equivalent to 12% of the fund's net asset value ( NAV ), and distributions will be made quarterly rather than monthly. According to the revised distribution policy, the initial distribution will be $0.246 per share and will be paid to shareholders registered as of September 28, 2026, on September 30, 2026. The ex-dividend date is September 28, 2026.
"We are delighted to increase the allocation rate of CEFS to 12%, which reflects Saba's confidence in the ongoing opportunities in the closed-end fund market, as well as our commitment to creating value for fund shareholders. Changing to quarterly distributions also gives us greater flexibility in portfolio management as we pursue attractive risk-adjusted returns through hedging strategies."
— Saba Capital Management, L.P. Partner and Portfolio Manager Paul Kazarian
This fund is expected to distribute profits based on a fixed percentage of the net asset value of the fund at a specific point in time. The fund aims to achieve a total return that is sufficient to support an annual distribution rate of 12% after deducting fees, but this cannot be guaranteed. The distribution rate and frequency may be adjusted at any time. The quarterly distributions of this fund may exceed the fund's income and earnings; in such cases, part or all of the distribution may constitute a capital return ( ROC ). A capital return will reduce the original investment amount of shareholders and may result in investors recovering their entire initial investment. A capital return should not be confused with yield or income, nor does it reflect the investment performance of the fund.
Revised Section 19(a) of the 1940 Investment Company Act ("1940 Act"), and Rule 19a-1 thereunder, require that when this fund makes any distribution that is not derived from net investment income, a written explanation must be provided along with it to fully disclose the source of such distribution. Therefore, if the source of a particular distribution is the original capital contribution of the shareholders, and such payment constitutes a return of capital, then the fund will be required to provide a written disclosure in this regard. Shareholders of the fund should carefully read any written disclosures provided in accordance with Section 19(a) and Rule 19a-1, and should not assume that the source of any distribution by the fund is necessarily net income or profit.
With each distribution, the fund’s estimate for the source of that distribution will be published at https :// sabaetf.com, and shareholders will be notified via synchronization. Since the final tax attributes of the fund distributions can only be determined after the end of the calendar year, these estimates may change. The final tax attributes for all fund distributions will be provided through the 1099- DIV form, which will be sent out after the end of the calendar year.
The target allocation rate is not guaranteed, nor does it represent a fixed amount of yield or total return. Similarly, there is no guarantee as to whether the fund's investment objectives can be achieved, whether the fund's investment strategy will be properly executed, or whether any amount will be allocated. Investors may incur losses.
Regarding Saba Opportunistically Hedged Closed - End Funds ETF ( CEFS )
CEFS is an actively managed exchange-traded fund (ETF) designed to achieve capital appreciation and dividend income by investing in closed-end funds that are traded at a discount below their net asset value, while opportunistically hedging against interest rate risks and broader portfolio market exposures.
Regarding Saba Capital Management, L.P.
Saba Capital Management, L.P is an investment advisory firm regulated and registered with the U.S. Securities and Exchange Commission (SEC). As of September 1, 2026, the firm managed assets totaling 6.8 billion US dollars. The company was founded by Boaz Weinstein in 2009.
Registration under SEC does not imply possessing a certain level of skill or training.
About Exchange Traded Concepts
Exchange Traded Concepts and LLC is an investment advisory firm registered in SEC, specializing in white-label ETF services, associate advisory services, portfolio management, fund marketing, and consulting services. ETC collaborates with asset management companies to bring ETF strategies to the market.
Registration under SEC does not imply possessing a certain level of skill or training.
exchangetradedconcepts.com
Important Disclosure
Before investing, investors should carefully consider their investment objectives, risks, fees, and expenses. To obtain a prospectus or summary prospectus that includes the above information as well as other details about the fund, please call +1 888-615-4310 or visit sabaetf.com. Please read the prospectus or summary prospectus carefully before making any investments.
Investment involves risk, and there is a possibility of principal loss. It cannot be guaranteed that this fund will achieve its investment objectives.
Fund shares are traded at market prices rather than net asset values, and the transaction prices may be at a premium or discount to the net asset values. Brokerage commissions will reduce returns. Fund shares cannot be redeemed individually; they can only be redeemed by authorized participants in units of creation.
Since this fund is a "fund of funds," its investment performance depends to a large extent on the performance of the underlying funds it invests in, it therefore faces risks associated with those underlying funds. Leverage can increase the risk of losses and have a disproportionate greater impact on the volatility of the fund's portfolio market value, or may lead to a faster overall decline in the fund's net asset value than would otherwise be the case. Derivatives may be more sensitive to changes in the market environment, thereby magnifying risks. High-yield bonds carry a higher risk of default or other adverse credit events, but they may also offer higher returns compared to investment-grade bonds. The higher default risk, or the debtor's inability to repay debts, is the main reason for the higher interest rates of high-yield bonds.
Exchange Traded Concepts and LLC serve as investment advisors for this fund. Saba Capital Management and L.P act as deputy investment advisors for this fund and are responsible for investment decisions. The distribution of this fund is handled by Foreside Fund Services and LLC. Foreside Fund Services, LLC, Exchange Traded Concepts, LLC, L.P, and any of their related parties have no association with this fund.
1. Asset management scale as of September 1, 2026
