Miller/Howard High Income Equity Fund (HIE) Stock

Miller/Howard High Income Equity is scheduled to terminate on November 22, 2024, due to its expiring ten-year term. Shareholders will receive a final distribution equal to the net asset value on the termination date. HIE's portfolio consists of exchange-listed equity with ample liquidity, minimizing concerns about realized losses during liquidation.

Miller/Howard High Income Equity fund is set to liquidate on November 24, 2024, barring an extension or attempt to switch to a perpetual fund. The HIE closed-end fund's discount has narrowed, as expected, heading nearer the anticipated termination date. That discount narrowing has meant that the opportunity here has narrowed as well, but those continuing to hold still have the opportunity to generate some attractive annualized alpha.

The Miller/howard High Income Equity fund has seen substantial gains since its Buy rating in 2023, driven by a narrowing of its discount to NAV and underlying equities delta. The fund is set to terminate in 2024, with the potential for a 1-year extension if approved by the Board.

Miller/Howard High Income Equity Fund is expected to liquidate in November 2024, presenting a buying opportunity due to the potential for the fund's discount to narrow. The activist group Saba Capital holds a substantial stake in HIE, and that's pretty good company to be with. Though HIE's portfolio has a heavy weighting towards the energy sector, which can be a much more volatile area of the market.

HIE seeks high current income by investing in high-yielding equities from various sectors. HIE has a specific termination date set for November 24, 2024, but it can be extended for one year to November 24, 2025, with approval from the Board of Trustees.

The Miller/Howard High Income Equity Fund is a term structured fund expected to liquidate by the end of 2024. The fund is diversified but leans towards the energy sector. HIE has reduced its leverage materially, which is seen as a positive move, in my opinion. The fund's advisory fee has also been reduced, which is another positive development. The fund's discount is still at a level where some alpha can be generated going into its termination, making it a decent choice to consider for investment.