DALLAS, April 1, 2020 /PRNewswire/ -- The
Cushing® Renaissance Fund declared a distribution for
April 2020 of $0.1367 per common share. The Fund's distribution
will be payable on April 30, 2020 to
shareholders of record on April 14,
2020. The ex-date for the Fund's distribution is April 13, 2020.
It is anticipated but not certain that approximately 73% of the
Fund's distribution will be treated as a return of capital. The
final determination of such amounts will be made and reported to
shareholders in early 2021, after the end of the calendar year when
the Fund determines its earnings and profits for the year. The
final tax status of the distribution may differ substantially from
this preliminary information.
In addition, as was previously announced, the Board of Trustees
of the Fund has approved certain changes in the Fund's
non-fundamental investment policies and other related matters as
described below, each of which will become effective as of
April 3, 2020.
Fund Name
Effective as of April 3, 2020, the
Fund's name will change to the Cushing® NextGen Infrastructure
Income Fund. The Fund's ticker symbol (SZC) will remain the
same.
Principal Investment Strategies of the Fund
The Fund will continue to pursue its investment objective to
seek a high total return with an emphasis on current income. There
can be no assurance that the Fund's investment objective will be
achieved.
The Fund currently pursues its investment objective by
investing, under normal market conditions, in at least 80% of
its Managed Assets (as defined in the Fund's prospectus) in a
portfolio of Renaissance Companies, which are (i) Energy Companies,
which are companies across the energy supply chain spectrum,
including upstream, midstream and downstream energy companies
(i.e., companies engaged in exploration and production, gathering,
transporting and processing and marketing and distribution,
respectively), as well as oil and gas services companies, (ii)
Industrial Companies, which are energy-intensive chemical, metal
and industrial and manufacturing companies and engineering and
construction companies that the Investment Adviser expects to
benefit from growing energy production and lower feedstock costs
relative to global costs and, (iii) Logistics Companies, which are
transportation and logistics companies providing solutions to the
U.S. manufacturing industry.
Effective as of April 3, 2020,
under normal market conditions, the Fund will invest at least 80%
of its net assets, plus any borrowings for investment purposes, in
a portfolio of equity and debt securities of infrastructure
companies, including: (i) energy infrastructure companies, (ii)
industrial infrastructure companies, (iii) sustainable
infrastructure companies, and (iv)technology and communication
infrastructure companies.
The Fund is non-diversified and it may invest in companies of
any market capitalization size.
The infrastructure investment landscape is rapidly evolving due
to technological advancement and obsolescence. While some energy
and industrial infrastructure companies (sometimes referred to as
"traditional" infrastructure companies) are now in their maturity
phase, many traditional infrastructure companies have become
leaders in implementing technological innovations. The Fund's next
generation focus within the infrastructure investment landscape
consists of these innovative infrastructure companies along with
sustainable infrastructure companies and technology and
communication infrastructure companies. Similar to traditional
infrastructure assets, which provide the underlying foundation of
basic services, facilities and institutions and are often said to
form the "backbone" of the economy, technology and communication
infrastructure assets provide the underlying foundation of the data
that drives the modern knowledge economy.
The Fund considers an infrastructure company to be any company
that has at least 50% of its assets, income, revenue, sales or
profits committed to or derived from the ownership, operation,
management, construction, development, servicing or financing of
infrastructure assets. Infrastructure assets include energy and
industrial infrastructure assets, sustainable infrastructure assets
and technology and communication infrastructure assets. Energy and
industrial infrastructure assets are physical structures, networks
and systems of transportation, energy, water and sewage, security
and communications. Examples of energy and industrial
infrastructure assets include: toll roads; bridges and tunnels;
airports; seaports; railroads; electricity transmission and
distribution lines; facilities used in gathering, treating,
processing, fractionation, transportation and storage of
hydrocarbon products; water and sewage treatment facilities and
distribution pipelines; communication towers, cables, and
satellites; and security systems related to the foregoing assets.
Sustainable infrastructure assets include renewable energy
infrastructure assets such as power generation from renewable and
other clean energy sources, including utility scale and distributed
solar power, wind, hydroelectric and geothermal power, renewable
energy storage and electric vehicle charging networks, as well as
waste collection and recycling, water purification and
desalinization. Technology and communication infrastructure
assets consist of assets, systems and technologies that collect,
enable, analyze, optimize, automate, transmit and secure the data
that allows businesses and other organizations to
operate. Examples of technology and communications
infrastructure assets include: data centers, cloud, hosting, and
database systems, transactional and financial back end systems,
customer relationship management systems, smart city technologies,
network security and cybersecurity, automation systems, human
resource and workforce management and industry specific
infrastructure software.
The Fund will continue to invest at least 25% of its assets in
companies operating in the energy and energy infrastructure
sectors. The Fund will continue to invest no more than 25% of
its total assets in securities of energy master limited
partnerships ("MLPs") that qualify as publicly traded partnerships
under the Internal Revenue Code.
No other changes to the Fund's investment policies are being
made in connection with these changes, nor are any such further
changes currently anticipated.
Portfolio Managers
In connection with the changes to the Fund's investment
policies, effective as of April 3,
2020, the Fund's portfolio management team will be comprised
of Jerry Swank, Saket Kumar, Alex
Palma and Hari Kusumakar.
- Jerry V. Swank is
Founder, Chairman, Managing Partner and Chief Investment Officer of
the Investment Adviser. Mr. Swank formed Swank Capital, LLC and the
Cushing Asset Management (the "Investment Adviser") in 2000 and
2003. Prior to forming the firm, Mr. Swank was President of
John S. Herold, Inc., an oil and gas
research company (now part of IHS Markit). Prior to joining
John S. Herold, Inc., Mr. Swank held
institutional equity and fixed-income sales roles at Credit Suisse
First Boston and served as an analyst and portfolio manager with
Mercantile Texas Corp. He received a BA from the University of Missouri (Economics) and an MBA from
the University of North Texas. Mr.
Swank currently serves on the board of directors of The
Cushing® MLP &
Infrastructure Total Return Fund, The Cushing® Energy Income Fund, and
Cushing® Mutual Funds
Trust. Mr. Swank has been a portfolio manager of the Fund since
inception.
- Saket Kumar is a Partner,
Portfolio Manager and Co-Chief Investment Officer, Global Equity
Strategies, of the Investment Adviser. Mr. Kumar originally joined
the firm in 2008 as a Senior Research Analyst and rejoined the
Investment Adviser in 2012 after a one-year research analyst
position with Citadel Investment Group. Mr. Kumar received an MBA
in finance and accounting from Southern
Methodist University and a BS in marine engineering from
Marine Engineering and Research Institute in India.
- Alex Palma is a Portfolio
Manager and Senior Research Analyst of the Investment Adviser. Mr.
Palma joined the Investment Adviser in 2013 to cover the
industrials and oil field services sectors. Previously, he worked
as a research analyst and trader for an event driven hedge fund.
Prior to that, he worked in institutional equity sales for Merrill
Lynch. He earned his Bachelor of Arts in Accounting from
Furman University. Mr. Palma is also a
CFA® charterholder.
- Hari Kusumakar is a Portfolio Manager and Senior
Research Analyst of the Investment Adviser. Mr. Kusumakar has
worked in investment research since 2010 and joined the Investment
Adviser in 2018. Previously he worked as an equity research analyst
for Tiger Legatus Capital Management, a tiger-seeded long/short
equity hedge fund in New York.
Prior to that, he worked at Moody's Investor Service as a credit
research analyst. He earned his MBA in Investment Management from
MIT Sloan School of Management; MS in
Industrial Engineering from The Ohio State
University; and B. Tech in Chemical Engineering from
Indian Institute of Technology,
Mumbai, India.
Management Fee
For its services, the Investment Adviser is currently paid a fee
at the end of each calendar month equal to 1.25% of the average
daily value of the Fund's Managed Assets (as defined in the
advisory agreement) during such month. Effective as of
April 3, 2020, the advisory fee will
equal 1.00% of the average daily value of the Fund's Managed Assets
for the next twelve months.
No action is required by shareholders of the Fund in connection
with these changes.
The Fund is a non-diversified, closed-end management investment
company with an investment objective of seeking a high total return
with an emphasis on current income. The Fund is traded on the New
York Stock Exchange under the symbol "SZC."
ABOUT CUSHING® ASSET
MANAGEMENT, LP
Cushing, a subsidiary of Swank
Capital, is an SEC-registered investment adviser headquartered in
Dallas, Texas. Cushing serves as investment adviser to
affiliated funds and managed accounts providing active management
in markets where inefficiencies exist. As of December 31, 2019, Cushing had approximately $1.8 billion of assets under management in
closed-end funds, mutual funds, privately offered funds and
separately managed accounts.
Contact:
Geoff
Crumrine
Cushing® Asset
Management, LP
214-692-6334
www.cushingasset.com
IMPORTANT INFORMATION
This press release shall not constitute an offer to sell or a
solicitation to buy, nor shall there be any sale of these
securities in any state or jurisdiction in which such offer or
solicitation or sale would be unlawful prior to registration or
qualification under the laws of such state or jurisdiction.
This press release contains certain statements that may include
"forward-looking statements" within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934. All statements, other than statements of
historical fact, included herein are "forward-looking statements."
Although the Funds and Cushing
believe that the expectations reflected in these forward-looking
statements are reasonable, they do involve assumptions, risks and
uncertainties, and these expectations may prove to be incorrect.
Actual results could differ materially from those anticipated in
these forward-looking statements as a result of a variety of
factors, including those discussed in the company's reports that
are filed with the Securities and Exchange Commission. You should
not place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. Other than as
required by law, the Funds and Cushing do not assume a duty to update this
forward-looking statement.
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SOURCE Cushing Asset Management, LP and Swank Capital, LLC