On September 13, 2023, Saba Capital Management, L.P. (Trades, Portfolio), a New York-based investment firm, added 12,434 shares to its holdings in Destra Multi-Alternative Fund (DMA, Financial). This transaction increased the firm's total shares in DMA to 909,070, representing a 1.39% change in the firm's holdings. The trade was executed at a price of $5.84 per share, and the traded stock now accounts for 0.14% of the firm's portfolio.
About Saba Capital Management, L.P. (Trades, Portfolio)
Saba Capital Management, L.P. (Trades, Portfolio), located at 405 Lexington Avenue, New York, NY 10174, is an investment firm with a focus on financial services and technology sectors. The firm currently holds 624 stocks in its portfolio, with a total equity of $3.84 billion. Its top holdings include Templeton Global Income Fund (GIM, Financial), BlackRock Capital Allocation Trust (BCAT, Financial), BlackRock Health Sciences Trust II (BMEZ, Financial), BlackRock Innovation & Growth Tr (BIGZ, Financial), and BlackRock ESG Capital Allocation Trust (ECAT, Financial).
Details of the Trade
The recent acquisition of DMA shares by Saba Capital Management, L.P. (Trades, Portfolio) has increased the firm's holdings in the traded stock to 10.15%. Despite the addition, the impact of the trade on the firm's portfolio remains negligible at 0%.
Overview of Destra Multi-Alternative Fund
Destra Multi-Alternative Fund (DMA, Financial) is a non-diversified, closed-end management investment company that operates as an interval fund with a continuous offering of fund shares. The company, based in the USA, operates in a single segment and aims to generate returns from capital appreciation and income, with an emphasis on income generation. As of September 15, 2023, the company has a market capitalization of $54.228 million and a stock price of $6.05.
Evaluation of DMA's Performance
Since the transaction, DMA's stock price has gained 3.6%. However, the stock has seen a decrease of 49.58% since its IPO and a year-to-date decrease of 12.82%. The company's GF Score is 21/100, indicating poor future performance potential. The company's financial strength is ranked 6/10, while its profitability rank is 2/10. The company's growth rank and momentum rank are both 0/10, indicating a lack of growth and momentum.
Industry Performance and Future Prospects
DMA operates in the asset management industry. The company's return on equity (ROE) is -8.23, and its return on assets (ROA) is -6.79. These figures place DMA at ranks 1274 and 1305, respectively, within its industry. The company's RSI 14 Day is 64.71, ranking it at 1499. The company's momentum index for 6 - 1 month is -23.41, ranking it at 1620. Given these figures, DMA's future performance potential appears to be limited.
In conclusion, Saba Capital Management, L.P. (Trades, Portfolio)'s recent acquisition of DMA shares represents a minor adjustment to its portfolio. Despite DMA's poor performance indicators, the firm's increased stake in the company may suggest a long-term investment strategy. However, given the current data, the impact of this transaction on the firm's portfolio and DMA's stock remains to be seen.
