95% price drop but 6.76% annual return with DRIP over 30 years.
Cornerstone Strategic Investment Fund (CLM) has seen a 95% share price decline and 13 distribution cuts, yet dividend reinvestment yields a 6.76% annual return since 1995.
CLM's share price fell nearly 95% with multiple reverse splits, and distributions dropped from 33 cents to 12.15 cents per share. Yet a $10,000 investment in 1995 with dividend reinvestment produced 6.76% annual returns, growing to $75,000. Even investing at the all-time high in 1999 yielded 4.26% annually.
"Why High Yield Investing is Much Safer Than You Think"