Deep Discount Files Opposing Proxy with Global Small Cap Fund
December 20, 1999
Deep Discount Advisors of Asheville, N.C. has submitted to the SEC an opposing proxy statement to replace the directors of the Global Small Cap Fund of New York, despite what appears to be an attempt by the fund to ignore the proxy, according to SEC filings.
Deep Discount has been concerned that the fund would not allow it to introduce the opposing proxy at a special meeting on Dec. 30. The firm currently holds about 40 percent of the outstanding shares of the fund. Deep Discount apparently decided to file the proxy, dated Dec. 8, despite its concerns.
The opposing proxy proposes a new slate of directors who will be committed to eliminating the fund's persistent discount to net asset value. Deep Discount's slate of directors includes Ron Olin, chairman and CEO of the firm and Phillip Goldstein, director of the Clemente Strategic Value Fund of New York. Both Goldstein and Olin are well-known closed-end fund activists.