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HGLB

Highland Global Allocation FundNYSE:HGLB Stock Report

Market Cap US$173.4m
Share Price
n/a
1Y-13.8%
7D-4.4%
1D0.4%
Portfolio Value
​
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Highland Global Allocation Fund

NYSE:HGLB Stock Report

Market Cap: US$173.4m

Highland Global Allocation Fund (HGLB) Stock Overview

No business description. More details

HGLB fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance0/6
Financial Health0/6
Dividends2/6

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Highland Global Allocation Fund Competitors

 
 
 
 
 
 
 
 
 
 
 
 

Price History & Performance

Summary of share price highs, lows and changes for Highland Global Allocation Fund
Historical stock prices
Current Share PriceUS$7.38
52 Week HighUS$10.64
52 Week LowUS$7.26
Beta0
1 Month Change-7.40%
3 Month Change-3.40%
1 Year Change-13.79%
3 Year Change-12.46%
5 Year Change-19.61%
Change since IPO-51.15%

Recent News & Updates

Seeking Alpha • Jan 12

HGLB: Flawed Portfolio Structure Limits Appeal

Summary Highland Global Allocation Fund remains a hold due to concentration risks and sensitivity to interest rate changes. HGLB trades at a 27% discount to NAV, but its income generation relies heavily on positive net realized gains rather than stable net investment income. The fund's high 11.4% yield is attractive, yet dividend sustainability is questionable if rates fall or markets turn negative. Exposure to real estate, floating-rate debt, and a large private holding increases vulnerability to adverse market or rate shifts. Read the full article on Seeking Alpha

Recent updates

Seeking Alpha • Jan 12

HGLB: Flawed Portfolio Structure Limits Appeal

Summary Highland Global Allocation Fund remains a hold due to concentration risks and sensitivity to interest rate changes. HGLB trades at a 27% discount to NAV, but its income generation relies heavily on positive net realized gains rather than stable net investment income. The fund's high 11.4% yield is attractive, yet dividend sustainability is questionable if rates fall or markets turn negative. Exposure to real estate, floating-rate debt, and a large private holding increases vulnerability to adverse market or rate shifts. Read the full article on Seeking Alpha
Seeking Alpha • Mar 28

HGLB: 12%-Plus Yield, 33% Discount

Summary The Highland Global Allocation Fund is a closed-end fund investing in U.S. and international equities, fixed income, and select alternative investments for long-term growth. HGLB offers a 12.69% yield with monthly dividends but has a low 5-year dividend growth rate due to past reductions. The fund's heavy concentration in MidWave Wireless (34%) and significant exposure to real estate and energy sectors pose diversification and economic risks. Despite a 33.71% discount to NAV, HGLB's historical performance and current overbought status suggest a "Hold Off" rating. Read the full article on Seeking Alpha
Seeking Alpha • Aug 02

HGLB: Tempting 12.5% Yield, Trading At A Substantial Discount To NAV

Summary Highland Global Allocation Fund offers a monthly dividend with an annual yield of 12.5% at a current market price of $7.80. Managed by James Dondero, HGLB seeks above-average risk-adjusted total returns by investing in U.S. and foreign equities, fixed-income securities, and alternative investments. HGLB trades at a substantial discount to NAV, has a concentrated portfolio, and relies heavily on a single private company, posing potential risks for investors. Read the full article on Seeking Alpha
Seeking Alpha • Jan 12

HGLB: High-Yielding Global Balanced CEF Beating The Broader Market

Summary Highland Global Allocation Fund has generated double-digit yield during the past years and has been able to generate a total return much higher than the broader market. The largest bet of HGLB is in a private enterprise, which I believe is quite hard to value. So, a deep discount of 21 percent is nothing to be excited. Generating strong yield should not be difficult for HGLB, due to performance of its public equity portfolio and high coupon on its fixed income portfolio. The majority of HGLB’s fixed income security portfolio possesses an investment grade credit rating, and a decent effective maturity of 6.77 years. By Snehasish Chaudhuri, MBA (Finance). Highland Global Allocation Fund (HGLB) is a closed-end balanced fund ("CEF") that invests its assets in equity markets around the globe and also in fixed-income securities. The fund has an expense ratio of 0.73 percent, and an asset under management ("AUM") of $271.25 million. Currently, it has invested 60 percent of its assets in U.S. stocks, and 20 percent in fixed income securities, mostly of investment grade. The fund bets on some private enterprises and relies heavily on three sectors - real estate, information and communication technology ((ICT)) and energy. These three sectors account for 85 percent of its entire portfolio. A big drawback about investing in private firms is that they are difficult to value and not highly sought after. As a result, investors have a tendency to undervalue this fund, as is exhibited by HGLB’s price of $9.62, which is a 21 percent discount to its net asset value ((NAV)). HGLB’s Top Investments in Public Equities Have Delivered Satisfactory Results The fund has a very concentrated portfolio. While it invests in 66 securities, the top ten holdings account for almost 60 percent of its total portfolio of investments. The fund bets big on TerreStar, a privately held firm, accounting for almost one-fourth of its entire assets. It invested 18.6 percent in its equity stock, and 6.2 percent in its term loan. Terrestar operates integrated satellite and terrestrial telecommunications systems, and a nationwide licensee of wireless spectrum. HGLB also invested almost 18 percent of its assets in energy and chemical firms such as Targa Resources Corp (TRGP), Energy Transfer LP (ET), and Western Midstream Partners LP (WES). Surprisingly these stocks recorded positive price growth, and TRGP & ET grew by more than 30 percent. HGLB’s other major equity holdings include a substantial number of real estate firms like NexPoint Real Estate Finance Inc (NREF), NexPoint Residential Trust Inc (NXRT), NexPoint Diversified Real Estate Trust (NXDT), Alexandria Real Estate Equities Inc (ARE), Whitestone REIT (WSR), Healthcare Realty Trust Inc (HR), GAF REIT, Gaf Reit Sub Ii Llc, and Braemar Hotels & Resorts Inc (BHR). 29 percent of its assets are invested in the real estate sector, including bonds. Although all these stocks recorded a negative price growth during the past one year, all of them barring NXDT recorded decent to high positive price growth over the past three months. If such trends sustain, that will be a good thing for investors of Highland Global Allocation Fund. HGLB’s Rated Fixed Income Portfolio Enables it to Generate Strong Yields GAF REIT and Gaf Reit Sub Ii Llc are private entities, not listed in the stock market, similar to that of Terrestar. Together, these three account for 1/3rd of HGLB’s assets. Its fixed income securities portfolio include Quarternorth Tranche 3, Txu Tceh Tra Rights, Sovereign bond of Argentina 3.5 percent, FREMF MORTGAGE TRUST 9.3 percent, Nexpoint Sfr Note, Nht Convertible Prom Note and Quarternorth Penny Warant. The fund also invests in funds like Teucrium Corn ETF (CORN), NexPoint Event Driven Z (HHCZX), and Highland Income Fund (HFRO). Due to its significant investments in fixed income securities, Highland Global Allocation Fund has been able to generate strong yields. It pays a monthly dividend, and during the past four years of its existence, the fund generated an annual average yield of 11.5 percent. Based on such a high yield, Highland Global Allocation Fund has been able to generate an annual average total return of 19 percent in between 2020 and 2022, which is outstanding considering the performance of the broader market during the same period. During the same period, the S&P500 Index (SP500) grew by an average of less than 10 percent. I am quite optimistic about strong returns in the coming years due to satisfactory performance of its top public equity portfolio and high average coupon of 8.22 percent earned on its fixed income portfolio. These fixed income securities also possess high credit ratings, and almost three-fourth of its bonds are rated investment grade. Average credit rating of the entire fixed income portfolio is rated A. This is encouraging, since 70 percent of its fixed income portfolio composes corporate bonds. Moreover, effective maturity of this fixed income portfolio is also decent at 6.77 years. Testing My "7 Factor Model for Evaluating Global Funds" on HGLB I find Highland Global Allocation Fund to be attractive according to my "7 Factor Model for Evaluating Global Funds." It qualifies for the minimum requirements with respect to assets under management ("AUM"), stock price, and generated double-digit yield during the past four years of its existence. Its top allocations in public equity stocks delivered satisfactory performance. Based on such high yield, HGLB has been able to generate an annual average total return much higher than the broader market. Moreover, the fund pays monthly dividends, and is trading at a deep discount. The majority of its fixed income security portfolio also possesses an investment grade credit rating and a decent effective maturity. HGLB thus becomes quite lucrative, provided that it can sustain its current level of yield.
Seeking Alpha • Jan 04

Highland Global Allocation Fund raises dividend by 4% to $0.084

Highland Global Allocation Fund (NYSE:HGLB) declares $0.084/share monthly dividend, 3.7% increase from prior dividend of $0.081. Forward yield 10.87% Payable Jan. 31; for shareholders of record Jan. 23; ex-div Jan. 21. Payable Feb. 28; for shareholders of record Feb. 21; ex-div Feb. 20. Payable Mar. 31; for shareholders of record Mar. 24; ex-div Mar. 23. See HGLB Dividend Scorecard, Yield Chart, & Dividend Growth.
Seeking Alpha • Oct 04

Highland Global Allocation Fund declares $0.081 dividend

Highland Global Allocation Fund (NYSE:HGLB) declares $0.081/share monthly dividend, in line with previous. Forward yield 10.53% Payable Oct. 31; for shareholders of record Oct. 24; ex-div Oct. 21. Payable Nov. 30; for shareholders of record Nov. 23; ex-div Nov. 22. Payable Dec. 30; for shareholders of record Dec. 23; ex-div Dec. 22. See HGLB Dividend Scorecard, Yield Chart, & Dividend Growth.
Seeking Alpha • Sep 21

Highland Global Allocation Fund goes ex-dividend tomorrow

Highland Global Allocation Fund (NYSE:HGLB) had declared $0.081/share monthly dividend, in line with previous. Payable Sept. 30; for shareholders of record Sept. 23; ex-div Sept. 22. See HGLB Dividend Scorecard, Yield Chart, & Dividend Growth.
Seeking Alpha • Aug 29

HGLB: Global CEF With A 9.4% Yield But High Single Name Concentration

Summary Highland Global Allocation Fund is a multi-asset global allocation CEF. The fund takes very concentrated positions with the top five names representing more than 45% of the CEF. Two of the top three names in the portfolio are private companies, with the top name TerreStar accounting for roughly 24% of the fund. The vehicle is up over 20% year to date, handily beating most market indices. This article covers CEFs from our suite of products - we focus on CEFs, yield-generating options strategies, and macro portfolio allocation, targeting overall yearly portfolio returns of 9%+. Thesis Highland Global Allocation Fund (HGLB) is a multi-asset global allocation fund. Per its literature: The Fund seeks above-average risk-adjusted total returns by investing in U.S. and foreign equities and fixed income securities, along with select alternative investments in the pursuit of long-term capital growth and future income. Currently over 75% of the fund is invested in equities, followed by floating rate loans (roughly 10% of the fund) and MLPs (also with around 10% allocation). The fund switched from an open-end structure to a CEF format in 2019: DALLAS – Feb. 14, 2019 – Highland Capital Management Fund Advisors, L.P. (together with its affiliates, “Highland”) announced today that the Highland Global Allocation Fund, a series of Highland Funds II (the “Fund”) effected a reverse stock split of Class A, Class C and Class Y shares of the Fund and combined such shares into a single class of common shares under the CUSIP 43010T104 in connection with the Fund’s conversion from an open-end fund to a closed-end fund (the “Conversion”). Since its conversion the CEF has always traded at a sizable discount to NAV due to the illiquidity of its top investment, namely Terrestar Corp. The CEF is now priced at a -19.8% discount to NAV. We expect the discount to always persist as long as Terrestar is in the portfolio. The fund has a very concentrated portfolio. While the fund has 70 holdings, the top five names represent more than 45% of the CEF. Two of the top 3 names in the portfolio are private companies, with the top name TerreStar accounting for roughly 24% of the fund (via the equity and debt holdings). Terrestar is a privately held, nationwide licensee of wireless spectrum. HGLB is a global CEF with a very broad mandate that allows the portfolio manager (Mr. Jim Dondero) to pretty much take risk as he sees fit from an allocation perspective. The fund takes very concentrated positions that include illiquid and private companies. By definition these type of investments are harder to value and exit, hence the significant discounts to NAV that the fund exhibits. In our view this is not an appropriate vehicle for a retail investor since the risk factors can change substantially, and in effect an investor is underwriting the Highland platform and Mr. Dondero's investing acumen. Expect highly concentrated illiquid investments. Holdings The fund contains a mix of debt and equities: Fund Composition (Fact Sheet) We can see that over 75% of the fund is invested in equities, followed by floating rate loans and MLPs. The fund has a global geographic distribution: Allocation (fund fact sheet) While the U.S. represents the largest exposure, the fund has a global mandate across debt and equity and can invest in a plethora of markets. We feel this broad mandate is not beneficial to shareholders because the risk factors can change swiftly and at the fund manager's discretion. We would much rather see a global fund with a specific risk factor track record. The vehicle is extremely concentrated in its top holdings: Top 5 Exposures (Fund Fact Sheet) We can see that the top five holdings represent more than 45% of the fund portfolio. This is fairly significant. It means that the fund performance is largely driven by a handful of names. We can see that historically this has been the theme for this fund: 2021 Top Names (Fund Fact Sheet) We can see from the Q1 2021 Fact Sheet that at the time the fund was running a similar concentration. In fact in Q1 2021 the top-5 names portfolio weighting represented more than 60% of the fund! Let us have a closer look at the top names in the fund where the majority of the exposure lies. From the Annual Report we can find a little more about TerreStar: TerreStar, the Fund’s largest position, was a positive contributor to performance during the year. Terrestar is a privately held, nationwide licensee of wireless spectrum, an asset that most people use every day. Spectrum is the radio frequency that carries all wireless communication signals. The Federal Communications Commission (the “FCC”), which has regulatory oversight in the space, administers spectrum for non-federal use. The FCC typically sells or assigns initial wireless spectrum licenses to market participants using an auction process. Access to spectrum may also be attained through the secondary market, which allows licensees like TerreStar to transfer, sell, or lease spectrum, in whole or in part. [...] TerreStar’s value is derived from two spectrum assets: a license for 1.7 GHz band spectrum covering 11 of the top 30 U.S. markets and approximately 19% of the population; and a license for 1.4 GHz band for use in wireless medical telemetry (“WMTS”), with the ability to expand into other areas. Dish owns the license covering the remaining 1.7 GHz band spectrum. TerreStar’s ownership of spectrum in key markets and with significant population coverage could make the company an attractive partner for other spectrum holders. Source: Annual Report
Seeking Alpha • Aug 22

Highland Global Allocation Fund goes ex-dividend tomorrow

Highland Global Allocation Fund (NYSE:HGLB) had declared $0.081/share monthly dividend, in line with previous. Payable Aug. 31; for shareholders of record Aug. 24; ex-div Aug. 23. See HGLB Dividend Scorecard, Yield Chart, & Dividend Growth.
Seeking Alpha • Jul 05

Highland Global Allocation Fund declares $0.081 dividend

Highland Global Allocation Fund (NYSE:HGLB) declares $0.081/share monthly dividend, in line with previous. Forward yield 10.06% Payable July 29; for shareholders of record July 22; ex-div July 21. Payable Aug. 31; for shareholders of record Aug. 24; ex-div Aug. 23. Payable Sept. 30; for shareholders of record Sept. 23; ex-div Sept. 22. See HGLB Dividend Scorecard, Yield Chart, & Dividend Growth.
Seeking Alpha • Jul 26

HGLB Is An Interesting Global Allocation CEF, But Not My Cup Of Tea

The Highland Global Allocation Fund formed in 1998 as an Open-End Fund, but shareholders approved conversion to a Closed-End Fund in early 2019. This affected some of the data available. As the name implies, their investment strategy includes both equities and debt across the globe. They are also permitted to own assets not classified within those categories. Due to the poor performance and highly concentrated portfolio risk, I am giving HGLB a Bearish rating at this time.

Shareholder Returns

HGLBUS Capital MarketsUS Market
7D-4.4%-4.4%-2.7%
1Y-13.8%1.8%18.6%

Return vs Industry: HGLB underperformed the US Capital Markets industry which returned 4.1% over the past year.

Return vs Market: HGLB underperformed the US Market which returned 20.1% over the past year.

Price Volatility

Is HGLB's price volatile compared to industry and market?
HGLB volatility
HGLB Average Weekly Movement3.0%
Capital Markets Industry Average Movement3.8%
Market Average Movement7.2%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.1%

Stable Share Price: HGLB has not had significant price volatility in the past 3 months compared to the US market.

Volatility Over Time: HGLB's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
n/an/an/an/a

Highland Global Allocation Fund Fundamentals Summary

How do Highland Global Allocation Fund's earnings and revenue compare to its market cap?
HGLB fundamental statistics
Market capUS$173.39m
Earnings (TTM)US$0
Revenue (TTM)n/a
n/a
P/E Ratio
n/a
P/S Ratio

Is HGLB overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
HGLB income statement (TTM)
RevenueUS$0
Cost of RevenueUS$0
Gross ProfitUS$0
Other ExpensesUS$0
EarningsUS$0

Last Reported Earnings

n/a

Next Earnings Date

n/a

Earnings per share (EPS)0
Gross Margin0.00%
Net Profit Margin0.00%
Debt/Equity Ratio0.0%

How did HGLB perform over the long term?

See historical performance and comparison

Dividends

14.1%
Current Dividend Yield
n/a
Payout Ratio

Does HGLB pay a reliable dividends?

See HGLB dividend history and benchmarks
When do you need to buy HGLB by to receive an upcoming dividend?
Highland Global Allocation Fund dividend dates
Ex Dividend DateJun 23 2026
Dividend Pay DateJun 30 2026
Days until Ex dividend3 days
Days until Dividend pay date4 days

Does HGLB pay a reliable dividends?

See HGLB dividend history and benchmarks

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/06/25 10:05
End of Day Share Price 2026/06/25 00:00
EarningsN/A
Annual EarningsN/A

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Highland Global Allocation Fund is covered by 0 analysts. 0 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.