Younger Closed-End Funds Get Lousy Grades

TheStreet.com Ratings initiated coverage of eight closed-end funds that accrued a track record of at least one year of risk and performance data by the end of June.

None of the closed-end funds that opened for business in June of 2007 received our top rating level of Excellent. Not even one managed a rating of Good or even Fair. All of the newly rated closed-end funds performed poorly in relation to all the other exchange-traded and closed-end funds we rate.

The highest-ranked fund of the bunch is the D-rated Van Kampen Dynamic Credit Opportunities Fund(VTA Quote). Capital appreciation is a secondary goal to generating current income. To that end, the fund is paying out monthly installments at current 12-month yield of 11.66% that has mitigated some of the loss over the last year from investing in loans and other debt instruments.

Ranked slightly worse, at D-minus, is the Nuveen Tax-Advantage Dividend Growth Fund(JTD Quote). This fund pays income quarterly, currently yielding 11.55%. Top holdings include Equitable Resources(EQT Quote), Yum! Brands(YUM Quote), AT&T(T Quote) and Chevron(CVX Quote).

Research Methodology

TheStreet.com Ratings condenses the available fund performance and risk data into a single composite opinion of each fund's risk-adjusted performance. This allows the unbiased identification of those funds that have historically done well and those that have underperformed the market. While there is no guarantee of future performance, these investment ratings provide a solid framework for making informed, timely investment decisions.

The funds listed below have all reached their one-year anniversary.

Newly Rated Closed-End Funds
Fund (Ticker) Initial Rating	Inception Date	Total Return 1 Year	Total Return YTD	Objective
Van Kampen Dynamic Credit Opp (VTA) D	6/26/2007	-21.84%	-6.49%	Loan Participation
Nuveen Tax-Advantaged Dividend Grth (JTD) D-	6/26/2007	-19.03%	-5.42%	Growth & Income
Calamos Global Dynamic Income Fd (CHW) E+	6/26/2007	-19.35%	-9.31%	Global Equity
Delaware Enhanced Glb Div & Inc Fd (DEX) E+	6/29/2007	-27.05%	-6.80%	Global Equity
MLP & Strategic Equity Fund Inc. (MTP) E	6/26/2007	-24.48%	-1.06%	Sector - Energy/Natural Res
Dividend Capital Strategic Gbl Rlty (DCW) E-	6/26/2007	-45.14%	-16.31%	Growth & Income
DWS RREEF Wrld Real Est & Tac Stra (DRP) E-	6/26/2007	-32.49%	-8.40%	Growth & Income
Gabelli Healthcare & Wellness Trust (GRX) E-	6/28/2007	-21.33%	-12.41%	Sector - Health/Biotechnology
Source: TheStreet.com Ratings

Funds rated A or B are considered buy-rated on the basis of a track record of higher-than-average risk-adjusted performance. Funds at the C level are rated as hold, while underperformers at the D and E levels our model ranks are ranked as sell.

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