Ellsworth Growth & Income Fund President Buys Shares, Signals Bullish Confidence Amid Low Valuation

Insider Buying Signals a Positive Tilt

On December 17, 2025, President Dinsmore James Andrew purchased 200 common shares of Ellsworth Growth and Income Fund Ltd. at $11.60 each, bringing his total holdings to 12,292 shares. While the trade size is modest compared to the fund’s $113 million market cap, it arrives amid a broader pattern of incremental insider purchases that have been steadily increasing over the past year. The move occurs when the stock is trading near its 52‑week low of $20.21 and only slightly below the recent high of $22.82, suggesting that senior management believes the share price is undervalued relative to its earnings potential.

What the Trade Implies for the Fund’s Strategy

Ellsworth’s core mandate—investing in convertible securities—has traditionally generated a steady dividend stream and a low price‑to‑earnings ratio of 4.95. The president’s purchase is aligned with a strategy of accumulating value when convertible markets are liquid and yields are attractive. By buying at a price well below the current trading level of $21.53, Andrew signals confidence that the fund’s asset‑management approach will continue to outperform the broader equity market, especially in a low‑interest‑rate environment where convertibles tend to outperform pure equity holdings.

Investor Takeaway: A Quiet Bullish Cue

For investors, the insider trade serves as a subtle yet credible endorsement of the fund’s long‑term prospects. It suggests that the leadership believes the market may have overlooked the fund’s disciplined focus on convertible instruments, which can act as a hedge against market volatility while offering upside potential. While the transaction itself does not trigger a significant market move—social‑media buzz remains flat at 0 % and sentiment is neutral—the cumulative effect of repeated insider buying can reinforce confidence among long‑term holders and attract new investors seeking a blend of income and capital appreciation.

Looking Ahead: Stability Amid Market Volatility

Given the fund’s stable dividend profile and the current market’s modest weekly change of 0.89 %, Ellsworth is positioned to weather short‑term fluctuations without altering its investment mandate. The president’s purchase, coupled with consistent insider activity, underscores a belief in the fund’s ability to capitalize on convertible opportunities as market liquidity improves. For shareholders, this translates into a reassuring signal that the management team is not only content with the present valuation but is actively positioning the fund for future upside while maintaining its conservative risk posture.