NexPoint Merger Arbitrage Fund Class C (HMECX)

Fund Assets	1.58B
Expense Ratio	2.857%
Min. Investment	$2,500
Turnover	377.00%
Dividend (ttm)	0.91
Dividend Yield	4.86%
Dividend Growth	11.32%
Payout Frequency	Quarterly
Ex-Dividend Date	Sep 16, 2026

Previous Close	18.68
YTD Return	2.40%
1-Year Return	3.55%
5-Year Return	19.29%
52-Week Low	18.57
52-Week High	19.16
Beta (5Y)	0.07
Holdings	157
Inception Date	Aug 19, 2016

About HMECX

NexPoint Merger Arbitrage Fund Class C is a mutual fund designed to provide absolute returns through a merger arbitrage strategy. This fund actively invests in the equity and debt of companies that are subjects of executed merger or acquisition agreements, both in domestic and international markets. The investment process is built upon rigorous fundamental due diligence and an in-depth assessment of legal, regulatory, and deal-specific risks, as indicated by a proprietary Merger Arbitrage Risk Score. Managed by a team with extensive experience in mergers, acquisitions, and event-driven strategies, the fund aims to capture the spread between the market price of a target company and the announced acquirer offer price, regardless of broader market conditions. Functioning as an alternative investment, NexPoint Merger Arbitrage Fund Class C offers characteristics such as low correlation with traditional equity and fixed-income markets, providing portfolio diversification and potential risk reduction. Its risk/return profile often resembles that of fixed income, with the added benefit of being relatively insulated from broader market volatility. The fund is also designed as a tool to enhance portfolio stability and may be considered as a substitute or complement to more conventional fixed-income investments, especially in rising interest rate environments.

• Fund Family: NEXPOINT FUNDS I
• Category: Event Driven
• Performance Rating: Average
• Risk Rating: Low
• Stock Exchange: Nasdaq
• Ticker Symbol: HMECX
• Share Class: Class C
• Index: Bloomberg U.S. Aggregate Bond TR

Performance

HMECX had a total return of 3.55% in the past year, including dividends. Since the fund's inception, the average annual return has been 4.68%.

Other Share Classes

These are alternative share classes of the same fund, from the same provider.

Symbol	Share Class	Expense Ratio
HMEZX	Class Z	1.90%
HMEAX	Class A	2.25%

Top 10 Holdings

43.37% of assets

Name	Symbol	Weight
Nuvalent, Inc.	NUVL	4.96%
Global Business Travel Group, Inc.	GBTG	4.96%
Taylor Morrison Home Corporation	TMHC	4.94%
TopBuild Corp.	BLD	4.90%
Essential Utilities, Inc.	WTRG	4.46%
Janus Henderson Group PLC	JHG	4.40%
Electronic Arts, Inc.	EA	3.87%
Whitestone REIT	WSR	3.72%
Sila Realty Trust, Inc.	SILA	3.69%
Avanos Medical, Inc.	AVNS	3.46%

Dividend History

Ex-Dividend	Amount	Pay Date
Sep 16, 2026	$0.2955	Sep 17, 2026
Jun 16, 2026	$0.20418	Jun 17, 2026
Mar 17, 2026	$0.20431	Mar 18, 2026
Dec 16, 2025	$0.20386	Dec 17, 2025
Sep 16, 2025	$0.20286	Sep 17, 2025
Jun 18, 2025	$0.2042	Jun 20, 2025

Data Sources: Tiingo, Twelve Data, and more

Historical data is provided by Tiingo. Delayed stock pricing data is provided by Twelve Data. Several fund data points are also provided by Finnhub.

Last checked:

Oct 16, 2026

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