Should investors be concerned about DM's recent EPS volatility?

**Investors should not be overly concerned about Destra Multi-Alternative Fund's (DMA) recent EPS volatility**. Here's why:

1. **Impact of EPS Volatility on Stock Price**: The impact of EPS volatility on stock price is mixed. While a higher volatility indicates greater price swings, which can be both positive and negative, it does not necessarily lead to a trend. The weekly volatility of DMA's EPS ranges from 2.16% to 4.73%, which is within a reasonable range and may not significantly affect the stock price.

2. **Fundamental Factors**: Before concluding that EPS volatility is a cause for concern, it's important to consider the fund's overall financial health and market conditions. DMA's ROE and ROA are moderate, with a return on equity of 8.95% and a return on assets of 7.29. This indicates efficient utilization of assets and equity.
3. **Recent Transactions and Insider Activity**: Recent transactions by major investors, such as the acquisition of 713,800 shares by ABSOLUTE INVESTMENT ADVISERS, LLC, and insider buying by Saba Capital Management, L.P.^[6], suggest confidence in DMA's future prospects. Insider transactions are often seen as a reliable indicator of the company's potential.
4. **Dividend and Income Generation**: DMA has a history of paying regular dividends, with a recent declaration of a year-end distribution of $0.3239 per share for 2024. This income generation can help offset potential losses from EPS volatility.
5. **Market Sentiment and Competitors**: DMA's competitors, such as abrdn Global Premier Properties Fund and Abrdn Income Credit Strategies Fund, face similar challenges in the asset management industry. Market sentiment is mixed, with some negative sentiment but also insider buying, which suggests a balanced view of the fund's prospects.

In conclusion, while EPS volatility is a factor to consider, it should be evaluated in the context of DMA's overall financial health, recent transactions, dividend history, and market sentiment. The fund's moderate efficiency in utilizing assets and equity, along with recent strategic acquisitions and insider buying, may mitigate the concerns associated with EPS volatility.