Zachary Richmond
About Zachary Richmond
Zachary P. Richmond is Treasurer (Chief Financial Officer) of The Herzfeld Caribbean Basin Fund, Inc. (NASDAQ: CUBA), serving since 2020; he is 44 and is employed by Ultimus Fund Solutions, LLC as Vice President and Director of Financial Administration (Feb 2019–present) . He co-signs CUBA’s Sarbanes-Oxley certifications and N‑CSR as principal financial officer, evidencing responsibility for controls, reporting, and certifications . Fund performance over the period ended December 31, 2024: NAV total return 2.61% (1-year) and -0.39% (10-year); market total return 2.79% (1-year) and -2.69% (10-year) . Net assets were $48.3 million at 12/31/2024 .
Fund performance snapshot (for context)
| Metric | 1-Year | 10-Year |
|---|---|---|
| Total return at NAV | 2.61% | -0.39% |
| Total return at Market Price | 2.79% | -2.69% |
Past Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| The Herzfeld Caribbean Basin Fund, Inc. (CUBA) | Treasurer (Chief Financial Officer) | 2020–present | Principal financial officer; co-signs SOX and N‑CSR certifications; oversees financial reporting and controls |
External Roles
| Organization | Role | Years | Strategic impact |
|---|---|---|---|
| Ultimus Fund Solutions, LLC | Vice President, Director of Financial Administration | Feb 2019–present | Provides fund administration/financial administration to CUBA; Ultimus is paid admin/transfer agent fees by the fund |
Fixed Compensation
- There is no executive officer compensation table for fund officers; Richmond is employed by Ultimus (administrator) rather than being directly compensated by CUBA. For the six months ended Dec 31, 2024, CUBA paid Ultimus $38,312 in administration fees (separate from advisory fees), and incurred investment advisor fees of $377,696 before voluntary waivers, indicating service-provider-based cost structure rather than officer-level salary/bonus disclosure .
Performance Compensation
- No officer-specific incentive plans, PSU/RSU grants, or performance-based compensation are disclosed for CUBA officers. The fund does not report officer bonuses or equity awards; Item 10 (Remuneration) is “Not applicable” in the N‑CSR, and the proxy statements provide director (board) fees only .
Equity Ownership & Alignment
- Richmond reported no beneficial ownership of CUBA shares in both the Sept 18, 2024 and Apr 30, 2025 ownership tables. No pledging or hedging disclosures specific to him are provided.
| Holder | Shares Owned Beneficially (9/18/2024) | % of Class (9/18/2024) | Shares Owned Beneficially (4/30/2025) | % of Class (4/30/2025) |
|---|---|---|---|---|
| Zachary P. Richmond | 0 | — (under 1%) | 0 | — (under 1%) |
Additional context:
- Executive officers and directors as a group owned 28.8% as of 9/18/2024 and 41.8% as of 4/30/2025; these aggregates are driven by other insiders (e.g., Herzfeld holdings), not Richmond .
Employment Terms
- Role/tenure: Treasurer (CFO) since 2020; officer of the fund, employed by Ultimus .
- Contracts/severance/COC: No employment agreement, severance, or change‑of‑control terms are disclosed for Richmond at the fund level .
- Governance/compliance: Richmond is a Section 16 reporting person; CUBA’s 2025 proxy notes reporting compliance for reporting persons (with one late Form 3 for a director, not Richmond) .
Investment Implications
- Alignment: Richmond holds no CUBA shares, implying limited direct equity alignment; however, his role is that of an administrator-employed CFO with accountability for financial controls and reporting (N‑CSR and SOX certifications), rather than a performance‑incented operating executive .
- Selling pressure/vesting: No equity grants or options are disclosed for Richmond; no vesting schedules or insider selling activity are reported for him, limiting insider‑sale overhang risk tied to his position .
- Retention risk: As Richmond is employed by Ultimus and not under a disclosed CUBA employment agreement, retention is linked to the fund’s service-provider relationship; changes to administrator agreements could affect continuity, but no such changes are disclosed .
- Broader incentive structure: While officer pay is not disclosed, the adviser’s compensation is transitioning (subject to stockholder approval) to a managed‑assets fee plus income-based incentive fee (10% over a 9% annual hurdle) under the new CLO equity strategy; this may influence fund-level risk/return posture more than officer-level incentives .