NAPERVILLE, Ill., Jan. 14, 2020 /PRNewswire/ -- Calamos
Investments®* announced today the raising of the monthly
distribution rate of Calamos Strategic Total Return Fund (Nasdaq:
CSQ) from 8.25 cents per share to
9.25 cents per share payable on
February 20, 2020. Representing an
approximate 12% increase from the prior distribution, the new
distribution rate reflects on an annualized basis a current yield
of 8.08% based upon the Fund's market price of $13.73 per share on January 13, 2020.
CSQ Dividend Details
Monthly Dividend
Declaration
|
Distribution
|
Payable
date
|
Record
date
|
Ex-dividend
date
|
January 14,
2020
|
$0.0925
|
02/20/20
|
02/14/20
|
02/13/20
|
Additional information regarding the estimated amount of the
sources of the Fund's monthly distribution for purposes of Section
19 of the Investment Company Act of 1940, as amended ("1940 Act"),
and the related rules adopted thereunder, will be provided in a
separate release closer to the Fund's payable date.
CSQ seeks total return through a combination of capital
appreciation and current income by investing in a diversified
portfolio of equities, convertible securities and high yield
corporate bonds. John P. Calamos,
Sr., Founder, Chairman and Global Chief Investment Officer,
stated, "With our commitment to the Fund's shareholders to provide
an attractive and sustainable dividend, we are pleased that CSQ is
in a position to raise its monthly dividend following our judicious
and active management of the portfolio."
You should not draw any conclusions about the Fund's investment
performance from the amount of this distribution or from the terms
of the Fund's plan. If the Fund estimates that it has distributed
more than its income and capital gains, a portion of your
distribution may be a return of capital. A return of capital may
occur, for example, when some or all of the money that you invested
in the Fund is paid back to you. A return of capital distribution
does not necessarily reflect the Fund's investment performance and
should not be confused with 'yield' or 'income'. The amounts and
sources of distributions reported are only estimates and are not
being provided for tax reporting purposes. The actual amounts and
sources of the amounts for accounting and tax purposes will depend
upon the Fund's investment experience during the remainder of its
fiscal year and may be subject to changes based on tax regulations.
The Fund will send you a Form 1099 DIV for the calendar year that
will tell you how to report these distributions for federal income
tax purposes.
Additionally, Calamos Investments today announced Calamos Global
Total Return Fund (Nasdaq: CGO) has transitioned from a
managed distribution to a level distribution plan effective as of
January 13, 2020.
Under the new level distribution policy, CGO intends to continue
its current practice of making monthly distributions to
shareholders, at a constant and fixed (but not guaranteed) rate
currently set at 10.00 cents per
share.
Calamos Investments believes this policy will allow CGO to
maintain stable, consistent and predictable rates of distribution
that are sustainable over the long-term. However, there can be no
guarantee that the level distribution policy will be successful in
achieving its goals. The Fund's ability to maintain a stable level
of distributions to shareholders will depend on a number of
factors, including changes in the financial market, market interest
rates, and performance of overall equity, convertible and fixed
income markets. As portfolio and market conditions change, the
ability of the Fund to continue to make distributions in accordance
with the level distribution policy may be affected.
While Calamos Investments expects that any declaration of
distributions to shareholders will continue to be made and
announced monthly, the Fund may cease distributions entirely, at
any time, without prior notice to shareholders. The announcement
of, amendment to, or later termination of this level distribution
policy may have an adverse effect on the market price of the Fund's
common shares. The Fund may at times, in its discretion, pay out
less than the entire amount of net investment income earned in any
particular period, and may at times, pay out such accumulated
undistributed income in addition to net investment income earned in
other periods in order to allow the Fund to maintain a stable level
of distributions.
As a result, the dividend paid by the Fund to shareholders for
any particular period may be more or less than the amount of net
investment income earned by the Fund during such period. For
federal income tax purposes, the Fund is required to distribute
substantially all of its net investment income each year—both to
reduce its federal income tax liability and to avoid a potential
federal excise tax. The Fund intends to distribute all realized net
capital gains, if any, at least annually.
To the extent that insufficient investment income is available
on a monthly basis, the Fund's distributions may consist of return
of capital in order to maintain the distribution amount. A return
of capital occurs when some or all of the money that shareholders
invested in the Fund is paid back to them. A return of capital does
not necessarily reflect the Fund's investment performance and
should not be confused with 'yield' or 'income.' Any such returns
of capital will decrease the Fund's total assets and, therefore,
will likely have the effect of increasing the Fund's expense ratio.
In addition, the level distribution policy may require the Fund to
sell its portfolio securities at a less than opportune time to meet
the distribution amount.
Investors should not make any conclusions about the Fund's
investment performance from the amount of the Fund's distributions
or the Fund's level distribution policy. With each distribution
that does not consist solely of net investment income, the Fund
will issue a notice to shareholders providing detailed information
regarding the amount and composition of the distribution and other
related information. The amounts and sources of distributions that
will be reported in the notices to shareholders will only be
estimates and will not be provided for tax reporting purposes. The
actual amounts and sources of the distributions for tax reporting
purposes will depend upon the Fund's investment experience during
its full fiscal year and may be subject to changes based on tax
regulations.
An innovator in dynamically allocated closed end funds since
2002, Calamos Investments currently manages more than $7 billion in seven closed end funds. The firm's
most recent offering, Calamos Long/Short Equity & Dynamic
Income Trust (Nasdaq: CPZ) launched on November 26, 2019, has declared its first monthly
distribution of 11.00 cents per
share, payable on February 20,
2020.
Additional information about the funds can be found on
www.calamos.com.
Important Notes about Performance and Risk
Past performance is no guarantee of future results. As with
other investments, market price will fluctuate with the market and
upon sale, your shares may have a market price that is above or
below net asset value and may be worth more or less than your
original investment. Returns at NAV reflect the deduction of the
Fund's management fee, debt leverage costs and other expenses. You
can purchase or sell common shares daily. Like any other stock,
market price will fluctuate with the market. Upon sale, your shares
may have a market price that is above or below net asset value and
may be worth more or less than your original investment. Shares of
closed-end funds frequently trade at a discount which is a market
price that is below their net asset value.
About Calamos
Calamos Investments is a diversified global investment firm
offering innovative investment strategies including alternatives,
multi-asset, convertible, fixed income, and equity. The firm offers
strategies through separately managed portfolios, mutual funds,
closed-end funds, private funds, and UCITS funds. Clients include
major corporations, pension funds, endowments, foundations and
individuals, as well as the financial advisors and consultants who
serve them. Headquartered in the Chicago metropolitan area, the firm also has
offices in New York, San Francisco, Milwaukee and the Miami area. For more information, please visit
www.calamos.com.
*Calamos Investments LLC, referred to herein as Calamos
Investments®, is a financial services company offering such
services through its subsidiaries: Calamos Advisors LLC, Calamos
Wealth Management LLC, Calamos Investments LLP and Calamos
Financial Services LLC.
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SOURCE Calamos Investments