Calamos Global Convertible Fund Class I (CXGCX)

Overview

The fund described focuses on a global investment strategy, primarily placing its assets in convertible securities. These include both conventional and synthetic convertible instruments, which can be issued by a wide spectrum of enterprises across various countries, without specific restriction towards the company's market capitalization. This fund stands out by allocating a significant portion (at least 80%) of its net assets, along with any borrowings intended for investment purposes, into convertible securities. This strategic allocation demonstrates the fund's commitment to leveraging the potential benefits convertible securities offer, such as the opportunity for capital appreciation through conversion rights into the issuing company's stock, while also possibly providing fixed-income like returns that could offer downside protection during market volatility. The portfolio's composition allows for a diversification strategy that spans not only across different geographic locations but also across various sectors and market caps, aiming to mitigate risk while seeking growth through both equity and debt instruments.

Products and Services

• Convertible Securities Investments

  At the core of its investment strategy, the fund primarily targets convertible securities. These can include bonds or preferred stocks that can be converted into a predetermined amount of the issuer's equity, typically that of common stock. This approach allows investors to potentially benefit from both the stability of fixed-income investments and the upside potential of equity investments. Convertible securities are chosen across a broad spectrum of U.S. and international issuers, without a predefined focus on the size of the market capitalization, which underscores the fund's global and diversified investment approach.

• Synthetic Convertible Securities

  Additionally, the fund invests in synthetic convertible securities. These are specialized financial instruments that mimic the characteristics of traditional convertible securities through the combination of separate securities—typically, a bond and an option to convert into stock. This allows the fund to tailor its investments more closely to specific investment goals or to take advantage of unique market opportunities, enhancing the potential for returns while managing risk.

• Equity Securities Investments

  Aside from its primary focus on convertible and synthetic convertible securities, the fund is also permitted to allocate up to 20% of its net assets directly into equity securities or instruments with similar economic characteristics. This may include stocks, options, or other equity derivatives. This segment of the fund's portfolio aims to directly capture the growth potential of the equity markets, adding an additional layer of diversification and the potential for capital appreciation.