CSQ - CGO: International Exposure A Plus, But Tech Exposure Weighs On Performance
2025-04-30 08:14:32 ET
Summary
- The Calamos Global Total Return Fund offers a 9.23% yield, higher than major equity and bond indices, making it attractive for income investors.
- Despite its high yield, the fund underperforms its peers and major indices, partly due to its significant U.S. tech exposure and leverage.
- The fund's allocation to global assets and convertible securities aims to balance income and volatility, but recent performance has been disappointing.
- Trading at a 2.96% discount to NAV, the fund remains more expensive than peers, reflecting the Calamos brand's reputation among investors.
The Calamos Global Total Return Fund ( CGO ) is a closed-end fund that provides investors with a way to achieve global exposure in their portfolios as well as a very high level of income. The fund certainly does a pretty good job on the income front, as it boasts a 9.23% yield at the current share price. This is substantially higher than any of the major domestic or global equity indices, which can be clearly seen in this chart:
Index/ETF |
Current Yield |
S&P 500 Index ( SPY ) |
1.30% |
NASDAQ 100 Index ( QQQ ) |
0.63% |
Russell 2000 Index ( IWM ) |
1.27% |
MSCI World Index ( URTH ) |
1.49% |
MSCI All-Countries World Index ( ACWI ) |
1.83% |