CSQ - CHW Is The Best Opportunity Among The Calamos Funds
2024-03-12 10:00:58 ET
Summary
- Calamos is known for its convertible bond research. Together with high-yield bonds, Calamos offers a number of CEFs that include both in their portfolios.
- But ironically, it's the pure fixed-income CEFs that trade at premium valuations, while their more balanced equity and fixed-income CEFs trade at discounts.
- One would think in a raging bull market, that it would be the other way around, but that's not the case.
- And the one Calamos fund, the Global Dynamic Income fund, trades at the second largest discount and yet has the second best NAV performance of the group.
- Why is that? Good question, because in a raging bull market in stocks, leveraged equity/bond funds like CHW can have turbocharged NAV growth while easily covering their 9%+ yields.
Calamos offers seven closed-end funds and all of them include fixed income in the form of high-yield bonds as well as convertible securities, which is really where Calamos made its name....
CHW Is The Best Opportunity Among The Calamos Funds