Calamos Dynamic Convertible and Income Fund (NASDAQ: CCD) is a closed-end management investment company that seeks total return through a combination of current income and capital appreciation. Managed by Calamos Advisors LLC, the fund primarily invests in convertible securities, corporate debt instruments and equity securities. By employing a dynamic allocation strategy, the fund adjusts its exposure to convertible and derivative instruments in response to changing market conditions, aiming to capture upside potential in equity markets while maintaining a focus on income generation.
The fund’s investment approach centers on convertible securities, which blend characteristics of both stocks and bonds. This hybrid nature allows the fund to participate in equity market gains through the conversion feature, while potentially mitigating downside risk via the bond component. In addition to convertible bonds, the portfolio may include high-yield debt, preferred stocks and derivative positions. The fund also employs leverage within regulatory limits to enhance income and total return, a common practice among closed-end funds seeking higher distributable cash flow.
Since commencing operations in 2005, Calamos Dynamic Convertible and Income Fund has drawn on the extensive expertise of its sponsor, Calamos Advisors. The firm was founded in 1977 by John P. Calamos, Sr., and remains led by a team of seasoned investment professionals, including portfolio managers John P. Calamos, Jr. and colleagues with deep experience in convertible and fixed-income markets. This leadership has guided the fund through diverse market environments, leveraging proprietary research and risk-management tools to pursue its investment objectives.
The fund’s holdings span both U.S. and international issuers, with the flexibility to allocate across sectors and regions in pursuit of attractive risk-adjusted returns. By combining income-oriented securities with dynamic exposure to equity performance, Calamos Dynamic Convertible and Income Fund offers investors a diversified approach designed for those seeking yield and growth potential within a single vehicle. As a listed closed-end fund, it provides intraday liquidity on the Nasdaq Stock Market, enabling market participants to access its strategy through standard equity trading channels.
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