Calamos Strategic Total Return Fund Preferred Shares Rated 'AAA' by Fitch.Business Editors NEW YORK--(BUSINESS WIRE)--May 7, 2004 Calamos Strategic Total Return Fund's auction rate cumulative preferred Noun 1. cumulative preferred - preferred stock whose dividends if omitted accumulate until paid out cumulative preferred stock preference shares, preferred shares, preferred stock - stock whose holders are guaranteed priority in the payment of dividends but shares 7,040 shares series M, 7,040 shares series TU, 7,040 shares series W, 7,040 shares series TH, 7,040 shares series F, 4,000 shares of series A and 4,000 shares of series B are rated 'AAA' by Fitch Ratings Fitch Ratings An international rating agency for financial institutions, insurance companies, and corporate, sovereign, and municipal debt. Fitch Ratings has headquarters in New York and London and is wholly owned by FIMALAC of Paris. . The ratings are based on asset coverage and preferred share basic maintenance amount tests, as well as the quality and experience of the asset manager. Calamos Strategic Total Return Fund is a closed-end management investment company that invests primarily in a portfolio of equity securities, convertible securities and high yield debts. The fund is registered under the Investment Company Act of 1940, which permits closed-end funds Closed-end fund An investment company that issues shares like any other corporation and usually does not redeem its shares. A publicly traded fund sold on stock exchanges or over the counter that may trade above or below its net asset value. Related: Open-end fund. to borrow funds through the issuance of debt and preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. . Under the 1940 Act, closed-end funds may borrow up to 50% of the fund's value through preferred share issuance; Calamos Strategic Total Return Fund's current preferred share issuance equates to roughly 33% of its value. The asset manager for the fund is Calamos Asset Management Inc. Calamos is a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of Calamos Holdings, Inc. An institutional money manager, the firm has specialized spe·cial·ize v. spe·cial·ized, spe·cial·iz·ing, spe·cial·iz·es v.intr. 1. To pursue a special activity, occupation, or field of study. 2. in security research and money management since 1977. As of June 30, 2003, the firm manages over $17.9 billion for institutions, pension funds, endowments, foundations and individuals through separately managed portfolios and a family of mutual funds. |
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