Company: CHY
Filing Date: 2025-12-29
Form Type: N-CSR
Source: 0001104659-25-124662
Chunk: 73

Company: CALAMOS CONVERTIBLE & HIGH INCOME FUND
Filing Date: 2025-12-29
Form: N-CSR
Chunk 73
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 performance may be lower or higher than the performance quoted. The principal value of an investment will fluctuate so that your shares, when sold, may be worth more or less than their original cost. Returns at NAV reflect the deduction of the Fund's management fee, debt leverage costs and all other applicable fees and expenses. You can obtain performance data current to the most recent month end by visiting www.calamos.com. What factors influenced performance over the annual period? The 12-month period reflected a dynamic shift in global market leadership, with investor sentiment increasingly favoring ex-US markets following years of US equity dominance. The Fund's global diversification and multi-asset approach proved advantageous as markets experienced heightened volatility driven by policy uncertainty, evolving trade dynamics, and shifting monetary policy expectations across major economies. The Fund generated positive returns as many of our companies aligned with our key secular themes and performed well due to their compelling growth fundamentals. Our emphasis on total-return convertibles—balanced securities offering attractive upside participation with downside cushions—helped manage risk during periods of elevated volatility, particularly through the turbulent markets in March and April 2025. The convertible market experienced robust issuance activity throughout the period, with global issuance tracking toward an estimated $165 billion, which would mark the strongest year since 1998. US convertible issuance was driven by a surge of AI-related deals from energy providers, data centers, and semiconductor manufacturers, providing fresh investment opportunities and attractive structures. From a monetary policy perspective, central banks continued to adjust their approaches. The Federal Reserve implemented multiple interest rate cuts during the period, reflecting confidence that inflation pressures were moderating. The ECB also eased policy incrementally, providing additional flexibility as European fiscal stimulus measures began to take effect. Meanwhile, the Bank of Japan raised rates modestly as the country's economy showed signs of sustained normalization. From a sector perspective, the Fund's strong security selection in the communication services sector contributed to performance. Positions in the movies & entertainment and integrated telecommunication services industries added value. Leading security selection in technology also supported results, as holdings in semiconductors performed well. CALAMOS CLOSED-END FAMILY OF FUNDS ANNUAL REPORT
54 Calamos Global Dynamic Income Fund (Unaudited) In contrast, security selection in health care hampered results due to company-specific catalysts as in the pharmaceuticals industry. Security selection within industrials also detracted, as holdings in electrical equipment advanced but trailed the higher returns in the benchmark. Through a geographic lens, an average underweight allocation and selection in the US contributed to positive returns