Company: CHY
Filing Date: 2025-02-24
Form Type: 424B5
Source: 0001104659-25-016491
Chunk: 102

Company: CALAMOS CONVERTIBLE & HIGH INCOME FUND
Filing Date: 2025-02-24
Form: 424B5
Chunk 102
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 declining interest rates, the issuer of a security may exercise its option to prepay principal earlier than              
 scheduled, forcing the Fund to reinvest in lower yielding securities. This is known as call or prepayment risk. Debt securities frequently 
 have call features that allow the issuer to repurchase the security prior to its stated maturity. An issuer may redeem an obligation       
 if the issuer can refinance the debt at a lower cost due to declining interest rates or an improvement in the credit standing of           
 the issuer;                                                                                                                                |

| ● | during periods of rising interest rates, the average life of certain types of securities may be extended because of slower than      
 expected principal payments. This may lock in a below market interest rate, increase the estimated period until the security is paid 
 in full and reduce the value of the security. This is known as extension risk;                                                       |

| ● | rising interest rates could result in an increase in the cost of the Fund’s leverage and could adversely affect the ability 
 of the Fund to meet asset coverage requirements with respect to leverage; and                                               |

| ● | variable rate securities generally are less sensitive to interest rate changes but may decline in value if their interest rates      
 do not rise as much, or as quickly, as interest rates in general. When the Fund holds variable rate securities, a decrease in market 
 interest rates will adversely affect the income received from such securities and the NAV of the Fund’s shares; and                  |

Benchmark Rate Risk and LIBOR Cessation.The London Interbank Offered Rate (“LIBOR”) was the offered rate for short-term Eurodollar deposits between major international banks. The terms of investments, financings or other transactions (including certain derivatives transactions) to which the Fund may be a party have historically been tied to LIBOR. In connection with the global transition away from LIBOR led by regulators and market participants, LIBOR was last published on a representative basis at the end of June 2023. Alternative reference rates to LIBOR have been established in most major currencies and the transition to new reference rates continues. Markets in these new rates are developing, but questions around liquidity and how to appropriately mitigate any economic value transfer as a result of the transition remain a concern. The transition away from LIBOR and the use of replacement rates may adversely affect transactions that used LIBOR as a reference rate, financial institutions, funds and other market participants that engaged in such transactions, and the financial markets generally. The impact of the transition away from LIBOR on the Fund or the financial instruments in which the Fund