Description

To achieve its investment objectives, the fund typically commits a significant majority—at least 80%—of its net assets (inclusive of any borrowed capital for investment purposes) to convertible securities. This category of securities includes, but is not limited to, corporate bonds, debentures, promissory notes, preferred shares, and hybrid instruments. A key characteristic of these convertibles is their ability to be exchanged for equity securities or other financial tools, such as warrants or options, which offer an opportunity for equity ownership.