Description

The fund primarily aims to generate income, with a secondary focus on achieving absolute returns (positive returns regardless of market conditions). Its core approach utilizes a convertible arbitrage strategy: it purchases convertible securities (which include convertible preferred shares) and simultaneously establishes short positions, or protective hedges, in the common stock issued by those same companies. To further manage specific risks and limit undesirable market exposures, the fund may also employ various other hedging tools, such as Exchange-Traded Funds (ETFs), options, and currency forwards, when deemed suitable. It's possible for the fund to have a substantial portion of its investments concentrated in the Financial sector.