Calamos Market Neutral Income Strategy Q4 2025 Commentary

Calamos Investments559 FollowersFollow5ShareSavePlay(12min)CommentsSummaryUS convertible bond market's 2025 performance deserves special attention, as the nearly $119 billion in issuance represents not just a record year but a potential inflection point for the asset class.Our hedged equity book continued to advance in the fourth quarter, capping a strong full year's performance.The portfolio’s allocation to SPAC arbitrage continued to reflect a reduced opportunity set, although new SPAC issuance picked up considerably in 2025. narvo vexar/iStock via Getty Images Strategy Overview The portfolio combines two complementary strategies with different responses to volatility: arbitrage seeks alpha and uncorrelated returns, while hedged equity provides income from options writing and upside participation.

Market Overview During theThis article was written byCalamos Investments559 FollowersFollowCalamos Investments is a diversified global investment firm offering innovative investment strategies including U.S. growth equity, global equity, convertible, multi-asset and alternatives. The firm offers strategies through separately managed portfolios, mutual funds, closed-end funds, private funds, an exchange traded fund and UCITS funds. Clients include major corporations, pension funds, endowments, foundations and individuals, as well as the financial advisors and consultants who serve them. Headquartered in the Chicago metropolitan area, the firm also has offices in London, New York and San Francisco. For more information, please visit www.calamos.com.