cided to merge the five funds into a single fund. The new fund will be called the Flaherty & Crumrine Preferred and Income Securities Fund Incorporated (NYSE: FFC).
The merger is expected to be completed in the first quarter of 2022. The purpose of the merger is to create a larger, more diversified fund that will provide investors with greater access to a wider range of preferred and income securities. The new fund will also benefit from the combined expertise and resources of the five existing funds.
With this merger, investors will have the opportunity to invest in a fund with a larger asset base and improved liquidity. The new fund will also have a more diverse portfolio, which will help to reduce risk and enhance potential returns for investors.
The combined fund will be managed by the existing team of portfolio managers and analysts from Flaherty & Crumrine. They will continue to apply the same investment strategy and disciplined approach to portfolio management that has been successful for the existing funds.
The Boards of Directors believe that the merger is in the best interests of the shareholders of the five funds. They have carefully considered the potential benefits and risks of the merger and have determined that it will create significant value for investors.
The merger is subject to the approval of the shareholders of each fund, as well as regulatory approvals. Information about the merger, including details on the proposed fund and the voting process, will be made available to shareholders in the coming months.
In the meantime, the existing funds will continue to operate in the ordinary course of business. Shareholders do not need to take any action at this time. The funds will continue to provide regular updates and information to shareholders as the merger process unfolds.
The Boards of Directors and Flaherty & Crumrine are committed to ensuring a smooth and efficient transition for shareholders. They will work diligently to address any questions or concerns that shareholders may have about the merger.
The merger of the five Flaherty & Crumrine preferred and income funds into a single fund is expected to create a stronger and more diversified investment opportunity for shareholders. It will combine the expertise and resources of the existing funds to create a fund with a larger asset base, improved liquidity, and a more diverse portfolio.
Over the coming months, shareholders will receive detailed information about the merger and will have the opportunity to vote on the proposed fund. Flaherty & Crumrine and the Boards of Directors are committed to ensuring transparency and open communication throughout the merger process. Shareholders can expect regular updates and information as the merger progresses.
The merger is a significant strategic move for the Flaherty & Crumrine funds, and the Boards of Directors are confident that it will create long-term value for shareholders. They encourage shareholders to stay informed and participate in the voting process when the time comes.
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