497 1 d586036d497.htm 497 497

CALAMOS® FAMILY OF FUNDS

Supplement dated August 20, 2013 to the

CALAMOS® FAMILY OF FUNDS Prospectuses for

Class A and C dated March 1, 2013, as previously amended August 5, 2013 and Class I and R dated March 1, 2013, as previously amended on August 5, 2013 and the Statement of Additional Information dated March 1, 2013, as previously amended on August 5, 2013

The following table replaces the table listing the Long/Short Fund’s portfolio managers in its entirety on page 58 of the Class A and C Prospectus, and on page 58 of the Class I and R Prospectus:

 

     

PORTFOLIO MANAGER/

FUND TITLE (IF APPLICABLE)

   

PORTFOLIO MANAGER

EXPERIENCE IN THE FUND

   

PRIMARY TITLE

WITH INVESTMENT ADVISER

John P. Calamos, Sr. (President, Chairman)    since Fund’s inception    Chief Executive Officer, Global Co-CIO
Gary D. Black (Vice President)    since Fund’s inception    EVP, Global Co-CIO
Brendan Maher    since Fund’s inception    SVP, Co-Portfolio Manager
Matthew Dveirin    since August 20, 2013    VP, Co-Portfolio Manager
Daniel Fu    since Fund’s inception    VP, Co-Portfolio Manager
Himanshu Sheth    since Fund’s inception    VP, Co-Portfolio Manager
Naveen Yalamanchi    since Fund’s inception    VP, Co-Portfolio Manager

The “Portfolio Managers” Section beginning on Page 77 of the Class A and C Prospectus and on page 77 of the Class I and R prospectus is deleted in its entirety and replaced with the following:

Portfolio Managers

John P. Calamos, Sr. During the past five years, John P. Calamos, Sr. has been President and Trustee of the Calamos Investment Trust (“Trust”) and Chairman, CEO and Global Co-CIO of CALAMOS ADVISORS as of August 31, 2012, prior thereto he was Chairman, CEO and Co-CIO of CALAMOS ADVISORS and its predecessor company.

Gary D. Black. Gary D. Black became the Executive Vice President and Global Co-CIO of CALAMOS ADVISORS as of August 31, 2012. Mr. Black served as Chief Executive Officer and Chief Investment Officer, and was a Founding Member of Black Capital LLC from July 2009 until August 2012, prior thereto, Mr. Black served as Chief Executive Officer of Janus Capital Group from January 2006 through July 2009.

Jeff Scudieri. Jeff Scudieri joined CALAMOS ADVISORS in 1997 and has been a Co-Portfolio Manager, Co-Head of Research since August 2013. Previously, he was a Co-Head of Research and Investments from July 2010 to August 2013, prior thereto he was a senior strategy analyst between September 2002 and July 2010.

Jon Vacko. Jon Vacko joined CALAMOS ADVISORS in 2000 and has been a Co-Portfolio Manager, Co-Head of Research since August 2013. Previously, he was a Co-Head of Research and Investments from July 2010 to August 2013, prior thereto he was a senior strategy analyst between July 2002 and July 2010.

John P. Calamos, Jr. John P. Calamos, Jr., Co-Portfolio Manager of CALAMOS ADVISORS joined the firm in 1985 and has held various senior investment positions since that time.

Dennis Cogan. Dennis Cogan joined CALAMOS ADVISORS in March 2005 and since March 2013 is a Co-Portfolio Manager. Between March 2005 and March 2013 he was a senior strategy analyst.

John Hillenbrand. John Hillenbrand joined CALAMOS ADVISORS in 2002 and since March 2013 is a Co-Portfolio Manager. Between August 2002 and March 2013 he was a senior strategy analyst.

Christopher Hartman. Christopher Hartman joined CALAMOS ADVISORS in February 1997 and since March 2013 is a Co-Portfolio Manager. Between May 2001 and March 2013 he was a senior strategy analyst.

Steve Klouda. Steve Klouda joined CALAMOS ADVISORS in 1994 and has been a Co-Portfolio Manager since March 2013. Between July 2002 and March 2013 he was a senior strategy analyst.

Nick Niziolek. Nick Niziolek joined CALAMOS ADVISORS in March 2005 and has been a Co-Portfolio Manager, Co-Head of Research since August 2013. Between March 2013 and August 2013 he was a Co-Portfolio Manager. Between March 2005 and March 2013 he was a senior strategy analyst.

David Kalis. David Kalis joined CALAMOS ADVISORS in February 2013 and has been a Co-Portfolio Manager since March 2013. Previously, he was a Managing Partner at Charis Capital Management LLC from 2010 until 2013. Prior thereto, Mr. Kalis was Senior Vice President, Institutional Asset Management Group at Northern Trust Global Investments from 2006 to 2009.

Brendan Maher. Brendan Maher joined CALAMOS ADVISORS in September 2012 and has been a Co-Portfolio Manager since March 2013. Between September 2012 and March 2013 he was a senior strategy analyst. Previously, Mr. Maher served as a Senior Research Analyst at Black Capital from March 2011 until September 2012. Prior thereto Mr. Maher was a Founding Partner in Savannah-Baltimore Capital Management, LLC from 2004 to 2011.

Joe Wysocki. Joe Wysocki joined CALAMOS ADVISORS in October 2003 and has been a Co-Portfolio Manager since March 2013. Between February 2007 and March 2013 he was a senior strategy analyst.

Eli Pars. Eli Pars joined CALAMOS ADVISORS in May 2013 as a Co-Portfolio Manager. Previously, he was a Portfolio Manager at Chicago Fundamental Investment Partners from February 2009 until November 2012. Prior thereto, Mr. Pars was President at Mulligan Partners LLC from October 2006 until February 2009.

Naveen Yalamanchi. Naveen Yalamanchi joined CALAMOS ADVISORS in September 2012 as a Co-Portfolio Manager. Previously, he was a sector head at Black Capital since 2011. Prior to joining Black Capital, Dr. Yalamanchi was a health care portfolio manager at RTW Funds, where he managed a long/short health care sleeve of the portfolio from 2010 to 2011. Prior thereto, Dr. Yalamanchi was a senior health care analyst at Millennium Partners in 2009 and at Davidson Kempner Capital Management from 2006 through 2008, where he focused on long and short opportunities across all health care subsectors.

Himanshu Sheth. Himanshu Sheth joined CALAMOS ADVISORS in September 2012 as a Co-Portfolio Manager. Previously, he was a sector head at Black Capital since 2011. Prior to joining Black Capital, Mr. Sheth was a principal and key member of the investment team at JAI Capital Management, a long/short equity hedge fund, where he focused on the energy, materials, and industrials sectors from 2009 to 2011. Previously, Mr. Sheth was a research analyst at One East Partners from 2007 to 2009.

Daniel Fu. Daniel Fu joined CALAMOS ADVISORS in September 2012 as a Co-Portfolio Manager. Mr. Fu previously was a Vice President and Senior Analyst at Peconic Partners, a long/short equity hedge fund, where he focused on the consumer/ retail sector with a secondary focus in the internet/technology sector. Previously, Mr. Fu was an Investment Analyst at Citi Principal Strategies, a long/short equity fund from 2010 to 2011. Prior to Citi Principal Strategies, he was with Citigroup Investment Research from 2006 to 2010.

Jeremy Hughes. Jeremy Hughes joined CALAMOS ADVISORS in June 2013 as a Co-Portfolio Manager. Prior thereto, Mr. Hughes was a Vice President and Senior High Yield Portfolio Manager at Aviva Investors since 2008.

Christopher Langs. Christopher Langs joined CALAMOS ADVISORS in June 2013 as a Co-Portfolio Manager. Prior thereto, Mr. Langs was a Vice President and Senior High Yield Portfolio Manager at Aviva Investors since 2006.

Matthew Dveirin. Matthew Dveirin joined CALAMOS ADVISORS in July 2013 as a Co-Portfolio Manager. Prior thereto, Mr. Dveirin was a Senior Research Analyst at Clovis Capital Management, LP since 2006.

Jeff Miller. Jeff Miller joined CALAMOS ADVISORS in July 2012 and has been a Co-Portfolio Manager since March 2013. Between July 2012 and March 2013 he was a senior strategy analyst, Value Team. Prior thereto he was Portfolio Manager and President of Value Equities at American Independence Financial Services LLC.

Ariel Fromer. Ariel Fromer joined CALAMOS ADVISORS in July 2012 and has been a Co-Portfolio Manager since March 2013. Between July 2012 and March 2013 she was a senior strategy analyst, Value Team. Prior thereto she was Portfolio Manager and President of Value Equities at American Independence Financial Services LLC.

Tammy Miller. Tammy Miller joined CALAMOS ADVISORS in July 2012 and has been a Co-Portfolio Manager since March 2013. Between July 2012 and March 2013 she was a senior strategy analyst, Value Team. Prior thereto she was Vice President of Research at American Independence Financial Services LLC.

 

2

Jason Hill. Jason Hill joined CALAMOS ADVISORS in March 2004 as a Portfolio Administrator and, since August 2013 serves as a Senior Strategy Analyst.

The Funds’ statement of additional information provides additional information about the team leaders, including other accounts they manage, their ownership in the CALAMOS FAMILY OF FUNDS and their compensation.

The “Team Approach to Management” Section beginning on Page 79 of the Class A and C Prospectus, and on page 79 of the Class I and R prospectus shall be deleted in its entirety and replaced with the following:

Team Approach to Management. CALAMOS ADVISORS employs a team approach to portfolio management, led by the Global Co-CIOs and comprised generally of the Global Co-CIOs and Co-Portfolio Managers. The Global Co-CIOs and Co-Portfolio Managers are supported by and lead a team of investment professionals whose valuable contributions create a synergy of expertise that can be applied across many different investment strategies. Co-Portfolio Managers are supported by a team of sector analysts making recommendations based upon rigorous fundamental research.

CALAMOS ADVISORS has an Investment Committee (“Investment Committee”) that performs the following functions:

  •  

Establishment of top-down global macroeconomic views

  •  

Discussion of sector, thematic and geographic positioning across strategies

  •  

Oversight of risk management across strategies

  •  

Monitoring and evaluation of investment performance

  •  

Evaluation and recommendation of enhancements to the investment process

The Investment Committee operates as a team and consists of our Global Co-CIOs, who will lead the Committee, and a select group of senior investment professionals. Other members of the investment team will also participate in Committee meetings in connection with specific investment related issues or topics as deemed appropriate. Membership of the Investment Committee may be modified to ensure we adapt to dynamic economic, capital market and investment environments as well as incorporate diverse views into our investment process.

John P. Calamos, Sr. and Gary D. Black, Global Co-CIOs of CALAMOS ADVISORS, generally focus on firm-wide risk management and the top-down approach of diversification by country and industry sector and macro-level investment themes. As Global Co-CIOs, Messrs. John P. Calamos, Sr. and Gary D. Black direct the team’s focus on the macro themes upon which the portfolio’s strategy is based. For all Funds except Value Fund and Dividend Growth Fund, the team, as a whole, implements the investment strategies, under the general direction and supervision of the Global Co-CIOs and the Co-Portfolio Managers. John P. Calamos, Sr. and Gary D. Black, are responsible for the day-to-day management of the team, bottom-up research efforts and strategy implementation. Jon Vacko, Jeff Scudieri, John P. Calamos, Jr., John Hillenbrand, Steve Klouda, Christopher Hartman, Brendan Maher, Dennis Cogan, Nick Niziolek, David Kalis, Joe Wysocki, Eli Pars, Naveen Yalamanchi, Himanshu Sheth, Daniel Fu, Jeremy Hughes, Christopher Langs, Matthew Dveirin, Jeff Miller, Ariel Fromer and Tammy Miller are each Co-Portfolio Managers, and Jason Hill is a Senior Strategy Analyst, for the Funds for which each has been so designated. Collectively Mr. Miller, Ms. Fromer and Ms. Miller are referred to as (the “Value Team”). With regard to the Dividend Growth and the Value Funds, the Investment Committee, headed by Messrs. John Calamos, Sr. and Gary D. Black, will direct the team’s focus on the macro themes upon which the portfolio’s strategy is based. However, the Value Team will be responsible for the day-to-day management of the portfolio, including buy and sell decisions of underlying investments, and will implement the investment strategies, under the general direction and supervision of the Global Co-CIOs.

The following revised and supplemental language replaces the section titled “Team Approach to Management” beginning on page 41 of the Statement of Additional Information:

TEAM APPROACH TO MANAGEMENT

CALAMOS ADVISORS employs a team approach to portfolio management, led by the Global Co-CIOs and comprised generally of the Global Co-CIOs and Co-Portfolio Managers. The Global Co-CIOs and Co-Portfolio

 

3

Managers are supported by and lead a team of investment professionals whose valuable contributions create a synergy of expertise that can be applied across many different investment strategies. Co-Portfolio Managers are supported by a team of sector analysts making recommendations based upon rigorous fundamental research.

CALAMOS ADVISORS has an Investment Committee (“Investment Committee”) that performs the following functions:

  •  

Establishment of top-down global macroeconomic views

  •  

Discussion of sector, thematic and geographic positioning across strategies

  •  

Oversight of risk management across strategies

  •  

Monitoring and evaluation of investment performance

  •  

Evaluation and recommendation of enhancements to the investment process

The Investment Committee operates as a team and consists of our Global Co-CIOs, who will lead the Committee, and a select group of senior investment professionals. Other members of the investment team will also participate in Committee meetings in connection with specific investment related issues or topics as deemed appropriate. Membership of the Investment Committee may be modified to ensure we adapt to dynamic economic, capital market and investment environments as well as incorporate diverse views into our investment process.

John P. Calamos, Sr. and Gary D. Black, Global Co-CIOs of CALAMOS ADVISORS, generally focus on firm-wide risk management and the top-down approach of diversification by country and industry sector and macro-level investment themes. As Global Co-CIOs, Messrs. John P. Calamos, Sr. and Gary D. Black direct the team’s focus on the macro themes upon which the portfolio’s strategy is based. For all funds except Value Fund and Dividend Growth Fund, the team, as a whole, implements the investment strategies, under the general direction and supervision of the Global Co-CIOs and the Co-Portfolio Managers. John P. Calamos, Sr. and Gary D. Black are responsible for the day-to-day management of the team, bottom-up research efforts and strategy implementation. Jeff Scudieri, Jon Vacko, John P. Calamos, Jr., John Hillenbrand, Steve Klouda, Christopher Hartman, Brendan Maher, Dennis Cogan, Nick Niziolek, David Kalis, Eli Pars, Joe Wysocki, Naveen Yalamanchi, Himanshu Sheth, Daniel Fu, Jeremy Hughes, Christopher Langs, Matthew Dveirin, Jeff Miller, Ariel Fromer and Tammy Miller are each Co-Portfolio Managers, and Jason Hill is a Senior Strategy Analyst, for the Funds for which each has been so designated. Collectively Mr. Miller, Ms. Fromer and Ms. Miller are referred to as (the “Value Team”). With regard to the Dividend Growth and Value Funds, the Investment Committee, headed by Messrs. John Calamos, Sr. and Gary D. Black, will direct the team’s focus on the macro themes upon which the portfolio’s strategy is based. However, the Value Team will be responsible for the day-to-day management of the portfolio, including buy and sell decisions of underlying investments, and will implement the investment strategies, under the general direction and supervision of the Global Co-CIOs.

The Team Leaders also have responsibility for the day-to-day management of accounts other than the Funds. Information regarding these other accounts as of October 31, 2012 is set forth below. As of October 31, 2012 the Long/Short Fund, Dividend Growth Fund and Mid Cap Growth Fund had not commenced operations.

 

4

     Registered
Investment
Companies		      Other Pooled
Investment
Vehicles		      Other
Accounts		  
   Accounts      Assets      Accounts      Assets      Accounts      Assets  

John P. Calamos Sr.

      23         24,394,602,270         11         2,012,531,959         2,573         4,951,107,661   

Gary D. Black*

      23         24,394,602,270         12         2,037,431,753         2,573         4,951,107,661   

John P. Calamos, Jr.

      1         34,778,109         0         —         2,573         4,951,107,661   

Jeff Scudieri

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

Jon Vacko

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

John Hillenbrand

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

Steve Klouda

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

Christopher Hartman

      1         2,481,667,732         0         —         2,573         4,951,107,661   

Joe Wysocki

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

Jeff Miller

      1         53,707,853         0         —         3         1,578,223   

Ariel Fromer

      1         53,707,853         0         —         3         1,578,223   

Tammy Miller

      1         53,707,853         0         —         3         1,578,223   

Brendan Maher**

      1         2,481,667,732         1         24,899,794         0         —   

Dennis Cogan***

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

David Kalis***

      1         34,778,109         0         —         2,573         4,951,107,661   

Nick Niziolek***

      20         21,824,448,576         11         2,012,531,959         2,573         4,951,107,661   

Eli Pars****

      1         1,533,784,486         0         —         1         191,772,593   

Naveen Yalamanchi*****

      1         2,481,667,732         1         24,899,794         0         —   

Himanshu Sheth*****

      1         2,481,667,732         1         24,899,794         0         —   

Daniel Fu*****

      1         2,481,667,732         1         24,899,794         0         —   

JeremyHughes******

      2         533,881,087         0         —         0         —   

Christopher Langs******

      2         533,881,087         0         —         0         —   

Jason Hill******

      1         2,481,667,732         0         —         0         —   

Matthew Dveirin*******

      1         2,481,667,732         1         24,899,794         0         —   

As of October 31, 2012, the accounts listed below include an advisory fee that is based on performance of the account.

 

     Registered
Investment
Companies		      Other Pooled
Investment
Vehicles		      Other
Accounts		  
   Accounts      Assets      Accounts      Assets      Accounts      Assets  

John P. Calamos Sr.

      3         1,360,974,510         0         —         0         —   

Gary D. Black*

      3         1,360,974,510         1         24,899,794         0         —   

John P. Calamos, Jr.

      0         —         0         —         0         —   

Jeff Scudieri

      3         1,360,974,510         0         —         0         —   

Jon Vacko

      3         1,360,974,510         0         —         0         —   

John Hillenbrand

      3         1,360,974,510         0         —         0         —   

Steve Klouda

      3         1,360,974,510         0         —         0         —   

Christopher Hartman

      0         —         0         —         0         —   

Joe Wysocki

      3         1,360,974,510         0         —         0         —   

Jeff Miller

      0         —         0         —         0         —   

Ariel Fromer

      0         —         0         —         0         —   

Tammy Miller

      0         —         0         —         0         —   

Brendan Maher**

      0         —         1         24,899,794         0         —   

Dennis Cogan***

      3         1,360,974,510         0         —         0         —   

David Kalis***

      0         —         0         —         0         —   

Nick Niziolek***

      3         1,360,974,510         0         —         0         —   

Eli Pars****

      0         —         0         —         0         —   

Naveen Yalamanchi*****

      0         —         1         24,899,794         0         —   

Himanshu Sheth*****

      0         —         1         24,899,794         0         —   

Daniel Fu*****

      0         —         1         24,899,794         0         —   

JeremyHughes******

      0         —         0         —         0         —   

Christopher Langs******

      0         —         0         —         0         —   

Jason Hill******

      0         —         0         —         0         —   

Matthew Dveirin*******

      0         —         1         24,899,794         0         —   

 

5

Each Team Leader may invest for his own benefit in securities held in brokerage and mutual fund accounts. The information shown in the table does not include information about those accounts where the Team Leader or members of his family have a beneficial or pecuniary interest because no advisory relationship exists with Calamos Advisors or any of its affiliates.

 

* Mr. Gary D. Black joined the firm as of August 31, 2012 and was not responsible for the day-to-day management of any other registered investment companies, pooled investment vehicles or other accounts as of July 31, 2012. As of August 31, 2012 he assumed day-to-day management of all noted accounts.
** Mr. Brendan Maher joined the firm as of September 2012 and was not responsible for the day- to-day management of any other registered investment companies, pooled investment vehicles or other accounts. As of March 1, 2013 he assumed day-to-day management as part of the team for the Market Neutral Income Fund.
*** Mr. Kalis joined the Adviser on March 1, 2013. Messrs. Cogan and Niziolek assumed day-to-day management on March 1, 2013 of the respective Funds in which they manage.
**** Mr. Pars joined the Adviser on May 14, 2013. As of June 7, 2013 he assumed day-to-day management as part of the team for the Convertible Fund. As of August 5, 2013, he assumed day-to-day management as part of the team for the Growth and Income and Global Growth and Income Funds.
***** Messrs. Yalamanchi, Sheth, and Fu joined the firm as of September 2012 and were not responsible for the day-to-day management of any other registered investment companies, pooled investment vehicles or other accounts until June 2, 2013.
****** Messrs. Hughes and Langs joined the firm as of June 2013. As of August 5, 2013, Messrs. Hughes, Langs, and Hill assumed day-today management of the respective Funds in which they manage.
******* Mr. Dveirin joined the Adviser on July 30, 2013. As of August 20, 2013 he assumed day-to-day management as part of the team for the Long/Short Fund.

The Funds’ Team Leaders are responsible for managing both the Funds and other accounts, including separate accounts and funds not required to be registered under the 1940 Act.

Other than potential conflicts between investment strategies, the side-by-side management of both the Funds and other accounts may raise potential conflicts of interest due to the interest held by Calamos Advisors in an account and certain trading practices used by the portfolio managers (e.g., cross trades between a Fund and another account and allocation of aggregated trades). Calamos Advisors has developed policies and procedures reasonably designed to mitigate those conflicts. For example, Calamos Advisors will only place cross-trades in securities held by the Funds in accordance with the rules promulgated under the 1940 Act and has adopted policies designed to ensure the fair allocation of securities purchased on an aggregated basis. The allocation methodology employed by Calamos Advisors varies depending on the type of securities sought to be bought or sold and the type of client or group of clients. Generally, however, orders are placed first for those clients that have given Calamos Advisors brokerage discretion (including the ability to step out a portion of trades), and then to clients that have directed Calamos Advisors to execute trades through a specific broker. However, if the directed broker allows Calamos Advisors to execute with other brokerage firms, which then book the transaction directly with the directed broker, the order will be placed as if the client had given Calamos Advisors full brokerage discretion. Calamos Advisors and its affiliates frequently use a “rotational” method of placing and aggregating client orders and will build and fill a position for a designated client or group of clients before placing orders for other clients.

A client account may not receive an allocation of an order if: (a) the client would receive an unmarketable amount of securities based on account size; (b) the client has precluded Calamos Advisors from using a particular broker; (c) the cash balance in the client account will be insufficient to pay for the securities allocated to it at settlement; (d) current portfolio attributes make an allocation inappropriate; and (e) account specific guidelines, objectives and other account specific factors make an allocation inappropriate. Allocation methodology may be modified when strict adherence to the usual allocation is impractical or leads to inefficient or undesirable results. Calamos Advisors’ head trader must approve each instance that the usual allocation methodology is not followed and provide a reasonable basis for such instances and all modifications must be reported in writing to the Calamos Advisors’ Chief Compliance Officer on a monthly basis.

 

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Investment opportunities for which there is limited availability generally are allocated among participating client accounts pursuant to an objective methodology (i.e., either on a pro rata basis or using a rotational method, as described above). However, in some instances, Calamos Advisors may consider subjective elements in attempting to allocate a trade, in which case a Fund may not participate, or may participate to a lesser degree than other clients, in the allocation of an investment opportunity. In considering subjective criteria when allocating trades, Calamos Advisors is bound by its fiduciary duty to its clients to treat all client accounts fairly and equitably.

The Team Leaders advise certain accounts under a performance fee arrangement. A performance fee arrangement may create an incentive for a Team Leader to make investments that are riskier or more speculative than would be the case in the absence of performance fees. A performance fee arrangement may result in increased compensation to the Team Leaders from such accounts due to unrealized appreciation as well as realized gains in the client’s account.

As of December 31, 2012, John P. Calamos, Sr. and Gary D. Black, our Global Co-CIOs, as well as John P. Calamos, Jr., receive all of their compensation from Calamos Advisors. Each has entered into an employment agreement that provides for compensation in the form of an annual base salary and a target bonus, both components payable in cash. Their target bonus is set at a percentage of the respective base salary. Similarly, there is a target for Long-Term Incentive (“LTI”) awards and that target is also set at a percentage of the respective base salaries.

As of December 31, 2012, Jeff Scudieri, Jon Vacko, John Hillenbrand, Steve Klouda, Christopher Hartman, Joe Wysocki, Brendan Maher, Naveen Yalamanchi, Himanshu Sheth, and Daniel Fu receive all of their compensation from Calamos Advisors. As of March 1, 2013 Dennis Cogan, David Kalis and Nick Niziolek receive all of their compensation from Calamos Advisors. As of June 7, 2013, Eli Pars receives all of his compensation from Calamos Advisors. As of August 5, 2013, Jeremy Hughes, Christopher Langs, and Jason Hill receive all of their compensation from Calamos Advisors. As of August 20, 2013, Matthew Dveirin receives all of his compensation from Calamos Advisors. They each receive compensation in the form of an annual base salary, a discretionary bonus (payable in cash) and LTI awards. Each of these individuals has a bonus range of opportunity which is expressed as a percentage of base salary. Each of these individuals is also eligible for discretionary LTI awards based on individual and collective performance, however these awards are not guaranteed from year to year. LTI awards consist of restricted stock units or a combination of restricted stock units and stock options. Additionally, Messrs. Maher, Dveirin, Yalamanchi, Sheth and Fu are also eligible to receive a portion of certain investment advisory fees and incentive fee payments collected by Calamos Advisors or an affiliated entity, determined by the Global Co-CIOs.

The amounts paid to all Team Leaders and the criteria utilized to determine the amounts are benchmarked against industry specific data provided by third party analytical agencies. The Team Leaders’ compensation structure does not differentiate between the Funds and other accounts managed by the Team Leaders, and is determined on an overall basis, taking into consideration annually the performance of the various strategies managed by the Team Leaders. Portfolio performance, as measured by risk-adjusted portfolio performance, is utilized to determine the target bonus, as well as overall performance of Calamos Advisors. All Team Leaders are eligible to receive annual equity awards in shares of Calamos Asset Management, Inc. under an incentive compensation plan.

Historically, the annual equity awards granted under the incentive compensation plan have been comprised of stock options and restricted stock units which vest over periods of time. Unless terminated early, the stock options have a ten-year term. Grants of restricted stock units and stock options must generally be approved by the Compensation Committee of the Board of Directors of Calamos Asset Management, Inc.

The compensation structure described above is also impacted by additional corporate objectives set by the Board of Directors of Calamos Asset Management, Inc., which for 2012 included investment performance, as measured annually by risk-adjusted performance of the investment strategies managed by Calamos Advisors over a blended short- and long-term measurement period; distribution effectiveness, as measured by redemption rates and net sales in products that are open to new investors; and financial performance, as measured by operating earnings and margin.

 

7

   

GROWTH FUND

   GROWTH AND
INCOME FUND		   VALUE FUND   FOCUS GROWTH
FUND

John P. Calamos, Sr.

   Over $1,000,000   Over $1,000,000   Over $1,000,000   Over $1,000,000

Gary D. Black

   None   None   None   None

John P. Calamos, Jr.

   Over $1,000,000   Over $1,000,000   $500,001 to $1,000,000   Over $1,000,000

Jeff Scudieri

   $50,001 to $100,000   $100,001 to $500,000   None   None

Jon Vacko

   $100,001 to $500,000   $100,001 to $500,000   None   $50,001 to $100,000

John Hillenbrand

   $100,001 to $500,000   $50,001 to $100,000   None   None

Steve Klouda

   $100,001 to $500,000   $100,001 to $500,000   None   $100,001 to $500,000

Christopher Hartman

   None   $1 to $10,000   $1 to $10,000   None

Joe Wysocki

   $10,001 to $50,000   $100,001 to $500,000   $1 to $10,000   None

Jeff Miller

   None   None   None   None

Ariel Fromer

   None   None   $10,001 to $50,000   None

Tammy Miller

   None   None   None   None

Brendan Maher

   None   None   None   None

Eli Pars

   None   None   None   None

Dennis Cogan

   $10,001 to $50,000   None   None   $10,001 to $50,000

Nick Niziolek

   $10,001 to $50,000   None   None   None

David Kalis

   None   None   None   None

Jeremy Hughes

   None   None   None   None

Christopher Langs

   None   None   None   None

Matthew Dveirin

   None   None   None   None

Jason Hill

   None   None   None   None

 

    DISCOVERY
GROWTH
FUND		   GLOBAL
GROWTH AND
INCOME FUND		   INTERNATIONAL
GROWTH FUND		   GLOBAL EQUITY
FUND		   CONVERTIBLE
FUND

John P. Calamos, Sr.

   Over $1,000,000   Over $1,000,000   Over $1,000,000   Over $1,000,000   $50,001 to
$100,000

Gary D. Black

   None   None   None   None   None

John P. Calamos, Jr.

   $100,001 to
$500,000		   Over $1,000,000   $500,001 to
$1,000,000		   $100,001 to
$500,000		   $1 to $10,000

Jeff Scudieri

   None   $100,001 to
$500,000		   $100,001 to
$500,000		   $10,001 to $50,000   None

Jon Vacko

   None   $100,001 to
$500,000		   $100,001 to
$500,000		   $10,001 to $50,000   $50,001 to
$100,000

John Hillenbrand

   None   $50,001 to $100,000   $100,001 to
$500,000		   None   None

Steve Klouda

   None   $100,001 to
$500,000		   $100,001 to
$500,000		   $100,001 to
$500,000		   None

Christopher Hartman

   None   $1 to $10,000   $1 to $10,000   $1 to $10,000   None

Joe Wysocki

   $1 to $10,000   $10,001 to $50,000   $10,001 to $50,000   $10,001 to $50,000   $1 to $10,000

Jeff Miller

   None   None   None   None   None

Ariel Fromer

   None   None   None   $1 to $10,000   $1 to $10,000

Tammy Miller

   None   None   None   None   None

Brendan Maher

   None   None   None   None   None

Eli Pars

   None   None   None   None   None

Dennis Cogan

   None   $10,001 to $50,000   None   None   None

Nick Niziolek

   None   None   $10,001 to $50,000   $10,001 to $50,000   None

David Kalis

   None   None   None   None   None

Jeremy Hughes

   None   None   None   None   None

Christopher Langs

   None   None   None   None   None

Matthew Dveirin

   None   None   None   None   None

Jason Hill

   None   None   None   $50,001 to
$100,000		   None

 

8

    

MARKET NEUTRAL
INCOME FUND

    HIGH INCOME
FUND		    TOTAL RETURN
BOND FUND		    EVOLVING
WORLD GROWTH
FUND

John P. Calamos, Sr.

    Over $1,000,000    Over $1,000,000    Over $1,000,000    Over $1,000,000

Gary D. Black

    None    None    None    None

John P. Calamos, Jr.

    $10,001 to $50,000    $50,001 to $100,000    $100,001 to $500,000    None

Jeff Scudieri

    None    None    None    $50,001 to $100,000

Jon Vacko

    $10,001 to $50,000    $50,001 to $100,000    $10,001 to $50,000    $100,001 to $500,000

John Hillenbrand

    $10,001 to $50,000    $10,001 to $50,000    None    None

Steve Klouda

    None    None    None    $100,001 to $500,000

Christopher Hartman

    None    None    None    $1 to $10,000

Joe Wysocki

    None    $1 to $10,000    None    $1 to $10,000

Jeff Miller

    None    None    None    None

Ariel Fromer

    $1 to $10,000    None    $1 to $10,000    None

Tammy Miller

    None    None    None    None

Brendan Maher

    None    None    None    None

Eli Pars

    None    None    None    None

Dennis Cogan

    $10,001 to $50,000    None    None    $10,001 to $50,000

Nick Niziolek

    None    None    $1 to $10,000    $10,001 to $50,000

David Kalis

    None    None    None    None

Jeremy Hughes

    None    None    None    None

Christopher Langs

    None    None    None    None

Matthew Dveirin

    None    None    None    None

Jason Hill

    $1 to $10,000    None    $1 to $10,000    None

 

* Valuation as of October 31, 2012.

 

Please retain this supplement for future reference.

 

9