The Boards of Directors of Flaherty & Crumrine/Claymore Preferred Securities Income Fund Incorporated (NYSE: FFC) and Flaherty & Crumrine/Claymore Total Return Fund Incorporated (NYSE: FLC) today announced the results of their Annual Meetings of Shareholders.
FFC shareholders re-elected Morgan Gust and Karen H. Hogan as Class II directors. FLC shareholders also re-elected Morgan Gust and Karen H. Hogan as Class II directors.
In addition, FFC’s and FLC’s shareholders approved the following changes to their fundamental policies on concentration of investments:
- Proposal 2-A: The Fund is now required, under normal market conditions, to invest at least 25% of its total assets in the financials sector, which for this purpose is comprised of the bank, thrifts & mortgage finance, diversified financial services, finance, consumer finance, capital markets, asset management & custody, investment banking & brokerage, insurance, insurance brokers and real estate investment trust (REIT) industries. From time to time, a Fund may have 25% or more of its total assets invested in any one of these industries.
- Proposal 2-B: The Fund eliminated its requirement that the Fund concentrate its investments in the utilities industry. As a result, under normal market conditions, the Fund may no longer invest more than 25% of its total assets in the utilities industry.
As a result of this change, beginning immediately, each Fund will begin to rebalance its portfolio to the extent required by its new fundamental policy on concentration.
FFC and FLC were organized in 2003 as closed-end, diversified investment companies. FFC invests primarily in preferred securities with an investment objective of high current income consistent with preservation of capital. FLC invests primarily in preferred and other income-producing securities with a primary investment objective of high current income and a secondary objective of capital appreciation. FFC and FLC are managed by Flaherty & Crumrine Incorporated, an independent investment adviser which was founded in 1983 to specialize in the management of portfolios of preferred and related securities. Flaherty & Crumrine also manages two other U.S. closed-end funds: Flaherty & Crumrine Preferred Income Fund (NYSE: PFD); and Flaherty & Crumrine Preferred Income Opportunity Fund (NYSE: PFO).