Calamos Strategic Total Return Fund

CSQ

Market cap $3.12B

We've finished off another strong year for the broader equity market, giving the S&P 500 Index its third year of double-digit gains. However, this has raised some concerns of potential overvaluation and concentration within the mega-cap tech stocks, the Magnificent 7, which have been driving most of the gains. Given that, I've been allowing my cash pile to continue to grow as I have since April 2025 and keeping some dry powder ready for a potential correction.

CSQ to Raise Monthly Distribution METRO CHICAGO, Ill. , Dec. 18, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in 2026 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.

METRO CHICAGO, Ill. , Dec. 1, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in December 2025 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.

Calamos Strategic Total Return Fund offers a diversified, high-yield portfolio with a 6% yield and a 7.7% discount to NAV. CSQ's recent distribution coverage is weak, with only 20% covered by NII and realized gains in the last six months, raising concerns. Leverage, interest rate risk and a high allocation to unrated bonds add to CSQ's risk profile despite strong long-term NAV growth.

METRO CHICAGO, Ill. , Nov. 3, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in November 2025 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.

METRO CHICAGO, Ill. , Oct. 1, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in October 2025 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.

METRO CHICAGO, Illinois , Sept. 2, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in September 2025 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.

Calamos Strategic Total Return Fund offers a strong blend of income and growth, with a 6.7% yield and long-term returns matching the S&P 500. CSQ has a solid record of nearly 21 years, providing its owners with good income and capital appreciation at the same time. We believe it is a solid, diversified fund for income investors. However, the valuation is rich and the yield is somewhat lower than usual , though the discount is decent.

I maintain my buy rating on CSQ due to its attractive 4.7% discount to NAV and strong exposure to high-quality equities. CSQ's blended strategy offers both capital appreciation and a high 6.7% yield, appealing to long-term, income-focused investors. Leverage and high interest rates pose risks to NAV and income, but the fund's diversified holdings and monthly distributions remain compelling.

METRO CHICAGO, Ill. , Aug. 1, 2025 /PRNewswire/ -- Calamos Investments®* has announced monthly distributions and sources of distributions paid in August 2025 to shareholders of its seven closed-end funds (the Funds) pursuant to the Funds' respective distribution plans.