Plan Seeks to Enhance Income Potential and Reduce Trading Discounts
CHICAGO–(BUSINESS WIRE)–Nuveen Investments, a leading global provider of investment services to institutions as well as individual investors, today announced that the Board of Trustees of Nuveen Quality Preferred Income Fund (NYSE: JTP), Nuveen Quality Preferred Income Fund 2 (NYSE: JPS), and Nuveen Quality Preferred Income Fund 3 (NYSE: JHP) has approved a change to the funds’ investment policies. The minimum allocation to investment grade securities will be reduced from 80 percent to 65 percent.
Additionally, the Funds’ Board of Trustees approved a plan to merge the three funds.
The proposed fund merger is as follows:
| Acquired Fund | Symbol | Acquiring Fund | Symbol | |||
| Nuveen Quality Preferred Income Fund | JTP |
Nuveen Quality Preferred Income Fund 2 |
JPS |
|||
| Nuveen Quality Preferred Income Fund 3 | JHP | |||||
Once the merger is complete, the acquiring fund’s minimum allocation to investment grade securities will decrease from 65 percent to 50 percent and the existing 45 percent limit on dollar denominated preferred securities of non-US issuers will be eliminated.
These changes reflect the evolution in the preferred securities market since the funds launch in 2002.
The goal of the investment policy changes and proposed merger is to enhance the funds’ competitiveness and investor appeal and thereby improve the market price at which the common shares trade relative to net asset value.
A Q&A posted on Nuveen’s web site provides a summary of the proposed merger and investment policy changes. Detailed information on the proposals will be contained in the proxy materials expected to be filed in the near future.
Nuveen Investments provides high-quality investment services designed to help secure the long-term goals of institutional and individual investors as well as the consultants and financial advisors who serve them. Nuveen Investments markets a wide range of specialized investment solutions which provide investors access to capabilities of its high-quality boutique investment affiliates—Nuveen Asset Management, LLC, Symphony Asset Management LLC, NWQ Investment Management Company, LLC, Santa Barbara Asset Management, LLC, Tradewinds Global Investors, LLC, Winslow Capital Management, LLC and Gresham Investment Management LLC, all of which are registered investment advisers and independent investment subsidiaries of Nuveen Investments, Inc. Funds distributed by Nuveen Securities, LLC, a subsidiary of Nuveen Investments, Inc. Nuveen Investments operates as a separate subsidiary within TIAA-CREF, which is a leading provider of retirement and financial services in the academic, research, medical and cultural fields. In total, Nuveen Investments managed approximately $230 billion as of June 30, 2015. For more information, please visit the Nuveen Investments website at www.nuveen.com.
The funds expect to file proxy statements with the SEC in connection with the proposed merger and repositioning. Investors are urged to read the proxy statement and any other relevant documents when they become available because they will contain important information about the proposals. After they are filed, free copies of the proxy statements will be available on the SEC’s web site atwww.sec.gov.
This communication is not a solicitation of a proxy from any fund shareholder. The funds, Nuveen Fund Advisors and certain of their respective directors/trustees, officers and affiliates may be deemed under the rules of the SEC to be participants in the solicitation of proxies from shareholders in connection with the proposals. Information about the directors/trustees and officers of the funds may be found in their respective annual reports and annual proxy statements previously filed with the SEC and will be contained in the proxy statement when available.
FORWARD LOOKING STATEMENTS
Certain statements made in this release are forward-looking statements. Actual future results or occurrences may differ significantly from those anticipated in any forward-looking statements due to numerous factors. These include, but are not limited to:
| • | market developments; | ||
| • | legal and regulatory developments; and | ||
| • | other additional risks and uncertainties. |
Nuveen and the closed-end funds managed by Nuveen and its affiliates undertake no responsibility to update publicly or revise any forward-looking statement.
11043-INV-O-10/16
Contacts
Nuveen Investments
Media Contact:
Kristyna Munoz
(312) 917-8343
[email protected]
