STONE HARBOR EMERGING MARKETS INCOME FUND ANNOUNCEMENT
Stone Harbor Investment Partners will continue as the adviser to the Stone Harbor Emerging Markets Income Fund (NYSE: EDF) and the Stone Harbor Emerging Markets Total Income Fund (NYSE: EDI) following its acquisition by Virtus Investment Partners on January 1, 2022. There will be no changes to the portfolio management personnel. Shareholders are being asked to approve new advisory agreements. The Funds aim to maximize total return through investments in emerging markets securities, though there is no guarantee of achieving this objective.
- Stone Harbor remains as adviser to the Funds post-acquisition.
- No changes to portfolio management personnel expected.
- Shareholder approval process for new advisory agreements in progress.
- Investment in the Funds involves risks, including loss of principal.
- Emerging markets securities face greater risks from instability and non-payment issues.
- The Fund is non-diversified, increasing potential losses from adverse events.
DENVER, Jan. 3, 2022 /PRNewswire/ -- Stone Harbor Investment Partners, LLC, which became an affiliated manager of Virtus Investment Partners, Inc. effective January 1, 2022, will remain as adviser to its registered funds, including the Stone Harbor Emerging Markets Income Fund (NYSE: EDF) and Stone Harbor Emerging Markets Total Income Fund (NYSE: EDI) (together, the "Funds") pursuant to an interim advisory agreement between Stone Harbor and the Funds.
The acquisition of Stone Harbor by Virtus is not expected to result in a change to the current personnel responsible for day-to-day portfolio management of the Funds.
Shareholders of the Funds have been asked to approve new advisory agreements with Virtus Alternative Investment Advisers, Inc. and sub-advisory agreements with Stone Harbor. Additional information on the advisory and sub-advisory arrangements have been provided to shareholders and can be found in the proxy statement recently filed with the U.S. Securities and Exchange Commission.
Each Fund's primary investment objective is to maximize total return, which consists of income and capital appreciation on its investments in emerging markets securities. There is no assurance that a Fund will achieve its investment objective.
For more information about the Funds, call 877.206.0791 or visit the Funds' website, www.shiplpcef.com.
About Stone Harbor
Stone Harbor Investment Partners, LLC is a global institutional fixed-income investment manager specializing in credit and asset allocation strategies. The firm manages institutional clients' assets in a range of investment strategies including emerging markets debt, global high yield, bank loans, as well as multi-sector credit products including unconstrained and total return approaches. The firm's investment strategies are based on fundamental insights, derived from a combination of proprietary research and the in-depth knowledge and specialized experience of the firm's team. Founded in 2006, it is based in New York City with additional offices in London and Singapore.
About Virtus Investment Partners
Virtus Investment Partners, Inc. is a distinctive partnership of boutique investment managers singularly committed to the long-term success of individual and institutional investors. The company provides investment management products and services through its affiliated managers and select subadvisers, each with a distinct investment style, autonomous investment process, and individual brand.
Fund Risks
The Stone Harbor Emerging Markets Income Fund is a closed-end fund and closed-end funds do not continuously issue shares for sale as open-end mutual funds do. Since its initial public offering, the Fund has traded on the New York Stock Exchange under the symbol EDF. Investors wishing to buy or sell shares need to place orders through an intermediary or broker. An investment in the Fund involves risks, including loss of principal. Emerging markets securities are subject to greater risks arising from political or economic instability, nationalization or confiscatory taxation, currency exchange restrictions and an issuer's unwillingness or inability to make principal or interest payments on its obligations.
The Fund is "non-diversified," which means that it can invest a higher percentage of its assets in any one issuer or in a smaller number of issuers than a diversified fund. Being non-diversified may magnify the Fund's losses from adverse events affecting a particular issuer. THE FUND SHOULD BE CONSIDERED AS ONLY ONE ELEMENT OF A COMPLETE INVESTMENT PROGRAM. AN INVESTMENT IN THIS FUND SHOULD BE CONSIDERED SPECULATIVE. CLOSED-END FUNDS FREQUENTLY TRADE AT A DISCOUNT TO THEIR NET ASSET VALUES.
Member firm ALPS Distributors, Inc.
NOT FDIC INSURED | May Lose Value | No Bank Guarantee
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SOURCE Stone Harbor
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