<PAGE>
Calamos Family of Funds/(R)/
ANNUAL REPORT
MARCH 31, 1998
Convertible Fund
Growth and Income Fund
Strategic Income Fund
Growth Fund
Global Growth and Income Fund
<PAGE>
This page intentionally left blank.
<PAGE>
President's Letter
Dear Fellow Shareholders,
We are pleased to present the annual report of the Calamos Family of Funds(R)
for the year ended March 31, 1998.
The Calamos Family of Funds consists of five funds:
Calamos Convertible Fund(R)
Calamos Growth and Income Fund(R)
Calamos Strategic Income Fund(R)
Calamos Growth Fund(R)
Calamos Global Growth and Income Fund(R)
[PHOTO OF JOHN P. CALAMOS]
Our five Funds access what we believe to be some of the unique investment
opportunities available in the financial markets today. Descriptions of the
Funds and their performance can be found in the following pages.
The Calamos Family of Funds offers you, our shareholders, the opportunity to
select a Fund or a combination of Funds that we believe can help you meet your
investment goals. Setting those goals with an eye toward the future is difficult
considering the vagaries of the financial markets. Our view of the future
provides the foundation for our management strategies. In this report, we
discuss factors that we believe will affect the financial markets.
We continue to expect high volatility. However, nervous markets are good for
convertibles, because convertibles attract money from worried equity investors
who are anxious to find some protection. Investors are interested in buying a
security that can both cushion volatility and provide income while waiting for
the value to increase, although convertibles tend to appreciate less than common
stocks in a rising market.
Investing in stock adds value and allows participation in the more volatile but
increasing areas of opportunity. In this mature stage of the investment cycle,
broader participation of these companies in the stock market advance is
anticipated. While the extended valuations of large companies have been
discussed at length in the financial press, the favorable comparison of the
stock value of smaller companies relative to that of larger companies has not
been mentioned. All that may change as earnings are released, providing the
catalyst for this attractive sector to be recognized.
We continue to view the current market environment in a constructive fashion. In
most of the Funds, we are participating through the equity sensitivity of the
convertible security, yet we strive to maintain a defensive posture. Our view is
that the underlying volatility of the market will be higher than in past years
and it will be difficult to forecast the short-term zigs and zags of the market.
The market could be vulnerable to any disappointing earnings regardless of the
favorable trend in interest rates. Most market corrections are accompanied by
increasing interest rates, but since there is little inflation on the horizon,
this would be unusual. Therefore, it is important that a comfortable risk/reward
posture be maintained.
We believe the financial markets will continue to be volatile in the future.
Short-term volatility tends to make investors nervous, which often leads to
investment errors. Investment decisions are best made from a long-term
perspective. We are primarily concerned about risk and how to control it.
Controlling risk is our underlying principle for successful wealth creation.
However, we believe that the highest probability for investment success over the
long term comes from remaining fully invested and applying risk control
measures.
Thank you for your confidence, we will continue to work diligently on your
behalf.
Sincerely,
/s/ John P. Calamos
- -----------------------
John P. Calamos
President
May 15, 1998
1
<PAGE>
Calamos Convertible Fund/R/
The Calamos Convertible Fund performed well for the fiscal year ended March 31,
1998, up 31.44%, outperforming the Lipper Convertible Mutual Fund Average at
25.5%. (Please see page 13 for a complete description of performance for A, C
and I shares, both load-adjusted and non-load-adjusted.) On a one, five and ten
year basis, the Calamos Convertible Fund has consistently outperformed its peer
group.
The performance of the Fund was a result of proper industry positioning and good
individual security selection. The Fund's overweighted position in the less
cyclical industry groups and overweighted positions in the interest rate and
consumer sensitive industry groups proved to be wise. The overweighted positions
in convertibles in the financial industry added value as merger activity and
lower interest rates provided an excellent backdrop for strong convertible
performance.
Review
During the year, we positioned the Fund below market weight in the basic
industries, technology and capital goods sectors. These moves also proved to be
beneficial and added value as a whole to the performance. Our non-U.S.
convertible exposure was a mixed blessing with some exceptional performers in
Europe and some large disappointments in Asia. The Fund may invest up to 25% of
its assets in foreign securities. The Convertible Fund was also positioned in a
majority of investment-grade issues from large- and mid-cap companies. This
positioning could have proven to be detrimental to performance but proper
security selection helped to offset the potential drag on performance relative
to the low-grade convertible market.
During the year, we made some changes regarding the Fund's exposure to various
industry groups and sectors. We increased the Fund's exposure to the consumer
growth, consumer cyclical and technology sectors. We reduced the Fund's exposure
to the energy, capital goods, financial and basic industries sectors. We expect
to continue to favor more stable consistent growth industry groups in the mid-
cap convertible market.
Outlook
The risks for the Convertible Fund in the coming months are the extended stock
valuations of many sectors and the adverse effect falling stock prices could
have on convertible prices. We feel that this will continue to be the cause of
high volatility in the stock and convertible markets. Our strategy emphasizes a
conservative risk/reward trade-off where bond characteristics will help cushion
a price decline, should it occur, while maintaining equity exposure. Although
convertibles do entail risk from increasing interest rates, we feel that in the
current low inflation environment, the risk is small. Mid-cap companies and
European markets are areas where we feel the Fund will add investment
opportunities in the future.
HIGHLIGHTS
The Calamos Convertible Fund looks for convertibles that provide a balance
between the downside safety that comes from a convertible's fixed-income
characteristics and the equity potential afforded by its right to convert to
common stock.
A SHARES
- ---------------
TRADING SYMBOL:
CCVIX
ONE-YEAR RETURN WITHOUT LOAD:
31.44%
START DATE:
June 21, 1985
2
<PAGE>
<TABLE>
<CAPTION>
Average Annual Total Return
----------------------------------------------------------------------------------
Convertible Fund 1 YEAR 5 YEARS 10 YEARS Since Inception
----------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
A Shares/1/ 31.44% 25.21% 15.91% 14.78% 13.74% 13.19% 12.63% 12.20%
C Shares/1/ 30.84% NA NA NA NA NA 24.04% NA
I Shares/2/ NA NA NA NA NA NA 18.84% NA
Lipper Convertible
Mutual Fund Average/3/ 25.50% NA 13.02% NA 12.28% NA 11.57% NA
</TABLE>
/1/Average annual total returns, net of expenses. Inception date for A Shares
was June 21, 1985; for C Shares, July 5, 1996.
/2/Total return, net of expenses, not annualized. Inception date for I Shares
was June 25, 1997. No graph has been included for Class I Shares since
performance is for less than one year.
/3/The Lipper Convertible Mutual Fund Average is composed of all the mutual
funds that invest primarily in convertible securities. Lipper mutual fund
averages are equally weighted and reflect reinvestment of capital gain
distributions and income dividends. Source: Lipper Analytical Services.
Performance has not been adjusted for the sales charge in the unshaded area of
the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area of
the chart.
Past performance does not guarantee future results.
Growth of a $10,000 Investment Since Inception
Based on a hypothetical investment made in the
Calamos Convertible Fund-Class A Shares
from 6/21/85 through 3/31/98.
[GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Calamos Convertible Fund Lehman Brothers Government/ Lipper Convertible
(Load Adjusted) Corporate Bond Index* S&P 500 Stock Index** Mutual Fund Average***
<S> <C> <C> <C> <C>
Beginning Balance 9,525 10,000 10,000 10,000
12/85 10,197 10,973 11,232 10,842
12/86 11,842 12,687 13,278 12,502
12/87 11,312 12,979 13,966 11,855
12/88 12,028 13,963 16,271 13,103
12/89 14,022 15,951 21,386 14,990
12/90 13,523 17,271 20,703 14,046
12/91 18,492 20,057 27,025 18,227
12/92 19,901 21,579 29,102 20,693
12/93 23,395 23,960 32,009 24,033
12/94 21,749 23,122 32,434 22,887
12/95 28,112 27,570 44,596 27,776
12/96 32,547 28,370 54,963 31,933
12/97 41,276 31,139 73,311 37,567
3/98 43,579 31,612 83,546 40,368
</TABLE>
All data points as of December 31.
Based on a hypothetical investment made in the
Calamos Convertible Fund-Class C Shares
from 7/5/96 through 3/31/98.
[GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Lehman Brothers Government/ Lipper Convertible
Calamos Convertible Fund Corporate Bond Index* S&P 500 Stock Index** Mutual Fund Average***
<S> <C> <C> <C> <C>
Beginning Balance 10,000 10,000 10,000 10,000
9/96 10,137 10,176 10,308 10,292
12/96 10,914 10,487 11,180 10,744
3/97 11,119 10,397 11,473 10,822
6/97 12,282 10,776 13,475 11,790
9/97 13,059 11,153 14,500 12,802
12/97 13,126 11,511 14,912 12,640
3/98 14,539 11,686 16,994 13,582
</TABLE>
All data points as of last day of quarter.
* The Lehman Brothers Government/Corporate Bond Index is an unmanaged index
comprising intermediate and long-term government and investment-grade
corporate debt securities. Source: Frank Russell Company
** The S&P 500 Stock Index is an unmanaged index generally considered
representative of the U.S. stock market. Source: Frank Russell Company
*** The Lipper Convertible Mutual Fund Average is composed of all the mutual
funds that invest primarily in convertible securities. Lipper mutual fund
averages are equally weighted and reflect investment of capital gain
distributions and income dividends. Source: Lipper Analytical Services. The
Lipper Convertible Mutual Fund Average has been added because it represents
the direct peer group comparison for the Fund.
Past performance does not guarantee future results.
3
<PAGE>
Calamos Growth and Income Fund(R)
The Calamos Growth and Income Fund was up 37.83% for the fiscal year ended March
31, 1998, outperforming the Lipper Convertible Mutual Fund Average at 25.5%.
(Please see page 13 for a complete description of performance for A, C and I
shares, both load-adjusted and non-load-adjusted.)
Review
Convertibles performed well in the year off the back of a strong equity market.
Being positioned in the correct industry groups and economic sectors over the
past year positively impacted the Fund's performance. Throughout the year, the
Fund was overweighted in industry groups that were more dependent on consumer
spending than on capital goods or basic industries spending.
The consumer related industry groups performed very well during the year while
the more cyclical and basic industries commodity groups lagged. The Fund also
emphasized convertible issues of small- and mid-cap growth companies. This
sector of the convertible market performed well but also exhibited some wide
divergence in performance of many issues within the group. The Fund avoided the
disasters in the market while participating in the opportunities. It is
important to own the right issues and just as important to avoid certain issues.
Since the small- and mid-cap sectors of the convertible market and equity market
tend to be companies with lower bond ratings, it is also important to ensure
that the overall risk/reward trade-off of the convertible is favorable.
The Fund also benefited from the merger activity in the financial sector. The
Fund was overweighted in this sector throughout most of the year, although with
the recent sharp rise in many of the convertible and stock prices, we have
lowered the overall exposure in this sector. Some of our positioning did not
work as well as planned. The Fund did not perform particularly well in regard to
a few of the technology-related issues. We were underweighted relative to the
market in this sector and, except for a few issues, we added little value in
this area. The Fund also did not have a significant portion of its assets in
large-cap growth issues, since the convertible market as a whole is
predominately a small- and mid-cap marketplace. Today, this is especially true
because most large growth companies are not raising capital but, instead, buying
back stock and paying down debt.
During the year, most of the significant changes in the portfolio regarding
industry group or sector participation were a result of finding good individual
companies and convertibles and not an overall bet on an industry group. We did
lower the Fund's financial and energy sectors exposure while increasing its
exposure to consumer growth and consumer cyclical issues.
Outlook
Looking forward, we are positioning the Fund to be slightly more defensive as a
result of the recent run up in convertible prices and their increased equity
sensitivity. We are still excited about the opportunities that we are finding to
invest in, but they seem to be occurring on a less frequent basis and with more
severe punishment if the company falters in its growth plans.
HIGHLIGHTS
The Calamos Growth and Income Fund uses growth convertibles as well as
additional techniques that allow us to construct a convertible's risk and reward
by using a combination of securities. This additional flexibility makes this
Fund unique within the Calamos Family of Funds. The Fund participates in the
aggressive growth (below-investment-grade) sector of the convertible market.
A SHARES
- --------------
TRADING SYMBOL:
CVTRX
ONE-YEAR RETURN WITHOUT LOAD:
37.83%
START DATE:
September 22, 1988
4
<PAGE>
<TABLE>
<CAPTION>
Average Annual Total Return
----------------------------------------------------
GROWTH AND INCOME FUND 1 YEAR 5 YEARS SINCE INCEPTION
----------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
A Shares 37.83% 31.31% 17.09% 15.95% 15.93% 15.33%
C Shares 37.13% NA NA NA 28.83% NA
I Shares/2/ NA NA NA NA 14.39% NA
Lipper Convertible
Mutual Fund Average/3/ 25.50% NA 13.02% NA 11.57% NA
</TABLE>
/1/Average annual total returns, net of expenses. Inception date for A Shares
was September 22, 1988; for C Shares, August 5, 1996.
/2/Total return, net of expenses, not annualized. Inception date for I Shares
was September 18, 1997. No graph has been included for Class I Shares since
performance is for less than one year.
/3/The Lipper Convertible Mutual Fund Average is composed of all the mutual
funds that invest primarily in convertible securities. Lipper mutual fund
averages are equally weighted and reflect reinvestment of capital gain
distributions and income dividends. Source: Lipper Analytical Services.
Performance has not been adjusted for the sales charge in the unshaded area
of the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area
of the chart.
Past performance does not guarantee future results.
Growth of a $10,000 Investment Since Inception
Based on a hypothetical investment made in the
Calamos Growth and Income Fund-Class A Shares
from 9/22/88 through 3/31/98.
<TABLE>
<CAPTION>
Calamos Growth & Income Fund Lehman Brothers Government/ Lipper Convertible
(Load Adjusted) Corporate Bond Index* S&P 500 Stock Index** Mutual Fund Average***
<S> <C> <C> <C> <C>
Sep-88 9,525 10,000 10,000 10,000
Dec-88 9,611 10,096 10,302 10,097
Dec-89 11,188 11,533 13,541 11,551
Dec-90 10,801 12,488 13,108 10,823
Dec-91 15,193 14,502 17,112 14,045
Dec-92 16,729 15,603 18,427 15,945
Dec-93 19,201 17,324 20,267 18,519
Dec-94 18,182 16,719 20,536 17,636
Dec-95 23,480 19,935 28,237 21,403
Dec-96 27,990 20,513 34,801 24,607
Dec-97 36,250 22,515 46,418 28,948
Mar-98 38,925 22,857 52,898 31,106
</TABLE>
All data points as of December 31.
[GRAPH APPEARS HERE]
Based on a hypothetical investment made in the
Calamos Growth and Income Fund-Class C Shares
from 8/5/96 through 3/31/98.
<TABLE>
<CAPTION>
Lehman Brothers Government/ Lipper Convertible
Calamos Growth & Income Fund Corporate Bond Index* S&P 500 Stock Index** Mutual Fund Average***
<S> <C> <C> <C> <C>
10,000 10,000 10,000 10,000
Sep-96 10,345 10,176 10,308 10,292
Dec-96 10,984 10,487 11,180 10,744
Mar-97 11,083 10,397 11,473 10,822
Jun-97 12,429 10,776 13,475 11,790
Sep-97 13,491 11,153 14,500 12,802
Dec-97 13,493 11,511 14,912 12,640
Mar-98 15,197 11,686 16,994 13,582
</TABLE>
[GRAPH APPEARS HERE]
All data points as of last day of quarter.
* The Lehman Brothers Government/Corporate Bond Index is an unmanaged index
comprising intermediate and long-term government and investment-grade
corporate debt securities. Source: Frank Russell Company
** The S&P 500 Stock Index is an unmanaged index generally considered
representative of the U.S. stock market. Source: Frank Russell Company
*** The Lipper Convertible Mutual Fund Average is composed of all the mutual
funds that invest primarily in convertible securities. Lipper mutual fund
averages are equally weighted and reflect investment of capital gain
distributions and income dividends. Source: Lipper Analytical Services.
The Lipper Convertible Mutual Fund Average has been added because it
represents the direct peer group comparison for the Fund.
Past performance does not guarantee future results.
5
<PAGE>
Calamos Strategic Income Fund/R/
The Calamos Strategic Income Fund was up 15.74% for the fiscal year ended March
31, 1998, outperforming the Lehman Brothers Government/Corporate Bond Index of
12.39% and the 30-day Treasury Bills (Salomon Brothers) which were up 4.85%.
Treasury bills are backed by the full faith and credit of the U.S. Government
and offer a guarantee as to the repayment of principal and interest at maturity.
(Please see page 13 for a complete description of performance for A shares, both
load-adjusted and non-load-adjusted.)
The Fund's goal is to provide an above-average income stream for shareholders
consistent with stability of principal primarily through the use of convertible
securities. Convertible securities tend to participate in price increases on
their underlying common stocks, while also paying a higher level of current
income than the stocks themselves. The Fund generates income from the interest
and dividends paid on the convertible securities.
Review
One of the Fund's key investment strategies is a convertible stock hedge, also
known as a covered short sale, which is a short sale of a stock for which the
Fund owns a corresponding convertible security. Proceeds from the stock sale
create a credit balance that may earn interest. Due to the short sale, the Fund
profits if the stock price decreases. (When the stock price increases, the
convertible security benefits.)
The difference between the current yield on the convertible and the yield on the
underlying common stock represents the convertible's yield advantage, which is
an important consideration when determining candidates for the convertible hedge
strategy. Often the underlying common stock pays no dividend or a very small
one, which means the convertible yield advantage is attractive. For stocks that
pay a dividend, the dividend is an expense of the Fund and can be paid out of
the convertible's yield advantage.
The amount of stock sold short against convertibles varies depending on the
Fund's market outlook. A higher hedge ratio indicates a more defensive posture.
The Fund attempts to balance risk and reward by adjusting the hedge ratio as the
underlying stock price changes. We believe that the hedge ratio dampens overall
volatility and helps stabilize the net asset value in volatile markets.
We expect interest rates to remain in a trading range over the coming months.
There is the prospect that the Federal Reserve may raise rates in an attempt to
prevent inflation from heating up. Our strategy is to maintain a hedge ratio
that will provide protection in what we expect will be a volatile market. Even a
low interest rate environment has not stabilized bond investments. The
volatility within the trading range is very high as bond investors try to
anticipate the Federal Reserve's interest rate moves.
HIGHLIGHTS
The Calamos Strategic Income Fund uses convertibles from the lower end of the
credit-rating spectrum. These often have the higher yields associated with
below-investment-grade ratings. The Fund attempts to offset the risk of holding
lower-grade credits by utilizing hedging techniques. However, lower-grade
securities often have greater volatility than securities with a higher rating.
A SHARES:
TRADING SYMBOL:
- --------------
CVSIX
ONE-YEAR RETURN WITHOUT LOAD:
15.74%
START DATE:
September 4, 1990
6
<PAGE>
The volatile equity market provided some opportunity to adjust hedge ratios. As
the stock market advanced, it allowed the hedge ratio of individual positions to
be increased, thereby adding more defensive characteristics to the Fund. The
volatility exhibited this past quarter provided an opportunity for the Fund to
profit from changing stock prices. Additionally, we have started to trade the
Fund more actively. The volatility of the market is providing opportunities to
take advantage of what we view as occasional mispricing.
The active new-issue market in convertibles is providing increasing
opportunities for the Fund. During 1997, a record issuance of over $33 billion
new convertibles came to the market. During the first quarter of 1998, an
additional $13 billion of convertibles were issued, outpacing the record set in
1997.
Outlook
In our view, we continue to be in a period of increasing volatility within the
stock and bond markets. Additionally, the high rotation among industry groups as
market leaders is beneficial for the Fund. It allows for returns to be generated
from price movements rather than interest characteristics alone, adding to the
FundOs total returns. This is one of the reasons the Fund has outperformed other
fixed income categories. We believe this environment will continue throughout
1998. We expect the defensive characteristics of the Strategic Income Fund will
be beneficial in stabilizing asset values while securing an above-average income
stream.
<TABLE>
<CAPTION>
Average Annual Total Return
-------------------------------------------------
STRATEGIC INCOME FUND 1 YEAR 5 YEARS SINCE INCEPTION
-------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
A Shares/1/ 15.74% 10.24% 8.05% 7.00% 9.51% 8.81%
30 Day Treasury Bills/2/ 4.85% NA 4.47% NA 4.44% NA
Lehman Bros. Govt/Corp. Bond Index/2/ 12.39% NA 6.69% NA 9.13% NA
</TABLE>
/1/Average annual total returns, net of expenses. Inception date for A shares
was September 4, 1990.
/2/The Lehman Brothers Government/Corporate Bond Index is an unmanaged index
comprising intermediate and long-term government and investment-grade
corporate debt securities. The 30-Day Treasury Bill Index is an unmanaged
index generally considered representative of the performance of short-term
money instruments. U.S. Treasury Bills are backed by the full faith and
credit of the U.S. Government and offer guarantee as to the repayment of
principal and interest at maturity. Both indices reinvest dividends and
earnings. Source: Lipper Analytical Services, as reported by the Frank
Russell Company.
Performance has not been adjusted for the sales charge in the unshaded area
of the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area
of the chart.
Past performance does not guarantee future results.
Growth of a $10,000 Investment Over Time
Based on a hypothetical investment made in the
Calamos Strategic Income Fund-Class A Shares
from 9/4/90 through 3/31/98.
[GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Calamos Strategic Income Fund 30-Day Treasury Bills* Lehman Brothers
(Load-Adjusted) Government/Corporate Bond Index**
<S> <C> <C> <C>
Beginning Balance 9,525 10,000 10,000
Dec-90 9,782 10,175 10,509
Mar-91 10,403 10,317 10,793
Jun-91 10,541 10,452 10,956
Sep-91 10,751 10,587 11,586
Dec-91 11,149 10,693 12,204
Mar-92 11,513 10,790 12,021
Jun-92 11,634 10,887 12,508
Sep-92 12,032 10,963 13,120
Dec-92 12,484 11,029 13,130
Mar-93 12,842 11,101 13,741
Jun-93 13,172 11,185 14,153
Sep-93 13,752 11,263 14,622
Dec-93 13,998 11,342 14,579
Mar-94 13,757 11,421 14,123
Jun-94 13,141 11,513 13,948
Sep-94 13,306 11,628 14,017
Dec-94 12,959 11,756 14,069
Mar-95 13,392 11,920 14,770
Jun-95 14,106 12,093 15,729
Sep-95 14,494 12,264 16,029
Dec-95 14,833 12,432 16,777
Mar-96 15,244 12,592 16,774
Jun-96 15,477 12,752 16,852
Sep-96 15,730 12,919 17,149
Dec-96 16,077 13,087 17,674
Mar-97 16,376 13,241 17,522
Jun-97 17,103 13,398 18,160
Sep-97 18,122 13,556 18,795
Dec-97 19,240 13,721 19,398
Mar-98 18,953 13,882 19,693
</TABLE>
* The 30-Day Treasury Bill Index is an unmanaged index generally considered
representative of the performance of short-term money investments. U.S.
Treasury bills are backed by the full faith and cedit of the U.S. Government
and offer a guarantee as to the repayment of principal and interest at
maturity. Source: Frank Russell Company
** The Lehman Brothers Government/Corporate Bond Index is an unmanaged index
comprising intermediate and long-term government and investment-grade
corporate debt securities. Source: Frank Russell Company
All data points as of December 31. Past performance does not guarantee
future results.
7
<PAGE>
Calamos Growth Fund/R/
The Calamos Growth Fund was up 54.04% for the fiscal year ended March 31, 1998,
outperforming the Lipper Growth Funds Index at 44.43%, Russell 2000 at 42.01%
and the S&P 500 at 48%. (Please see page 13 for a complete description of
performance for A, C and I shares, both load-adjusted and non-load-adjusted.)
The Fund seeks long-term capital growth and is suitable for investors seeking
long-term capital appreciation through direct equity participation by investing
primarily in common stocks. Fund management intends to achieve the highest
returns possible for the long term, and does not seek to minimize short-term
volatility. The most aggressively traded of the Funds, the Growth Fund has high
turnover. Its relatively small size allows great flexibility in moving in and
out of stocks. The Fund may invest up to 25% of its assets in foreign
securities.
We search for the fastest-growing companies available in the stock market, with
earnings growth rates significantly above average. We also invest primarily in
stocks of companies where we expect the earnings growth rate to be higher than
that estimated by analysts. We believe that a company's earnings trend has a
direct relationship to its stock price, and we want to recognize undervalued
companies before they become well-known in the marketplace.
This past year, the stock market's ability to extend the bull run has been
extraordinary. Fueling this market have been positive fundamentals with a
backdrop of low inflation and low interest rates. Searching for growth companies
in this environment has not been difficult; searching for growth companies whose
valuations make sense is quite another matter. Therefore, our strategy continues
to be to keep the Fund invested in the highest tier of fast-growing companies.
HIGHLIGHTS
The Calamos Growth Fund invests in the common stocks of companies we believe
have exceptional growth characteristics. This Fund is managed aggressively,
meaning it takes advantage of investment opportunities in primarily small- to
mid-size companies that, although they offer higher potential rewards, may have
a higher risk profile than large-cap companies.
A SHARES
- --------------
TRADING SYMBOL:
CVGRX
ONE-YEAR RETURN WITHOUT LOAD:
54.04%
START DATE:
September 4, 1990
8
<PAGE>
Since the fastest growing companies are typically small- to mid-size companies,
the Fund has approximately 58% of its holdings in small-cap, 38% in mid-cap, and
only 4% in large-cap companies as of the end of the fiscal year.
Smaller companies generally have a higher degree of risk than companies with a
larger capital base. Our decision process searches for fast growing companies
that have not been widely recognized in the marketplace, whose current stock
price is well below their growth potential. In today's fast-paced market, these
anomalies do not last long. Market recognition is reflected by increasing stock
prices. As the price objective is reached, the Fund quickly trades the stock for
another that has a higher growth potential. Using a proprietary quantitative
evaluation system to screen for investment opportunities, we keep the Fund tuned
to changing market conditions.
Turnover in the Fund is high and, we feel, necessary in a market that is
characterized by the rotation of money from group to group, as high liquidity
causes one industry to lead the market and be quickly replaced by another.
Leadership has passed from technology stocks to oil drillers to software
developers this past year. The Fund seeks to reduce volatility by being
diversified, investing in 48 companies across most industry groups.
Outlook
Going forward, we expect the volatility of the market and group rotation to
continue to be high. In our view, this presents an excellent investment climate
for the Growth Fund strategy. By keeping the Fund invested in the fastest
growing companies, we believe it is well positioned for the coming months.
<TABLE>
<CAPTION>
Average Annual Total Return
---------------------------------------------------
GROWTH FUND 1 YEAR 5 YEARS SINCE INCEPTION
---------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
A Shares/1/ 54.04% 46.72% 20.18% 19.01% 19.32% 18.55%
C Shares/1/ 53.29% NA NA NA 35.63% NA
I Shares/2/ NA NA NA NA 6.40% NA
Lipper Growth Funds Index/3/ 44.43% NA 19.14% NA 18.84% NA
</TABLE>
/1/Average annual total returns, net of expenses. Inception date for A Shares
was September 4, 1990; for C Shares, September 3, 1996.
/2/Total return, net of expenses, not annualized. Inception date for I Shares
was September 18, 1997. No graph has been included for Class I Shares since
performance is for less than one year.
/3/The Lipper Growth Funds Index comprises 30 funds which invest in companies
whose long-term earnings are expected to grow significantly faster than the
earnings of the stocks represented in the major unmanaged stock indices.
Lipper mutual funds averages are equally weighted, composed of the largest
mutual funds within their respective investment objectives, and reflects
the reinvestment of capital gains distributions and income dividends.
Source: Lipper Analytical Services, Inc., as reported by the Frank Russell
Company.
Performance has not been adjusted for the sales charge in the unshaded area
of the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area
of the chart.
Past performance does not guarantee future results.
9
<PAGE>
[GRAPH APPEARS HERE]
Growth of a $10,000 Investment Since Inception
Based on a hypothetical investment made in the Calamos Growth Fund-Class A
Shares from 9/4/90 through 3/31/98.
<TABLE>
<CAPTION>
Calamos Growth Fund S&P 500 Stock Index*
(Load Adjusted)
<S> <C> <C>
9,525 10,000
12/90 10,478 10,898
12/91 14,690 14,226
12/92 14,878 15,320
12/93 15,524 16,850
12/94 14,635 17,073
12/95 18,649 23,476
12/96 25,073 28,933
12/97 32,701 38,608
3/98 36,302 43,998
</TABLE>
All data points as of December 31.
[GRAPH APPEARS HERE]
Based on a hypothetical investment made in the Calamos Growth Fund-Class C
Shares from 9/3/96 through 3/31/98.
<TABLE>
<CAPTION>
Calamos Growth Fund S&P 500 Stock Index*
<S> <C> <C>
10,000 10,000
12/96 11,223 10,846
3/97 10,535 11,130
6/97 12,684 13,072
9/97 15,473 14,067
12/97 13,870 14,467
3/98 16,148 16,486
</TABLE>
All data points as of last day of quarter.
*The S&P 500 Stock Index is an unmanaged index generally considered
representative of the U.S. stock market. Source: Frank Russell Company.
Past performance does not guarantee future results.
<PAGE>
Calamos Global Growth and Income Fund/R/
The Calamos Global Growth and Income Fund was up 30.32% for the fiscal year
ended March 31, 1998 outperforming the Lipper Global Equity Index at 27.18%.
(Please see page 13 for a complete description of performance for A, C and I
shares, both load-adjusted and non-load-adjusted.)
Review
The Fund benefited from the excellent performance in the overweighted industry
groups including domestic entertainment, advertising and financial. Our exposure
in the financial sector emphasized non-U.S. stocks, which were more reasonably
priced compared to domestic issues. The addition of U.S. government bonds
allowed us to maintain a comfortable allocation in the financial sector, while
domestic bank and insurance stocks ran up to unacceptable levels. These changes
enhanced our risk/reward posture and dampened downside volatility.
Our light exposure in the energy sector benefited us as this industry
experienced a difficult quarter entering 1998. Despite several trying months as
the Asian crisis unfolded, our foreign exposure positively influenced the Funds'
performance for the year as the international market held its own relative to
the U.S. market. The Fund experienced some losses in its Asian convertibles, but
these securities significantly outperformed their underlying equities.
Internationally, the Fund was overweighted in Europe and underweighted in Japan
for the year. The European consumer goods sector helped our performance; this
overall market was up substantially. Restructuring plans in companies across
Europe have begun to play out, enhancing shareholder value. To our advantage,
the majority of the Japanese companies we owned were exporters, which were the
best-performing segment in this market. We are beginning to see rising values in
domestic Japanese companies and are increasing our exposure there cautiously.
Our strategy going forward will be to carefully monitor government action in
Japan as it recovers from the trauma of 1997. Should proposed tax cuts improve
valuations of these Japanese companies, we will be poised to take advantage of
them.
Outlook
We expect to keep the Fund overweighted in Europe, underweighted in Japan and
neutral in the United States. Over the past twelve months, we have hedged most
of our currency risk in the developed market, and maintained a bullish view of
the U.S. dollar. The Fund strives for a balance of stocks and convertibles
giving us good equity participation with protection from market volatility. We
will continue to diligently monitor the effect of the Currency Union in Europe
as eleven countries phase in the Euro. In our opinion, this movement may lead to
substantial restructuring of European companies. It is too early in the process
to forecast the impact of this significant change. As Japan moves closer to
Anglo-Saxon-style capitalism, we will continually review our sector allocation,
although the pace of change in this market has been excruciatingly slow.
HIGHLIGHTS
The Calamos Global Growth and Income Fund invests in domestic and international
convertible bonds. We believe the global economy has entered a period of
unprecedented growth: once-closed economies embrace open markets, industrialized
nations work towards freer trade, and emerging markets offer the opportunity for
explosive economic development. In our view, these fundamental economic changes
translate into tremendous investment opportunities for those willing to look
beyond the U.S. We also believe that the international convertible bond market
offers the relative safety of a corporate bond with the capital appreciation
potential of the common stock.
A SHARES:
- ---------------
TRADING SYMBOL:
CVLOX
ONE-YEAR RETURN WITHOUT LOAD:
30.32%
START DATE:
September 9, 1996
11
<PAGE>
<TABLE>
<CAPTION>
AVERAGE ANNUAL TOTAL RETURN
-------------------------------------
GLOBAL GROWTH AND INCOME FUND 1 YEAR SINCE INCEPTION
-------------------------------------
<S> <C> <C> <C> <C>
A Shares/1/ 30.32% 24.10% 24.59% 20.74%
C Shares/1/ 29.80% NA 24.70% NA
I Shares/2/ NA NA 10.85% NA
Lipper Global Index/3/ 27.18% NA 22.52% NA
</TABLE>
/1/Average annual total returns, net of expenses. Inception date for A Shares
was September 9, 1996; for C Shares, September 24, 1996.
/2/Total return, net of expenses, not annualized. Inception date for I Shares
was September 18, 1997. No graph has been included for Class I Shares since
performance is for less than one year.
/3/The Lipper Global Equity Index is composed of the largest mutual funds
within its investment objective. The mutual funds in the Index allocate
their investments across various asset classes, including both domestic and
foreign stocks, bonds, and money market instruments, with a focus on total
return. At least 25% of its portfolio is invested in securities traded
outside the U.S., including some shares of gold-related investments. Lipper
mutual fund averages are equally weighted and reflect the reinvestment of
capital gains and income dividends. Source: Lipper Analytical Services,
Inc. and Frank Russell Company.
Performance has not been adjusted for the sales charge in the unshaded area
of the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area
of the chart.
Past performance does not guarantee future results.
Growth of a $10,000 Investment Since Inception
Based on a hypothetical investment made in the
Calamos Global Growth and Income Fund-Class A Shares
from 9/9/96 through 3/31/98.
[GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Calamos Global Growth and Morgan Stanley Capital
Income Fund (Load Adjusted) International Word Index*
<S> <C> <C>
9/96 9,525 10,000
12/96 10,041 10,469
3/97 10,289 10,511
6/97 11,630 12,105
9/97 12,277 12,463
12/97 12,485 12,168
3/98 13,409 13,923
</TABLE>
Based on a hypothetical investment made in the
Calamos Global Growth and Income Fund-Class C Shares
from 9/24/96 through 3/31/98.
[GRAPH APPEARS HERE]
<TABLE>
<CAPTION>
Calamos Global Growth and Morgan Stanley Capital
and Income Fund International Word Index*
<S> <C> <C>
Sep 24, 96 10,000 10,000
12/96 10,543 10,469
3/97 10,764 10,511
6/97 12,151 12,105
9/97 12,809 12,463
12/97 12,406 12,168
3/98 13,971 13,923
</TABLE>
All data points as of last day of quarter.
* The MSCI World Index is an unmanaged equity index that is an arithmetic,
market value-weighted average of the performance of over 1,460 securities
listed on stock exchanges from around the world. The beginning date for
this index is 9/1/96 for the A-shares and 10/1/96 for C-shares.
Past performance does not guarantee future results.
12
<PAGE>
Calamos Family of Funds/R/
Standardized performance as of 3/31/98
<TABLE>
<CAPTION>
Average Annual Total Return
(Class I Shares not annualized)
--------------------------------------------------------------------------
1 Year 5 Years 10 Years Since Inception
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Convertible Fund
A Shares 31.44% 25.21% 15.91% 14.78% 13.74% 13.19% 12.63% 12.20%
Inception: 6/21/85
C Shares 30.84% NA NA NA NA NA 24.04% NA
Inception: 7/5/96
I Shares NA NA NA NA NA NA 18.84%/1/ NA
Inception: 6/25/97
Growth and Income Fund
A Shares 37.83% 31.31% 17.09% 15.95% NA NA 15.93% 15.33%
Inception: 9/22/88
C Shares 37.13% NA NA NA NA NA 28.83% NA
Inception: 8/5/96
I Shares NA NA NA NA NA NA 14.39%/1/ NA
Inception: 9/18/97
Strategic Income Fund
A Shares 15.74% 10.24% 8.05% 7.00% NA NA 9.51% 8.81%
Inception: 9/4/90
Growth Fund
A Shares 54.04% 46.72% 20.18% 19.01% NA NA 19.32% 18.55%
Inception: 9/4/90
C Shares 53.29% NA NA NA NA NA 35.63% NA
Inception: 9/3/96
I Shares NA NA NA NA NA NA 6.40%/1/ NA
Inception: 9/18/97
Global Growth and
Income Fund
A Shares 30.32% 24.10% NA NA NA NA 24.59% 20.74%
Inception: 9/9/96
C Shares 29.80% NA NA NA NA NA 24.70% NA
Inception: 9/24/96
I Shares NA NA NA NA NA NA 10.85%/1/ NA
Inception: 9/18/97
</TABLE>
This chart provides performance return numbers for the five Funds and shows both
non-load-adjusted and load-adjusted returns, taking into consideration the
maximum 4.75% sales charge on A shares. Total return and average annual total
return performance measure net investment income and capital gain or loss from
portfolio investments and reflect changes in share price, reinvestment of income
and capital gain distributions. Returns for periods of less than one year are
not annualized.
Performance has not been adjusted for the sales charge in the unshaded area of
the chart.
Performance has been adjusted for the 4.75% sales charge in the shaded area of
the chart.
Past performance does not guarantee future results. Investment return and
principal value will fluctuate so than an investorOs shares when redeemed may be
worth more or less than their original cost.
For more complete information, obtain a prospectus by calling 800-823-7386, and
read it carefully before investing.
/1/Total Return is not annualized.
13
<PAGE>
Report of Independent Auditors
To the Board of Trustees and Shareholders
CALAMOS INVESTMENT TRUST
We have audited the accompanying statement of assets and liabilities, including
the schedules of investments, of Calamos Investment Trust (comprising Calamos
Convertible Fund, Calamos Growth and Income Fund, Calamos Strategic Income Fund,
Calamos Growth Fund, and Calamos Global Growth and Income Fund) as of March 31,
1998, and the related statements of operations and changes in net assets for
each of the periods indicated therein and the financial highlights for each of
the fiscal periods since 1989. These financial statements and financial
highlights are the responsibility of the FundsO management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of investments owned as of
March 31, 1998, by correspondence with the custodian. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Calamos Convertible Fund, Calamos Growth and Income Fund, Calamos Strategic
Income Fund, Calamos Growth Fund, and Calamos Global Growth and Income Fund at
March 31, 1998, the results of their operations and changes in their net assets
for each of the periods indicated therein, and the financial highlights for each
of the fiscal periods since 1989, in conformity with generally accepted
accounting principles.
/s/ Ernst & Young LLP
Chicago, Illinois
May 15, 1998
14
<PAGE>
Calamos Convertible Fund
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Convertible Bonds (53.5%)
Basic Industries (1.0%)
$ 760,000 Mail-Well, Inc. $ 906,300
5.000%, 11/01/2002
475,000 RPM, Inc. (c) 254,125
0.000%, 09/30/2012
----------
1,160,425
Capital Goods -- Industrial (2.4%)
1,125,000 Thermo Electron Corporation 1,307,813
4.250%, 01/01/2003 Euro
1,300,000 Thermo Instrument Systems, Inc. 1,434,875
4.000%, 01/15/2005
----------
2,742,688
Capital Goods -- Technology (7.6%)
6,596,000 Alcatel Alsthom 1,753,947
FRF 6.500%, 01/01/2000 Euro
1,400,000 Kellstrom Industries, Inc. (b) 1,610,000
5.750%, 10/15/2002
208,000 Photronics, Inc. 259,925
6.000%, 06/01/2004
800,000 Solectron Corporation (b) 1,111,872
6.000%, 03/01/2006
1,100,000 Systems & Computer Technology 1,100,000
Corporation
5.000%, 10/15/2004
1,500,000 Telefonica Europe (b) 2,107,500
2.000%, 07/15/2002
500,000 Veritas Software Corporation (b) 590,000
5.250%, 11/01/2004
----------
8,533,244
Consumer Cyclicals (13.1%)
525,000 Action Performance Companies, Inc. (b) 517,125
4.750%, 04/01/2005
755,000 Hilton Hotels Corporation 853,467
5.000%, 05/15/2006
2,100,000 The Interpublic Group of 1,949,073
Companies, Inc. (b)
1.800%, 09/16/2004
3,175,000 Marriott International, Inc. (c) 2,269,490
0.000%, 03/25/2011
1,025,000 Marriott International, Inc. (c) 732,670
0.000%, 03/25/2011 Euro
1,200,000 Michaels Stores, Inc. 1,326,288
6.750%, 01/15/2003
2,500,000 Deutsche Lufthansa (b) 1,615,444
DEM 2.125%, 12/03/2002
1,900,000 Office Depot, Inc. (c) 1,427,375
0.000%, 11/01/2008
2,000,000 Office Depot, Inc. (c) 1,831,680
0.000%, 12/11/2007
1,950,000 Omnicom Group, Inc. (b) 2,210,812
2.250%, 01/06/2013
----------
14,733,424
Consumer Growth Staples (12.9%)
1,335,000 Alza Corporation 1,758,035
5.000%, 05/01/2006
1,790,000 Athena Neurosciences (Elan) (b) 2,078,637
4.750%, 11/15/2004
1,500,000 Cendant Corporation 2,102,820
3.000%, 02/15/2002
1,000,000 Clear Channel Communications, Inc. 1,002,500
2.625%, 04/01/2003
2,300,000 Costco Companies, Inc. (b) 1,531,271
0.000%, 08/19/2017
500,000 Daily Mail and General Trust 736,824
GBP (Reuters Group plc)
2.500%, 10/05/2004
3,915,000 The News Corporation Limited (c) 2,158,222
0.000%, 03/11/2013
1,900,000 Rite Aid Corporation (b) 2,216,768
5.250%, 09/15/2002
760,000 Rite Aid Corporation 886,707
5.250%, 09/15/2002
----------
14,471,784
Consumer Staples (6.6%)
700,000 Allied Domecq plc 1,225,703
GBP 6.750%, 07/07/2008
2,650,000 Nestle Holdings, Inc. 3,365,500
3.000%, 06/17/2002 Euro
6,605,000 Whole Foods Market, Inc. (b) 2,823,637
0.000%, 03/02/2018
----------
7,414,840
Credit Cyclicals (1.5%)
1,350,000 BankAtlantic Bancorp, Inc. 1,640,250
5.625%, 12/01/2007
Energy (2.4%)
1,100,000 Baker Hughes, Inc. (c) 919,160
0.000%, 05/05/2008
1,150,000 Loews Corporation (Diamond 1,106,553
Offshore Drilling)
3.125%, 09/15/2007
500,000 Pennzoil Company (Chevron) 691,565
4.750%, 10/01/2003
----------
2,717,278
</TABLE>
See accompanying Notes to Financial Statements.
15
<PAGE>
Calamos Convertible Fund -- continued
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Financial (5.0%)
$1,750,000 Fidelity National Financial, Inc. (c) $ 1,627,500
0.000%, 02/15/2009
1,400,000 Republic of Italy (INA) 2,654,750
5.000%, 06/28/2001
1,700,000 USF&G Corporation 1,280,321
0.000%, 03/03/2009
-----------
5,562,571
Transportation (1.0%)
570,000 BAA plc 1,095,314
GBP 5.750%, 03/29/2006
-----------
TOTAL CONVERTIBLE BONDS 60,071,818
(Cost $52,018,899)
Number
of Shares Value
- --------------------------------------------------------------------------------
Convertible Preferred Stocks (21.3%)
Basic Industries (1.0%)
21,500 International Paper Company 1,130,470
5.250%
Capital Goods - Industrial (1.4%)
27,000 McDermott International, Inc. (b) 1,596,888
$2.875 Series C
Capital Goods - Technology (0.7%)
11,400 US West, Inc. 813,675
4.500% Series D
Consumer Cyclicals (5.6%)
39,200 Premier Parks, Inc. 2,273,600
7.500%
36,400 Royal Caribbean Cruises Limited 4,022,200
7.250% Series A
-----------
6,295,800
Consumer Growth Staples (0.4%)
17,400 Central Parking Corporation (b) 454,575
5.250%
Consumer Staples (1.3%)
28,900 Suiza Foods Corporation (b) 1,452,225
5.500%
Credit Cyclicals (4.0%)
5,000 H. F. Ahmanson & Company 799,375
6.000% Series D
55,000 DECS Trust II (Royal Group 1,705,000
Tech Limited) 6.875%
33,000 Fleetwood Capital Trust (b) 1,930,500
6.000%
-----------
4,434,875
Financial (5.6%)
4,200 Equity Residential Properties Trust $ 107,625
7.250%
43,900 Glenborough Realty Trust, Inc. 1,146,888
7.750%
15,500 Life Real Estate Corporation 1,116,000
6.000%
94,500 National Australia Bank 2,740,500
7.875%
3,900 The Rouse Company 188,175
6.000%
13,300 St. Paul Companies, Inc. 1,020,775
6.000%
-----------
6,319,963
Utilities (1.3%)
25,600 AES Corporation (b) 1,440,000
5.500%
-----------
TOTAL CONVERTIBLE 23,938,471
PREFERRED STOCKS
(Cost $20,009,360)
Common Stocks (11.9%)
Capital Goods -- Technology (3.1%)
78,000 Oracle Corporation (a) 2,461,875
12,000 Sony Corporation ADRs 1,020,750
-----------
3,482,625
Consumer Cyclical (0.8%)
13,812 Carnival Corporation 963,387
Consumer Growth Staples (3.3%)
60,000 American Safety Razor Company (a) 1,057,500
34,000 Gannett Company, Inc. 2,443,750
5,200 Mallinckrodt, Inc. 205,400
-----------
3,706,650
Consumer Staples (0.7%)
65,483 Diageo plc 768,701
GBP
Credit Cyclicals (1.2%)
28,000 Freddie Mac 1,328,250
Financial (2.8%)
15,559 Fifth Third Bancorp 1,330,295
24,600 Lehman Brothers Holdings, Inc. 1,841,925
-----------
3,172,220
-----------
TOTAL COMMON STOCKS 13,421,833
(Cost $7,459,969)
</TABLE>
See accompanying Notes to Financial Statements.
16
<PAGE>
Calamos Convertible Fund -- continued
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Number
of Contracts Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Call Options (1.8%)
Capital Goods -- Technology (1.0%)
300 EMC Corporation (a) LEAPS $ 468,750
Expiration 01/22/2000, Strike 27/1//2
75 Lucent Technologies, Inc. (a) 409,687
LEAPS Expiration 01/22/2000, Strike 85
200 Mobile Telecommunication 222,500
Technologies Corp (a) LEAPS
Expiration 01/22/2000, Strike 15
------------
1,100,937
Consumer Cyclicals (0.6%)
200 Best Buy Co., Inc. (a) LEAPS 475,000
Expiration 01/22/2000, Strike 60
200 Southwest Airlines Company (a) LEAPS 185,000
Expiration 01/22/2000, Strike 25
------------
660,000
Consumer Staples (0.1%)
200 Safeway, Inc. (a) LEAPS 171,250
Expiration 01/22/2000, Strike 35
Financial (0.1%)
75 First Chicago NBD Corporation (a) 129,375
LEAPS Expiration 01/22/2000,
Strike 85
------------
TOTAL CALL OPTIONS 2,061,562
(Cost $1,467,550)
Principal
Amount Value
- -------------------------------------------------------------------------------
<C> <S> <C>
U.S. Government Securities (9.0%)
$13,000,000 United States National Strips $ 3,750,890
Interest Coupon 0.000%, 11/15/2018
United States Treasury Notes
850,000 7.000%, 04/15/1999 862,776
500,000 5.875%, 02/15/2000 502,635
2,750,000 6.875%, 05/15/2006 2,944,920
2,000,000 6.500%, 10/15/2006 2,096,440
------------
TOTAL U.S. GOVERNMENT 10,157,661
SECURITIES
(Cost $9,573,245)
OTHER (0.1%) 87,070
(Cost $87,677)
------------
TOTAL INVESTMENTS (97.6%) 109,738,415
(Cost $90,616,700)
BRITISH POUND CASH DEPOSITS
WITH CUSTODIAN (0.1%)
(Cost $87,677)
CASH DEPOSITS WITH CUSTODIAN 3,357,344
(INTEREST BEARING) (3.0%)
LIABILITIES, LESS OTHER ASSETS (-0.6%) (629,471)
------------
NET ASSETS (100%) $112,466,288
------------
NET ASSET VALUE PER SHARE -- CLASS A $ 17.43
(3,565,240 shares outstanding) ------------
NET ASSET VALUE PER SHARE -- CLASS C $ 17.38
(826,349 shares outstanding) ------------
NET ASSET VALUE PER SHARE -- CLASS I $ 17.47
(2,058,028 shares outstanding) ------------
</TABLE>
Notes to Schedule of Investments
(a) Non-income producing security
(b) 144A-See Note 9 in Notes to Financial Statements
(c) LYON -- Liquid Yield Option Note
See accompanying Notes to Financial Statements.
17
<PAGE>
Calamos Growth and Income Fund
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Convertible Bonds (45.7%)
Basic Industries (0.8%)
$ 110,000 Mail-Well, Inc. $ 131,175
5.000%, 11/01/2002
Capital Goods -- Industrial (1.3%)
140,000 Robbins & Myers, Inc. 206,675
6.500%, 09/01/2003
Capital Goods -- Technology (5.7%)
250,000 Kellstrom Industries, Inc. (b) 287,500
5.750%, 10/15/2002
115,000 Solectron Corporation (b) 159,832
6.000%, 03/01/2006
250,000 Systems & Computer Technology 250,000
Corporation
5.000%, 10/15/2004
200,000 VERITAS Software Corporation (b) 236,000
5.250%, 11/01/2004
----------
933,332
Consumer Cyclicals (10.5%)
80,000 Action Performance Companies, Inc. (b) 78,800
4.750%, 04/01/2005
300,000 The Interpublic Group Of 278,439
Companies, Inc. (b)
1.800%, 09/16/2004
550,000 Marriott International, Inc. (c) 393,140
0.000%, 03/25/2011
250,000 Michaels Stores, Inc. 276,310
6.750%, 01/15/2003
400,000 Office Depot, Inc. (c) 366,336
0.000%, 12/11/2007
280,000 Omnicom Group, Inc. (b) 317,450
2.250%, 01/06/2013
----------
1,710,475
Consumer Growth Staples (18.8%)
225,000 Athena Neurosciences (Elan) (b) 261,281
4.750%, 11/15/2004
225,000 Cendant Corporation 315,423
3.000%, 02/15/2002
100,000 CKE Restaurants, Inc. (b) 100,000
4.250%, 03/15/2004
300,000 Clear Channel Communications, Inc. 300,750
2.625%, 04/01/2003
700,000 Costco Companies, Inc. (b) 466,039
0.000%, 08/19/2017
500,000 Jacor Communications, Inc. (c) 220,005
0.000%, 02/09/2018
130,000 Pier 1 Imports, Inc. 289,402
5.750%, 10/01/2003
250,000 Res-Care, Inc. (b) 348,750
6.000%, 12/01/2004
300,000 Rite Aid Corporation (b) 350,016
5.250%, 09/15/2002
100,000 Rite Aid Corporation 116,672
5.250%, 09/15/2002
225,000 Sunrise Assisted Living, Inc. 304,313
5.500%, 06/15/2002
----------
3,072,651
Consumer Staples (2.9%)
1,095,000 Whole Foods Market, Inc. (b) 468,112
0.000%, 03/02/2018
Credit Cyclicals (1.6%)
210,000 BankAtlantic Bancorp, Inc. 255,150
5.625%, 12/01/2007
Financial (4.1%)
360,000 Fidelity National Financial, Inc. (c) 334,800
0.000%, 02/15/2009
460,000 Mutual Risk Management Limited (b) 339,360
0.000%, 10/30/2015
----------
674,160
----------
TOTAL CONVERTIBLE BONDS 7,451,730
(Cost $6,352,661)
Number of
Shares Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Convertible Preferred Stocks (20.8%)
Capital Goods -- Industrial (1.4%)
4,000 McDermott International, Inc. (b) 236,576
$2.875 Series C
Capital Goods -- Technology (1.5%)
4,800 IXC Communications, Inc. (b) 6.750% 249,000
Consumer Cyclicals (7.4%)
5,200 Federal Mogul (b) 7.000% 316,225
5,300 Premier Parks, Inc. 7.500% 307,400
5,300 Royal Caribbean Cruises Limited 585,650
7.250% Series A
----------
1,209,275
Consumer Growth Staples (1.6%)
10,200 Central Parking Corporation (b) 5.250% 266,475
Consumer Staples (1.3%)
4,250 Suiza Foods Corporation (b) 5.500% 213,563
Credit Cyclicals (2.4%)
3,000 Beazer Homes USA, Inc. 8.000% 103,875
5,000 Fleetwood Capital Trust (b) 6.000% 292,500
----------
396,375
</TABLE>
See accompanying Notes to Financial Statements.
18
<PAGE>
Calamos Growth and Income Fund -- continued
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Number
of Shares Value
- --------------------------------------------------------------------------------
<C> <S> <C>
Financial (3.7%)
2,200 Life Real Estate Corporation 6.000% $ 158,400
9,700 National Australia Bank 7.875% 281,300
2,700 US West, Inc. (EFS) 161,252
7.625% Exchange Notes
-----------
600,952
Utilities (1.5%)
4,400 AES Corporation (b) 5.500% 247,500
-----------
TOTAL CONVERTIBLE 3,419,716
PREFERRED STOCKS
(Cost $2,836,589)
Common Stocks (15.3%)
Capital Goods -- Technology (1.8%)
3,200 Microsoft Corporation (a) 286,400
Consumer Cyclicals (2.3%)
6,845 Alaska Air Group, Inc. (a) 370,928
Consumer Growth Staples (3.6%)
7,725 Comcast Corporation 272,789
7,800 Mallinckrodt, Inc. 308,100
-----------
580,889
Credit Cyclicals (1.7%)
4,730 Masco Corporation 281,435
Financial (5.9%)
4,707 Community First Bankshares, Inc. 240,057
3,676 Fifth Third Bancorp 314,298
5,550 Lehman Brothers Holdings, Inc. 415,556
-----------
969,911
-----------
TOTAL COMMON STOCKS 2,489,563
(Cost $1,510,575)
Number of
Contracts Value
- --------------------------------------------------------------------------------
Call Options (3.0%)
Capital Goods -- Technology (1.8%)
110 EMC Corporation (a) LEAPS 171,875
Expiration 01/22/2000, Strike 27 1/2
15 Lucent Technologies, Inc. (a) LEAPS 81,937
Expiration 01/22/2000, Strike 85
40 Mobile Telecommunication 44,500
Technologies Corp (a) LEAPS
Expiration 01/22/2000, Strike 15
-----------
298,312
Consumer Cyclicals (0.8%)
40 Best Buy Co., Inc. (a) LEAPS 95,000
Expiration 01/22/2000, Strike 60
40 Southwest Airlines Company (a) 37,000
LEAPS Expiration 01/22/2000,
Strike 25
-----------
132,000
Consumer Staples (0.2%)
40 Safeway, Inc. (a) LEAPS 34,250
Expiration 01/22/2000, Strike 35
Financial (0.2%)
20 First Chicago NBD Corporation (a) 34,500
LEAPS Expiration 01/22/2000,
Strike 85
-----------
TOTAL CALL OPTIONS 499,062
(Cost $346,060)
Principal
Amount Value
- --------------------------------------------------------------------------------
U.S. Government Securities (11.8%)
1,300,000 United States National Strips Interest 404,404
Coupon 0.000%, 08/15/2017
United States Treasury Notes
635,000 6.875%, 05/15/2006 680,009
600,000 5.875%, 02/15/2000 603,162
230,000 7.000%, 04/15/1999 233,457
-----------
TOTAL U.S. GOVERNMENT 1,921,032
SECURITIES
(Cost $1,869,900)
-----------
TOTAL INVESTMENTS (96.6%) 15,781,103
(Cost $12,915,785)
CASH DEPOSITS WITH CUSTODIAN 598,751
(INTEREST BEARING) (3.7%)
LIABILITIES, LESS OTHER ASSETS (-0.3%) (44,347)
-----------
NET ASSETS (100%) $16,335,507
-----------
NET ASSET VALUE PER SHARE -- CLASS A $ 18.59
(705,541 shares outstanding) -----------
NET ASSET VALUE PER SHARE -- CLASS C $ 18.48
(74,616 shares outstanding) -----------
NET ASSET VALUE PER SHARE -- CLASS I $ 18.61
(98,761 shares outstanding) -----------
</TABLE>
Notes to Schedule of Investments
(a) Non-income producing security
(b) 144A -- See Note 9 in Notes to Financial Statements
(c) LYON -- Liquid Yield Option Note
See accompanying Notes to Financial Statements.
19
<PAGE>
Calamos Strategic Income Fund
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- --------------------------------------------------------------------------------
<S> <C> <C>
Convertible Bonds (76.5%)
Capital Goods -- Technology (20.9%)
$ 50,000 Inacom Corporation $47,375
4.500%, 11/01/2004
70,000 Level One Communications, Inc. 77,700
4.000%, 09/01/2004
50,000 Simula, Inc. 54,250
8.000%, 05/01/2004
50,000 Telxon Corporation 55,813
5.750%, 01/01/2003
----------
235,138
Consumer Cyclicals (14.8%)
50,000 CapStar Hotel Company 45,188
4.750%, 10/15/2004
30,000 Continental Airlines, Inc. 60,757
6.750%, 04/15/2006
80,000 Office Depot, Inc. (b) 60,100
0.000%, 11/01/2008
----------
166,045
Consumer Growth Staples (19.4%)
50,000 American Retirement Corporation 55,188
5.750%, 10/01/2002
50,000 FPA Medical Management, Inc. 46,024
6.500%, 12/15/2001
40,000 Home Depot, Inc. 60,488
3.250%, 10/01/2001
70,000 Jacor Communications, Inc. (b) 56,792
0.000%, 06/12/2011
----------
218,492
Credit Cyclicals (8.5%)
40,000 BankAtlantic Bancorp, Inc. 48,600
5.625%, 12/01/2007
23,000 BankAtlantic Bancorp, Inc. 47,265
6.750%, 07/01/2006
95,865
Energy (7.9%)
80,000 Seacor Smit, Inc. 88,223
5.375%, 11/15/2006
Financial (5.0%)
60,000 Fidelity National Financial, Inc. 55,800
0.000%, 02/15/2009 (b)
TOTAL CONVERTIBLE BONDS 859,563
(Cost $756,892)
Number of
Shares Value
- --------------------------------------------------------------------------------
Convertible Preferred Stocks (22.9%)
<S> <C> <C>
Consumer Cyclicals (7.9%)
800 Royal Caribbean Cruises Limited $ 88,400
7.250% Series A
Financial (15.0%)
850 American General Corporation 68,850
6.000% Series A
2,000 National Australia Bank 58,000
7.875%
650 Penncorp Financial Group, Inc. 42,209
3.375%
----------
169,059
----------
TOTAL CONVERTIBLE 257,459
PREFERRED STOCKS
(Cost $193,180)
Number of
Contracts Value
- --------------------------------------------------------------------------------
Put Options (0.1%)
Consumer Cyclicals (0.1%)
6 Continental Airlines, Inc. (a) LEAPS 562
Expiration 06/20/1998, Strike 50
TOTAL PUT OPTIONS 562
(Cost $743)
TOTAL INVESTMENTS (99.5%) 1,117,584
(Cost $950,815)
Number of
Shares Value
- --------------------------------------------------------------------------------
Common Stocks Sold Short (-55.6%)
Capital Goods -- Technology (-11.2%)
750 Inacom Corporation (20,719)
2,100 Level One Communications, Inc. (49,350)
2,280 Simula, Inc. (36,338)
750 Telxon Corporation (19,875)
----------
(126,282)
Consumer Cyclicals (-15.2%)
700 CapStar Hotel Company (24,281)
800 Continental Airlines, Inc. Class B (47,050)
850 Office Depot, Inc. (26,456)
1,050 Royal Caribbean Cruises Limited (73,566)
----------
(171,353)
</TABLE>
See accompanying Notes to Financial Statements.
20
<PAGE>
Calamos Strategic Income Fund--continued
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Number of
Shares Value
- ---------------------------------------------------------------
<S> <C> <C>
Consumer Growth Staples (-11.2%)
1,000 American Retirement Corporation $ (22,750)
1,150 FPA Medical Management, Inc. (17,753)
690 Home Depot, Inc. (46,532)
650 Jacor Communications, Inc. (38,350)
----------
(125,385)
Credit Cyclicals (-1.8%)
863 BankAtlantic Bancorp, Inc. Class A (11,812)
600 BankAtlantic Bancorp, Inc. Class B (8,700)
----------
(20,512)
Energy (-4.7%)
900 Seacor Holdings (52,369)
Financial (-11.5%)
780 American General Corporation (50,455)
1,000 Fidelity National Financial, Inc. (36,750)
1,440 Penncorp Financial Group, Inc. (41,580)
----------
(128,785)
----------
TOTAL COMMON STOCKS (624,686)
SOLD SHORT
(Proceeds--$540,090)
CASH DEPOSITS WITH CUSTODIAN 559,332
(INTEREST BEARING) (49.8%)
OTHER ASSETS, LESS LIABILITIES (6.3%) 71,008
----------
NET ASSETS (100%) $1,123,238
==========
NET ASSET VALUE PER SHARE--CLASS A $ 11.91
(94,337 shares outstanding) ----------
</TABLE>
Notes to Schedule of Investments
(a) Non-income producing security
(b) LYON--Liquid Yield Option Note
See accompanying Notes to Financial Statements.
21
<PAGE>
Calamos Growth Fund
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Number of
Shares Value
- --------------------------------------------------------------------------------
Common Stocks (93.6%)
Basic Industries (2.8%)
<C> <S> <C>
7,800 Mohawk Industries, Inc. (a) $ 245,700
14,000 U.S. Home & Garden, Inc. (a) 95,375
-----------
341,075
Capital Goods -- Industrial (6.9%)
6,900 Graco, Inc. 209,156
12,750 Labor Ready, Inc. (a) 410,391
5,700 National R.V. Holdings, Inc. (a) 205,912
-----------
825,459
Capital Goods -- Technology (20.1%)
4,500 Analytical Surveys, Inc. (a) 230,625
6,600 Chicago Miniature Lamp, Inc. (a) 256,575
6,300 EFTC Corporation (a) 82,687
4,000 Excite, Inc. (a) 203,750
8,300 IDT Corporation (a) 311,250
6,000 Keane, Inc. (a) 339,000
5,700 Micro Focus Group plc ADRs (a) 271,463
11,000 MTI Technology Corporation (a) 189,750
6,400 Tekelec (a) 290,400
10,000 Xeikon N.V. ADRs (a) 227,500
-----------
2,403,000
Consumer Cyclicals (21.9%)
9,000 Advo, Inc. (a) 248,625
6,600 Airborne Freight Corporation 248,325
8,300 America West Holdings Corporation 212,687
Class B (a)
10,650 American Eagle Outfitters, Inc. (a) 468,600
4,800 The Buckle, Inc. (a) 240,600
2,800 CORT Business Services Corporation (a) 133,000
4,800 Maytag Corporation 229,500
5,500 Skywest, Inc. 200,750
6,300 Steiner Leisure Limited (a) 320,119
11,000 Trans World Entertainment 305,250
Corporation (a)
-----------
2,607,456
Consumer Growth Staples (11.5%)
5,000 Arterial Vascular Engineering, Inc. (a) 183,125
5,200 Cooper Companies, Inc. (a) 220,675
2,900 Guidant Corporation 212,788
5,300 Osteotech, Inc. (a) 137,137
7,000 Sybron International Corporation (a) 182,875
6,200 VWR Scientific Products 218,938
Corporation (a)
9,000 Western Staff Services, Inc. (a) 213,750
-----------
1,369,288
Number of
Shares Value
- --------------------------------------------------------------------------------
Consumer Staples (13.1%)
4,500 Canandaigua Brands, Inc. Class A (a) $ 257,063
3,800 The Earthgrains Company 167,912
3,000 Ethan Allen Interiors, Inc. 179,250
6,800 Forest Laboratories, Inc. Class A (a) 255,000
7,800 Michael Foods, Inc. 208,650
4,000 Suiza Foods Corporation (a) 246,000
3,500 Whole Foods Market, Inc. (a) 244,125
-----------
1,558,000
Credit Cyclicals (3.9%)
6,200 Centex Corporation 236,375
7,500 Dime Bancorp, Inc. 225,469
461,844
Energy (3.6%)
11,000 Basin Exploration, Inc. (a) 226,875
12,000 Evergreen Resources, Inc. (a) 205,500
-----------
432,375
Financial (7.5%)
2,800 Capital One Financial Corporation (a) 220,850
2,800 Donaldson, Lufkin & Jenrette, Inc. 237,650
3,300 The First American Financial Corporation 211,200
3,300 SEI Investments Company 225,225
-----------
894,925
Transportation (2.3%)
8,200 Landair Services, Inc. (a) $ 270,600
-----------
TOTAL COMMON STOCKS 11,164,022
(Cost $8,982,682)
-----------
TOTAL INVESTMENTS (93.6%) 11,164,022
(Cost $8,982,682)
CASH DEPOSITS WITH CUSTODIAN 620,888
(INTEREST BEARING) (5.2%)
OTHER ASSETS, LESS LIABILITIES (1.2%) 138,446
-----------
NET ASSETS (100%) $11,923,356
===========
NET ASSET VALUE PER SHARE -- CLASS A $ 20.06
===========
(517,157 shares outstanding)
NET ASSET VALUE PER SHARE -- CLASS C $ 19.85
===========
(2,083 shares outstanding)
NET ASSET VALUE PER SHARE -- CLASS I $ 20.12
===========
(74,969 shares outstanding)
Notes to Schedule of Investments
(a) Non-income producing security
</TABLE>
See accompanying Notes to Financial Statements.
22
<PAGE>
Calamos Global Growth and Income Fund
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- ----------------------------------------------------------------------
<C> <S>
Convertible Bonds (39.5%)
Basic Industries (1.1%)
$ 65,000 Mail-Well, Inc. $ 77,513
5.000%, 11/01/2002
Capital Goods - Industrial (1.1%)
70,000 Thermo Instrument Systems, Inc. 77,262
4.000%, 01/15/2005
Capital Goods - Technology (4.9%)
80,000 Kellstrom Industries, Inc. (b) 92,000
5.750%, 10/15/2002
50,000 Solectron Corporation (b) 69,492
6.000%, 03/01/2006
120,000 Volkswagen International Finance 172,200
3.000%, 01/24/2002
----------
333,692
Consumer Cyclicals (4.8%)
35,000 Action Performance Companies, Inc. (b) 34,475
4.750%, 04/01/2005
155,000 Marriott International, Inc. (c) 110,794
0.000%, 03/25/2011
115,000 Office Depot, Inc. (c) 105,322
0.000%, 12/11/2007
100,000 Office Depot, Inc. (c) 75,125
0.000%, 11/01/2008
----------
325,716
Consumer Growth Staples (11.9%)
100,000 Athena Neurosciences (Elan) (b) 116,125
4.750%, 11/15/2004
80,000 Cendant Corporation 112,150
3.000%, 02/15/2002
125,000 Clear Channel Communications, Inc. 125,313
2.625%, 04/01/2003
200,000 Costco Companies, Inc. (b) 133,154
0.000%, 08/19/2017
170,000 The News Corporation Limited (c) 93,716
0.000%, 03/11/2013
95,000 Rite Aid Corporation (b) 110,838
5.250%, 09/15/2002
150,000 S.M.H. Finance LUX 117,089
CHF 2.000%, 10/23/2022
--------
808,385
Consumer Staples (7.8%)
168,000 Lindt & Spruengli 168,498
CHF 3.250%, 10/18/2001
150,000 Nestle Holdings, Inc. 190,500
3.000%, 06/17/2002 Euro
400,000 Whole Foods Market, Inc. (b) 171,000
0.000%, 03/02/2018
----------
529,998
Energy (1.7%)
$120,000 Loews Corporation (Diamond 115,466
Offshore Drilling) 3.125%, 09/15/2007
Financial (6.2%)
200,000 Allianz Finance B.V. (b) 123,287
DEM 3.000%, 02/04/2003
115,000 Fidelity National Financial, Inc. (c) 106,950
0.000%, 02/15/2009
100,000 Republic of Italy (INA) 189,625
5.000%, 06/28/2001
----------
419,862
----------
TOTAL CONVERTIBLE BONDS 2,687,894
(Cost $2,354,782)
Number of
Shares Value
- ----------------------------------------------------------------------
Convertible Preferred Stocks (14.8%)
Capital Goods - Technology (2.7%)
1,800 IXC Communications, Inc. (b) 6.750% 93,375
1,685 Philippine Long Distance Telephone 87,620
Company $3.500 Series III
----------
180,995
Consumer Cyclicals (4.3%)
2,200 Premier Parks, Inc. 7.500% 127,600
1,500 Royal Caribbean Cruises Limited 165,750
7.250% Series A
----------
293,350
Consumer Growth Staples (0.4%)
1,050 Central Parking Corporation (b) 27,431
5.250%
Consumer Staples (1.3%)
1,750 Suiza Foods Corporation (b) 5.500% 87,938
Financial (6.1%)
1,700 Amoy Properties Limited 5.500% 113,900
900 Life Real Estate Corporation 6.000% 64,800
8,150 National Australia Bank 7.875% 236,350
----------
415,050
----------
TOTAL CONVERTIBLE 1,004,764
PREFERRED STOCKS
(Cost $890,587)
Number of
Shares Value
- ----------------------------------------------------------------------
Common Stocks (35.4%)
Capital Goods - Technology (11.3%)
5,000 Alcatel Alsthom ADRs 190,000
600 Matsushita Electric Industrial 95,963
Company ADRs
</TABLE>
See accompanying Notes to Financial Statements.
23
<PAGE>
Calamos Global Growth and Income Fund - cont.
Schedule of Investments March 31, 1998
<TABLE>
<CAPTION>
Principal
Amount Value
- ----------------------------------------------------------------------
<C> <S> <C>
2,100 Philips Electronics ADRs 154,219
1,750 Sony Corporation ADRs 148,859
2,300 Telecom Italia SpA ADRs 182,706
----------
771,747
Consumer Cyclicals (1.6%)
700 Havas Advertising 105,525
FRF
Consumer Growth Staples (5.3%)
3,050 Fuji Photo Film ADRs 112,088
1,600 Gannett Company, Inc. 115,000
3,400 Mallinckrodt, Inc. 134,300
----------
361,388
Consumer Staples (10.5%)
11,500 B.A.T. Industries plc ADRs 237,187
8,814 Diageo plc 103,467
GBP
4,980 Groupe Danone ADRs 239,663
2,000 Pernod Ricard 135,901
FRF
----------
716,218
Credit Cyclical (1.7%)
1,892 Masco Corporation 112,574
Financial (5.0%)
2,100 Lehman Brothers Holdings, Inc. 157,237
1,270 MBIA, Inc. 98,425
4,600 National Bank of Canada 86,040
CAD
----------
341,702
----------
TOTAL COMMON STOCKS 2,409,154
(Cost $1,648,977)
Number of
Contracts Value
- ----------------------------------------------------------------------
Call Options (1.8%)
Capital Goods - Technology (1.1%)
20 EMC Corporation (a) LEAPS 31,250
Expiration 01/22/2000, Strike 27 1/2
5 Lucent Technologies, Inc. (a) LEAPS 27,312
Expiration 01/22/2000, Strike 85
15 Mobile Telecommunication 16,688
Technologies Corp (a) LEAPS
Expiration 01/22/2000, Strike 15
----------
75,250
Consumer Cyclicals (0.5%)
10 Best Buy Co., Inc. (a) LEAPS 23,750
Expiration 01/22/2000, Strike 60
10 Southwest Airlines Company (a) $ 9,250
LEAPS Expiration 01/22/2000, Strike 25
----------
33,000
Consumer Staples (0.1%)
10 Safeway, Inc. (a) LEAPS 8,563
Expiration 01/22/2000, Strike 35
Financial (0.1%)
5 First Chicago NBD Corporation (a) 8,625
LEAPS Expiration 01/22/2000, Strike 85
----------
TOTAL CALL OPTIONS 125,438
(Cost $84,825)
Principal
Amount Value
- ----------------------------------------------------------------------
U.S. Government Securities (6.5%)
$575,000 United States National Strips 165,905
Interest Coupon 0.000%, 11/15/2018
United States Treasury Notes
200,000 5.000%, 02/15/1999 199,117
75,000 6.500%, 10/15/2006 78,617
----------
TOTAL U.S. GOVERNMENT SECURITIES 443,639
(Cost $424,092)
OTHER (0.2%)
(Cost $11,798) $ 11,567
----------
TOTAL INVESTMENTS (98.2%) 6,682,456
(Cost $5,415,061)
U. S. DOLLAR CASH DEPOSITS WITH CUSTODIAN 347,799
(INTEREST BEARING) (5.1%)
LIABILITIES, LESS OTHER ASSETS (-3.3%) (222,721)
----------
NET ASSETS (100%) $6,807,534
----------
NET ASSET VALUE PER SHARE - CLASS A $ 6.56
(865,172 shares outstanding)
----------
NET ASSET VALUE PER SHARE - CLASS C $ 6.53
(102,796 shares outstanding)
----------
NET ASSET VALUE PER SHARE - CLASS I $ 6.56
(69,810 shares outstanding)
----------
Notes to Schedule of Investments
(a) Non-income producing security
(b) 144A - See Note 9 in Notes to Financial Statements
(c) LYON - Liquid Yield Option Note
</TABLE>
See accompanying Notes to Financial Statements.
24
<PAGE>
Statement of Assets and Liabilities
March 31, 1998
<TABLE>
<CAPTION>
Global
Growth and Strategic Growth and
Convertible Income Income Growth Income
Fund Fund Fund Fund Fund
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
ASSETS
Investments, at value (cost $90,616,700, $12,915,785,
$950,815, $8,982,682 and $5,415,061 respectively) $109,738,415 15,781,103 1,117,584 11,164,022 6,682,456
Cash with custodian (interest bearing) 3,357,344 598,751 559,332 620,888 347,799
Net unrealized appreciation in forward
foreign currency contracts 56,755 - - - 37,050
Accrued interest and dividends receivable 668,988 81,309 13,474 6,026 32,944
Receivable for investments sold 1,135,387 246,628 148,009 - -
Receivable for fund shares sold 740,820 276,262 - 168,430 82,591
Prepaid expenses 5,053 - - - -
Due from advisor - - 3,577 5,444 5,520
-------------------------------------------------------------
Total Assets $115,702,762 16,984,053 1,841,976 11,964,810 7,188,360
=============================================================
LIABILITIES AND NET ASSETS
Common stocks sold short, at value
(proceeds $540,090) - - 624,686 - -
Payable for investments purchased 2,996,179 592,693 70,000 - 342,454
Payable for fund shares redeemed 81,394 - - - 6
Payable to investment adviser 70,371 10,040 737 9,651 5,544
Accounts payable and accrued liabilities 51,178 39,328 22,824 27,596 29,962
Payable to distributor 37,352 6,485 491 4,207 2,860
-------------------------------------------------------------
Total Liabilities 3,236,474 648,546 718,738 41,454 380,826
-------------------------------------------------------------
NET ASSETS $112,466,288 16,335,507 1,123,238 11,923,356 6,807,534
=============================================================
ANALYSIS OF NET ASSETS
Excess of amounts received from issuance of shares over
amounts paid on redemptions of shares on account
of capital $ 94,696,353 13,100,542 995,835 9,935,593 5,692,436
Undistributed net investment income - - - - 68,156
Accumulated net realized gain (loss) on investments (1,292,860) 369,647 45,230 (193,577) (248,364)
Net unrealized appreciation on investments,
and other assets and liabilities 19,062,795 2,865,318 82,173 2,181,340 1,295,306
-------------------------------------------------------------
NET ASSETS $112,466,288 16,335,507 1,123,238 11,923,356 6,807,534
=============================================================
CLASS A SHARES
Net Assets Applicable to Shares Outstanding $ 62,157,309 13,119,093 1,123,238 10,373,980 5,678,250
Shares Outstanding 3,565,240 705,541 94,337 517,157 865,172
Net Asset Value and Redemption Price Per Share $ 17.43 18.59 11.91 20.06 6.56
=============================================================
Maximum Offering Price Per Share (Net asset value,
plus 4.99% of net asset value or 4.75% of offering price) $ 18.30 19.52 12.50 21.06 6.89
=============================================================
CLASS C SHARES
Net Assets Applicable to Shares Outstanding $ 14,358,149 1,378,909 N/A 41,351 671,271
Shares Outstanding 826,349 74,616 N/A 2,083 102,796
Net Asset Value and Redemption Price Per Share $ 17.38 18.48 N/A 19.85 6.53
=============================================================
CLASS I SHARES
Net Assets Applicable to Shares Outstanding $ 35,950,830 1,837,505 N/A 1,508,025 458,013
Shares Outstanding 2,058,028 98,761 N/A 74,969 69,810
Net Asset Value and Redemption Price Per Share $ 17.47 18.61 N/A 20.12 6.56
=============================================================
</TABLE>
See accompanying Notes to Financial Statements.
25
<PAGE>
Statement of Operations
Year Ended March 31, 1998
<TABLE>
<CAPTION>
Global
Growth and Strategic Growth and
Convertible Income Income Growth Income
Fund Fund Fund Fund Fund
- ---------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME
Interest $ 2,756,480 392,705 63,851 15,642 109,975
Dividends 705,171 100,648 8,243 33,318 57,940
----------------------------------------------------------
Total Investment Income 3,461,651 493,353 72,094 48,960 167,915
----------------------------------------------------------
EXPENSES
Investment advisory fees 579,633 92,242 9,079 92,400 49,105
Distribution fees 306,657 60,669 6,053 42,406 26,116
Transfer agent fees 45,417 26,113 12,588 23,426 23,504
Custodian fees 9,840 5,821 3,105 5,467 4,436
Trustees' fees 4,200 3,300 3,300 4,200 3,300
Registration fees 20,597 19,097 17,097 18,280 20,780
Audit and legal fees 26,933 24,333 23,073 22,744 23,290
Other 15,310 12,136 900 900 900
----------------------------------------------------------
Total expenses 1,008,587 243,711 75,195 209,823 151,431
Less expense reimbursement -- -- 49,904 28,816 51,658
----------------------------------------------------------
Net expenses 1,008,587 243,711 25,291 181,007 99,773
----------------------------------------------------------
NET INVESTMENT INCOME (LOSS) 2,453,064 249,642 46,803 (132,047) 68,142
----------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments, options and
forward foreign currency contracts 2,560,225 1,385,182 60,889 2,128,477 (9,692)
Change in net unrealized appreciation on investments,
options and forward foreign currency contracts 15,584,412 2,264,937 71,669 1,782,223 1,241,159
----------------------------------------------------------
NET GAIN ON INVESTMENTS 18,144,637 3,650,119 132,558 3,910,700 1,231,467
----------------------------------------------------------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $20,597,701 3,899,761 179,361 3,778,653 1,299,609
==========================================================
</TABLE>
See accompanying Notes to Financial Statements.
26
<PAGE>
Statement of Changes in Net Assets
Years Ended March 31, 1998 and March 31, 1997
<TABLE>
<CAPTION>
Convertible Growth and Income Strategic Income
Fund Fund Fund
----------------------------------------------------------------------------------------
1998 1997 1998 1997 1998 1997
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
OPERATIONS
Net investment income
(loss) $ 2,453,064 867,441 249,642 176,746 46,803 64,043
Net realized gain (loss)
on investments, options and
forward foreign
currency contracts 2,560,225 2,052,088 1,385,182 575,881 60,889 108,232
Change in net
unrealized appreciation,
depreciation on
investments options,
and forward
foreign currency
contracts 15,584,412 813,678 2,264,937 87,888 71,669 (65,087)
--------------------------------------------------------------------------------------
Net increase in net assets
resulting from
operations 20,597,701 3,733,207 3,899,761 840,515 179,361 107,188
--------------------------------------------------------------------------------------
DISTRIBUTIONS TO
SHAREHOLDERS
Net investment income (3,152,727) (906,544) (307,892) (140,367) (51,603) (90,304)
Net realized gains (4,381,803) (2,199,711) (1,406,829) (704,715) (4,304) (49,735)
Return of capital (521,015) -- -- -- -- --
--------------------------------------------------------------------------------------
Total distributions (8,055,545) (3,106,255) (1,714,721) (845,082) (55,907) (140,039)
--------------------------------------------------------------------------------------
INCREASE (DECREASE)
IN NET ASSETS FROM
CAPITAL SHARE
TRANSACTIONS 60,879,505 13,957,623 5,411,891 2,930,278 (317,195) (270,076)
--------------------------------------------------------------------------------------
TOTAL INCREASE
(DECREASE) IN
NET ASSETS 73,421,661 14,584,575 7,596,931 2,925,711 (193,741) (302,927)
NET ASSETS
Beginning of year 39,044,627 24,460,052 8,738,576 5,812,865 1,316,979 1,619,906
--------------------------------------------------------------------------------------
End of year $112,466,288 39,044,627 16,335,507 8,738,576 1,123,238 1,316,979
--------------------------------------------------------------------------------------
Undistributed net
investment income $ -- 367,208 -- 43,395 -- 4,168
* For the period from September 9, 1996 through March 31, 1997
</TABLE>
<TABLE>
<CAPTION> Global Growth
Growth and Income
Fund Fund
---------------------------------------------------------
Mar. 31 Mar. 31 Mar. 31 Mar. 31
1998 1997 1998 1997*
- --------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
OPERATIONS
Net investment income
(loss) (132,047) (63,863) 68,142 24,139
Net realized gain (loss)
on investments, options and
forward foreign
currency contracts 2,128,477 609,730 (9,692) 95,919
Change in net
unrealized appreciation,
depreciation on
investments options,
and forward
foreign currency
contracts 1,782,223 (71,043) 1,241,159 54,147
---------------------------------------------------------
Increase in net assets
resulting from
operations 3,778,653 474,824 1,299,609 174,205
---------------------------------------------------------
DISTRIBUTIONS TO
SHAREHOLDERS
Net investment income -- -- (241,372) (5,573)
Net realized gains (2,332,954) (425,142) (111,771) --
Return of capital (80,888) -- -- --
---------------------------------------------------------
Total distributions (2,413,842) (425,142) (353,143) (5,573)
---------------------------------------------------------
INCREASE (DECREASE)
IN NET ASSETS FROM
CAPITAL SHARE
TRANSACTIONS 3,914,714 3,728,475 2,545,247 3,147,189
---------------------------------------------------------
TOTAL INCREASE
(DECREASE) IN
NET ASSETS 5,279,525 3,778,157 3,491,713 3,315,821
NET ASSETS
Beginning of year 6,643,831 2,865,674 3,315,821 --
---------------------------------------------------------
End of year 11,923,356 6,643,831 6,807,534 3,315,821
---------------------------------------------------------
Undistributed net
investment income -- -- 68,156 92,862
</TABLE>
* For the period from September 9, 1996 through March 31, 1997
See accompanying Notes to Financial Statements.
27
<PAGE>
Notes to Financial Statements
NOTE 1 -- ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
Organization -- Calamos Investment Trust (formerly CFS Investment Trust), a
Massachusetts business trust organized December 21, 1987 (the "Trust"), consists
of five series, Calamos Convertible Fund, Calamos Growth and Income Fund,
Calamos Strategic Income Fund, Calamos Growth Fund, and Calamos Global Growth
and Income Fund. The Trust currently offers Class A, Class C and Class I shares
of each of the five series of the Trust.
Portfolio Valuation -- Investments are stated at value. Securities for which
quotations are readily available are valued at the last available sales price on
the exchange or market on which they are principally traded, or lacking any
sales, at the mean of the most recently quoted bid and asked prices. Securities
and other assets for which market quotations are not readily available are
valued at fair value as determined in good faith by or under the direction of
the Trust's Board of Trustees. Forward foreign currency contracts are valued
using forward currency exchange rates available from a quotation service.
Investment Transactions and Investment Income -- Investment transactions are
recorded on a trade date basis. Realized gains and losses from investment
transactions are reported on an identified cost basis. Interest income is
recognized using the accrual method and includes amortization of original issue
discount and market discount. Dividend income is recognized on the ex-dividend
date, except that certain dividends from foreign securities are recorded as soon
as the information becomes available.
Foreign Currency Translation -- Values of investments denominated in foreign
currencies are converted into U.S. dollars using the spot market rate of
exchange at the time of valuation. Purchases and sales of investments and
dividend and interest income are translated into U.S. dollars using the spot
market rate of exchange prevailing on the respective dates of such transactions.
Realized foreign exchange gains of $105,711 and unrealized foreign exchange
gains of $56,755 incurred by the Convertible Fund, and realized foreign exchange
gains of $89,850 and unrealized foreign exchanges gains of $37,050 incurred by
the Global Growth and Income Fund are included as a component of net realized
gain (loss) on investments, options and forward foreign currency contracts and
change in net unrealized appreciation on investments, options and forward
foreign currency contracts, respectively.
Federal Income Taxes -- No provision has been made for Federal income taxes
since each Fund has elected to be taxed as a "regulated investment company" and
has made such distributions to shareholders as to be relieved of all Federal
income taxes.
Capital Loss Carryforwards -- At March 31, 1998, Convertible Fund, Growth Fund
and Global Growth and Income Fund had capital loss carryforwards of $1,196,927,
$193,577, and $191,052, respectively. These loss carryforwards, which expire in
2006, can be used to offset future net realized capital gains, if any.
Dividends -- Dividends payable to shareholders are recorded by the Funds on the
ex-dividend date. Income and capital gain dividends are determined in accordance
with income tax regulations, which may differ from generally accepted accounting
principles. These differences are primarily due to differing treatments for
foreign currency transactions.
28
<PAGE>
Notes to Financial Statements -- continued
Allocation of Expenses between Classes -- Expenses arising in connection with a
specific class of shares are allocated directly. All other expenses are
allocated pro rata based on relative net assets.
Use of Estimates -- The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the amounts reported in the financial statements and
accompanying notes. Actual results may differ from those estimates.
NOTE 2 -- INVESTMENT ADVISER AND TRANSACTIONS WITH AFFILIATES
Pursuant to an investment advisory agreement with Calamos Asset Management,
Inc. -- ("CAM"), each Fund pays a monthly investment advisory fee based on the
average daily net assets of the Fund, computed as follows: Convertible Fund,
Growth and Income Fund, and Strategic Income Fund fees are at the annual rate of
0.75% of the first $150 million of the Fund's average daily net assets and 0.50%
of the Fund's average daily net assets in excess of $150 million. The Growth
Fund fees are at the annual rate of 1.00% of the first $150 million of average
daily net assets and 0.75% of the Fund's average daily net assets in excess of
$150 million. The Global Growth and Income Fund fees are at the annual rate of
1.00% of the Fund's average daily net assets.
CAM has voluntarily undertaken to limit normal operating expenses of each Fund
to 2% of average daily net assets for Class A shares, 2.5% of average daily net
assets for Class C shares, and 1.5% of average daily net assets for Class I
shares through August 31, 1999. For the year ended March 31, 1998, CAM waived or
absorbed expenses of $49,904, $26,260, and $42,508, respectively, for Class A
shares of Strategic Income Fund, Growth Fund and Global Growth and Income Fund;
$88 and $6,593 respectively, for Class C shares of Growth Fund and Global Growth
and Income Fund; and $2,468 and $2,557 for Class I shares of Growth Fund and
Global Growth and Income Fund, respectively.
As Transfer Agent of the Funds through September 30, 1997, CAM assumed all
expenses of personnel, office space, office facilities, and equipment incidental
to such service. Commencing October 1, 1997, FPS Services, Inc., became the
transfer agent for the Funds. On February 23, 1998, FPS Services, Inc. merged
into First Data Corp., and is now reorganized as First Data Investor Services
Group.
As Distributor, Calamos Financial Services, Inc. ("CFS") assumed all expenses
of personnel, office space, office facilities and equipment incidental to such
service. Each Fund has adopted a Distribution Plan pursuant to Rule 12b-1 under
the Investment Company Act of 1940 whereby the Fund pays to CFS an annual
service fee of 0.25% and an annual distribution fee of 0.25% of the average
daily net assets of each Fund's Class A shares and an annual service fee of
0.25% and an annual distribution fee of 0.75% of the average daily net assets of
the Fund's Class C shares.
CFS also receives a sales commission on certain sales of Fund Class A shares.
During the year ended March 31, 1998, CFS received commissions of $49,045,
$1,944, $196, $756 and $250 from the sale of shares of Convertible Fund, Growth
and Income Fund, Strategic Income Fund, Growth Fund, and Global Growth and
Income Fund, respectively.
Certain portfolio transactions for the Funds have been executed through CFS as
broker, consistent with the Fund's policy of obtaining best price and execution.
During the year ended March 31, 1998, the Convertible
29
<PAGE>
Notes to Financial Statements -- continued
Fund, Growth and Income Fund, Strategic Income Fund, Growth Fund and Global
Growth and Income Fund paid brokerage commissions to CFS on purchases and sales
of portfolio securities in the amount of $37,442, $14,334, $2,966, $28,916 and
$3,657, respectively.
Certain officers and trustees of the Trust are also officers and directors of
CFS and CAM. All officers and affiliated trustees serve without direct
compensation from the Trust.
NOTE 3 -- INVESTMENTS
Purchases and sales of investments other than short-term obligations by the
Funds for the year ended March 31, 1998, are as follows:
<TABLE>
<CAPTION>
Growth Strategic Global Growth
Convertible and Income Income Growth and Income
Fund Fund Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Purchases $108,569,028 $17,436,797 $4,682,626 $19,086,803 $5,294,853
Proceeds from sales 56,181,182 13,675,287 5,098,766 18,336,906 3,083,750
</TABLE>
The following information is based on the cost basis of investments for Federal
income tax purposes at March 31, 1998:
<TABLE>
<CAPTION>
Growth Strategic Global Growth
Convertible and Income Income Growth and Income
Fund Fund Fund Fund Fund
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Cost basis of investments $90,616,700 $12,915,785 $950,815 $8,982,682 $5,415,061
Gross unrealized appreciation 19,313,375 2,882,669 190,427 2,279,327 1,301,179
Gross unrealized depreciation (191,660) (17,351) (23,658) (97,987) (33,784)
Net unrealized appreciation 19,121,715 2,865,318 166,769 2,181,340 1,267,395
</TABLE>
NOTE 4 -- SHORT SALES
Securities sold short represent obligations to purchase the securities at a
future date at then prevailing prices. These transactions result in off-balance-
sheet risk, i.e., the risk that the ultimate obligation may exceed the amount
shown in the accompanying statement of assets and liabilities. To the extent a
Fund owns equivalent securities, the off-balance-sheet risk is offset. During
the year ended March 31, 1998, the Strategic Income Fund incurred net losses of
$106,442 on short sales that are classified with net realized gain (loss) on
investments and options. No other Fund engaged in short sales during the year
ended March 31, 1998.
NOTE 5 -- COVERED CALL OPTIONS WRITTEN
Transactions in covered call options written by the Strategic Income Fund for
the year ended March 31, 1998 were as follows:
<TABLE>
<CAPTION>
Number of Premiums
Contracts Received
- -------------------------------------------------------------------------
<S> <C> <C>
Outstanding at beginning of year 16 $ 5,619
Written 58 19,929
Closed or assigned (74) (25,548)
--- --------
Outstanding at end of year 0 0
</TABLE>
The premiums received provide a partial hedge (protection) against price
declines and enables the Strategic Income Fund to generate a higher return
during periods when CAM does not expect the underlying security to make any
major price moves in the near future, but still considers the underlying
security to be an attractive investment for the Fund on the long term basis.
30
<PAGE>
Notes to Financial Statements -- continued
NOTE 6 -- FORWARD FOREIGN CURRENCY CONTRACTS
Each Fund may engage in portfolio hedging with respect to changes in currency
exchange rates by entering into forward foreign currency contracts to purchase
or sell currencies. A forward foreign currency contract is a commitment to
purchase or sell a foreign currency at a future date at a negotiated forward
rate. Risks associated with such contracts include movement in the value of the
foreign currency relative to the U.S. dollar and the ability of the counterparty
to perform. The net unrealized gain, if any, represents the credit risk to the
Fund on a forward foreign currency contract. The contracts are valued daily at
forward exchange rates and an unrealized gain or loss is recorded. The Fund
realizes a gain or loss upon settlement of the contracts. The statement of
operations reflects net unrealized gains and losses on these contracts. The
counterparty to all forward foreign currency contracts at March 31, 1998, was a
multinational bank.
As of March 31, 1998, the Convertible Fund had the following open forward
foreign currency sale contract:
<TABLE>
<CAPTION>
Settlement Unrealized
Date Local Currency Current Value Gain
- --------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Japanese Yen 6/12/98 125,000,000 $937,280 $56,755
</TABLE>
As of March 31, 1998, the Global Growth and Income Fund had the following open
forward foreign currency sale contracts:
<TABLE>
<CAPTION>
Settlement Unrealized
Date Local Currency Current Value Gain (Loss)
- --------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Swiss Franc 6/12/98 650,000 $422,846 $17,981
Deutsche Mark 6/12/98 460,000 249,774 2,973
Japanese Yen 6/12/98 44,000,000 329,923 19,978
British Pound Sterling 6/12/98 200,000 336,091 (9,931)
French Franc 6/12/98 3,400,000 551,077 6,049
-------
$37,050
-------
</TABLE>
NOTE 7 -- INTEREST BEARING CASH DEPOSIT WITH CUSTODIAN
Effective November 1, 1997, Convertible Fund, Growth and Income Fund, Growth
Fund and Global Growth and Income Fund entered into a custody agreement with The
Bank of New York, whereby each Fund earns interest on its average daily cash
balance deposited with the custodian at a rate equal to the current Federal
Reserve federal funds rate. During the period from April 1, 1997 to October 31,
1997, for the four above-mentioned funds, and for the fiscal year ended March
31, 1998 for the Strategic Income Fund, under the Funds' arrangement with their
custodian, Prudential Securities, Inc., each fund earned interest on its average
daily cash balances deposited with the custodian at a rate equal to the current
broker rate minus one percent. During the year ended March 31, 1998, Convertible
Fund, Growth and Income Fund, Strategic Income Fund, Growth Fund and Global
Growth and Income Fund earned $155,297, $17,531, $16,319, $15,522 and $5,592,
respectively, in interest income under these arrangements with the Bank of New
York and Prudential Securities, Inc.
31
<PAGE>
Notes to Financial Statements -- continued
NOTE 8-- CAPITAL SHARE TRANSACTIONS
The following table summarizes the activity in capital shares of the Funds:
<TABLE>
<CAPTION>
Convertible Growth and Income Strategic
Year ended March 31, 1998 Fund Fund Fund
- ----------------------------------------------------------------------------------------------------------------------------------
A Shares Shares Dollars Shares Dollars Shares Dollars
--------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Shares sold 1,445,635 $23,333,724 228,052 $ 3,929,276 5,545 $ 63,776
Shares issued in reinvestment of distributions 192,955 3,089,396 73,664 1,227,016 4,357 51,194
Less shares redeemed (522,203) (8,492,181) (137,781) (2,424,767) (37,430) (432,165)
--------------------------------------------------------------------------------
Increase (Decrease) 1,116,387 $17,930,939 163,935 $ 2,731,525 (27,528) $(317,195)
================================================================================
C Shares* Shares Dollars Shares Dollars Shares Dollars
--------------------------------------------------------------------------------
Shares sold 685,295 $11,111,119 54,305 $ 927,804 -- --
Shares issued in reinvestment of distributions 3,754 60,070 2,337 38,655 -- --
Less shares redeemed (74,212) (1,203,254) (3,334) (58,117) -- --
--------------------------------------------------------------------------------
Increase (Decrease) 614,837 $ 9,967,935 53,308 $ 908,342 -- --
================================================================================
I Shares* Shares Dollars Shares Dollars Shares Dollars
--------------------------------------------------------------------------------
Shares sold 2,238,514 $35,901,127 97,436 $ 1,748,011 -- --
Shares issued in reinvestment of distributions 4,474 72,664 1,325 24,013 -- --
Less shares redeemed (184,960) (2,993,160) -- -- -- --
--------------------------------------------------------------------------------
Increase (Decrease) 2,058,028 $32,980,631 98,761 $ 1,772,024 -- --
================================================================================
Year Ended March 31, 1997
A Shares Shares Dollars Shares Dollars Shares Dollars
--------------------------------------------------------------------------------
Shares sold 824,228 $11,931,314 176,257 $ 2,735,811 1,500 $ 16,566
Shares issued in reinvestment of distributions 157,231 2,204,225 49,163 731,921 9,775 105,551
Less shares redeemed (220,201) (3,186,620) (55,912) (869,237) (35,798) (392,193)
--------------------------------------------------------------------------------
Increase (Decrease) 761,258 $10,948,919 169,508 $ 2,598,495 (24,523) $(270,076)
================================================================================
For period (inception) to March 31, 1997
C Shares* Shares Dollars Shares Dollars Shares Dollars
--------------------------------------------------------------------------------
Shares sold 219,119 $ 3,118,628 22,630 $ 351,959 -- --
Shares issued in reinvestment of distributions 33 464 88 1,360 -- --
Less shares redeemed (7,640) (10,388) (1,410) (21,536) -- --
--------------------------------------------------------------------------------
Increase (Decrease) 211,512 $ 3,108,704 21,308 $ 331,783 -- --
================================================================================
</TABLE>
<TABLE>
<CAPTION>
Growth Global Growth and
Year ended March 31, 1998 Fund Income Fund
- ---------------------------------------------------------------------------------------------------------------
A Shares Shares Dollars Shares Dollars
------------------------------------------------------------
<S> <C> <C> <C> <C>
Shares sold 145,539 $ 2,904,539 372,871 $ 2,251,209
Shares issued in reinvestment of distributions 104,981 1,902,962 48,371 291,762
Less shares redeemed (122,815) (2,727,723) (99,103) (604,205)
------------------------------------------------------------
Increase (Decrease) 127,705 $ 2,079,778 322,139 $ 1,938,766
============================================================
C Shares* Shares Dollars Shares Dollars
------------------------------------------------------------
Shares sold 1,593 $ 33,041 31,196 $ 184,349
Shares issued in reinvestment of distributions -- -- 2,557 15,254
Less shares redeemed (2) (37) (3,523) (21,382)
------------------------------------------------------------
Increase (Decrease) 1,591 $ 33,004 30,230 $ 178,221
============================================================
I Shares* Shares Dollars Shares Dollars
------------------------------------------------------------
Shares sold 74,969 $ 1,801,932 68,516 $ 420,004
Shares issued in reinvestment of distributions -- -- 1,294 8,256
Less shares redeemed -- -- -- --
------------------------------------------------------------
Increase (Decrease) 74,969 $ 1,801,932 69,810 $ 428,260
============================================================
Year ended March 31, 1997
A Shares Shares Dollars Shares Dollars
------------------------------------------------------------
Shares sold 217,109 $ 3,905,631 575,477 $ 2,944,288
Shares issued in reinvestment of distributions 23,916 421,022 983 5,101
Less shares redeemed (33,635) (606,145) (33,427) (181,272)
------------------------------------------------------------
Increase (Decrease) 207,390 $ 3,720,508 543,033 $ 2,768,117
============================================================
For period (inception) to March 31, 1997
C Shares* Shares Dollar Shares Dollars
------------------------------------------------------------
Shares sold 1,060 $ 18,759 74,840 $ 391,294
Shares issued in reinvestment of distributions -- -- 23 117
Less shares redeemed (568) (10,792) (2,297) (12,339)
------------------------------------------------------------
Increase (Decrease) 492 $ 7,967 72,566 $ 379,072
============================================================
</TABLE>
* The inception dates for Class C shares of the Convertible Fund, Growth and
Income Fund, Growth Fund, and Global Growth and Income Fund were July 5, 1996,
August 5, 1996, September 3, 1996, and September 24, 1996, respectively. The
inception date for the I shares of the Growth and Income Fund, Growth Fund, and
Global Growth and Income Fund was September 18, 1997. The inception date for the
I shares for the Convertible Fund was June 24, 1997.
32
<PAGE>
Notes to Financial Statements -- continued
NOTE 9 -- 144A SECURITIES
Private placement securities issued under Rule 144A are exempt from the
registration requirements of the Securities Act of 1933. These securities
generally are issued to qualified institutional buyers, such as the Funds, and
any resale by Funds must be an exempt transaction, normally to other qualified
institutional investors. At the close of business March 31, 1998, the value of
these securities amounted to $27,236,327 (24.2% of net assets), $5,513,418
(33.8% of net assets), and $1,059,115 (15.6% of net assets), for Convertible
Fund, Growth and Income Fund, and Global Growth and Income Fund, respectively.
<TABLE>
<CAPTION>
ABBREVIATIONS
<S> <C> <C> <C> <C> <C>
ADRs: American Depository Receipts Deb.: Debenture LEAPS: Long Term Equity
Appreciation Security
ADSs: American Depository shares Dep.: Depository Noncum.: Noncumulative
Conv.: Convertible Euro.: Eurobond Pref: Preferred
Cum.: Cumulative Exch.: Exchangeable Sub.: Subordinated
Foreign Currency Abbreviations
GBP: British Pound Sterling CAD: Canadian Dollar JPY: Japanese Yen
FRF: French Franc CHF: Swiss Franc
</TABLE>
33
<PAGE>
Financial Highlights
Calamos Convertible Fund
Selected data for a share outstanding throughout the period are as follows:
<TABLE>
<CAPTION>
Class A
----------------------------------------------------------------
Eleven Months
Ended
Year Ended March 31 March 31,
----------------------------------------------------------------
1998 1997 1996 1995 1994 1993
----------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 14.68 $ 14.49 $ 12.41 $ 13.04 $ 13.96 $ 12.72
Income from investment operations:
Net investment income .49 .36 .40 .38 .40 .42
Net realized and unrealized gain
(loss) on investments 3.92 1.39 3.06 (.01) .53 1.32
----------------------------------------------------------------
Total from investment
operations 4.41 1.75 3.46 .37 .93 1.74
----------------------------------------------------------------
Less distributions:
Dividends from net investment
income (.61) (.45) (.31) (.32) (.39) (.40)
Dividends from net realized
capital gains (.95) (1.11) (1.07) (.56) (1.46) (.10)
Dividends in excess of net
realized capital gains - - - (.12) - -
Distributions from paid in capital (.10) - - - - -
----------------------------------------------------------------
Total distributions (1.66) (1.56) (1.38) (1.00) (1.85) (.50)
----------------------------------------------------------------
Net asset value, end of period $ 17.43 $ 14.68 $ 14.49 $ 12.41 $ 13.04 $ 13.96
----------------------------------------------------------------
Total return (a) 31.4% 12.9% 28.8% 3.2% 6.5% $ 14.0%
Ratios and supplemental data:
Net assets, end of period (000) $62,157 $35,950 $24,460 $16,646 $17,023 $17,213
Ratio of expenses to
average net assets 1.4% 1.5% 1.5% 1.6%* 1.6% 1.7%
Ratio of net investment income
to average net assets 3.3% 2.8% 3.0% 3.3%* 2.8% 3.2%
----------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Year Ended April 30,
-------------------------------------------------
1992 1991 1990 1989
-------------------------------------------------
<S> <C> <C> <C> <C>
Net asset value, beginning of period $ 11.39 $ 10.29 $ 10.73 $ 10.56
Income from investment operations:
Net investment income .41 .49 .60 .59
Net realized and unrealized gain
(loss) on investments 1.43 1.25 (.32) .14
--------------------------------------------------
Total from investment
operations 1.84 1.74 .28 .73
--------------------------------------------------
Less distributions:
Dividends from net investment
income (.45) (.52) (.63) (.56)
Dividends from net realized
capital gains - - - -
Dividends in excess of net
realized capital gains - - - -
Distributions from paid in capital (.06) (.12) (.09) -
--------------------------------------------------
Total distributions (.51) (.64) (.72) (.56)
--------------------------------------------------
Net asset value, end of period $ 12.72 $ 11.39 $ 10.29 $ 10.73
--------------------------------------------------
Total return (a) 16.5% 17.7% 2.4% 7.2%
Ratios and supplemental data:
Net assets, end of period (000) $16,940 $13,953 $18,664 $21,270
Ratio of expenses to
average net assets 1.2% 1.2% 1.1% 1.1%
Ratio of net investment income
to average net assets 3.4% 4.3% 5.5% 5.6%
--------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Class C Class I
------------------------------------ -----------------
Year Ended July 5, 1996 June 25, 1997
March 31, through March 31, through March 31,
------------------------------------ -----------------
1998 1997 1998
------------------------------------ -----------------
<S> <C> <C> <C>
Net asset value, beginning of period $ 14.63 $ 13.87 $ 15.88
Income from investment
operations:
Net investment income .40 .30 .37
Net realized and unrealized gain (loss) on investments 3.92 1.21 2.49
------------------------------------ -----------------
Total from investment operations 4.32 1.51 2.86
------------------------------------ -----------------
Less distributions:
Dividends from net investment income (.52) (.25) (.54)
Dividends from net realized capital gains (.95) (.50) (.63)
Dividends in excess of net realized capital gains - - -
Distributions from paid in capital (.10) - (.10)
------------------------------------ -----------------
Total distributions (1.57) (.75) (1.27)
------------------------------------ -----------------
Net asset value, end of
period $ 17.38 $ 14.63 $ 17.47
------------------------------------ -----------------
Total return (a) 30.8% 11.1% 18.8%
Ratios and supplemental
data:
Net assets, end of period (000) $14,358 $ 3,094 $ 35,951
Ratio of expenses to average net assets 2.0% 2.0%* 0.9%*
Ratio of net investment income to average net assets 3.0% 2.7%* 2.9%*
------------------------------------ -----------------
</TABLE>
<TABLE>
<CAPTION>
Eleven Months
Ended
Year Ended March 31 March 31, Year Ended April 30,
----------------------------------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991 1990 1989
----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Portfolio turnover rate 76.0% 52.3% 65.2% 42.1% 73.1% 73.1% 83.8% 63.2% 93.4% 84.7%
Average commission rate
per share $ .0786 $ .0610 $ .0633 $ .0936 $ .0952 $ .1000 $ .0966 N/A N/A N/A
----------------------------------------------------------------------------------------------------
</TABLE>
(a) Total return is not annualized and does not reflect the effect of sales
charges.
*Annualized.
See accompanying Notes to Financial Statements.
34
<PAGE>
Financial Highlights
Calamos Growth and Income Fund
Selected data for a share outstanding throughout the period are as follows:
<TABLE>
<CAPTION>
Class A
------------------------------------------------------------------------------------------------------------
Eleven Months Sept. 22,
Ended 1988 to
Year Ended March 31, March 31, Year Ended April 30, April 30,
------------------------------------------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991 1990 1989
------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period $ 15.52 $15.62 $12.68 $12.97 $13.90 $13.57 $11.54 $10.46 $10.49 $10.00
Income from investment
operations:
Net investment income .34 .34 .37 .35 .31 .35 .29 .31 .33 .38
Net realized and
unrealized gain
(loss) on investments 5.14 1.52 3.70 (.02) .34 1.97 2.02 1.09 .09 .49
------------------------------------------------------------------------------------------------------------
Total from investment
operations 5.48 1.86 4.07 .33 .65 2.32 2.31 1.40 .42 .87
------------------------------------------------------------------------------------------------------------
Less distributions:
Dividends from net
investment income (.41) (.28) (.42) (.32) (.29) (.36) (.28) (.32) (.28) (.38)
Dividends from net
realized capital
gains (2.00) (1.68) (.71) (.30) (1.29) (1.63) -- -- (.17) --
------------------------------------------------------------------------------------------------------------
Total distributions (2.41) (1.96) (1.13) (.62) (1.58) (1.99) (.28) (.32) (.45) (.38)
------------------------------------------------------------------------------------------------------------
Net asset value, end of
period $ 18.59 $15.52 $15.62 $12.68 $12.97 $13.90 $13.57 $11.54 $10.46 $10.49
------------------------------------------------------------------------------------------------------------
Total return (b) 37.8% 12.9% 33.0% 2.8% 4.5% 18.8% 20.2% 13.4% 3.8% 9.0%
Ratios and supplemental
data:
Net assets, end of
period (000) $13,119 $8,408 $5,813 $3,853 $4,663 $3,655 $2,694 $1,821 $1,345 $ 732
Ratio of expenses
to average net
assets (a) 2.0% 2.0% 2.0% 2.0%* 2.0% 2.0% 2.0% 2.0% 2.0% 2.0%*
Ratio of net
investment income to
average net
assets (a) 2.0% 2.4% 2.6% 3.0%* 2.3% 2.6% 2.3% 2.9% 3.0% 4.8%*
------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Class C Class I
--------------------------------- -----------------
Year Ended August 5, 1996 Sept. 18, 1997
March 31, through March 31, through March 31,
--------------------------------- -----------------
1998 1997 1998
--------------------------------- -----------------
<S> <C> <C> <C>
Net asset value, beginning of period $15.50 $14.52 $17.96
Income from investment
operations:
Net investment income .26 .26 .22
Net realized and unrealized gain (loss) on investments 5.11 1.30 2.14
--------------------------------- -----------------
Total from investment operations 5.37 1.56 2.36
--------------------------------- -----------------
Less distributions:
Dividends from net investment income (.39) (.25) (.38)
Dividends from net realized capital gains (2.00) (.33) (1.33)
--------------------------------- -----------------
Total distributions (2.39) (.58) (1.71)
--------------------------------- -----------------
Net asset value, end of period $18.48 $15.50 $18.61
================================= =================
Total return (b) 37.1% 10.8% 14.4%
Ratios and supplemental data:
Net assets, end of period (000) $1,379 $ 330 $1,838
Ratio of expenses to average net assets (c) 2.5% 2.5%* 1.5%
Ratio of net investment income to average net assets (c) 1.5% 2.4%* 2.4%
--------------------------------- -----------------
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Eleven Months Sept.22,
Ended 1988 to
Year Ended March 31, March 31, Year Ended April 30, April 30,
----------------------------------------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991 1990 1989
----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Portfolio turnover
rate 115.5% 91.5% 86.4% 84.7% 155.2% 132.3% 111.6% 103.6% 103.0% 85.0%*
Average commission
rate per share $.0773 $.0609 $.0604 $.0924 $.1002 $.1010 $.1004 N/A N/A N/A
----------------------------------------------------------------------------------------------------------
</TABLE>
(a) After the reimbursement and waiver of expenses by the Advisor equivalent to
0.0%, 0.1%, 0.1%, 0.2%*, 0.1%, 0.5%, 0.5%, 1.7%, 2.3% and 8.4%* of average
net assets, respectively.
(b) Total return is not annualized and does not reflect the effect of sales
charges.
(c) After the reimbursement and waiver of expenses by the Advisor equivalent to
0.0% and 0.6%* of average net assets, respectively for Class C shares, and
0.0% of average net assets for I shares.
*Annualized.
See accompanying Notes to Financial Statements.
35
<PAGE>
Financial Highlights
Calamos Strategic Income Fund
Selected data for a share outstanding throughout the period are as follows:
<TABLE>
<CAPTION>
Class A Shares
-----------------------------------------------------------------------------
Eleven Months Sept. 4,
Ended 1990 to
Year Ended March 31 March 31, Year Ended April 30, April 30,
-----------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991
-----------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $10.81 $11.07 $10.13 $10.71 $10.96 $10.58 $10.60 $ 10.00
Income from investment operations:
Net investment income .50 .50 .53 .40 .36 .39 .59 .40
Net realized and unrealized
gain (loss) on investments 1.19 .29 .83 (.43) .11 .79 .46 .61
-----------------------------------------------------------------------------
Total from investment operations 1.69 .79 1.36 (.03) .47 1.18 1.05 1.01
-----------------------------------------------------------------------------
Less distributions:
Dividends from net investment income (.55) (.68) (.42) (.36) (.41) (.41) (.51) (.40)
Dividends from net realized capital gains (.04) (.37) - (.19) (.31) (.39) (.56) (.01)
-----------------------------------------------------------------------------
Total distributions (.59) (1.05) (.42) (.55) (.72) (.80) (1.07) (.41)
-----------------------------------------------------------------------------
Net asset value, end of period $11.91 $10.81 $11.07 $10.13 $10.71 $10.96 $10.58 $ 10.60
-----------------------------------------------------------------------------
Total return (c) 15.7% 7.4% 13.60% (0.2%) 4.2% 11.5% 10.5% 10.2%
Ratios and supplemental data:
Net assets, end of period (000) $1,123 $1,317 $1,620 $2,211 $3,004 $2,522 $1,410 $ 595
Ratio of expenses to average net assets (a)(b) 2.1% 2.1% 2.2% 2.4%* 2.2% 2.3% 2.5% 2.6%*
Ratio of net investment income to average net
assets (a) 3.9% 4.3% 4.6% 4.0%* 3.2% 3.9% 5.3% 6.6%*
-----------------------------------------------------------------------------
Eleven Months Sept. 4,
Ended 1990 to
Year Ended March 31 March 31, Year Ended April 30, April 30,
-----------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991
-----------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Portfolio turnover rate 398.2% 152.5% 81.1% 59.9% 79.4% 73.8% 97.0% 108.9%*
Average commission rate per share $.0813 $.0711 $.0636 $.0966 $.0997 $.1056 $.1200 N/A
-----------------------------------------------------------------------------
</TABLE>
(a) After the reimbursement and waiver of expenses by the Adviser equivalent to
4.1%, 3.0%, 1.6%, 1.1%*, 1.0%, 0.7%, 1.25% and 4.8%* of average net assets,
respectively.
(b) Includes 0.0%, 0.1%, 0.2%, 0.4%*, 0.2%, 0.3%, 0.5% and 0.6%*, respectively,
related to dividend expenses on short positions.
(c) Total return is not annualized and does not reflect the effect of sales
charges.
*Annualized.
See accompanying Notes to Financial Statements.
36
<PAGE>
Financial Highlights
Calamos Growth Fund
Selected data for a share outstanding throughout the period are as follows:
<TABLE>
<CAPTION>
Class A
-----------------------------------------------------------------------------------------------------
Eleven Months Sept. 4,
Ended 1990 to
Year Ended March 31, March 31, Year Ended April 30, April 30,
-----------------------------------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period $ 17.04 $15.74 $14.18 $14.57 $13.95 $ 14.04 $12.48 $ 10.00
Income from investment
operations:
Net investment income
(loss) (.01) (.09) (.09) .02 .01 (.02) (.01) .07
Net realized and unrealized
gain (loss) on investments 8.53 3.14 4.69 (.28) 1.21 .20 1.60 2.50
-----------------------------------------------------------------------------------------------------
Total from investment
operations 8.52 3.05 4.60 (.26) 1.22 .18 1.59 2.57
-----------------------------------------------------------------------------------------------------
Less distributions:
Dividends from net
investment income - - (.07) - (.01) - - (.08)
Dividends from net
realized capital gains (5.32) (1.75) (2.97) (.13) (.59) (.27) (.03) (.01)
Distributions from paid
in capital (.18) - - - - - - -
-----------------------------------------------------------------------------------------------------
Total distributions (5.50) (1.75) (3.04) (.13) (.60) (.27) (.03) (.09)
-----------------------------------------------------------------------------------------------------
Net asset value, end of
period $ 20.06 $17.04 $15.74 $14.18 $14.57 $13.95 $14.04 $12.48
-----------------------------------------------------------------------------------------------------
Total return (b) 54.0% 19.1% 35.2% (1.8%) 8.9% 1.4% 12.7% 25.8%
Ratios and supplemental data:
Net assets, end of period
(000) $10,374 $6,635 $2,866 $1,791 $2,089 $ 1,861 $1,802 $ 862
Ratio of expenses to
average net assets (a) 2.0% 2.0% 2.0% 2.0%* 2.0% 2.0% 2.0% 2.0%*
Ratio of net investment
income to average net
assets (a) (1.5)% (1.3)% (0.8)% 0.2%* 0.1% (0.1)% (0.1)% 0.8%*
</TABLE>
<TABLE>
<CAPTION>
Class C Class I
-----------------------------------------------------------------------------------------------------
Year Ended Sept. 3, 1996 Sept. 18, 1997
March 31, through March 31, through March 31,
-----------------------------------------------------------------------------------------------------
1998 1997 1998
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net asset value, beginning
of period $16.98 $17.63 $24.32
Income from investment
operations:
Net investment income (loss) (.13) (.07) (.11)
Net realized and unrealized
gain (loss) on investments 8.50 1.07 1.07
-----------------------------------------------------------------------------------------------------
Total from investment operations 8.37 1.00 .96
-----------------------------------------------------------------------------------------------------
Less distributions:
Dividends from net
investment income -
Dividends from net
realized capital gains (5.32) (1.65) (4.98)
Distributions from paid in
capital (.18) - (.18)
-----------------------------------------------------------------------------------------------------
Total distributions (5.50) (1.65) (5.16)
-----------------------------------------------------------------------------------------------------
Net asset value, end of
period $ 19.85 $16.98 $20.12
-----------------------------------------------------------------------------------------------------
Total return (b) 53.3% 5.4% 6.4%
Ratios and supplemental data:
Net assets, end of period
(000) $ 41 $ 8 $1,508
Ratio of expenses to
average net assets (c) 2.5% 2.5%* 1.5%
Ratio of net investment income to
average net assets (c) (2.0)% (1.9)%* (1.1)%
-----------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
Eleven Months Sept. 4,
Ended 1990 to
Year Ended March 31, March 31, Year Ended April 30, April 30,
-----------------------------------------------------------------------------------------------------
1998 1997 1996 1995 1994 1993 1992 1991
-----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Portfolio turnover rate 206.1% 173.9% 252.4% 104.3% 87.3% 56.8% 47.3% 15.8%*
Average commission rate per
share $ .0662 $.0614 $.0608 $.0910 $.0996 $.1011 $.1098 N/A
-----------------------------------------------------------------------------------------------------
</TABLE>
(a) After the reimbursement and waiver of expenses by the Adviser equivalent to
0.3%, 0.7%, 1.2%, 1.6%*, 1.1%, 0.7%, 0.8%, and 4.5%* of average net assets,
respectively.
(b) Total return is not annualized and does not reflect the effect of sales
charges.
(c) After the reimbursement and waiver of expenses by the Adviser equivalent to
0.0% and 0.6%* of average net assets, respectively for Class C shares, and
0.0% of the average net assets for Class I shares.
*Annualized.
See accompanying Notes to Financial Statements.
37
<PAGE>
Financial Highlights
Calamos Global Growth and Income Fund
Selected data for a share outstanding throughout the period are as follows:
<TABLE>
<CAPTION>
Class A Class C Class I
------------------------------------------------------------
Sept. 9, Sept. 24, Sept. 18,
1996 1996 1997
Year Ended through Year Ended through through
March 31, March 31, March 31, March 31, March 31,
------------------------------------------------------------
1998 1997 1998 1997 1998
------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 5.39 $ 5.00 $5.37 $ 5.00 $ 6.18
Income from investment operations:
Net investment income .17 .04 .15 .03 .07
Net realized and unrealized gain (loss)
on investments 1.42 .36 1.41 .35 .58
------------------------------------------------------------
Total from investment operations 1.59 .40 1.56 .38 .65
------------------------------------------------------------
Less distributions:
Dividends from net investment income (.28) (.01) (.26) (.01) (.17)
Dividends from net realized capital gains (.14) - (.14) - (.10)
------------------------------------------------------------
Total distributions (.42) (.01) (.40) (.01) (.27)
------------------------------------------------------------
Net asset value, end of period $ 6.56 $ 5.39 $6.53 $ 5.37 $ 6.56
------------------------------------------------------------
Total return (b) 30.3% 8.0% 29.8% 7.6% 10.9%
Ratios and supplemental data:
Net assets, end of period (000) $5,678 $2,926 $ 671 $ 390 $ 458
Ratio of expenses to average net assets (a) 2.0% 2.0%* 2.5% 2.5%* 1.5%*
Ratio of net investment income to
average net assets (a) 1.4% 1.8%* 0.9% 1.6%* 1.9%*
------------------------------------------------------------
Sept. 9,
1996
Year Ended through
March 31, March 31,
1998 1997
----------------------
Portfolio turnover rate 64% 160.4%*
Average commission rate per share $.0945 $.0758
</TABLE>
(a) After the reimbursement and waiver of expenses by the Adviser equivalent to
1.0% and 1.8% of average net assets, for Class A shares, 1.2% and 1.8% for
Class C shares and 1.2%, for Class I shares, respectively.
(b) Total return is not annualized and does not reflect the effect of sales
charges.
*Annualized.
See accompanying Notes to Financial Statements.
38
<PAGE>
FEDERAL TAX STATUS OF FISCAL 1998 DISTRIBUTIONS
The income dividends are taxable as ordinary income. Amounts equal to 9%, 6%,
15%, 1%, and 9% of the amount taxable as ordinary income of Calamos Convertible
Fund, Growth and Income Fund, Strategic Income Fund, Growth Fund, and Global
Growth and Income Fund, respectively, qualify for dividends received deductions
available to corporate shareholders that meet the holding period requirements
for shares of those funds owned.
Income dividends paid to shareholders, whether received in cash or reinvested in
shares, must be included in their Federal income tax returns and must be
reported by the funds to the Internal Revenue Service in accordance with U.S.
Treasury Department Regulations.
39
<PAGE>
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<PAGE>
This page intentionally left blank.
<PAGE>
For shareholder assistance
24 hours
800.823.7386
To open an account or obtain information
800.823.7386
Visit our web-site
http://www.calamos.com
Investment Advisor
Calamos Asset Management, Inc./(R)/
1111 E. Warrenville Road
Naperville, IL 60563-1493
Distributor
Calamos Financial Services, Inc./(R)/
1111 E. Warrenville Road
Naperville, IL 60563-1493
Transfer Agent
First Data Corp.
Investor Services Group
P.O. Box 61503
King of Prussia, PA 19406-0903
Independent Auditors
Ernst & Young LLP
Chicago, IL
Legal Counsel
Bell, Boyd & Lloyd
Chicago, IL
Calamos Investment Trust/(R)/
- --------------------------------------------------------------------------------
This report, including the audited financial statements contained herein, is
submitted for general information for the shareholders of the Funds. The report
is not authorized for distribution to prospective investors in the Funds unless
it is accompanied by a currently effective prospectus of the Funds, and after
June 30, 1998, updated performance data for the most recently completed calendar
quarter.
The views expressed in this report reflect those of Calamos Asset Management,
Inc./(R)/ only through March 31, 1998. The manager's views are subject to change
at any time based on market and other conditions.
