UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES
INVESTMENT COMPANY ACT FILE NUMBER: 811-09237
EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER: Calamos Advisors Trust
ADDRESS OF PRINCIPAL EXECUTIVE OFFICES: 1111 East Warrenville Road, Naperville,
Illinois 60563
NAME AND ADDRESS OF AGENT FOR SERVICE: James S. Hamman, Jr., Secretary,
Calamos Asset Management,
Inc., 1111 East Warrenville Road,
Naperville, Illinois
60563-1493
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (630) 245-7200
DATE OF FISCAL YEAR END: December 31, 2003
DATE OF REPORTING PERIOD: January 1, 2003 through December 31, 2003
Item 1. Reports to Stockholders
CALAMOS(R)
STRATEGIES FOR SERIOUS MONEY(R)
GROWTH AND INCOME PORTFOLIO
ANNUAL REPORT
DECEMBER 31, 2003
[CALAMOS INVESTMENTS LOGO]
CALAMOS FINANCIAL SERVICES, INC.
1111 E. Warrenville Road
Naperville, Illinois 60563-1463
800.582.6959
www.calamos.com
[CALAMOS INVESTMENTS LOGO]
CALAMOS GROWTH AND INCOME PORTFOLIO
A message from the President
Dear Contract Owners:
For the year ended December 31, 2003, the CALAMOS Growth and Income Portfolio,
offered through the Kansas City Life Century II Variable Products, gained
25.76%* nearly in line with the gain of the S&P 500 index(1), which returned
28.68%, and outpaced the Value Line Convertible Index(2), which returned 24.22%.
As we mentioned in a letter earlier in the year, the name of the Portfolio has
been changed from the CALAMOS Convertible Portfolio to the CALAMOS Growth and
Income Portfolio. This change was made to permit us to follow the same strategy
the Portfolio has utilized since its inception in various market cycles and
remain in conformity with SEC regulations. Rest assured that there has been no
change in our investment approach as a result of this name change. More details
on the Portfolio's investment process can be found in the enclosed Management
Review & Outlook.
Going back to 2002, we saw the CALAMOS Growth and Income Portfolio perform as
intended on the downside, limiting losses relative to the equity market and to
the broad convertible market as well. In 2003, the CALAMOS Growth and Income
Portfolio again performed as expected, this time on the upside. We managed to
capture nearly 90% of the stock market's gains while still maintaining a much
more conservative risk/reward profile, and the Portfolio once again outperformed
the broad convertible market.
For more than 25 years of up and down markets, CALAMOS INVESTMENTS has helped
investors achieve their long-term financial goals with a disciplined convertible
investment strategy. We are glad to be part of the Century II lineup, and we
thank you for your ongoing investment in the CALAMOS Growth and Income
Portfolio.
Sincerely,
- ----------------------------
/s/ John P. Calamos, Sr.
John P. Calamos, Sr.
Chairman, Chief Executive Officer and Chief Investment Officer
CALAMOS ASSET MANAGEMENT, INC.
January 15, 2004
In addition to market risk, there are certain risks associated with an
investment in a convertible bond such as default risk (risk that the company
issuing a convertible security will be unable to repay principal and interest)
and interest rate risk (risk that the security may decrease in value if interest
rates increase).
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS.
(1) The S&P 500 Stock Index is an unmanaged index generally considered
representative of the U.S. stock market.
(2) The Value Line Convertible Index is an equally weighted index of the largest
585 convertibles. Selection is based on issue size and trading statistics. The
index represents 90% of the market. Source: Russell/Mellon Analytical Services.
(*) Net of all fees and expenses charged by Calamos Asset Management, Inc.
This report has been prepared by CALAMOS ASSET MANAGEMENT INC. (CAM), the
Portfolio's adviser, for information purposes; any opinions expressed herein
reflect our judgment as of this date and are subject to change at any time
without notice. The forecasts may not prove true. This report should be preceded
or accompanied by a prospectus. Please read the prospectus carefully before you
invest or send money.
MANAGEMENT REVIEW & OUTLOOK
WHAT IS THE GROWTH AND INCOME PORTFOLIO AND WHO SHOULD INVEST IN IT?
To begin, it should be noted that in 2003, the name of the Portfolio was changed
from the CALAMOS Convertible Portfolio to the CALAMOS Growth and Income
Portfolio to permit us to follow the same strategy the Portfolio has utilized
since its inception in various market cycles and remain in conformity with SEC
regulations.
The Growth and Income Portfolio still dynamically allocates among stocks,
corporate bonds and convertible securities. The Portfolio attempts to keep a
consistent balance between risk and reward over the course of the market cycle.
As the market environment alters, CALAMOS ASSET MANAGEMENT, INC. will change the
blend of securities to keep the risk level consistent over time. At some points
in the market cycle, the use of one type of security may make up a substantial
portion of the portfolio, while at other times a given security type may have
minimal or no representation, depending on market conditions.
As before, the Portfolio will make use of convertible securities, a type of
investment `hybrid' which combines the upside potential of equities with
potential downside protection provided by bonds. The potential equity upside
growth comes from the option to convert the security into a specified number of
shares of common stock as the issuing company grows. The potential bond downside
protection comes from the regular income a convertible security generally pays
before the option is exercised. The Portfolio uses convertibles because they fit
well with its investment objective: high long-term total return through growth
and current income.
There are instances in which the Portfolio may hold fewer convertibles in order
to maintain its desired balance between risk and reward. For example, at times
the Portfolio may be invested more heavily in equities, while at other times it
may contain more "straight" bonds (bonds that, unlike convertibles, do not
include the option to be exchanged for stock).
Thus, despite its name change, the Portfolio remains appropriate for investors
who seek the potential to participate in a significant part of the stock
market's gains but who are also concerned about preserving their capital during
a downturn.
WHAT FACTORS HAD A SIGNIFICANT IMPACT ON THE CALAMOS GROWTH AND INCOME
PORTFOLIO?
In 2003, security selection in Technology, the sector weighting in Energy, and
both selection and sector weightings in Consumer Growth Staples enhanced
Portfolio performance, relative to the benchmark. On the other hand, security
selection in Utilities, sector weightings in Consumer Cyclicals, and both
security selection and sector weightings in Telecommunications and Basic
Industries detracted from performance for the year.
Adhering to our investment discipline did hold back the Portfolio somewhat, as
more speculative securities, generally of lower credit quality, and of smaller
and sometimes distressed businesses, outperformed securities issued by companies
which, in our opinion, had much stronger balance sheets and much more
sustainable growth rates. For example, during the fourth quarter, the
Portfolio's weightings and security selection among small caps, and its
selections in the BB credit quality range detracted on a relative basis from its
return.
Looking forward, we believe that the market will recognize the value of more
stable, steadily growing businesses and rotate toward names with an appropriate
risk/reward balance. Already in the fourth quarter, we saw evidence that the
market had started to recognize higher-quality names in the large-cap arena,
where our security selection added value. Likewise, among the higher-rated
credits in the BBB and A range, careful choices boosted returns relative to the
benchmark.
Believing that, in the long run, the best way to enhance an investor's capital
is not to lose any, our strategy will generally keep us from participating in
any rapid run-up, such as we saw in the fourth quarter, but we seek to recover
those gains and then some in more normal market conditions.
WHAT IS THE OUTLOOK FOR THE CALAMOS GROWTH AND INCOME PORTFOLIO?
After three straight years of negative returns from the broad stock market, many
investors began 2003 too hesitant to get back into the market. Our outlook
throughout 2003 was positive, however, believing that the negative sentiments
which deterred many investors - the high levels of consumer debt and
correspondingly low levels of personal savings; the immediate fears of terrorism
and the long-term effects of the war in Iraq, the trade deficit, and the general
worry about valuations - were overstated.
Our view throughout 2003 was that it was rational for individuals to invest in
their own homes, rather than saving, given the respective rates of return
offered by each choice (roughly 6% and less than 1%, respectively). Our response
to war, terrorism, or other dangers was, as always, to diversify. The trade
deficit reflected, and in our view continues to reflect, the willingness of
foreigners to invest in the United States, which they regard as a safer and
potentially more lucrative than any alternative. Finally, the worry about
valuations came from mistakenly assuming that the whole market was caught up in
a price bubble, when in fact only about a third of the market was really
overheated.
What's more, we continue to regard discussions about the valuation of "the
market" as misleading for two reasons. First, as active managers, we purchase
individual securities, not broad groups or the whole market. Second, we look at
free cash flow, rather than earnings (the denominator in the overused--and
misused-- Price-to-Earnings ratio). For more than 25 years, we have treated free
cash flow, or simply what a company has left after it has satisfied all of its
outstanding liabilities, as a more accurate representation of its ability to
make money than earnings, which can be manipulated.
Our study of individual companies' cash flows leads us to those which are
earning a high return on invested capital as a result of having restructured
their businesses over the past several years. Now, with capital expenditures
increasing, companies that can generate strong returns on this additional level
of investment will grow strongly. Our current portfolio weightings and security
selections favor these steadily growing companies.
In sum, we believe that the recovery is real, that the stimulus provided by the
tax cuts will persist throughout 2004, and that the market will continue to
rotate toward selected firms with strong balance sheets, high returns on
invested capital, and genuine prospects of long-term growth, and the makeup of
the Portfolio reflects these convictions.
CALAMOS GROWTH AND INCOME PORTFOLIO
Average Annual Total Return* as of 12/31/03
SINCE INCEPTION ONE YEAR THREE YEAR
(5/19/99-12/31/03)
-----------------------------------------------------------------------------------------
9.08% 25.76% 4.69%
Returns are net of all fees and expenses incurred by the Portfolio.
PAST PERFORMANCE IS NO GUARANTEE OF FUTURE RESULTS. The investment return and
principal value of an investment will fluctuate so that an investor's shares,
when redeemed, may be worth more or less than their original cost. Due to
ongoing market volatility, performance is subject to substantial short-term
fluctuations.
*Average annual total return measures net investment income and capital gain or
loss from portfolio investments as an annualized average, assuming reinvestment
of income and capital gain distributions. Note: Without expense limits, the
Portfolio's total return would have been lower.
CALAMOS GROWTH AND INCOME PORTFOLIO
Growth of a $10,000 Investment
5/19/99 to 12/31/03
CALAMOS Grw & Inc Portfolio (Advisor Tr)(Monthly)
[Line Graph]
Calamos Growth Value Line
and Income Portfolio Convertible Index
Beginning 10000 10000
1999 9/30/1999 9776.462364 9898.706043
12/31/1999 11972.24435 10914.83261
2000 3/31/2000 12493.85686 11667.71879
6/30/2000 12436.66107 11031.10348
9/30/2000 13312.38312 11080.65993
12/31/2000 12656.55061 9790.507457
2001 3/31/2001 11926.48316 9580.419609
6/30/2001 12288.31038 10380.83886
9/30/2001 11245.61834 9396.755385
12/31/2001 12040.19791 10042.0335
2002 3/31/2002 12340.51001 10122.24352
6/30/2002 12042.38069 9399.588128
9/30/2002 10997.49065 8725.680232
12/31/2002 11545.78081 9538.444606
2003 3/31/2003 11616.66625 9980.998768
6/30/2003 13058.86706 11052.80848
9/30/2003 13353.65519 11037.64997
12/31/2003 14516.72188 11848.4806
SOURCE: RUSSELL/MELLON ANALYTICAL SERVICES, INC.
This chart compares the Portfolio's performance to that of the Value Line
Convertible Index with net distribution over time. This index is an unmanaged
broad-based statistical composite and its performance does not include sales
charges or fees that would be paid by an investor purchasing the securities it
represents. Such costs would lower performance. The historical performance of
the index is shown for illustrative purposes only; it is not meant to forecast,
imply or guarantee the future performance of any investment vehicles. It is not
possible to invest directly into an index. Results are hypothetical.
Inception of the Portfolio is 5/19/99. Value Line Investment begins 5/1/99.
PORTFOLIO MANAGERS
[JOHN P. CALAMOS, SR. PHOTO] JOHN P. CALAMOS, SR.
Chairman, Chief Executive Officer and Chief
Investment Officer
- Over 30 years of investment management experience
- Authority on convertibles, listed call options and other
hedging techniques
- Authored two books on convertible investing, the latest:
Convertible Securities, the Latest Instruments, Portfolio
Strategies and Valuation Analysis, 1998
- Member of the Investment Analysts Society of Chicago
- BS Economics - Illinois Institute of Technology
- MBA Finance - Illinois Institute of Technology
[NICK P. CALAMOS, CFA PHOTO] NICK P. CALAMOS, CFA
Senior Executive Vice President, Head of
Investments and Chief Investment Officer
- Approximately 20 years of investment management experience
- Oversees research and portfolio management for the firm
- Author: Convertible Arbitrage, Insights and Techniques for
Successful Hedging
- Member of the Investment Analysts Society of Chicago
- Chartered Financial Analyst
- BS Economics - Southern Illinois University
- MS Finance - Northern Illinois University
CALAMOS GROWTH AND INCOME PORTFOLIO
SCHEDULE OF INVESTMENTS DECEMBER 31, 2003
PRINCIPAL PRINCIPAL
AMOUNT VALUE AMOUNT VALUE
- ------------------------------------------------------------------- ------------------------------------------------------------
Convertible Bonds (55.1%) $225,000 International Game Technology (b)
CAPITAL GOODS - INDUSTRIAL (9.0%) 0.000%, 01/29/33 $180,281
$100,000 Agco Corp. 400,000 Lear Corp. (b)
1.750%, 12/31/33 $111,875 0.000%, 02/20/22 210,500
135,000 Briggs & Stratton Corp. (b) 660,000 Royal Caribbean Cruises, Ltd.
5.000%, 05/15/06 187,144 0.000%, 02/02/21 320,100
General Motors Corp. (c) 260,000 Walt Disney Company
375,000 5.250%, 03/06/32 403,050 2.125%, 04/15/23 276,575
------------
142,500 6.250%, 07/15/33 184,110 1,647,050
------------
185,000 Kaydon Corp. (b) CONSUMER GROWTH STAPLES (13.8%)
4.000%, 05/23/23 207,200 55,000 AmerisourceBergen Corp. (b)
Tyco International, Ltd. (b) 5.000%, 12/01/07 66,275
385,000 3.125%, 01/15/23 528,413 150,000 Cendant Corp.
310,000 2.750%, 01/15/18 397,186 3.875%, 11/27/11 162,750
-----------
2,018,978 210,000 Hasbro, Inc. (b)
-----------
CAPITAL GOODS - TECHNOLOGY (14.1%) 2.750%, 12/01/21 247,800
110,000 Advanced Micro Devices, Inc. 355,000 Invitrogen Corp. (b)
4.750%, 02/01/22 112,750 2.000%, 08/01/23 442,863
400,000 Agilent Technologies, Inc. Liberty Media Corp. (Time Warner)
3.000%, 12/01/21 439,000 200,000 0.750%, 03/30/23 (b) 237,000
136,000 First Data Corp. 100,000 0.750%, 03/30/23 118,500
2.000%, 03/01/08 147,900 165,000 Liberty Media Corp. (Viacom, Inc.)
390,000 Juniper Networks, Inc. (b) 3.250%, 03/15/31 172,425
0.000%, 06/15/08 453,375 145,000 Pharmaceutical Resources, Inc. (b)
110,000 Keane, Inc. 2.875%, 09/30/10 160,225
2.000%, 06/15/13 115,984 45,000 Quanta Services, Inc.
110,000 Kulicke and Soffa Industries, Inc. 4.500%, 10/01/23 47,475
0.500%, 11/30/08 106,150 240,000 Reebok International, Ltd. (b)
180,000 Liberty Media Corp. (Motorola) (b) 4.250%, 03/01/21 264,600
3.500%, 01/15/31 151,650 545,000 Roche Holdings, Inc. (Genentech) (b)
185,000 LSI Logic Corp. (b) 0.000%, 01/19/15 446,219
4.000%, 05/15/10 206,506 225,000 Teva Pharmaceutical Industries, Ltd.
200,000 L-3 Communications Holdings 0.375%, 11/15/22 313,313
5.250%, 06/01/09 253,500 315,000 Watson Pharmaceuticals, Inc. (b)
160,000 Micron Technology, Inc. 1.750%, 03/15/23 416,192
------------
2.500%, 02/01/10 212,400 3,095,637
------------
65,000 Photronics, Inc. (b) CONSUMER STAPLES (1.6%)
4.750%, 12/15/06 64,675 100,000 Bunge, Ltd (b)
390,000 STMicroelectronics N.V. 3.750%, 11/15/22 117,125
0.000%, 07/05/13 419,738 340,000 General Mills, Inc. (b)
125,000 Symantec Corp. 0.000%, 10/28/22 239,700
------------
3.000%, 11/01/06 257,031 356,825
------------
185,000 Veritas Software Corp. (b) ENERGY (2.4%)
0.250%, 08/01/13 202,574 90,000 Halliburton Company, Inc. (b)
-----------
3,143,233 3.125%, 07/15/23 93,713
-----------
CONSUMER CYCLICAL (7.4%) 240,000 Nabors Industries, Inc.
200,000 Best Buy Company, Inc. 0.000%, 06/15/23 221,700
0.684%, 06/27/21 151,250 225,000 Schlumberger, N.V.
50,000 Church & Dwight Co., Inc. (b) 2.125%, 06/01/23 223,594
------------
5.250%, 08/15/33 58,625 539,007
------------
300,000 Four Seasons Hotels, Inc. FINANCIAL (2.7%)
0.000%, 09/23/29 103,500 169,000 Providian Financial Corp.
Gap, Inc. 4.000%, 05/15/08 196,040
140,000 5.750%, 03/15/09 (b) 215,425 300,000 Select Insurance Group (b)
85,000 5.750%, 03/15/09 130,794 1.616%, 09/24/32 143,250
See accompanying Notes to Schedule of Investments
CALAMOS GROWTH AND INCOME PORTFOLIO
SCHEDULE OF INVESTMENTS DECEMBER 31, 2003
PRINCIPAL NUMBER OF
AMOUNT VALUE SHARES VALUE
- --------------------------------------------------------------- ------------------------------------------------------------------
$85,000 Silicon Valley Bancshares (b) ENERGY (1.8%)
0.000%, 06/15/08 $100,406 3,700 Kerr-McGee Corp. (Devon)
171,250 Travelers Property Casualty Corp. (c) 5.500% $184,630
0.000%, 04/15/32 168,853 8,400 Valero Energy Corp.
-----------
608,549 2.000% 216,300
----------- ------------
TELECOMMUNICATIONS (3.9%) 400,930
------------
180,000 Andrew Corp. (b) FINANCIAL (2.6%)
3.250%, 08/15/13 212,625 3,550 Commerce Capital Trust II (b)
170,000 Comverse Technology, Inc. (b) 5.950% 213,000
0.000%, 05/15/23 200,600 3,475 National Australia Bank, Ltd.
66,000 Corning, Inc. 7.875% 132,745
3.500%, 11/01/08 82,088 1,000 Reinsurance Group of America, Inc.
100,000 Nextel Communications, Inc. 5.750% 58,625
6.000%, 06/01/11 124,500 775 State Street Corp.
145,000 UTStarcom, Inc. (b) 6.750% 188,310
------------
0.875%, 03/01/08 247,406 592,680
----------- ------------
867,219 TELECOMMUNICATIONS (1.4%)
-----------
5,300 ALLTEL Corp.
UTILITIES (0.2%) 7.750% 263,410
50,000 CenterPoint Energy, Inc. (b) 1,000 General Cable Corp. (b)
3.750%, 05/15/23 53,375 5.750% 58,875
----------- ------------
322,285
------------
TOTAL CONVERTIBLE BONDS UTILITIES (0.6%)
(Cost $10,993,857) 12,329,873 4,200 CenterPoint Energy, Inc. (Time Warner)
-----------
2.000% 135,492
------------
NUMBER OF
SHARES VALUE TOTAL CONVERTIBLE
- ------------------------------------------------------------------
CONVERTIBLE PREFERRED STOCK (19.0%) PREFERRED STOCK
CAPITAL GOODS - INDUSTRIAL (2.5%) (Cost $3,636,103) 4,260,662
------------
10,000 Ford Motor Company Capital Trust II
6.500% 558,500 COMMON STOCK (23.8%)
-----------
CAPITAL GOODS - TECHNOLOGY (2.7%) CAPITAL GOODS - TECHNOLOGY (9.5%)
4,400 Motorola, Inc. 17,400 Brooks Automation, Inc. (a) 420,558
7.000% 191,092 22,500 Cisco Systems, Inc. (a) 546,525
650 Northrop Grumman Corp. 10,100 Cypress Semiconductor Corp. (a) 215,736
7.250% 67,405 4,800 Electronic Arts, Inc. (a) 229,344
2,650 Xerox Corp. 30,900 EMC Corp. (a) 399,228
6.250% 344,500 9,400 Intel Corp. 302,680
----------- ------------
602,997 2,114,071
----------- ------------
CONSUMER GROWTH STAPLES (4.1%)
2,100 Anthem, Inc. CONSUMER CYCLICAL (2.7%)
6.000% 185,283 8,000 International Game Technology 285,600
7,800 Baxter International, Inc. 3,000 Nordstrom, Inc. 102,900
7.000% 430,950 9,300 Walt Disney Company 216,969
------------
5,800 Cendant Corp. 605,469
------------
7.750% 290,348 CONSUMER GROWTH STAPLES (4.5%)
-----------
906,581 2,200 Bausch & Lomb, Inc. 114,180
-----------
CREDIT CYCLICAL (3.3%) 11,800 McDonald's Corp. 292,994
3,000 New York Community Capital Trust V 2,900 Merck & Company, Inc. 133,980
6.000% 229,125 9,000 Mylan Laboratories, Inc. 227,340
Washington Mutual, Inc. 4,600 Neiman Marcus Group, Inc. (a) 246,882
------------
5,300 5.375% (b) 294,998 1,015,376
------------
3,900 5.375% 217,074
-----------
741,197
-----------
See accompanying Notes to Schedule of Investments
CALAMOS GROWTH AND INCOME PORTFOLIO
SCHEDULE OF INVESTMENTS DECEMBER 31, 2003
NUMBER OF PRINCIPAL
SHARES VALUE AMOUNT VALUE
- --------------------------------------------------------- ------------------------------------------------------------------
FINANCIAL (5.3%) SHORT TERM INVESTMENTS (16.7%)
3,733 Countrywide Financial Corp. $ 283,173 $ 482,000 Exxon Mobil Corp.
7,100 MBIA, Inc. 420,533 0.770%, 01/02/04 $ 482,000
20,274 Sovereign Bancorp, Inc. 481,508 3,245,101 Bank of New York Institutional
-----------
1,185,214 Cash Reserve Fund (d),
-----------
TELECOMMUNICATIONS (1.8%) current rate 1.140% 3,245,101
-----------
31,000 Avaya, Inc. (a) 401,140
-----------
TOTAL SHORT TERM
TOTAL COMMON STOCK INVESTMENTS
(Cost $4,285,535) 5,321,270 (Cost $3,727,101) 3,727,101
----------- -----------
TOTAL INVESTMENTS (114.6%) 25,638,906
-----------
(Cost $22,642,596)
LIABILITIES, LESS OTHER ASSETS (-14.6%) (3,271,267)
-----------
NET ASSETS (100.0%) $22,367,639
-----------
NOTES TO SCHEDULE OF INVESTMENTS
(a) Non-income producing security.
(b) 144A securities are those that are exempt from registration under Rule 144A
of the Securities Act of 1933, as amended. These securities are generally
issued to qualified institutional buyers ("QIBs"), such as the Portfolio.
Any resale of these securities must generally be effected through a sale
that is exempt from registration (e.g. a sale to another QIB), or the
security must be registered for public sale. At December 31, 2003 the
market value of 144A securities that can not currently be exchanged to the
registered form is $1,941,219 or 8.7% of net assets of the Portfolio.
(c) Security trades at a price that takes into account the value, if any, of
accrued but unpaid interest.
(d) Security is purchased with the cash collateral from securities loaned.
See accompanying Notes to Financial Statements
CALAMOS GROWTH AND INCOME PORTFOLIO
STATEMENT OF ASSETS AND LIABILITIES
DECEMBER 31, 2003
ASSETS
Investments, at value (cost $22,642,596) - including $3,167,268 of securities loaned $ 25,638,906
Cash with custodian (interest bearing) 115,659
Accrued interest, dividends and other receivables 74,929
Receivable for Fund shares sold 1,212
Other assets 17,654
---------------
Total Assets 25,848,360
===============
LIABILITIES AND NET ASSETS
Payable for investments purchased 176,581
Payable for Fund shares redeemed 8,461
Payable to investment advisor 13,793
Accounts payable and accrued liabilities 36,785
Payable upon return of securities loaned 3,245,101
---------------
Total Liabilities 3,480,721
---------------
NET ASSETS $ 22,367,639
===============
ANALYSIS OF NET ASSETS
Paid in Capital $ 20,733,072
Undistributed net investment income (loss) 100,941
Accumulated net realized gain (loss) on investments (1,462,684)
Unrealized appreciation (depreciation) of investments 2,996,310
---------------
NET ASSETS $ 22,367,639
===============
Net Assets Applicable to Shares Outstanding $ 22,367,639
Shares Outstanding 1,755,118
Net Asset Value and Redemption Price Per Share $ 12.74
===============
See accompanying Notes to Financial Statements
CALAMOS GROWTH AND INCOME PORTFOLIO
STATEMENT OF OPERATIONS
FOR YEAR ENDED DECEMBER 31, 2003
INVESTMENT INCOME
Interest $ 450,437
Dividends 387,522
Securities lending income 4,155
---------------
Total investment income 842,114
---------------
EXPENSES
Investment advisory fees 138,052
Accounting fees 23,024
Audit and legal fees 79,055
Custodian fees 8,569
Transfer agent fees 4,840
Trustees' fees 21,693
Other 17,646
---------------
Total Expenses 292,879
Less Expense waived 22,985
---------------
Net Expenses 269,894
---------------
NET INVESTMENT INCOME (LOSS) 572,220
---------------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on investments 382,534
Change in net unrealized appreciation/depreciation on investments 3,323,544
---------------
NET GAIN (LOSS) ON INVESTMENTS 3,706,078
---------------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS $ 4,278,298
===============
See accompanying Notes to Financial Statements
CALAMOS GROWTH AND INCOME PORTFOLIO
STATEMENTS OF CHANGES IN NET ASSETS
YEARS ENDED DECEMBER 31, 2003 AND 2002
YEAR ENDED
DECEMBER 31,
2003 2002
--------------- ---------------
OPERATIONS
Net investment income (loss) $ 572,220 $ 613,431
Net realized gain (loss) on investments, options 382,534 (750,644)
Change in net unrealized appreciation/depreciation on investments 3,323,544 (545,919)
--------------- ---------------
Net increase(decrease) in net assets resulting from operations 4,278,298 (683,132)
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS
Net investment income (611,634) (529,483)
Net realized gains - -
--------------- ---------------
Total Distributions (611,634) (529,483)
NET INCREASE IN NET ASSETS FROM
CAPITAL SHARE TRANSACTIONS 2,837,578 1,971,727
--------------- ---------------
TOTAL INCREASE IN NET ASSETS 6,504,242 759,112
--------------- ---------------
NET ASSETS
Beginning of period 15,863,397 15,104,285
--------------- ---------------
End of period $ 22,367,639 $ 15,863,397
=============== ===============
Undistributed Net Investment Income/(loss) $ 100,941 $ 198,971
See accompanying Notes to Financial Statements
NOTES TO FINANCIAL STATEMENTS
NOTE 1 - ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES
ORGANIZATION - CALAMOS ADVISORS TRUST, a Massachusetts business trust organized
February 17, 1999 (the "Trust"), consists of a single series, CALAMOS Growth and
Income Portfolio (the "Portfolio"). The Trust currently offers the Portfolio's
shares to certain life insurance companies for allocation to certain separate
accounts established for the purpose of funding qualified and non-qualified
variable annuity contracts and variable life insurance contracts. The Portfolio
commenced investment operations on May 19, 1999. The Portfolio seeks current
income as its primary objective with capital appreciation as its secondary
objective.
PORTFOLIO VALUATION - In computing the net asset value of the Portfolio,
securities, including options, that are traded on a national securities exchange
are valued at the last reported sales price. Securities quoted on the NASDAQ
National Market System are valued at the NASDAQ Official Closing Price ("NOCP"),
as determined by NASDAQ, or lacking an NOCP, the last current reported sale
price as of the time of valuation. Securities traded in the over-the-counter
market and listed securities for which no sales were reported are valued at the
mean of the most recently quoted bid and asked prices. Short-term obligations
with maturities of 60 days or less are valued at amortized cost, which
approximates market value.
When market quotations are not readily available or when the valuation methods
mentioned above are not reflective of the fair value of the security, the
security is valued at a fair value following procedures approved by the Board of
Trustees or a committee thereof. These procedures may utilize valuations
furnished by pricing services approved by the Board of Trustees or a committee
thereof, which may be based on market transactions for comparable securities and
various relationships between securities that are generally recognized by
institutional traders, a computerized matrix system, or appraisals derived from
information concerning the securities or similar securities received from
recognized dealers in those securities.
Securities that are principally traded in a foreign market are valued as of the
close of the appropriate exchange or other designated time. Trading in
securities on European and Far Eastern securities exchanges and over-the-counter
markets is normally completed at various times before the close of business on
each day on which the New York Stock Exchange ("NYSE") is open. Trading of these
securities may not take place on every NYSE business day. In addition, trading
may take place in various foreign markets on Saturdays or on other days when the
NYSE is not open and on which the Fund's net asset value is not calculated.
INVESTMENT TRANSACTIONS AND INVESTMENT INCOME - Short term investment
transactions are recorded on a trade date basis. Long term investment
transactions are recorded on a trade date plus one basis, except for June 30th
and December 31st, which are recorded on trade date. Realized gains and losses
from investment transactions are recorded on an identified cost basis. Interest
income is recognized using the accrual method and includes accretion of original
issue and market discount and amortization of premium. 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.
FEDERAL INCOME TAXES - No provision has been made for Federal income taxes since
the Portfolio is taxed as a "regulated investment company" under Subchapter M of
the Internal Revenue Code of 1986 and has made such distributions to
shareholders as to be relieved of all Federal income taxes.
DIVIDENDS - Dividends payable to shareholders are recorded on the ex-dividend
date. Income and capital gain dividends are determined in accordance with income
tax regulations, which may differ from accounting principles generally accepted
in the United States. These differences are primarily due to differing
treatments for foreign currency transactions and contingent payment debt
instruments.
USE OF ESTIMATES - The preparation of financial statements in conformity with
accounting principles generally accepted in the United States 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.
NOTES TO FINANCIAL STATEMENTS
NOTE 2 - INVESTMENT ADVISOR AND TRANSACTIONS WITH AFFILIATES
Pursuant to an investment advisory agreement with CALAMOS ASSET MANAGEMENT, INC.
("CAM"), the Portfolio pays an investment advisory fee at the annual rate of
0.75% of the average daily net assets of the Portfolio.
CAM has undertaken to limit normal operating expenses of the Portfolio to 1.00%
of average daily net assets through May 31, 2003. As of June 1, 2003, CAM
discontinued such waiver of expenses for the Portfolio. For the year ended
December 31, 2003, CAM waived expenses of $22,985.
Certain portfolio transactions for the Portfolio can be executed through CALAMOS
FINANCIAL SERVICES, INC. ("CFS") as broker, consistent with the Portfolio's
policy of obtaining best price and execution. During the year ended December 31,
2003, the Portfolio paid no brokerage commissions to CFS on purchases and sales
of portfolio securities.
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.
The Portfolio has adopted a deferred compensation plan (the "Plan"). Under the
Plan, a Trustee who is not an "interested person" of CAM and has elected to
participate in the Plan (a "participating trustee") may defer receipt of all or
a portion of his compensation from the Portfolio. The deferred compensation
payable to the participating trustee is credited to the trustee's deferral
account as of the business day such compensation would have been paid to the
trustee. The value of a trustee's deferred compensation account at any time is
equal to what would be the value if the amounts credited to the account had
instead been invested in shares of one or more of the funds of the CALAMOS
INVESTMENT TRUST as designated by the trustee. Thus, the value of the account
increases with contributions to the account or with increases in the value of
the measuring shares, and the value of the account decreases with withdrawals
from the account or with declines in the value of the measuring shares. If a
participating trustee retires, the trustee may elect to receive payments under
the plan in a lump sum or in equal installments over a period of five years. If
a participating trustee dies, any amount payable under the Plan will be paid to
the trustee's beneficiaries. Deferred compensation investments of $17,654 are
included in "Other Assets" on the Statement of Assets and Liabilities at
December 31, 2003. The Portfolio's obligation to make payments under the Plan is
a general obligation of the Portfolio.
NOTE 3 - INVESTMENTS
Purchases and sales of investments other than short-term obligations for the
year ended December 31, 2003 were as follows:
Purchases $ 14,847,839
Proceeds from sales 12,290,202
The following information is presented on an income tax basis as of December 31,
2003. Differences between amounts for financial statements and Federal income
tax purposes are due to timing differences. The cost basis of investments for
Federal income tax purposes at December 31, 2003 was as follows:
Cost basis of investments $ 22,621,358
Gross unrealized appreciation 3,303,005
Gross unrealized depreciation 285,457
Net unrealized appreciation 3,017,548
NOTE 4 - DISTRIBUTIONS TO SHAREHOLDERS
NOTES TO FINANCIAL STATEMENTS
The tax character of distributions during the years ended December 31 was as
follows:
2003 2002
Distributions paid from: ---- ----
Ordinary Income $ 611,634 $ 529,483
Net Long - Term Capital Gain - -
--------- ---------
Total Taxable Distribution $ 611,634 $ 529,483
As of December 31, 2003, the components of accumulated earnings/(losses) on a
tax basis were as follows:
Undistributed ordinary income - net $ 93,601
Accumulated capital losses (1,462,403) *
Unrealized gain/(losses) - net 3,017,548 **
Other - net (14,179)
-----------
Total accumulated earnings/(losses) - net $ 1,634,567
* As of December 31, 2003, the Portfolio had net tax basis capital loss
carryforwards of $411,325, which will expire, if not used, in 2010, and a
capital loss carryforward of $951,889, which, if not used, will expire in
2009.
In addition, the Portfolio had a Post-October capital loss of $99,189
which will be treated as having occurred on January 1, 2004.
** The difference between book-basis and tax-basis unrealized gains/(losses)
is attributable to the difference between book and tax amortization
methods for premiums and discounts on fixed income securities and other
temporary book/tax differences.
NOTE 5 - CAPITAL SHARE TRANSACTIONS
The following table summarizes the activity in capital shares of the Portfolio:
Year ended December 31, 2003:
SHARES DOLLARS
--------------- ---------------
Shares sold 353,754 $ 4,112,433
Shares issued in reinvestment
of distributions 52,010 611,634
Less shares redeemed (166,886) (1,886,489)
--------------- ---------------
Share Increase 238,878 $ 2,837,578
=============== ===============
Year ended December 31, 2002:
SHARES DOLLARS
--------------- ---------------
Shares sold 385,637 $ 4,191,882
Shares issued in reinvestment
Of distributions 49,651 529,483
Less shares redeemed (257,137) (2,749,638)
--------------- ---------------
Share Increase 178,151 $ 1,971,727
=============== ===============
NOTES TO FINANCIAL STATEMENTS
NOTE 6 - SECURITIES LENDING
During the period ended December 31, 2003, the Portfolio lent certain of its
securities to broker-dealers and banks. Any such loan must be continuously
secured by collateral in cash or cash equivalents maintained on a current basis
in an amount at least equal to the market value of the securities loaned by the
Portfolio. The Portfolio would continue to receive the equivalent of the
interest or dividends paid by the issuer on the securities loaned, and would
also receive an additional return that may be in the form of a fixed fee or a
percentage of the collateral. The Portfolio may pay reasonable fees to persons
unaffiliated with the Portfolio for services in arranging these loans. The
Portfolio would have the right to call the loan and obtain the securities loaned
at any time on notice of not more than five business days. The Portfolio would
not have the right to vote the securities during the existence of the loan but
generally would call the loan in an attempt to permit voting of the securities.
In the event of bankruptcy or other default of the borrower, the Portfolio could
experience both delays in liquidating the loan collateral or recovering the
loaned securities and losses, including (a) possible decline in the value of the
collateral or in the value of the securities loaned during the period while the
Portfolio seeks to enforce its rights thereto, (b) possible subnormal levels of
income and lack of access to income during this period, and (c) expenses of
enforcing its rights. In an effort to reduce these risks, the investment manager
will monitor the creditworthiness of the firms to which the Portfolio lends
securities. At December 31, 2003, the Portfolio had securities valued at
$3,167,268 that were on loan to broker-dealers and banks and the Portfolio had
$3,245,101 in cash collateral.
CALAMOS GROWTH AND INCOME PORTFOLIO
FINANCIAL HIGHLIGHTS
SELECTED DATA FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD WERE AS FOLLOWS:
MAY 19,
YEAR ENDED DECEMBER 31, TO DEC 31,
2003 2002 2001 2000 1999
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NET ASSET VALUE, BEGINNING OF PERIOD $ 10.46 $ 11.29 $ 12.30 $ 12.18 $ 10.00
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INCOME FROM INVESTMENT OPERATIONS:
Net investment income 0.34 0.43 0.38 0.31 0.09
Net realized and unrealized gain (loss) on investments 2.32 (0.89) (0.99) 0.39 2.23
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Total from investment operations 2.66 (0.46) (0.61) 0.70 2.32
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DISTRIBUTIONS:
Dividends from net investment income (0.38) (0.37) (0.40) (0.30) (0.09)
Dividends from net realized gains - - - (0.28) -
Distributions paid from capital - - - - (0.05)
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Total distributions (0.38) (0.37) (0.40) (0.58) (0.14)
-------------------------------------------------------------------------
NET ASSET VALUE, END OF PERIOD $ 12.74 $ 10.46 $ 11.29 $ 12.30 $ 12.18
=========================================================================
Total Return (a) 25.76% (4.10%) (4.87%) 5.72% 23.19%
RATIOS AND SUPPLEMENTAL DATA:
Net assets, end of period (000) $22,368 $ 15,863 $15,104 $10,859 $ 2,542
Ratio of net expenses to average net assets 1.47% 1.00% 1.00% 1.00% 1.00% *
Ratio of net investment income to average net assets 3.11% 3.98% 3.41% 3.01% 3.10% *
Ratio of gross expenses to average net assets prior to
waiver of expenses by the advisor 1.59% 1.78% 1.28% 3.44% 9.86% *
PORTFOLIO TURNOVER RATE 68.46% 42.88% 57.57% 70.51% 31.65% *
* Annualized
(a) Total return is not annualized for periods that are less than a full year.
REPORT OF INDEPENDENT AUDITORS
The Board of Trustees and Shareholders
Calamos Advisors Trust -
Calamos Growth and Income Portfolio
We have audited the accompanying statement of assets and liabilities of Calamos
Advisors Trust (comprising the Calamos Growth and Income Portfolio), including
the schedule of investments, as of December 31, 2003, and the related statement
of operations for the year then ended, the statement of changes in net assets
for each of the two years in the period then ended, and the financial highlights
for each of the periods indicated therein. These financial statements and
financial highlights are the responsibility of the Portfolio's management. Our
responsibility is to express an opinion on these financial statements and
financial highlights based on our audits.
We conducted our audit in accordance with auditing standards generally accepted
in the United States. 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 and financial highlights. Our procedures included
confirmation of investments owned as of December 31, 2003, by correspondence
with the custodian and brokers. 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
audit provides 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 Advisors Trust at December 31, 2003, the results of its operations for
the year then ended, the changes in its net assets for each of the two years in
the period then ended, and the financial highlights for each of the periods
indicated therein, in conformity with accounting principles generally accepted
in the United States.
/s/ ERNST & YOUNG LLP
Chicago, Illinois
February 10, 2004
TRUSTEES & OFFICERS
The management of the Trust, including general supervision of duties performed
for the Fund under the Investment Management Agreement, is the responsibility of
its board of trustees.
The following table sets forth, as of December 31, 2003 each trustee's
position(s) with the Trust, age, principal occupation during the past five
years, number of portfolios overseen, other directorships, and the date on which
the trustee first became a trustee of the Trust.
NUMBER OF PORTFOLIOS IN
NAME AND AGE POSITION(S) HELD WITH TRUST AND DATE FUND COMPLEX PRINCIPAL OCCUPATION(S) DURING PAST 5 YEARS
AT DECEMBER 31, 2003 FIRST ELECTED OR APPOINTED TO OFFICE OVERSEEN BY TRUSTEE AND OTHER DIRECTORSHIPS HELD
- ------------------------------------------------------------------------------------------------------------------------------------
TRUSTEES WHO ARE INTERESTED PERSONS OF TRUST:
John P. Calamos, Sr. Trustee and President (since 1999) 11 President and CEO, Calamos Holdings Inc.
63* ("CHI") Calamos Asset Management. Inc.
("CAM") and Calamos Financial Services,
Inc. ("CFS")
Nick P. Calamos, 42* Trustee and Vice President (since 1999) 11 Senior Executive Vice President, CHI,
CAM and CFS
TRUSTEES WHO ARE NOT INTERESTED PERSONS OF TRUST:
Richard J. Dowen, 59** Trustee (since 1999) 11 Chair and Professor of Finance, Northern
Illinois University
Joe F. Hanauer, 66 Trustee (since 2001) 11 Director of MAF Bancorp (banking),
Director, Homestore.com, Inc., (Internet
provider of real estate information and
products); Director, Combined
Investments, L.P. (investment
management)
John E. Neal, 53 Trustee (since 2001) 11 Managing Director, Bank One Capital
Markets, Inc. (investment banking)
(since 2000); Executive Vice President
and Head of Real Estate Department, Bank
One (1998-2000); Director, The Brickman
Group, Ltd.
Weston W. Marsh, 53 Trustee (since 2002) 11 Partner, Freeborn & Peters (law firm)
William R. Rybak, 52 Trustee (since 2002) 11 Retired Private Investor; Executive Vice
President and CFO, Van Kampen
Investments, Inc. (investment manager)
prior thereto; Director, Howe Barnes
Investments; Director, Private Bancorp,
Inc.
* Messrs. John Calamos and Nick Calamos are trustees who are "interested person"
of the Trust as defined in the Investment Company Act of 1940 (the "1940 Act")
because of their position with Calamos.
** Effective January 1, 2004, Mr. Dowen resigned as a trustee of the Trust.
OFFICERS. Messrs. John Calamos and Nick Calamos are president and vice president
of the Trust, respectively. The preceding table gives more information about
Messrs. John Calamos and Nick Calamos. The following table sets forth as of
December 31, 2003 each other officer's name, position with the Trust, age,
principal occupation during the past five years, other directorships, and the
date on which he or she first became and officer of the Trust. Each officer
serves until his or her successor is chosen and qualified or until his or her
resignation or removal by the board of trustees.
NAME AND AGE AT POSITION(S) HELD WITH TRUST AND DATE FIRST PRINCIPAL OCCUPATION(S) DURING THE PAST 5 YEARS AND OTHER
DECEMBER 31, 2003 ELECTED OR APPOINTED TO OFFICE DIRECTORSHIPS HELD
- ------------------------------------------------------------------------------------------------------------------------------------
Rhowena Blank, 35 Treasurer (since 1999) Vice President-Operations, CAM (since
1999); Vice President, CFS (since 2000);
and Director of Operations, Christian
Brothers Investment Services (1998-1999)
Patrick H. Dudasik, 48 Vice President (since 2001) Executive Vice President, Chief
Financial Officer and Administrative
Officer, and Treasurer of CHI, CAM and
CFS (since 2001); and Chief Financial
Officer, David Gomez and Associates,
Inc. (1998-2001) (executive search firm)
James S. Hamman, Jr., 34 Secretary (since 1999) Executive Vice President and General
Counsel, CHI, CAM and CFS (since 1998)
Jeff Lotito, 31 Assistant Treasurer (since 2000) Operations Manager, CAM (since 2000);
Manager-Fund Administration, Van Kampen
(1999-2000); Supervisor-Corporate
Accounting, Stein Roe and Farnham
(1998-1999) (investment management)
Ian J. McPheron, 32 Assistant Secretary (since 2003) Associate Counsel and Director of
Compliance of CAM and CFS (since 2002);
Associate, Gardner, Carton & Douglas
(law firm) (2002); Vice President,
Associate General Counsel and Assistant
Secretary, Van Kampen Investments, Inc.
(2000-2002); Associate, Wildman,
Harrold, Allen & Dixon (law firm)
(1997-2000)
The Statement of Additional Information ("SAI") includes additional information
about fund directors and is available upon request without charge by calling our
toll free number (800) 582-6959.
IMPORTANT TAX AND OTHER
SUPPLEMENTARY INFORMATION
(Unaudited)
QUALIFIED DIVIDEND INCOME FOR INDIVIDUALS
For the year ended December 31, 2003, $44,175 is designated by the Portfolio as
qualified dividend income.
DIVIDEND RECEIVED DEDUCTION
For the year ended December 31, 2003, 6.80% of the dividends paid from net
investment income, including short-term gains, qualifies for the dividends
received deduction available to corporate shareholders of the Portfolio.
PROXY VOTING POLICIES
A description of the CALAMOS Proxy Voting Policies and Procedures is available
by calling (800) 582-6959 by visiting its website at www.calamos.com or by
writing CALAMOS at: CALAMOS INVESTMENTS, Attn: Client Services, 1111 East
Warrenville Road, Naperville, IL 60563, and on the Securities and Exchange
Commission's website at www.sec.gov.
ITEM 2. CODE OF ETHICS.
(a) The registrant has adopted a code of ethics (the "Code of Ethics") that
applies to its principal executive officer, principal financial officer,
principal accounting officer or controller, or person performing similar
functions.
(b) Not applicable.
(c) The registrant has not amended its Code of Ethics during the period covered
by the shareholder report presented in Item 1 hereto.
(d) The registrant has not granted a waiver or an implicit waiver from its Code
of Ethics during the period covered by the shareholder report presented in
Item 1 hereto.
(e) Not applicable.
(f) (a) The registrant's Code of Ethics is attached as an Exhibit hereto.
ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT.
The registrant's Board of Trustees has determined that, for the period covered
by the shareholder report presented in Item 1 hereto, it had three audit
committee financial experts serving on its audit committee, each of whom is an
independent Trustee for purpose of this N-CSR item: Richard J. Dowen, John E.
Neal and William Rybak. Under applicable securities laws, a person who is
determined to be an audit committee financial expert will not be deemed an
"expert" for any purpose, including without limitation for the purposes of
Section 11 of the Securities Act of 1933, as a result of being designated or
identified as an audit committee financial expert. The designation or
identification of a person as an audit committee financial expert does not
impose on such person any duties, obligation, or liabilities that are greater
than the duties, obligations and liabilities imposed on such person as a member
of audit committee and Board of Trustees in the absence of such designation or
identification.
ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES.
(a) Audit Fee - $20,000 and $34,000 are the aggregate fees billed in each of the
last two fiscal years for professional services rendered by the principal
accountant to the registrant for the audit of the registrant; annual
financial statements or services that are normally provided by the
accountant in connection with statutory and regulatory filings or
engagements for those fiscal years.
(b) Audit-Related Fees - There were no fees billed in each of the last two
fiscal years for assurance and related services rendered by the principal
accountant to the registrant that are reasonably related to the performance
of the audit of the registrant's financial statements and are not reported
under paragraph (a) of this Item 4.
(c) Tax Fees - $1,361 and $21,256 are the aggregate fees billed in each of the
last two fiscal years for professional services rendered by the principal
accountant to the registrant for tax compliance, tax advice, tax planning
and tax return preparation.
There were no fees billed in each of the last two fiscal years for
professional services rendered by the principal accountant to the investment
adviser for tax compliance, tax advice and tax planning that were required
to be pre-approved by the audit committee as described in paragraph (e)(1)
of this Item 4.
(d) All Other Fees - There were no fees billed in each of the last two fiscal
years for products and services provided by the principal accountant to the
registrant, other than the services reported in paragraph (a)-(c) of this
Item 4.
There were no fees billed in each of the last two fiscal years for products
and services provided by the principal accountant to the investment adviser,
other than the services reported in paragraphs (a)-(c) of this Item 4, that
were required to be pre-approved by the audit committee as described in
paragraph (e)(1) of this Item 4.
(e) (1) Registrant's audit committee meets with the principal accountants and
management to review and pre-approve all audit services to be provided by
the principal accountants.
The audit committee shall pre-approve all non-audit services to be provided
by the principal accountants to the registrant, including the fees and other
compensation to be paid to the principal accountants; provided that the
pre-approval of non-audit services is waived if (i) the services were not
recognized by management at the time of the engagement as non-audit
services, (ii) the aggregate fees for all non-audit services provided to the
registrant is less than 5% of the total fees paid by the registrant to its
principal accountants during the fiscal year in which the non-audit services
are provided, and (iii) such services are promptly brought to the attention
of the audit committee by management and the audit committee approves
them prior to the completion of the audit.
The audit committee shall pre-approve all non-audit services to be provided
by the principal accountants to the investment adviser or any entity
controlling, controlled by or under common control with the adviser that
provides ongoing services to the registrant if the engagement relates
directly to the operations or financial reporting of the registrant,
including the fees and other compensation to be paid to the principal
accountants; provided that pre-approval of non-audit services to the adviser
or an affiliate of the adviser is not required if (i) the services were not
recognized by management at the time of the engagement as non-audit
services, (ii) the aggregate fees for all non-audit services provided to the
adviser and all entities controlling, controlled by or under common control
with the adviser are less than 5% of the total fees for non-audit services
requiring pre-approval under paragraph (e)(1) of this Item 4 paid by the
registrant, the adviser or its affiliates to the registrant's principal
accountants during the fiscal year in which the non-audit services are
provided, and (iii) such services are promptly brought to the attention of
the audit committee by management and the audit committee approves them
prior to the completion of the audit.
(2) 100% of the services provided to the registrant described in paragraphs
(b)-(d) of this Item 4 were pre-approved by the audit committee pursuant to
paragraphs (e)(1) of this Item 4. There were no services provided to the
investment adviser or any entity controlling, controlled by or under common
control with the adviser described in paragraphs (b)-(d) of this Item 4 that
were required pre-approved by the audit committee.
(f) No disclosures are required by this Item 4(f).
(g) $1,361 and $21,256 are the aggregate non-audit fees billed in each of the
last two fiscal years for services rendered by the principal accountant to
the registrant. $90,200 and $9,200 are the aggregate non-audit fees billed
in each of the last two fiscal years for services rendered by the principal
accountant to the investment adviser or any entity controlling, controlled
by or under common control with the adviser. All of the aggregate fees
billed by the principal accountant for non-audit services to the
registrant's investment adviser relate to services that began prior to the
adoption of rules requiring audit committee pre-approval. However, the
registrant's audit committee did approve such non-audit services.
(h) No disclosures are required by this Item 4(h).
ITEM 5. AUDIT COMMITTEE OF LISTED REGISTRANTS.
Not applicable
ITEM 6. [RESERVED.]
ITEM 7. DISCLOSURE OF PROXY VOTING POLICIES AND PROCEDURES FOR CLOSED-END
MANAGEMENT INVESTMENT COMPANIES.
Not applicable.
ITEM 8. PURCHASES OF EQUITY SECURITIES BY CLOSED-END FUNDS.
Not applicable
ITEM 9. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS, not applicable to
Annual Reports for the period ended December 31, 2003.
ITEM 10. CONTROLS AND PROCEDURES.
a) The registrant's principal executive officer and principal financial
officer have evaluated the registrant's disclosure controls and procedures
within 90 days of this filing and have concluded that the registrant's
disclosure controls and procedures were effective, as of that date, in
ensuring that information required to be disclosed by the registrant in this
Form N-CSR was recorded, processed, summarized, and reported timely.
b) There were no changes in the registrant's internal controls over financial
reporting (as defined in Rule 30a-3(d) under the Investment Company Act of
1940) that occurred during the registrant's last fiscal half-year (the
registrant's second fiscal half-year in the case of an annual report) that
has materially affected, or is reasonably likely to materially affect, the
registrant's internal control over financial reporting.
ITEM 11. EXHIBITS.
(a)(1) Code of Ethics
(a)(2)(i) Certification of Principal Executive Officer.
(a)(2)(ii) Certification of Principal Financial Officer.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, the registrant has duly caused this report
to be signed on its behalf by the undersigned, thereunto duly authorized.
Calamos Advisors Trust
By: /s/ John P. Calamos, Sr.
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Name: John P. Calamos, Sr.
Title: Principal Executive Officer
Date: February 23, 2004
By: /s/ Patrick H. Dudasik
-----------------------------------------------------------------------------
Name: Patrick H. Dudasik
Title: Principal Financial Officer
Date: February 23, 2004
Pursuant to the requirements of the Securities Exchange Act of 1934 and
the Investment Company Act of 1940, this report has been signed by the following
persons on behalf of the registrant and in the capacities and on the dates
indicated.
Calamos Advisors Trust
By: /s/ John P. Calamos, Sr.
-----------------------------------------------------------------------------
Name: John P. Calamos, Sr.
Title: Principal Executive Officer
Date: February 23, 2004
By: /s/ Patrick H. Dudasik
-----------------------------------------------------------------------------
Name: Patrick H. Dudasik
Title: Principal Financial Officer
Date: February 23, 2004