Investors should carefully consider the fund’s investment objectives, risks, charges and expenses before investing.

The fund’s shares do not represent a deposit or obligation of, and are not guaranteed or endorsed by, any bank or other insured depository institution, and are not insured by the FDIC, the Federal Reserve Board or any other government agency. You may lose money by investing in the fund. Certain risks associated with investing in the fund are summarized below.

Past performance is not a guarantee or a reliable indicator of future results.

No Prior History. The fund is a newly organized, non-diversified, limited term closed-end management investment company with no history of operations and is designed for long-term investors and not as a trading vehicle.

Market Discount Risk. As with any stock, the price of the fund’s common shares will fluctuate with market conditions and other factors. If you sell your common shares, the price received may be more or less than your original investment. The common shares are designed for long-term investors and should not be treated as trading vehicles. Shares of closed-end management investment companies frequently trade at a discount from their net asset value. The common shares may trade at a price that is less than the initial offering price. This risk may be greater for investors who sell their shares relatively shortly after completion of the initial offering.

New/Small Fund Risk. A new or smaller fund’s performance may not represent how the fund is expected to or may perform in the long term if and when it becomes larger and has fully implemented its investment strategies. Investment positions may have a disproportionate impact (negative or positive) on performance in a new and smaller fund, such as the fund. New and smaller funds may also require a period of time before they are invested in securities that meet their investment objectives and policies and achieve a representative portfolio composition. Fund performance may be lower or higher during this “ramp-up” period, and may also be more volatile, than would be the case after the fund is fully invested. Similarly, a new or smaller fund’s investment strategy may require a longer period of time to show returns that are representative of the strategy.

Risks of Equity Securities of MLPs. MLP common units and other equity securities issued by MLPs are subject to the risks associated with all equity investments, including the risk that the value of such equity securities will decline due to general market or economic conditions, perceptions regarding MLPs or the energy sector, changes in interest rates, changes in a particular issuer’s financial condition, or unfavorable or unanticipated poor performance of a particular issuer. Holders of MLP units have the rights typically afforded to limited partners in a limited partnership. As compared to common stockholders of a corporation, holders of MLP units generally have more limited control and limited rights to vote on matters affecting the MLP. Conflicts of interest may exist among common unit holders, subordinated unit holders, and the general partner or managing member of an MLP; for example, a conflict may arise as a result of incentive distribution payments. MLP subordinated units generally entail greater risk than MLP common units since in the event of liquidation, common units have preference over subordinated units, but do not have a preference over debt or preferred units. If the parent or sponsor entities of certain MLPs fail to make such payments or satisfy their obligations, the revenues and cash flows of such MLPs and the ability of such MLPs to make distributions to unit holders would be adversely affected. Additionally, certain MLPs depend upon a limited number of customers for substantially all of their revenue. Similarly, certain MLPs depend upon a limited number of suppliers of goods or services to continue their operations. The loss of any such customers or suppliers may materially adversely affect such MLPs’ operations and cash flow, and in turn their ability to make distributions to unit holders.

Risks of Debt Securities of MLPs. Debt securities issued by MLPs are subject to the risks associated with all debt investments, including interest rate risk, prepayment risk, credit risk, and, as applicable, high yield securities risk and distressed and defaulted securities risk.

Energy Sector Risk. Many MLPs and other companies in which the fund may invest operate natural gas, natural gas liquids, crude oil, refined products, coal, or other facilities within the energy sector. As a result, the fund will be concentrated in the energy sector, and will therefore be susceptible to adverse economic, environmental, or regulatory occurrences affecting that sector. A downturn in the energy sector could have a larger impact on the fund than on funds that are broadly diversified across many sectors and industries. Other energy sector risks include, but are not limited to, commodity price risk, supply and demand risk, depletion risk, environmental and regulatory risk, catastrophic event risk, and cyclical industry risk.

Industry Specific Risks. Pipeline companies are subject to changes in the demand for and availability of products for gathering, transportation, processing or sale due to natural declines in reserves and production in the supply areas serviced by the companies’ facilities, sharp decreases in crude oil or natural gas prices that cause producers to curtail production or reduce capital spending for exploration activities, and environmental regulation. Gathering and processing companies are subject to natural declines in the production of oil and natural gas fields, prolonged declines in the price of natural gas or crude oil, and declines in the prices of natural gas liquids and refined petroleum products. 

Total Return Swap Risk. Total return swaps could result in losses if the underlying asset or reference does not perform as anticipated and entail the risk that the counterparty might default on the contract. If the counterparty defaults, the fund may lose any contractual payments to which the fund is entitled. Total return swaps can have the potential for unlimited losses. The fund's investments in total return swaps on MLP securities is a relatively novel strategy and may be treated in a manner bearing adversely on the fund's ability to qualify as a regulated investment company for U.S. federal income tax purposes. If the fund were to fail to qualify as a regulated investment company, the fund may be required to change its investment strategies, pay a fund level tax, back taxes and/or tax penalties and sell securities or other instruments at a time or in a manner unfavorable to the fund. Any such sales may cause the fund to sell securities or instruments that otherwise may be favorable for the fund, bear other adverse consequences (such as incurring short term capital gain on sales or unwinding of positions that were intended to be held for longer periods) and/or incur transaction costs. As such, such a failure to qualify for regulated investment company status could, among other things, negatively affect the fund’s share price, before- and after-tax performance, distribution rate (including a reduction in dividends) and/or its ability to achieve its investment objectives and could cause losses to the fund (including, but not limited to, circumstances where the fund is required to pay a fund level tax, back taxes and/or tax penalties).

Limited Term Risk. Unless the limited term provision of the fund’s Declaration of Trust is amended by shareholders in accordance with the Declaration of Trust, or unless the fund completes an Eligible Tender Offer and converts to perpetual existence, the fund will terminate on or about the Dissolution Date. The fund is not a “target term” fund whose investment objective is to return its original net asset value on the Dissolution Date or in an Eligible Tender Offer. Because the assets of the fund will be liquidated in connection with the dissolution, the fund will incur transaction costs in connection with dispositions of portfolio securities. The fund does not limit its investments to securities having a maturity date prior to the Dissolution Date and may be required to sell portfolio securities when it otherwise would not, including at times when market conditions are not favorable, which may cause the fund to lose money. In particular, the fund’s portfolio may still have large exposures to illiquid securities as the Dissolution Date approaches, and losses due to portfolio liquidation may be significant. Beginning one year before the Dissolution Date (the “Wind-Down Period") the fund may begin liquidating all or a portion of the fund’s portfolio, and the fund may deviate from its investment strategy and may not achieve its investment objectives. As a result, during the Wind-Down Period, the fund’s distributions may decrease, and such distributions may include a return of capital. The fund’s investment objectives and policies are not designed to seek to return investors’ original investment upon termination of the fund, and investors may receive more or less than their original investment upon termination of the fund. As the assets of the fund will be liquidated in connection with its termination, the fund may be required to sell portfolio securities when it otherwise would not, including at times when market conditions are not favorable, which may cause the fund to lose money. If the fund conducts an Eligible Tender Offer, the fund anticipates that funds to pay the aggregate price of shares accepted for purchase pursuant to the tender offer will be first derived from any cash on hand and then from the proceeds from the sale of portfolio investments held by the fund. In addition, the fund may be required to dispose of portfolio investments in connection with any reduction in the fund’s outstanding leverage necessary in order to maintain the fund’s desired leverage ratios following a tender offer. A tender offer will have the effect of increasing the proportionate interest in the fund of non-tendering shareholders. All shareholders remaining after a tender offer will be subject to proportionately higher expenses due to the reduction in the fund’s total assets resulting from payment for the tendered shares. Such reduction in the fund’s total assets may also result in less investment flexibility, reduced diversification and greater volatility for the fund, and may have an adverse effect on the fund’s investment performance. The fund is not required to conduct an Eligible Tender Offer. If the fund conducts an Eligible Tender Offer, there can be no assurance that the number of tendered shares would not result in the fund having aggregate net assets below the Dissolution Threshold, in which case the Eligible Tender Offer will be canceled, no shares will be repurchased pursuant to the Eligible Tender Offer and the fund will dissolve on the Dissolution Date (subject to possible extensions). Following the completion of an Eligible Tender Offer in which the number of tendered shares would result in the fund having aggregate net assets greater than or equal to the Dissolution Threshold, the Board may eliminate the Dissolution Date without shareholder approval. Thereafter, the fund will have a perpetual existence. The Investment Manager may have a conflict of interest in recommending to the Board that the Dissolution Date be eliminated and the fund have a perpetual existence. The fund is not required to conduct additional tender offers following an Eligible Tender Offer and conversion to perpetual existence. Therefore, remaining shareholders may not have another opportunity to participate in a tender offer. Shares of closed-end management investment companies frequently trade at a discount from their net asset value, and as a result remaining shareholders may only be able to sell their Shares at a discount to net asset value.

Tax Risk. The fund’s investment strategy will potentially be limited by its intention to qualify and be eligible for treatment as a regulated investment company, and can limit the fund’s ability to qualify and be treated as such. The tax treatment of certain of the fund’s investments under one or more of the qualification or distribution tests applicable to regulated investment companies is uncertain. An adverse determination or future guidance by the Internal Revenue Service (the “IRS”) or a change in law might affect the fund’s ability to qualify or be eligible for treatment as a regulated investment company, which may call for an evaluation of its investment strategies that results in the fund incurring transaction costs and may negatively affect the fund's performance and/or ability to achieve its investment objectives, which may call for an evaluation of its investment strategies that results in the fund incurring transaction costs and may negatively affect the fund's performance and/or ability to achieve its investment objectives. Based on consultation with legal counsel, the fund believes that, as implemented, its investment strategy should be consistent with the fund’s qualification and eligibility for treatment as a regulated investment company. If the IRS were to challenge successfully the fund’s position, the fund could be required to pay a fund-level tax, back taxes and/or tax penalties in order to maintain its qualification as a regulated investment company, or could fail to qualify as a regulated investment company (in which case the fund would be subject to tax on its taxable income at corporate rates). In such event, the fund may be required to change its investment strategies, bear back taxes and tax penalties and sell securities or other instruments at a time or in a manner unfavorable to the fund and incur transaction costs.  As such, a failure to qualify for regulated investment company status could, among other things, negatively affect the fund's share price, before- and after-tax performance, distribution rate (including a reduction in dividends) and/or its ability to achieve its investment objectives and, in the event of payment of back taxes or a tax penalty, could cause a loss to the fund.

Subsidiary Risk. By investing through a Subsidiary, the fund is indirectly exposed to the risks associated with the Subsidiary’s investments.

Equity Securities Risk. The market price of common stocks and other equity securities may go up or down, sometimes rapidly or unpredictably. Equity securities may decline in value due to factors affecting equity securities markets generally, particular industries represented in those markets, or the issuer itself. Equity securities generally have greater price volatility than bonds and other debt securities.

Debt Securities Risk. The prices of bonds and other fixed income securities will generally increase as interest rates fall and decrease as interest rates rise. Income from the fund’s portfolio may decline if the fund invests the proceeds from matured, traded or called fixed income securities at market interest rates that are below the portfolio’s current earnings rate.

Mortgage-Related and Other Asset-Backed Instruments Risk. Mortgage- and asset-backed securities tend to be sensitive to changes in interest rates, subject to early repayment risk, and while generally supported by a government, government-agency or private guarantor, there is no assurance that the guarantor will meet its obligations. Subordinate securities of mortgage-backed and other asset-backed instruments are also subject to greater credit risk than those mortgage-backed or other asset-backed instruments that are more highly rated.

High Yield Securities Risk. In general, lower-rated debt securities carry a greater degree of risk that the issuer will lose its ability to make interest and principal payments, which could have a negative effect on the net asset value of the fund’s common shares or common share dividends. Securities of below-investment-grade quality, commonly referred to as “high yield” securities or “junk bonds,” are regarded as having predominantly speculative characteristics with respect to capacity to pay interest and repay principal. High yield securities involve a greater risk of default and their prices are generally more volatile and sensitive to actual or perceived negative developments than are the prices of higher grade securities. Under adverse market or economic conditions, the secondary market for below-investment-grade securities could contract further, independent of any specific adverse changes in the condition of a particular issuer. Due to the risks involved in investing in high-yield securities, an investment in the fund should be considered speculative

Leverage Risk. The fund’s use of leverage creates the opportunity for increased net income, but also creates special risks for shareholders, including the likelihood of greater volatility of net asset value and market price, and of the investment return to shareholders, rather than a comparable portfolio without leverage. To the extent used, there is no assurance that the fund’s leveraging strategies will be successful. Leverage is a speculative technique that may expose the fund to greater risk and increased costs. Interest expense payable by the fund with respect to derivatives and other forms of leverage will generally be based on shorter-term interest rates that would be periodically reset. If shorter-term interest rates rise relative to the rate of return on the fund’s portfolio, the interest and other costs to the fund of leverage could exceed the rate of return on the debt obligations and other investments held by the fund, thereby reducing return to shareholders. In addition, fees and expenses of any form of leverage used by the fund will be borne entirely by shareholders and will reduce the investment return of the fund’s shares. The fund currently expects, under normal circumstances, to obtain significant exposure to MLPs through the use of MLP swaps, and to hold cash and cash equivalents and/or high quality debt instruments in an amount equal to the full notional value of such MLP swaps. Rather than obtaining additional leverage through other means, such as the MLP swaps, the fund currently expects to utilize reverse repurchase agreements to obtain leverage, the net proceeds of which will be invested in accordance with the fund’s investment objectives and policies, including with respect to the fund’s exposure to MLPs. The fund expects that the additional assets resulting from the use of reverse repurchase agreements will provide the fund with greater flexibility to invest directly in MLP securities than if the fund were to obtain leverage through the MLP swaps. Because the fees received by PIMCO are based on the average daily total managed assets of the fund (including assets attributable to, among other forms of leverage, any reverse repurchase agreements, but not attributable to total return swaps or other derivatives), PIMCO has a financial incentive for the fund to use certain forms of leverage, such as reverse repurchase agreements, which may create a conflict of interest between PIMCO, on the one hand, and common shareholders, on the other hand. Fees and expenses borne by the fund with respect to the use of reverse repurchase agreements (including management fees) may be greater than expenses associated with the use of MLP swaps, and may result in a reduction of the NAV of the common shares, and may negatively impact the fund’s performance and/or distribution rate.

Derivatives Risk. The fund may utilize a variety of derivative instruments (both long and short positions) for investment or risk management purposes, as well as to leverage its portfolio. The fund may use derivatives to gain exposure to securities markets in which it may invest. The fund’s use of derivative instruments involves risks different from, and possibly greater than, the risks associated with investing directly in securities and other traditional investments. Derivatives are subject to a number of risks such as liquidity risk, interest rate risk, issuer risk, credit risk, leveraging risk, counterparty risk and management risk. They also involve the risk of mispricing or improper valuation, the risk of unfavorable or ambiguous documentation and the risk that changes in the value of the derivative may not correlate perfectly with the underlying asset, rate or index. If the fund invests in a derivative instrument, it could lose more than the principal amount invested. The fund’s use of derivatives also may affect the amount, timing or character of distributions to, and taxes payable by common shareholders. The regulation of the derivatives markets has increased over the past several years, and additional future regulation of the derivatives markets may make derivatives more costly, may limit the availability or reduce the liquidity of derivatives, or may otherwise adversely affect the value or performance of derivatives. The SEC has issued a proposed rule relating to a registered investment company’s use of derivatives and related instruments that, if adopted, could potentially require the fund to reduce its use of leverage and/or observe more stringent asset coverage and related requirements than are currently imposed by the Investment Company Act of 1940, which could adversely affect the value or performance of the fund.

Issuer Risk. The value of a security may decline for a number of reasons that directly relate to the issuer, such as management performance, financial leverage and reduced demand for the issuer’s goods or services, as well as the historical and prospective earnings of the issuer and the value of its assets. These risks can apply to the common shares issued by the fund and to the issuers of securities and other instruments in which the fund invests.

Interest Rate Risk. Interest rate risk is the risk that fixed income securities and other instruments in the fund’s portfolio will decline in value because of a change in interest rates. This risk may be particularly acute in the current market environment because market interest rates recently have declined significantly below historical average rates, and the Federal Reserve has begun to raise the federal funds rate. Variable and floating rate securities generally are less sensitive to interest rate changes than fixed-rate securities but may decline in value if their interest rates do not rise as much, or as quickly, as interest rates in general. Conversely, floating rate securities will not generally increase in value if interest rates decline. During periods of very low or negative interest rates, the fund may be unable to maintain positive returns.

Prepayment Risk. During periods of declining interest rates or for other purposes, issuers may exercise their option to prepay principal earlier than scheduled, forcing the fund to reinvest in lower yielding instruments.

Credit Risk. The fund could lose money if the issuer or guarantor of a debt security (including a security purchased with securities lending collateral), or the counterparty to a derivatives contract, repurchase agreement or a loan of portfolio securities, is unable or unwilling, or is perceived as unable or unwilling, to make timely principal and/ or interest payments, or to otherwise honor its obligations. The downgrade of the credit of a security held by the fund may decrease its value.

Distressed and Defaulted Securities Risk. Investments in the securities of financially distressed issuers involve substantial risks, including a substantial risk of default. In addition, these securities may fluctuate more in price, and are typically less liquid than other higher-rated debt securities.

Reinvestment Risk. Income from the fund’s portfolio will decline if and when the fund invests the proceeds from matured, traded or called debt obligations at market interest rates that are below the portfolio’s current earnings rate. A decline in income received by the fund from its investments is likely to have a negative effect on dividend levels and the market price, net asset value and/or overall return of the fund’s common shares.

Call Risk. If an issuer calls a security in which the fund has invested, the fund may not recoup the full amount of its initial investment and may be forced to reinvest in lower-yielding securities, securities with greater credit risks or securities with other, less favorable features.

Foreign (Non-U.S.) Investment Risk. The fund may invest in foreign (non-U.S.) securities and may experience more rapid and extreme changes in value than a fund that invests exclusively in securities of U.S. companies. The securities markets of many foreign countries are relatively small, with a limited number of companies representing a small number of industries. Issuers of foreign securities are usually not subject to the same degree of regulation as U.S. issuers. Reporting, accounting, auditing and custody standards of foreign countries differ, in some cases significantly, from U.S. standards. Global economies and financial markets are becoming increasingly interconnected, and conditions and events in one country, region or financial market may adversely impact issuers in a different country, region or financial market. Foreign (non- U.S.) securities may also be less liquid and more difficult to value than securities of U.S. issuers.

Emerging Markets Risk. Foreign investment risk may be particularly high to the extent that the fund invests in securities of issuers based in or doing business in emerging market countries or invests in securities denominated in the currencies of emerging market countries. This entails all of the risks of investing in foreign securities noted above, but to a heightened degree.

Currency Risk. The fund may engage in practices and strategies that will result in exposure to fluctuations in foreign exchange rates, in which case the fund will be subject to foreign currency risk. The fund’s common shares are priced in U.S. dollars and the distributions paid by the fund to common shareholders are paid in U.S. dollars. However, because a substantial portion of the fund’s assets or derivatives may provide exposure to foreign currencies, it will be subject to the risk that those currencies will decline in value relative to the U.S. dollar, or, in the case of hedging positions, that the U.S. dollar will decline in value relative to the currency being hedged. Currency rates in foreign countries may fluctuate significantly over short periods of time. These fluctuations may have a significant adverse impact on the value of the fund’s portfolio and/or the level of fund distributions made to common shareholders. Currency risk may be particularly high for transactions tied to emerging market countries.

U.S. Government Securities Risk. Some U.S. government securities are supported by the full faith and credit of the United States; others are supported by the right of the issuer to borrow from the U.S. Treasury; others are supported by the discretionary authority of the U.S. government to purchase the agency’s obligations; and still others are supported only by the credit of the agency, instrumentality or corporation. Although U.S. government sponsored enterprises may be chartered or sponsored by Congress, they are not funded by Congressional appropriations, and their securities are not issued by the U.S. Treasury or supported by the full faith and credit of the U.S. government and involve increased credit risks.

Foreign (Non-U.S.) Government Securities Risk. The fund’s investments in debt obligations of foreign (non-U.S.) governments or their sub-divisions, agencies and government-sponsored enterprises and obligations of international agencies and supranational entities (together “Foreign Government Securities”) can involve a high degree of risk. The foreign governmental entity that controls the repayment of debt may not be able or willing to repay the principal and/or interest when due in accordance with the terms of such debt. Foreign governmental entities may default on their debt. Among other risks, if the fund’s investments in foreign government securities issued by an emerging market country need to be liquidated quickly, the fund could sustain significant transaction costs.

Valuation Risk. Certain securities in which the fund invests, including restricted or unregistered securities of certain MLPs and private companies operating in the energy sector, MLP subordinated units, and direct ownership of general partner or managing member interests, may be less liquid and more difficult to value than other types of securities. When market quotations or pricing service prices are not readily available or are deemed to be unreliable, the fund values its investments at fair value as determined in good faith pursuant to policies and procedures approved by the Board of Trustees. As a result, there can be no assurance that fair value pricing will result in adjustments to the prices of securities or other assets, or that fair value pricing will reflect actual market value, and it is possible that the fair value determined for a security or other asset will be materially different from quoted or published prices, from the prices used by others for the same security or other asset and/or from the value that actually could be or is realized upon the sale of that security or other asset.

Counterparty Risk. The fund will be subject to credit risk with respect to the counterparties to the derivative contracts and other instruments entered into by the fund or held by special purpose or structured vehicles in which the fund invests. If a counterparty becomes bankrupt or otherwise fails to perform its obligations under a derivative contract due to financial difficulties, the fund may experience significant delays in obtaining any recovery, may obtain only a limited recovery, or may obtain no recovery in such circumstances.

Liquidity Risk. The fund may invest without limit in illiquid securities. Illiquid securities may become harder to value, especially in changing markets. The fund’s investments in illiquid securities may reduce the returns of the fund because it may be unable to sell the illiquid securities at an advantageous time or price or possibly require the fund to dispose of other investments at unfavorable times or prices in order to satisfy its obligations. The risks associated with illiquid instruments may be particularly acute in situations in which the fund’s operations require cash (such as in connection with repurchase offers) and could result in the fund borrowing to meet its short-term needs or incurring losses on the sale of illiquid instruments.

Restricted Securities Risk. In addition to the general risks to which all securities are subject, securities received in a private placement generally are subject to strict restrictions on resale, and there may be no liquid secondary market or ready purchaser for such securities. Therefore, the fund may be unable to dispose of such securities when it desires to do so, or at the most favorable time or price.

Market Risk. The market price of securities owned by the fund may go up or down, sometimes rapidly or unpredictably. Securities may decline in value due to factors affecting securities markets generally or particular industries represented in the securities markets. The value of a security may decline due to general market conditions that are not specifically related to a particular company. They may also decline due to factors that affect a particular industry or industries. During a general downturn in the securities markets, multiple asset classes may decline in value simultaneously.

Management Risk. The fund is subject to management risk because it is an actively managed investment portfolio. PIMCO and each individual portfolio manager will apply investment techniques and risk analysis in making investment decisions for the fund, but there can be no guarantee that these decisions will produce the desired results.

Cash Flow Risk. The fund expects that a substantial portion of the cash flow it receives will be derived from its investments in equity securities of MLPs. The amount and tax characterization of cash available for distribution by an MLP depends upon the amount of cash generated by such entity’s operations. Cash available for distribution by MLPs will vary widely from quarter to quarter due to various factors affecting the entity’s operations. In addition to the risks described herein, operating costs, capital expenditures, acquisition costs, construction costs, exploration costs and borrowing costs may reduce the amount of cash that an MLP has available for distribution in a given period.

Distribution Risk. Although the fund may seek to maintain stable distributions, the fund’s distribution rate may be affected by numerous factors, including but not limited to changes in realized and projected market returns, fluctuations in market interest rates, fund performance, and other factors. There can be no assurance that a change in market conditions or other factors will not result in a change in the fund’s distribution rate or that the rate will be sustainable in the future.

Operational Risk. An investment in the fund, like any fund, can involve operational risks arising from factors such as processing errors, human errors, inadequate or failed internal or external processes, failures in systems and technology, changes in personnel and errors caused by third-party service providers. The occurrence of any of these failures, errors or breaches could result in a loss of information, regulatory scrutiny, reputational damage or other events, any of which could have a material adverse effect on the fund. While the fund seeks to minimize such events through controls and oversight, there may still be failures that could cause losses to the fund.

Cyber Security Risk. Cyber security failures or breaches may result in financial losses to the fund and its shareholders. These failures or breaches may also result in disruptions to business operations, potentially resulting in financial losses; interference with the fund’s ability to calculate its net asset value, process shareholder transactions or otherwise transact business with shareholders; impediments to trading; violations of applicable privacy and other laws; regulatory fines; penalties; reputational damage; reimbursement or other compensation costs; additional compliance and cyber security risk management costs and other adverse consequences. In addition, substantial costs may be incurred in an attempt to prevent any cyber incidents in the future. Like with operational risk in general, the fund has established risk management systems and business continuity plans designed to reduce the risks associated with cyber security. However, there are inherent limitations in these plans and systems, including  that certain risks may not have been identified, in large part because different or unknown threats may emerge in the future. As such, there is no guarantee that such efforts will succeed, especially because the fund does not directly control the cyber security systems of issuers in which the fund may invest, trading counterparties, or third party service providers to the fund. There is also a risk that cyber security breaches may not be detected.

Non-Diversification Risk. The fund is “non-diversified,” and therefore may invest a greater portion of its assets in the securities of a small number of issuers than a diversified fund, and thus is more susceptible to risks associated with a single economic, political or regulatory occurrence, or a narrowly defined geographic area.

Certain Other Risks and Considerations. An investment in the fund is subject to other risks and considerations, including Commodities Risk, Short Sales Risk, Zero-Coupon Bond, Step-ups and Payment-In-Kind Securities Risk, Municipal Bond Risk, Inflation-Indexed Security Risk, Senior Debt Risk, Preferred Securities Risk, Segregation and Coverage Risk, Structured Investments Risk, Confidential Information Access Risk, Private Placements Risk, Inflation/Deflation Risk, Risk of Regulatory Changes, Regulatory Risk— Commodity Pool Operator, Potential Conflicts of Interest Risk—Allocation of Investment Opportunities, Repurchase Agreements Risk, Securities Lending Risk, Portfolio Turnover Risk, Other Investment Companies Risk, and risks associated with the anti-takeover provisions of the fund’s Agreement and Declaration of Trust