Cohen & Steers Limited Duration Preferred and Income Fund, Inc.

Frequently Asked Questions About LDP

What does LDP invest in?

The Cohen & Steers Limited Duration Preferred and Income Fund, Inc. (LDP) is a closed-end investment vehicle dedicated to fixed income, initially established by Cohen & Steers, Inc., and now managed by Cohen & Steers Capital Management, Inc. This U.S.-domiciled fund, which commenced operations on May 1, 2012, pursues investment opportunities across global fixed income markets. Its strategy involves allocating capital primarily to companies within the financial industry, including banks, diversified financial services, real estate, and insurance sectors. The portfolio predominantly comprises a diverse range of preferred securities, such as floating-rate, fixed-to-floating-rate, traditional, and hybrid-preferred instruments, in addition to various debt and convertible securities. The fund employs derivatives, like interest rate swaps, to facilitate its investment objectives. Portfolio construction is grounded in fundamental analysis, with a keen focus on assessing the credit quality of issuers and responding to prevailing market dynamics. The fund measures its performance against two benchmarks: the BofA Merrill Lynch Capital Securities Index, and a composite index consisting of 75% BofA Merrill Lynch Capital Securities Index and 25% BofA Merrill Lynch 7% Constrained Adjustable Rate Preferred Securities Index.

What is the expense ratio of LDP?

Cohen & Steers Limited Duration Preferred and Income Fund, Inc. (LDP) charges an expense ratio of 3.67%. This is the annual fee deducted from fund assets to cover management and operations.

What is LDP's dividend yield?

LDP's trailing-twelve-month yield is 8.29%, calculated from the sum of dividends over the past year divided by the current price.

What is the duration of LDP?

Effective duration measures LDP's sensitivity to interest-rate changes: a duration of 6 means a 1% rate move shifts NAV by roughly 6% in the opposite direction. LDP's current duration is published on the fund's factsheet on the issuer's website.

What is the credit quality of LDP?

LDP's credit quality breakdown (the share of holdings rated AAA through CCC and below) is published on the fund's factsheet. Higher-quality (investment-grade) funds yield less but carry less default risk than high-yield / junk bond funds.

What is the yield to maturity of LDP?

Yield to maturity (YTM) is the total return you'd earn from LDP if every bond in the portfolio is held to maturity at the current price. LDP's YTM is published on the fund's factsheet on the issuer's website. It differs from the trailing-12-month yield because YTM reflects current bond prices rather than historical income paid.