Waddell & Reed

Fund Detail

Ivy High Income Opportunities Fund

Fund Facts
Ticker Symbol IVH
CUSIP 465893105
Fund Code 991
Fund Type Closed End Funds
Fund Inception 5/29/2013
Fiscal Year End September
Dividends Paid Monthly
Fund Net Asset Value (as of 7/31/2016) $255.0 mil
Total Managed Assets (as of 7/31/2016) $367.0 mil
Total Holdings (as of 7/31/2016) 254
Portfolio Turnover Rate (as of 3/31/2016) 20%
Benchmarks BofAML US HY Master II TR USD
(as of 7/31/2016)
Total Regulatory Leverage 30.52%
Effective Leverage 30.52%
Asset Coverage 327.70%

Average Leverage Costs
1mo 1.23%
3mo 1.21%
1yr 1.10%
Daily Prices
as of 8/25/2016
Net Asset Value (NAV) $15.69
Share Price $14.56
NAV Change ($) ($0.03)
NAV Change (%) -0.19%
Share Price Change($) $0.06
Share Price Change(%) 0.41%
Premium/Discount (%) -7.20%
Premium/Discount 52 wk avg (%) -12.82%
Share Price - 52 wk High (08/25/2016) $14.56
Share Price - 52 wk Low (02/11/2016) $10.67
NAV Price - 52 wk High ( 09/10/2015) $16.65
NAV Price - 52 wk Low (02/11/2016) $12.87
Premium/Discount 52 wk High (07/29/2016) -6.95%
Premium/Discount 52 wk Low (12/14/2015) -18.07%
Inception NAV $19.06
Inception Share Price $20.00
Shares Outstanding 16,567,088
Avg Daily Volume (in shares) - 3 Month 108,628
Historical Prices & Distributions
Please select a date
Fund Description

A research-based investment process.

Management discipline
The Fund manager believes that security selection through research of individual issuers is central to achieving potentially above-market returns.
Research base
Although there may be periodic environments where macroeconomic events and strategic exposures influence allocations, investment decisions about specific securities are based on fundamental credit research, valuations, the potential to exploit market inefficiencies and capital structure positioning.
The Fund invests primarily in a portfolio of high-yield corporate bonds of varying maturities and other fixed income securities, including first- and second-lien loans.
Morningstar Style Box
Source: Morningstar
Returns and Expenses

Performance data quoted represents past performance and are no guarantee of future results. Investment return and principal value will fluctuate so that an investor's shares may be worth more or less than the original cost. Current performance may be lower or higher than the performance data quoted.

Monthly Rates of Return
(Returns for periods of less than 1-yr are not annualized)
Average Annual Total Returns
as of 7/31/2016
  YTD 1yr 3yr 5yr 10yr Life
Fund at NAV 15.22% 2.47% 4.07% N/A N/A 4.27%
Fund at SharePrice 24.01% 12.99% 4.75% N/A N/A 0.46%
Quarterly Rates of Return
(Returns for periods of less than 1-yr are not annualized)
Average Annual Total Returns
as of 6/30/2016
  YTD 1yr 3yr 5yr 10yr Life
Fund at NAV 11.07% -1.72% 3.89% N/A N/A 3.16%
Fund at SharePrice 17.32% 3.68% -1.35% N/A N/A -1.31%
Expense Ratios
as of 7/31/2016
Common Shares Total Funds
Management Fees 1.45% 1.00%
Interest Expenses 0.53% 0.36%
Other Expenses 0.13% 0.09%
Total 2.11% 1.45%
12-Month Trailing Distribution Yield
as of 7/31/2016
NAV 10.41%
Share Price 11.19%
Annualized 30-Day SEC Yield
as of 7/31/2016
Subsidized - Share Price 13.44%
Unsubsidized - Share Price 13.44%
Subsidized - NAV 12.49%
Unsubsidized - NAV 12.49%
Growth of a $10,000 Investment
through 7/31/2016

Assumes an investment over 10 years or life of the share class, reinvestment of dividends and capital gains, and does not include the effect of sales charges or taxes.

Portfolio Composition
(as a % of net assets as of 7/31/2016)
Corporate Bonds 120.24%
Senior Loans 18.13%
Cash and Cash Equivalents -38.37%
(as a % of bond holdings as of 7/31/2016)
NonRated 2.7 %
BBB 1.6 %
BB 21.8 %
B 51.4 %
CCC 21.2 %
Below CCC 1.3 %

Quality: Our preference is to always use ratings obtained from Standard & Poor's. For securities not rated by Standard & Poor's, ratings are obtained from Moody's. We do not evaluate these ratings, but simply assign them to the appropriate credit quality category as determined by the rating agency.

Fixed Income Country Allocation
(as a % of bond holdings as of 7/31/2016)
United States 75.7%
Luxembourg 9.4%
Canada 4.9%
Australia 3.5%
Netherlands 2.2%
Macau 1.1%
France 1.0%
Hong Kong 0.7%
United Kingdom 0.6%
Cayman Islands 0.6%
Ireland 0.2%
Barbados 0.1%
Austria 0.1%
China 0.1%
Top 10 Holdings
(as a % of net assets as of 7/31/2016)
Altice S.A., 7.8%, 5/15/2022 5.50%
Altice S.A., 7.6%, 2/15/2025 4.32%
Frontier Communications Corp., 6.3%, 9/15/2021 4.12%
Sprint Corp., 7.3%, 9/15/2021 4.10%
Clear Channel Worldwide Holdings, Inc., Series B, 7.6%, 3/15/2020 3.90%
DISH DBS Corp., 6.8%, 6/1/2021 3.12%
FMG Resources Pty Ltd., 6.9%, 4/1/2022 2.91%
Provident Funding Associates L.P. and PFG Finance Corp., 6.8%, 6/15/2021 2.81%
Misys plc and Magic Newco LLC, 12.0%, 6/12/2019 2.65%
True Religion Apparel, Inc., 5.9%, 7/30/2019 2.39%
Total Portfolio Holdings
(updated quarterly, upon availability)

View | Download (as of 6/30/2016)

The investment return, price, yields, market value and net asset value (NAV) of a fund's shares will fluctuate with market conditions. Closed-end funds frequently trade at a discount to their NAV, which may increase an investor's risk of loss. At the time of sale, your shares may have a market price that is above or below NAV, and may be worth more or less than your original investment. There is no assurance that the Fund will meet its investment objective.

An investment in the Fund is not appropriate for all investors and is not intended to be a complete investment program. The Fund is designed as a long-term investment and not as a trading vehicle.

Investors should carefully consider the Fund's investment objectives, risks, charges and expenses before investing. The prospectus, which contains this and other information about the Fund, should be read carefully before investing. A copy of the prospectus can be obtained by visiting the Fund’s webpage at www.ivyinvestment.com or by contacting your financial advisor.

Operating History: The Fund is a newly organized, non-diversified, closed-end management investment company with little operating history. As a result, prospective investors have no track record or history on which to base their investment decision. The Adviser currently acts as an investment adviser for managed accounts and numerous open-end registered investment companies. The Fund has little history of public trading.

Fixed Income Instruments Risk: Fixed income securities are subject to interest rate risk and, as such, the net asset value of the Fund may fall as interest rates rise. Fixed income instruments may face a number of risks related to interest rates, credit quality, the market environment, payment, prepayment and spreads.

Below Investment Grade Instruments Risk: The Fund will invest primarily in a portfolio of below investment grade securities, which are regarded as having predominately speculative characteristics with respect to an issuer's capacity to pay interest and repay principal and are commonly referred to as "high yield" securities or "junk" bonds. Investing in these securities may carry a greater risk of nonpayment of interest or principal than higher-rated bonds.

Loan Risks: The Fund may invest in loans (including loan assignments, loan participations and other loan instruments), which may carry other risks including the risk of insolvency of the lending bank or other intermediary. Loans may be unsecured or not fully collateralized, may be subject to restrictions on resale and may trade infrequently on the secondary market.

Leverage Risk: The Fund's use of leverage may result in special risks and can magnify the effects of any losses. While leverage may result in a higher yield for the Funds, the use of leverage includes the potential for higher volatility of the NAV, fluctuations of dividends and other distributions paid by the Fund, the market price of the Fund's common stocks, higher investment advisory fees and increased operation costs, which may reduce total return.

Derivatives Risk: The Fund may enter into transactions in derivatives for investment, hedging or leverage purposes, with primary risks including the risk of loss of principal, high volatility, illiquid markets, counterparty risk, and credit risk.

Foreign Instruments Risk: The Fund may invest up to 100% of its Managed Assets in fixed income instruments and securities issued by foreign issuers. Such investments involve certain risks not involved in domestic investments and may experience more rapid and extremechanges in value than investments in securities of U.S. companies or in the U.S. government.

Market Discount Risk: Closed-end funds are not redeemable and generally trade in the secondary market. Shares of closed-end funds frequently trade at a discount to their net asset value, which creates risk of loss. This risk is greater for investors expecting to sell their sharesin a relatively short period after completion of the public offering.

The Fund is a closed-end exchange traded investment company. The material on this website is presented only to provide information and is not intended for trading purposes. Closed-end funds, unlike open-end funds, are not continuously offered. After the initial public offering, shares of closed-end funds are sold on the open market through a stock exchange. Investment policies, management fees, risks other than those mentioned above, and other matters of interest to prospective investors may be found in the closed-end fund prospectus used in its initial public offering. For additional information, contact the Ivy Funds Sales Desk at 866-263-1985.

Ivy Investment Management Company serves as the Fund's investment adviser. The Adviser is a wholly-owned subsidiary of Waddell & Reed Financial, Inc., a publicly held company.

Index Description: The BofAML U.S. HY Master II TR USD tracks the performance of U.S. dollar denominated below investment grade corporate debt publicly issued in the U.S. domestic market. It is not possible to invest directly in an index

Performance results for some funds may include the effect of expense reduction arrangements. If those arrangements had not been in place, the performance results would have been lower.

Investment return, price, yields and NAV will fluctuate with changes in market conditions. At the time of sale, your shares may have a market price that is above or below net asset value, and may be worth more or less than your original investment. There is no assurance that a fund will meet its investment objective.

1. Regulatory Leverage consists of borrowings, preferred shares, debt securities or other commercial paper, and Effective Leverage, divided by Managed Assets.

2. Effective Leverage consists of Regulatory Leverage, derivatives instruments including total return swaps, securities lending arrangements and credit default swaps or other derivative transactions divided by Managed Assets.

30-Day SEC Yield: is calculated based on a formula mandated by the Securities and Exchange Commission (SEC) that calculates a fund's hypothetical annualized income, as a percentage of its assets. A security's income, for the purposes of this calculation, is based on the current market yield to maturity (in the case of bonds) or projected dividend yield (for stocks) of the fund's holdings over a trailing 30 day period. This hypothetical income will differ (at times, significantly) from the fund's actual experience; as a result, income distributions from the fund may be higher or lower than implied by the SEC yield.

12-Month Trailing Distribution Yield: at NAV refers to the 12-month historical cash flow paid over the past 12 months in dividends, divided by the past months ending NAV.

Quality: Our preference is to always use ratings obtained from Standard & Poor's. For securities not rated by Standard & Poor's, ratings are obtained from Moody's. We do not evaluate these ratings, but simply assign them to the appropriate credit quality category as determined by the rating agency.

Chad A. Gunther of Ivy Investment Management Company was named portfolio manager of the Fund on July 9, 2014. From November 21, 2013 through July 8, 2014 the Fund was managed by William M. Nelson. From inception through November 20, 2013, the Fund was managed by Bryan C. Krug.

Fund fees and expenses are presented as a percentage of both common shareholder capital and total fund investment capital. Total investment capital includes common assets as well as assets attributable to the fund's use of leverage. The table's first column portrays the costs directly and indirectly borne by common shareholders on an investment in the fund's common shares. The table's second column portrays the costs borne by the fund on its total investment capital, which enables a common shareholder to better understand how fund expenses impact portfolio investment returns.

Performance for funds that are less than one-year old is cumulative and YTD performance is not annualized.

NOT FDIC INSURED | May Lose Value | No Bank Guarantee

Please remember that an investment in a mutual fund involves risk. Investment return and principal value of a mutual fund investment will fluctuate, and shares, when redeemed, may be worth more or less than their original cost.

YTD Prices can be updated 3 to 4 hours after the Daily Pricing information which can result in mismatching data.

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