Destra Flaherty & Crumrine Preferred and Income Fund

Investment Objective

To seek total return, with an emphasis on high current income.

Investment Strategy and Philosophy

The Fund’s portfolio manager, Flaherty & Crumrine was founded in 1983, and is one of the of the oldest preferred securities managers in the industry. Through the years they have built a proprietary database on over 1500 separate issues of preferred securities. Flaherty & Crumrine then leverages their experience and data base seeking to unlock hidden value, in what they believe is an inefficient preferred securities market. To accomplish this goal the Fund will, in normal markets, invest at least 80% of it’s net assets in a portfolio of preferred and income producing securities. The securities in which the Fund may invest include traditional preferred stock, trust preferred securities, hybrid securities, convertible securities, contingent-capital securities, subordinated debt, and senior debt securities of other open-end, closed-end or exchange-traded funds that invest primarily in the same types of securities. The Fund may invest up to 15% of its assets in common stocks. In addition, under normal market conditions, the Fund invests more than 25% of its total assets in companies principally engaged in financial services.

The Fund will principally invest in (i) investment grade quality securities or (ii) below investment grade quality preferred or subordinated securities of companies with investment grade senior debt outstanding, in either case determined at the time of purchase. Securities that are rated below investment grade are commonly referred to as “high yield” or “junk bonds.” However, some of the Fund’s total assets may be invested in securities rated (or issued by companies rated) below investment grade at the time of purchase. Preferred and debt securities of below investment grade quality are regarded as having predominantly speculative characteristics with respect to capacity to pay dividends and interest and repayment of principal. Due to the risks involved in investing in preferred and debt securities of below investment grade quality, an investment in the Fund should be considered speculative. The maturities of preferred and debt securities in which the Fund will invest generally will be longer-term (perpetual, in the case of some preferred securities, and ten years or more for other preferred and debt securities); however, as a result of changing market conditions and interest rates, the Fund may also invest in shorter-term securities.

Performance

Quarterly

as of 9/30/24

Monthly

as of 10/31/24

*Effective April 30, 2012, the Destra Flaherty & Crumrine Preferred and Income Fund (the “Fund”) adopted the ICE BofAML 8% Constrained Core West Preferred & Jr Subordinated Securities Index (“New Index”) as its primary benchmark. Previously, the Fund utilized a blend of 50% of the ICE BofAML Hybrid Preferred Securities 8% Constrained Index and 50% of the ICE BofAML US Capital Securities US Issuers 8% Constrained Index (“Former Index”) that was equally weighted average and rebalanced monthly. Going forward, the Fund’s performance will be compared to the New Index as we believe it more closely reflects the Fund’s investable universe. The utilization of the New Index will be reflected prospectively, therefore, all performance prior to April 30, 2012 will be compared to the Former Index.

1 At NAV

Class A shares performance reflects the deduction of the maximum sales charge of 4.50%

Included in the each Fund’s Class A shares expenses is a distribution and service (12b-1) fee of 0.25%.

Class C shares have a maximum contingent deferred sales charge (CDSC) of 1%. However, w/CDSC performance for Class C shares reflects the deduction of 1% for all shares redeemed within 12 months of purchase.

Included in the each Fund’s Class C shares expenses is a distribution and service (12b-1) fee of 1.00%.

A 2% redemption fee will be imposed on certain redemptions or exchanges out of the Class I shares of the Fund within 90 days of purchase. Exceptions to the redemption fee are listed in the Fund's prospectus.

Data presented reflects past performance, which is no guarantee of future results. Investment results and principal value will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Due to market volatility, current performance may be higher or lower than the performance shown. Performance shown for Class A Shares with load includes the Fund’s maximum sales charge of 4.50%. Returns for period of less than one year are not annualized, and include reinvestment of all distributions. The Fund’s Gross/Net Expense ratios are as follows: I Shares 1.17%, A Shares 1.42%, and C Shares 2.17%.

The Adviser has agreed to cap expenses such that the total annual fund operating expenses, excluding brokerage commissions and other trading expenses, taxes, interest, acquired fund fees and other extraordinary expenses (such as litigation and other expenses not incurred in the ordinary course of business) do not exceed 1.25%, 1.50% and 2.25% of the Fund’s average daily net assets attributable to Class I, Class A and Class C shares, respectively. The arrangement will continue in effect until January 28, 2031, may be terminated or modified prior to that date only with the approval of the Fund’s Board of Trustees and will automatically continue in effect for successive twelve-month periods thereafter. Class A and C shares have a 12b-1 fee of up to 0.25% and distribution fee of up to 0.75% for Class C Shares. A contingent deferred sales charge of 1.00% applies on Class C shares redeemed within 12 months of purchase.

Literature

Fund Forms

• IRA New Account Form
• New Account Form
• Destra Account Privileges Change Form