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 811-21309
Advent Claymore Convertible Securities and Income Fund
(Exact name of registrant as specified in charter)


888 Seventh Ave, 31st Floor, New York, NY 10019
(Address of principal executive offices) (Zip code)

Robert White, Treasurer
888 Seventh Ave, 31st Floor, New York, NY 10019
(Name and address of agent for service)
Registrant’s telephone number, including area code:  (212) 482-1600
Date of fiscal year end:  October 31
Date of reporting period: November 1, 2017 - October 31, 2018

 
Item 1.  Reports to Stockholders.
The registrant’s annual report transmitted to shareholders pursuant to Rule 30e-1 under the Investment Company Act of 1940, as amended (the “Investment Company Act”), is as follows: 

 
Beginning on January 1, 2021, paper copies of the Fund’s annual and semi-annual shareholder reports will no longer be sent by mail, unless you specifically request paper copies of the reports. Instead, the reports will be made available on a website, and you will be notified by mail each time a report is posted and provided with a website address to access the report.
If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. At any time, you may elect to receive shareholder reports and other communications from the Fund electronically by contacting your financial intermediary or, if you are a registered shareholder and your shares are held with the Fund’s transfer agent, Computershare, you may log into your Investor Center account at www.computershare.com/investor and go to “Communication Preferences” or call 1-866-488-3559.
You may elect to receive paper copies of all future shareholder reports free of charge. If you invest through a financial intermediary, you can contact your financial intermediary to request that you continue to receive paper copies of your shareholder reports; if you invest directly with the Fund, you may call Computershare at 1-866-488-3559. Your election to receive reports in paper form will apply to all funds held in your account with your financial intermediary or, if you invest directly, to all closed-end funds you hold.

 

GUGGENHEIMINVESTMENTS.COM/AVK
...YOUR BRIDGE TO THE LATEST, MOST UP-TO-DATE INFORMATION ABOUT THE ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND
The shareholder report you are reading right now is just the beginning of the story.
Online at guggenheiminvestments.com/avk, you will find:
·
Daily, weekly and monthly data on share prices, net asset values, dividends and more
 
·
Portfolio overviews and performance analyses
 
·
Announcements, press releases and special notices
 
·
Fund and adviser contact information
Advent Capital Management and Guggenheim Investments are continually updating and expanding shareholder information services on the Fund’s website in an ongoing effort to provide you with the most current information about how your Fund’s assets are managed and the results of our efforts. It is just one more small way we are working to keep you better informed about your investment in the Fund.

 

   
(Unaudited) 
October 31, 2018 
 
DEAR SHAREHOLDER
We thank you for your investment in the Advent Claymore Convertible Securities and Income Fund (the “Fund” or “AVK”). This report covers the Fund’s performance for the 12 months ended October 31, 2018.
The mergers of Advent Claymore Convertible Securities and Income Fund II (“AGC”) and Advent/Claymore Enhanced Growth & Income Fund (“LCM”) with and into AVK was completed prior to the opening of the New York Stock Exchange on August 27, 2018. More information about the mergers appear later in this report.
Advent Capital Management, LLC (“Advent” or the “Investment Adviser”) serves as the Fund’s Investment Adviser. Based in New York, New York, with additional investment personnel in London, England, Advent is a credit-oriented firm specializing in the management of global convertible, high-yield and equity securities across four lines of business—long-only strategies, hedge funds, closed-end funds, and private credit. As of October 31, 2018, Advent managed approximately $9 billion in assets.
Guggenheim Funds Distributors, LLC (the “Servicing Agent”) serves as the servicing agent to the Fund. The Servicing Agent is an affiliate of Guggenheim Partners, LLC, a global diversified financial services firm.
The Fund’s investment objective is to provide total return through a combination of capital appreciation and current income. Under normal market conditions, the Fund invests at least 80% of its managed assets in a diversified portfolio of convertible securities and non-convertible income securities. Under normal market conditions, the Fund will invest at least 30% of its managed assets in convertible securities and may invest up to 70% of its managed assets in non-convertible income securities. The Fund may invest without limitation in foreign securities. The Fund also uses a strategy of writing (selling) covered call options on up to 25% of the securities held in the portfolio, thus generating option writing premiums.
All AVK returns cited—whether based on net asset value (“NAV”) or market price—assume the reinvestment of all distributions. For the 12-month period ended October 31, 2018, the Fund generated a total return based on market price of -5.22% and a total return of -0.34% based on NAV. As of October 31, 2018, the Fund’s market price of $13.93 represented a discount of 14.01% to NAV of $16.20.

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DEAR SHAREHOLDER (Unaudited) continued 
October 31, 2018 
 
Past performance is not a guarantee of future results. All NAV returns include the deduction of management fees, operating expenses, and all other Fund expenses. The market price of the Fund’s shares fluctuates from time to time, and may be higher or lower than the Fund’s NAV.
The Fund paid a distribution each month of the annual period. The most recent monthly distribution, $0.1172, represents an annualized distribution of 10.10% based upon the last closing market price of $13.93 on October 31, 2018.
There is no guarantee of any future distribution or that the current returns and distribution rate will be maintained. The Fund’s distribution rate is not constant and the amount of distributions, when declared by the Fund’s Board of Trustees, is subject to change based on the performance of the Fund. Please see Note 2(n) on page 50 for more information on distributions for the period.
We encourage shareholders to consider the opportunity to reinvest their distributions from the Fund through the Dividend Reinvestment Plan (“DRIP”), which is described in detail on page 70 of this report. When shares trade at a discount to NAV, the DRIP takes advantage of the discount by reinvesting the monthly dividend distribution in common shares of the Fund purchased in the market at a price less than NAV. Conversely, when the market price of the Fund’s common shares is at a premium above NAV, the DRIP reinvests participants’ dividends in newly issued common shares at the greater of NAV per share or 95% of the market price per share. The DRIP provides a cost-effective means to accumulate additional shares and enjoy the benefits of compounding returns over time.
The Fund is managed by a team of experienced and seasoned professionals led by myself in my capacity as Chief Investment Officer (as well as President and Founder) of Advent Capital Management, LLC. We encourage you to read the following Questions & Answers section, which provides additional information regarding the factors that influenced the Fund’s performance.
We thank you for your investment in the Fund and we are honored that you have chosen the Advent Claymore Convertible Securities and Income Fund as part of your investment portfolio. For the most up-to-date information regarding your investment, including related investment risks, please visit the Fund’s website at guggenheiminvestments.com/avk.
Sincerely,
Tracy V. Maitland
President and Chief Executive Officer of the
Advent Claymore Convertible Securities and Income Fund
November 30, 2018

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QUESTIONS & ANSWERS (Unaudited) 
October 31, 2018 
 
The portfolio managers of Advent Claymore Convertible Securities and Income Fund (the “Fund” or “AVK”) are Tracy Maitland, Chief Investment Officer of Advent Capital Management, LLC (“Advent” or the “Investment Adviser”) and Paul Latronica, Managing Director of Advent. They are primarily responsible for the day-to-day management of the Fund’s portfolio. Mr. Maitland and Mr. Latronica are supported by teams of investment professionals who make investment decisions for the Fund’s core portfolios of convertible bonds, the Fund’s high yield securities investments and the Fund’s leverage allocation, respectively. In the following interview, the management team discusses the convertible securities and high yield markets and Fund performance for the 12-month period ended October 31, 2018.
Please describe the Fund’s objective and management strategies.
The Fund’s investment objective is to provide total return through a combination of capital appreciation and current income. Under normal market conditions, the Fund invests at least 80% of its managed assets in a diversified portfolio of convertible securities and non-convertible income producing securities. Under normal market conditions, the Fund must invest at least 30% of its managed assets in convertible securities and may invest up to 70% of its managed assets in nonconvertible income securities. The Fund may invest without limitation in foreign securities.
The Fund also uses a strategy of writing (selling) covered call options on up to 25% of the securities held in the portfolio. The objective of this strategy is to generate current gains from option premiums to enhance distributions payable to the holders of common shares. In addition, the Fund may invest in other derivatives, such as put options, forward exchange currency contracts, futures contracts, and swaps.
The Fund uses financial leverage to finance the purchase of additional securities. Although financial leverage may create an opportunity for increased return for shareholders, it also results in additional risks and can magnify the effect of any losses. There is no assurance that the strategy will be successful. If income and gains earned on securities purchased with the financial leverage proceeds are greater than the cost of the financial leverage, shareholders’ return will be greater than if financial leverage had not been used. Conversely, if the income or gains from the securities purchased with the proceeds of financial leverage are less than the cost of the financial leverage, shareholders’ return will be less than if financial leverage had not been used.
In connection with the mergers of Advent Claymore Convertible Securities and Income Fund II (“AGC”) and Advent/Claymore Enhanced Growth and Income Fund (“LCM”) with and into the Fund in August 2018, the Fund adopted non-fundamental investment policies limiting investments in illiquid securities to 20% of managed assets and investments in private securities to 15% of managed assets. Private securities may be privately-offered convertible securities, privately-offered non-convertible income securities, and any attached or related privately-offered warrants or equity-linked securities. The Fund does not expect to invest more than 2.5% of its managed assets in any single private security at the time of investment.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
Discuss Advent’s investment approach.
Advent’s approach involves core portfolios of convertible bonds that are managed, subject to the Fund’s investment policies and restrictions, in a manner similar to that of Advent’s Balanced Convertible Strategy and Global Balanced Convertible Strategy, which seek high total returns by investing in a portfolio of U.S. dollar convertible securities and global convertible securities, respectively, that provide equity-like returns while seeking to limit downside risk.
These core portfolios are supplemented by investments in high yield securities selected in a manner similar to that of Advent’s High Yield Strategy, which seeks income and total return by investing primarily in high yielding corporate credit using fundamental and relative value analysis to identify undervalued securities.
Advent uses a separate portion of the Fund’s portfolio to increase or decrease relative overall exposure to convertible securities, high yield securities, and equities. This portion of the Fund’s portfolio incorporates leverage and operates as an asset-allocation tool reflecting Advent’s conservative management philosophy and its views on the relative value of these three asset classes under changing market conditions.
As mentioned, the Fund has adopted a non-fundamental investment policy allowing Advent to invest up to 15% of managed assets in private securities. Advent intends to invest in private securities primarily to enhance the Fund’s current income.
Can you elaborate on the merger?
In March 2018, the Boards of Trustees for each of the Fund, AGC and LCM, approved the merger of each of AGC and LCM into the Fund. Expected benefits for shareholders of all three funds included lower expense ratios, greater secondary market trading liquidity, greater flexibility in leverage management, and other benefits resulting from a single larger fund entity.
Shareholders of each of AGC, LCM and the Fund approved the mergers at a meeting in July 2018, and the mergers closed prior to market open on August 27, 2018. Shareholders of each of AGC and LCM received new shares of the Fund based on NAV ratios as of August 24, 2018.
Each fund had similar (but not identical) investment policies. Each fund emphasized investments in convertible securities and non-convertible income-producing securities, combined with a strategy of writing (selling) covered call options on a portion of the securities held in the fund’s portfolio, thus generating option writing premiums. The Fund’s investment objective continues to be to provide total return through a combination of capital appreciation and current income.
No fundamental investment policies of the Fund has changed as a result of the mergers. The Fund will continue to invest at least 80% of its managed assets in a diversified portfolio of convertible and non-convertible income-producing securities with at least 30% of its managed assets in convertible securities and up to 70% of its managed assets in non-convertible income-producing securities.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
Please describe the economic and market environment over the last 12 months.
Corporate bond and equity markets acted in differing fashions as the fiscal year progressed. For most of the fiscal year, a strong U.S. economy helped by tax reform, strong enterprise and consumer spending, and surging corporate profits powered equity and convertible bond markets higher. Except for a correction in January which seemed to have origins in inflation fears, the U.S. equity market continued higher for most months through the summer of 2018. U.S. unemployment continued falling, powering consumer confidence higher, and various manufacturing indicators, such as capacity utilization and purchasing manager indices, extended positive trends. While the Treasury bond markets were limited by continued U.S. Federal Reserve (the “Fed”) rate hikes, the U.S. high-yield market managed to offset this through the summer, as corporate profits helped credit spreads lessen.
Later in the fiscal year, however, the cumulation of a number of individual market developments conspired to create a second market correction, whose outcome remains uncertain as the fiscal year closed. Trade negotiation tensions between the U.S. and China rose as the U.S. implemented threatened increases in tariffs for a large percentage of Chinese imports and signaled new tariffs on the remainder. Strong corporate profits, partly powered by lower corporate income tax rates, gave way to fear of difficult comparisons in the following year, especially as the industrial economy slowed in many foreign economies. A number of country-specific economic crises in emerging markets shook confidence in the emerging market bond and equity asset classes and risk assets in general. Prices for many commodities, notably crude oil, fell victim to decelerating global demand and the rising dollar, hurting equities and corporate bond prices. Fears of tightening financial conditions became an issue in corporate bond markets.
This all said, the U.S. economy thus far, while affected in sectors with higher Chinese or emerging market exposure, has proven resilient, with third calendar quarter Gross Domestic Product remaining impressively high at 3.5%, confirmed in a final figure in late November. Consumer spending has remained robust and assisted the retail sector. Speculation of an intermediate-term end to Fed rate hikes may help interest-rate sensitive sectors such as banking, insurance, real estate, and housing, should the yield curve resteepen again, in a classic soft-landing scenario. Although European economies have notably decelerated during 2018, hurt by higher automotive emission regulations and lower export demand, valuations are attractive for the equity markets, and eventual resolution of the United Kingdom’s exit from the European Union and the Italian budget negotiations may help as the new fiscal year progresses. Fiscal and monetary stimulus from the Chinese authorities may help sentiment recover in China as trade negotiations continue.
How did the Fund perform in this environment?
All AVK returns cited—whether based on net asset value (“NAV”) or market price—assume the reinvestment of all distributions. For the 12-month period ended October 31, 2018, the Fund generated a total return based on market price of -5.22% and a total return of -0.34% based on NAV. As of October 31, 2018, the Fund’s market price of $13.93 represented a discount of 14.01% to NAV of $16.20. As of October 31, 2017, the Fund’s market price of $16.09 represented a discount of 8.74% to NAV of $17.63.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 7

 

   
QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
Past performance is not a guarantee of future results. All NAV returns include the deduction of management fees, operating expenses, and all other Fund expenses. The market price of the Fund’s shares fluctuates from time to time, and may be higher or lower than the Fund’s NAV.
What contributed to performance?
The Fund’s largest asset class, U.S. convertible bonds, had strong performance in the period as the ICE Bank of America (“BofA”) Merrill Lynch U.S. Convertible Index rose 3.67% for the fiscal year 2018. The U.S. equity market, illustrated by the Standard & Poor’s 500® (“S&P 500”) Index, advanced 7.35% with dividends reinvested in the year. The ratio of convertible returns to equity returns of 0.50 was slightly lower than past years and reflects the mix of the convertible bond universe toward mid and small-capitalization issuers, both of which had returns lower than the S&P 500 Index.
The U.S. high-yield corporate bond market returned 0.86% per the performance of the ICE BofA Merrill Lynch U.S. High Yield Index. Fed interest rate hikes took Treasury yields, one of the bases for valuation of corporate bonds, higher, offsetting most of the income generated.
Although international debt and equity indices generally performed worse in the fiscal year than U.S. ones, the introduction of more foreign investments in the Fund as a result of the mergers did not have an incremental negative effect on returns. Convertible index returns since the mergers were negative for both U.S. and global markets and were slightly more negative in the U.S. through the end of the fiscal year.
The Fund has continued in the just-completed fiscal year a policy of hedging the currency risk of securities issued in foreign currencies. During the fiscal year, the U.S. Dollar Index, a trade-weighted measure of the U.S. dollar’s performance relative to currencies of American trading partners, rose from 94.6 to 97.1, generally indicating that foreign-currency securities depreciated when translated back to U.S. dollars. Hedging activities of the Fund were able to recover much of this depreciation and took on a greater relevance as AVK assumed the global convertible securities of the Acquired Funds late in the fiscal year in a time while the U.S. dollar continued to rise.
Please discuss the Fund’s distributions.
The Fund paid a distribution each month of the period. The most recent monthly distribution, $0.1172, represents an annualized distribution of 10.10% based upon the last closing market price of $13.93 on October 31, 2018.
The Fund currently anticipates that some of the 2018 distributions will consist of income and some will be a return of capital. A final determination of the tax character of distributions paid by the Fund in 2018 will be reported to shareholders in January 2019 on form 1099-DIV.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
   
Payable Date 
Amount 
November 30, 2017 
$0.1154 
December 29, 2017 
$0.1160 
January 31, 2018 
$0.1164 
February 28, 2018 
$0.1170 
March 29, 2018 
$0.1172 
April 30, 2018 
$0.1172 
May 31, 2018 
$0.1172 
June 29, 2018 
$0.1172 
July 31, 2018 
$0.1172 
August 23, 2018 
$0.1172 
September 28, 2018 
$0.1172 
October 31, 2018 
$0.1172 
Total 
$1.4024 
 
There is no guarantee of any future distribution or that the current returns and distribution rate will be maintained. The Fund’s distribution rate is not constant and the amount of distributions, when declared by the Fund’s Board of Trustees, is subject to change based on the performance of the Fund.
While the Fund generally seeks to pay distributions that will consist primarily of investment company taxable income and net capital gain, because of the nature of the Fund’s investments and changes in market conditions from time to time, or in order to maintain a more stable distribution level over time, the distributions paid by the Fund for any particular period may be more or less than the amount of net investment income from that period. If the Fund’s total distributions in any year exceed the amount of its investment company taxable income and net capital gain for the year, any such excess would generally be characterized as a return of capital for U.S. federal income tax purposes.
A return of capital distribution is in effect a partial return of the amount a shareholder invested in the Fund. A return of capital does not necessarily reflect the Fund’s investment performance and should not be confused with “yield” or “income.” A return of capital distribution decreases the Fund’s total assets and, therefore, could have the effect of increasing the Fund’s expense ratio. Please see Note 2(n) on page 50 for more information on distributions for the period.
How has the Fund’s leverage strategy affected performance?
As part of its investment strategy, the Fund utilizes leverage to finance the purchase of additional securities that provide increased income and potentially greater appreciation potential to common shareholders than could be achieved from a portfolio that is not leveraged.
The Fund’s leverage outstanding as of October 31, 2018, consisted of $387 million in borrowings and reverse repurchase agreements with a related average interest rate of 3.31%, and was approximately 41% of the Fund’s total managed assets. During the fiscal year, the Fund refinanced its prior line of

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 9

 

   
QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
credit, entered into new fixed-rate terms for a substantial majority of the borrowings, and assumed the borrowings and reverse repurchase agreement financing of AGC and LCM as part of the mergers.
There is no guarantee that the Fund’s leverage strategy will be successful, and the Fund’s use of leverage may cause the Fund’s NAV and market price of common shares to be more volatile. The NAV return for the Fund was below the cost of leverage for the 12 months. Although Advent looks at funds deployed from borrowings differently than funds which use the shareholder equity base, on this simple metric, the Fund’s leverage was not beneficial to shareholders for the fiscal period. Advent continues to seek attractive and relatively lower-risk opportunities to invest borrowings and plans to continue taking advantage of the yield curve and interest rate environment for the benefit of shareholders.
What was the impact of the Fund’s covered call strategy?
Volatility during the fiscal year 2018 increased from the low levels that prevailed in the prior year. The CBOE VIX Volatility Index, or “VIX” for its ticker, averaged 14.8, rebounding from a multi-year low in fiscal 2017 of 11.7, and generally similar to levels prevailing prior to fiscal 2017. As volatility levels rose late in the fiscal year, with uncertainties introduced with U.S. midterm elections, tariff negotiations, economic slowdowns in certain foreign nations, and normalization of the Fed balance sheet, the Fund took advantage by writing more call options on equity positions. When volatility is higher, the income generated from call option writing is larger than at other times, making for a more favorable trade-off in deciding whether to cap upside participation in equities held.
How were the Fund’s total investments allocated among asset classes during the 12 months ended October 31, 2018, and what did this mean for performance?
On October 31, 2018, the Fund’s total investments were invested approximately 48.8% in convertible bonds, convertible preferred securities, and mandatory convertibles; 37.9% in corporate bonds; 9.1% in equities; 3.2% in cash and cash equivalents; and 1.0% in senior floating rate interests.
On October 31, 2017, the Fund’s total investments were invested approximately 47.8% in convertible bonds, convertible preferred securities, and mandatory convertibles; 39.5% in corporate bonds; 7.7% in equities; 3.9% in cash and cash equivalents; and 1.1% in senior floating rate interests.
Asset class allocations were broadly unchanged from the end of the prior fiscal year to the end of this fiscal year. In between, the Fund made a slightly higher allocation toward equities, sourced from convertibles and high-yield, as strong economic growth in the U.S. coupled with higher corporate profit growth due partly to tax reform led to more opportunities for capital appreciation in the equity markets. Higher borrowing costs also led the asset allocation sleeve to invest more capital in higher-dividend equities and less in convertibles and BB high-yield securities, where spreads had become less attractive. As the fiscal year reached a close, the investing environment became more difficult, with fears over trade wars, slowing global economic growth, a Fed intent on continuing to normalize short-term interest rates, and currency fluctuations all leading to higher risk premia. By fiscal year end, the Fund had reduced its equity position to a level similar to the start of the fiscal year and returned allocations to convertibles and high-yield.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
Although both of the Fund’s main asset classes had indices with positive returns for the fiscal year, the index returns were both at levels similar to or lower than the Fund’s borrowing costs, which limited NAV returns.
International investments rose from 13.0% at October 2017 to 22.1% at October 2018. A direct comparison is difficult to make as the Fund is now managed with an allocation to global convertible securities as a result of the mergers, and the Fund changed its country classification to reflect an issuer’s geographic risk rather than its country of incorporation, which reduced the international percentage. Although foreign equity markets generally performed worse than the U.S. equity market during the year, the returns from global convertible indices were slightly better (a lower loss) than that of U.S. convertible indices from the closing date of the merger until the end of the fiscal year. This is due to the lower delta and equity sensitivity of the global convertible universe compared to the domestic one.
Which investment decisions had the greatest effect on the Fund’s performance?
Contrasting with last year, when the discussion of positive contributors was centered around technology and Internet issuers, this year the largest winners came from a number of economic sectors. In health care, the Fund benefitted from a number of investments in the device, biopharmaceutical, and software subsegments. Exact Sciences Corp. (0.4% of long-term investments at period end), the marketer of the Cologuard colorectal cancer DNA test, entered into a copromotion agreement of Cologuard with drug giant Pfizer, vastly expanding the adoption potential of the product and resulting in a leap in the convertible bonds. Sarepta Therapeutics, Inc. and its convertible bonds (0.2% of long-term investments at period end) also performed very well after the company presented far better early-stage data of its microdystrophin gene therapy program at its analyst day, strongly making a case that a large market exists to address those with muscular dystrophy. Convertibles in health care consultation services provider Teladoc Health, Inc. (0.3% of long-term investments at period end) also did well as the company’s virtual care delivery platform increased penetration into more users, clinical providers, and payment mechanisms.
Stock in leading retailer Walmart, Inc. (0.6% of long-term investments at period end) performed well as the company executed better on its online initiatives and made a savvy well-received acquisition in India’s Flipkart Online Services. Convertible bonds of computing processor maker Advanced Micro Devices, Inc. (0.1% of long-term investments at period end) jumped as the company began having success with a number of new products, challenging competitors Intel and NVidia in their respective areas of dominance. Various straight bonds of Bausch Health Companies, Inc. (1.1% of long-term investments at period end), formerly known as Valeant Pharmaceuticals, appreciated as financial results stabilized and the company’s new management focused on debt reduction instead of more acquisitions, helping the credit. Finally, stock and warrants in Magnolia Oil & Gas Corp. (0.2% of long-term investments at period end), which began as a special purpose acquisition company TPG Energy, performed well as management made its blank check purchase and was applauded for pursuing a financial model of lower debt and free cash flow generation.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
Detractors were also interspersed throughout the investing universe. Mandatory convertibles of Altaba, Inc. (0.5% of long-term investments at period end), the former Yahoo!, with most of the value being stock in Chinese Internet giant Alibaba, declined as the Chinese economy slowed and markets feared the impact of the trade tensions between China and the U.S. This occurred despite Alibaba maintaining over 50% revenue growth throughout the year. Convertible bonds of the largest convertible issuer in the domestic market, Microchip Technology, Inc. (0.7% of long-term investments at period end), declined as the company ran into difficulties with its largest acquisition to date, Microsemi Corporation, and the leverage taken to effect the acquisition was a liability as the semiconductor industry entered into a downturn. The company’s longer-term track record on acquisitions has been excellent, and we believe the free cash flow generation will be substantial over coming quarters. Another large convertible issuer, DISH Network Corp. (0.5% of long-term investments at period end), fell during the year as a speculated acquisition by a larger telecommunications company to capture DISH’s large spectrum position did not occur, and DISH’s legacy business in rural satellite television began to experience net subscriber erosion.
Stock in casino operator Wynn Resorts Ltd. (0.4% of long-term investments at period end) also fell victim to the Chinese economy and corruption crackdowns as results out of the Macau and Las Vegas properties decelerated. Shares and straight bonds of heavy equipment lessor United Rentals, Inc. (0.7% of long-term investments at period end) fell as the company reported deceleration in its key metric of rental rate growth, though we believe the shares are distinctly undervalued currently. Mandatory convertibles in industrial and technology conglomerate Belden, Inc. (0.7% of long-term investments at period end) fell as the company experienced capacity constraints for industrial products and failed to realize a forecast acceleration in its broadcast equipment business.
Index Definitions
The following indices are referenced throughout this report. It is not possible to invest directly in an index. These indices are intended as measures of broad market returns. The Fund’s mandate differs materially from each of the individual indices. The Fund also maintains leverage and incurs transaction costs, advisory fees, and other expenses, while these indices do not.
VIX is the ticker symbol for the Chicago Board Options Exchange Market Volatility Index, a popular measure of the implied volatility of S&P 500 Index options. It is a weighted blend of prices for a range of options on the S&P 500 Index.
The ICE BofA Merrill Lynch U.S. Convertible Index consists of convertible bonds traded in the U.S. dollar denominated investment grade and noninvestment grade convertible securities sold into the U.S. market and publicly traded in the United States. The Index constituents are market-value weighted based on the convertible securities prices and outstanding shares, and the underlying index is rebalanced daily.
The ICE BofA Merrill Lynch U.S High Yield Index includes USD-denominated, high yield, fixed-rate corporate securities. Securities are classified as high yield if the rating of Moody’s, Fitch, or S&P is Ba1/BB +/BB + or below.

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QUESTIONS & ANSWERS (Unaudited) continued 
October 31, 2018 
 
S&P 500® Index is a broad-based index, the performance of which is based on the performance of 500 widely held common stocks chosen for market size, liquidity, and industry group representation.
The U.S. Dollar Index® (USDX) is an index that determines the relative value of the U.S. dollar to a basket of foreign currencies. This formulated “basket” of currencies comprises the weighting of six other currencies as follows: Euro (EUR), 57.6% + Japanese Yen (JPY), 13.6% + Pound Sterling (GBP), 11.9% + Canadian Dollar (CAD), 9.1% + Swedish Krona (SEK), 4.2% + Swiss Franc (CHF) 3.6%.
AVK Risks and Other Considerations
The views expressed in this report reflect those of the Investment Adviser only through the report period as stated on the cover. These views are subject to change at any time, based on market and other conditions and should not be construed as a recommendation of any kind. The material may also contain forward-looking statements that involve risk and uncertainty, and there is no guarantee they will come to pass. There can be no assurance that the Fund will achieve its investment objectives. The value of the Fund will fluctuate with the value of the underlying securities.
Historically, closed-end funds often trade at a discount to their net asset value. The Fund is subject to investment risk, including the possible loss of the entire amount that you invest. Past performance does not guarantee future results.
Please see guggenheiminvestments.com/avk for a detailed discussion of the Fund’s risks and considerations.
This material is not intended as a recommendation or as investment advice of any kind, including in connection with rollovers, transfers, and distributions. Such material is not provided in a fiduciary capacity, may not be relied upon for or in connection with the making of investment decisions, and does not constitute a solicitation of an offer to buy or sell securities. All content has been provided for informational or educational purposes only and is not intended to be and should not be construed as legal or tax advice and/or a legal opinion. Always consult a financial, tax and/or legal professional regarding your specific situation.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 13

 

   
FUND SUMMARY (Unaudited) 
October 31, 2018 
 
   
Fund Statistics 
 
Share Price 
$13.93 
Net Asset Value 
$16.20 
Discount to NAV 
-14.01% 
Net Assets ($000) 
$559,440 
 
         
AVERAGE ANNUAL TOTAL RETURNS 
 
 
 
 
FOR THE PERIOD ENDED October 31, 2018 
 
 
 
 
 
One 
Three 
Five 
Ten 
 
Year 
Year 
Year 
Year 
Advent Claymore 
 
 
 
 
Convertible Securities & 
 
 
 
 
Income Fund 
 
 
 
 
NAV 
(0.34%) 
5.78% 
2.89% 
10.22% 
 Market 
(5.22%) 
8.19% 
2.76% 
8.88% 
 
   
Portfolio Breakdown 
% of Net Assets 
Investments: 
 
Convertible Bonds 
71.0% 
Corporate Bonds 
63.7% 
Common Stocks 
15.4% 
Convertible Preferred Stocks 
11.1% 
Money Market Fund 
5.4% 
Senior Floating Rate Interests 
1.6% 
Warrant 
0.0%* 
Written Options 
-0.1% 
Total Investments 
168.1% 
Other Assets & Liabilities, net 
(68.1%) 
Net Assets 
100.0% 
Past performance does not guarantee future results and does not reflect the deductions of taxes that a shareholder would pay on fund distributions. All NAV returns include the deduction of management fees, operating expenses and all other Fund expenses. All portfolio data is subject to change daily. For more current information, please visit guggenheiminvestments.com/avk.
The above summaries are provided for informational purposes only and should not be viewed as recommendations.
* Amount is less than 0.1%.

14 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

   
FUND SUMMARY (Unaudited) continued 
October 31, 2018 
 
All or a portion of the above distributions may be characterized as a return of capital. For the year ended October 31, 2018, 59% of the distributions were characterized as return of capital. The final determination of the tax character of the distributions paid by the Fund in 2018 will be reported to shareholders in January 2019.
   
Country Breakdown 
(% of Long-Term Investments) 
United States 
77.9% 
Cayman Islands 
3.9% 
Canada 
3.4% 
United Kingdom 
2.5% 
Bermuda 
2.0% 
Netherlands 
1.9% 
France 
1.8% 
Japan 
1.5% 
Panama 
0.7% 
Luxembourg 
0.5% 
Greece 
0.4% 
New Zealand 
0.4% 
Jersey 
0.4% 
Germany 
0.4% 
Australia 
0.4% 
Switzerland 
0.3% 
Monaco 
0.3% 
China 
0.3% 
Virgin Islands 
0.2% 
Israel 
0.2% 
India 
0.2% 
Austria 
0.2% 
Italy 
0.1% 
Vietnam 
0.1% 
Subject to change daily. 
 
 

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 15

 

     
PORTFOLIO OF INVESTMENTS 
 
October 31, 2018 
 
 
 
 
Shares 
Value 
 
COMMON STOCKS– 15.4% 
 
 
Consumer, Cyclical – 4.9% 
 
 
Carnival Corp.1 
110,000 
$ 6,164,400 
Walmart, Inc. 
50,000 
5,014,000 
General Motors Co.1 
100,000 
3,659,000 
Macy’s, Inc.1 
105,000 
3,600,450 
Wynn Resorts Ltd.1 
33,617 
3,381,870 
Lowe’s Companies, Inc.1 
30,000 
2,856,600 
Delta Air Lines, Inc. 
52,000 
2,845,960 
Total Consumer, Cyclical 
 
27,522,280 
 
Consumer, Non-cyclical – 2.7% 
 
 
Gilead Sciences, Inc. 
90,000 
6,136,200 
Bunge Ltd.1 
58,500 
3,615,300 
United Rentals, Inc.* 
23,500 
2,821,645 
GlaxoSmithKline plc ADR1 
70,000 
2,734,200 
Total Consumer, Non-cyclical 
 
15,307,345 
 
Financial – 2.4% 
 
 
PNC Financial Services Group, Inc.1 
35,000 
4,497,150 
Welltower, Inc. REIT1 
50,000 
3,303,500 
Synchrony Financial1 
108,000 
3,119,040 
Morgan Stanley1 
50,000 
2,283,000 
Total Financial 
 
13,202,690 
 
Industrial – 2.2% 
 
 
United Parcel Service, Inc. — Class B1 
52,980 
5,644,489 
Lockheed Martin Corp.1 
19,000 
5,583,150 
BAE Systems plc 
180,000 
1,209,314 
Total Industrial 
 
12,436,953 
 
Communications – 1.5% 
 
 
AT&T, Inc.1 
140,000 
4,295,200 
Facebook, Inc. — Class A*,1 
25,000 
3,794,750 
Total Communications 
 
8,089,950 
 
Energy – 1.2% 
 
 
BP plc ADR1 
130,000 
5,638,100 
Magnolia Oil & Gas Corp.* 
105,000 
1,307,250 
Total Energy 
 
6,945,350 
 
Basic Materials – 0.5% 
 
 
LyondellBasell Industries N.V.* 
28,100 
2,508,487 
Total Common Stocks 
 
 
(Cost $90,038,328) 
 
86,013,055 
 
See notes to financial statements.

16 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Shares 
Value 
 
CONVERTIBLE PREFERRED STOCKS– 11.1% 
 
 
Industrial – 2.7% 
 
 
Stanley Black & Decker, Inc. 
 
 
5.38% due 05/15/201 
75,268 
$ 6,905,839 
Belden, Inc. 
 
 
6.75% due 07/15/191 
88,245 
6,555,721 
Fortive Corp. 
 
 
5.00% due 07/01/211 
1,334 
1,309,321 
Total Industrial 
 
14,770,881 
 
Financial – 2.5% 
 
 
Bank of America Corp. 
 
 
7.25%6 
4,000 
5,085,200 
Crown Castle International Corp. 
 
 
6.88% due 08/01/201 
4,467 
4,668,015 
Welltower, Inc. 
 
 
6.50%1,6 
30,708 
1,891,613 
QTS Realty Trust, Inc. 
 
 
6.50%1,6 
14,916 
1,466,541 
Assurant, Inc. 
 
 
6.50% due 03/15/211 
9,490 
1,014,891 
Total Financial 
 
14,126,260 
 
Consumer, Non-cyclical – 2.5% 
 
 
Becton Dickinson and Co. 
 
 
6.13% due 05/01/201 
165,954 
9,736,521 
Bunge Ltd. 
 
 
4.88%1,6 
42,388 
4,387,158 
Total Consumer, Non-cyclical 
 
14,123,679 
 
Utilities – 1.6% 
 
 
CenterPoint Energy, Inc. 
 
 
7.00% due 09/01/211 
87,510 
4,342,246 
NextEra Energy, Inc. 
 
 
6.12% due 09/01/19 
40,349 
2,340,242 
Sempra Energy 
 
 
6.75% due 07/15/211 
21,204 
2,116,592 
Total Utilities 
 
8,799,080 
 
Energy – 1.2% 
 
 
Hess Corp. 
 
 
8.00% due 02/01/191 
70,743 
4,514,542 
Nabors Industries Ltd. 
 
 
6.00% due 05/01/21*,1 
63,355 
2,341,132 
Total Energy 
 
6,855,674 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 17

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
 
Shares 
Value 
 
CONVERTIBLE PREFERRED STOCKS– 11.1% (continued) 
 
 
Basic Materials – 0.6% 
 
 
International Flavors & Fragrances, Inc. 
 
 
6.00% due 09/15/211 
57,080 
$ 3,286,667 
Total Convertible Preferred Stocks 
 
 
(Cost $65,032,524) 
 
61,962,241 
 
WARRANT– 0.0% 
 
 
Magnolia Oil & Gas Corp. 
 
 
$11.50, expiring 06/21/22 
69,999 
235,196 
Total Warrant 
 
 
(Cost $164,634) 
 
235,196 
 
MONEY MARKET FUND– 5.4% 
 
 
Morgan Stanley Institutional Liquidity Government Portfolio – 
 
 
Institutional Share Class 2.05%2 
30,167,865 
30,167,865 
Total Money Market Fund 
 
 
(Cost $30,167,865) 
 
30,167,865 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% 
 
 
Technology – 16.1% 
 
 
Workday, Inc. 
 
 
0.25% due 10/01/221 
6,818,000 
7,607,040 
Rapid7, Inc. 
 
 
1.25% due 08/01/231,3 
6,678,000 
7,315,342 
Microchip Technology, Inc. 
 
 
1.63% due 02/15/271 
6,219,000 
5,909,847 
DocuSign, Inc. 
 
 
0.50% due 09/15/231,3 
5,584,000 
5,262,920 
Splunk, Inc. 
 
 
0.50% due 09/15/231,3 
5,460,000 
5,252,848 
Lumentum Holdings, Inc. 
 
 
0.25% due 03/15/241 
3,642,000 
4,150,365 
ServiceNow, Inc. 
 
 
due 06/01/221,4 
2,810,000 
3,979,758 
Splunk, Inc. 
 
 
1.13% due 09/15/251,3 
4,000,000 
3,796,296 
Xero Investments Ltd. 
 
 
2.38% due 10/04/231 
4,000,000 
3,669,468 
Teradyne, Inc. 
 
 
1.25% due 12/15/231 
2,725,000 
3,428,843 
Nutanix, Inc. 
 
 
due 01/15/231,3,4 
3,072,000 
3,391,721 
NXP Semiconductors N.V. 
 
 
1.00% due 12/01/191 
3,331,000 
3,376,501 
ams AG 
 
 
0.88% due 09/28/221 
4,000,000 
3,074,056 
 
See notes to financial statements.

18 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Technology – 16.1% (continued) 
 
 
Akamai Technologies, Inc. 
 
 
0.13% due 05/01/251,3 
2,856,000 
$ 2,793,525 
Cypress Semiconductor Corp. 
 
 
4.50% due 01/15/221 
2,338,000 
2,766,441 
ON Semiconductor Corp. 
 
 
1.63% due 10/15/231 
2,523,000 
2,752,616 
Micron Technology, Inc. 
 
 
3.00% due 11/15/431 
2,002,000 
2,613,603 
Intel Corp. 
 
 
3.25% due 08/01/391 
854,000 
1,940,130 
STMicroelectronics N.V. 
 
 
0.25% due 07/03/241 
1,800,000 
1,856,731 
Synaptics, Inc. 
 
 
0.50% due 06/15/221 
1,957,000 
1,751,515 
Nuance Communications, Inc. 
 
 
1.25% due 04/01/251 
1,649,000 
1,661,760 
New Relic, Inc. 
 
 
0.50% due 05/01/231,3 
1,505,000 
1,583,167 
Apptio, Inc. 
 
 
0.88% due 04/01/233 
1,470,000 
1,410,480 
Western Digital Corp. 
 
 
1.50% due 02/01/241,3 
1,479,000 
1,250,348 
CSG Systems International, Inc. 
 
 
4.25% due 03/15/361 
1,201,000 
1,233,225 
Citrix Systems, Inc. 
 
 
0.50% due 04/15/191 
837,000 
1,187,921 
Envestnet, Inc. 
 
 
1.75% due 06/01/231,3 
1,137,000 
1,146,238 
Evolent Health, Inc. 
 
 
1.50% due 10/15/251,3 
1,126,000 
1,088,842 
MongoDB, Inc. 
 
 
0.75% due 06/15/241,3 
755,000 
1,014,783 
Advanced Micro Devices, Inc. 
 
 
2.13% due 09/01/26 
388,000 
924,802 
ASM Pacific Technology Ltd. 
 
 
2.00% due 03/28/19 
HKD 6,000,000 
759,624 
Inphi Corp. 
 
 
1.13% due 12/01/201 
355,000 
372,750 
Total Technology 
 
90,323,506 
 
Communications – 11.6% 
 
 
Ctrip.com International Ltd. 
 
 
1.99% due 07/01/251 
4,000,000 
3,979,196 
1.00% due 07/01/201 
3,799,000 
3,600,950 
Weibo Corp. 
 
 
1.25% due 11/15/221,3 
7,742,000 
6,906,909 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 19

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Communications – 11.6% (continued) 
 
 
Booking Holdings, Inc. 
 
 
0.35% due 06/15/201 
2,504,000 
$ 3,621,831 
0.90% due 09/15/211 
2,153,000 
2,492,726 
Liberty Media Corp. 
 
 
1.38% due 10/15/231 
4,230,000 
4,888,188 
DISH Network Corp. 
 
 
3.38% due 08/15/261 
4,732,000 
4,227,805 
Liberty Expedia Holdings, Inc. 
 
 
1.00% due 06/30/471,3 
4,208,000 
4,194,955 
Palo Alto Networks, Inc. 
 
 
0.75% due 07/01/231,3 
4,272,000 
4,171,493 
Twitter, Inc. 
 
 
0.25% due 06/15/241,3 
3,520,000 
3,309,258 
Zendesk, Inc. 
 
 
0.25% due 03/15/231,3 
2,703,000 
2,973,567 
FireEye, Inc. 
 
 
0.88% due 06/01/241,3 
2,670,000 
2,818,519 
GCI Liberty, Inc. 
 
 
1.75% due 09/30/461,3 
2,508,000 
2,711,499 
Infinera Corp. 
 
 
2.13% due 09/01/241 
2,624,000 
2,322,240 
Inmarsat plc 
 
 
3.88% due 09/09/231 
2,000,000 
2,237,480 
IAC FinanceCo, Inc. 
 
 
0.88% due 10/01/221,3 
1,551,000 
2,170,972 
Wix.com Ltd. 
 
 
due 07/01/233,4 
1,849,000 
1,832,359 
Quotient Technology, Inc. 
 
 
1.75% due 12/01/221,3 
1,169,000 
1,195,678 
Twilio, Inc. 
 
 
0.25% due 06/01/231,3 
930,000 
1,162,231 
Viavi Solutions, Inc. 
 
 
1.00% due 03/01/24 
1,070,000 
1,154,758 
Okta, Inc. 
 
 
0.25% due 02/15/231,3 
788,000 
1,075,889 
CyberAgent, Inc. 
 
 
due 02/19/254 
JPY 100,000,000 
975,176 
Etsy, Inc. 
 
 
due 03/01/231,3,4 
689,000 
916,370 
Total Communications 
 
64,940,049 
 
Consumer, Non-cyclical – 11.2% 
 
 
Ligand Pharmaceuticals, Inc. 
 
 
0.75% due 05/15/231,3 
5,830,000 
5,583,916 
 
See notes to financial statements.

20 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Consumer, Non-cyclical – 11.2% (continued) 
 
 
Jazz Investments I Ltd. 
 
 
1.50% due 08/15/241 
3,000,000 
$ 2,998,413 
1.88% due 08/15/211 
2,028,000 
2,138,905 
Ionis Pharmaceuticals, Inc. 
 
 
1.00% due 11/15/211 
3,832,000 
4,007,919 
BioMarin Pharmaceutical, Inc. 
 
 
1.50% due 10/15/201 
3,168,000 
3,742,491 
Wright Medical Group, Inc. 
 
 
1.63% due 06/15/231,3 
3,606,000 
3,666,815 
J Sainsbury plc 
 
 
2.88%1,6,7 
GBP 2,500,000 
3,569,713 
Exact Sciences Corp. 
 
 
1.00% due 01/15/251 
2,874,000 
3,364,017 
NuVasive, Inc. 
 
 
2.25% due 03/15/211 
2,790,000 
3,123,182 
Square, Inc. 
 
 
0.50% due 05/15/231,3 
2,507,000 
3,009,240 
Illumina, Inc. 
 
 
due 08/15/231,3,4 
1,842,000 
1,937,191 
0.50% due 06/15/211 
766,000 
1,035,749 
Insulet Corp. 
 
 
1.38% due 11/15/241,3 
2,546,000 
2,880,124 
Teladoc Health, Inc. 
 
 
1.38% due 05/15/251,3 
1,588,000 
2,314,510 
Neurocrine Biosciences, Inc. 
 
 
2.25% due 05/15/241 
1,433,000 
2,211,745 
Anthem, Inc. 
 
 
2.75% due 10/15/421 
435,000 
1,652,859 
Euronet Worldwide, Inc. 
 
 
1.50% due 10/01/441 
1,010,000 
1,547,232 
Supernus Pharmaceuticals, Inc. 
 
 
0.63% due 04/01/231,3 
1,398,000 
1,517,978 
Sarepta Therapeutics, Inc. 
 
 
1.50% due 11/15/241,3 
691,000 
1,362,453 
Qiagen N.V. 
 
 
0.88% due 03/19/211 
1,000,000 
1,303,900 
China Conch Venture 
 
 
due 09/05/234 
HKD 10,000,000 
1,275,608 
Bayer AG 
 
 
0.05% due 06/15/201 
EUR 1,000,000 
1,171,007 
Nevro Corp. 
 
 
1.75% due 06/01/21 
1,121,000 
1,066,142 
Flexion Therapeutics, Inc. 
 
 
3.38% due 05/01/241 
1,185,000 
1,050,802 
Medicines Co. 
 
 
2.75% due 07/15/23 
1,206,000 
1,023,310 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 21

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Consumer, Non-cyclical – 11.2% (continued) 
 
 
Theravance Biopharma, Inc. 
 
 
3.25% due 11/01/231 
1,000,000 
$ 1,006,150 
Nipro Corp. 
 
 
due 01/29/211,4 
JPY 90,000,000 
899,694 
Insmed, Inc. 
 
 
1.75% due 01/15/251 
1,068,000 
807,580 
Retrophin, Inc. 
 
 
2.50% due 09/15/251 
596,000 
580,256 
Tilray, Inc. 
 
 
5.00% due 10/01/231,3 
666,000 
561,105 
Total Consumer, Non-cyclical 
 
62,410,006 
 
Industrial – 9.1% 
 
 
Greenbrier Companies, Inc. 
 
 
2.88% due 02/01/241 
6,783,000 
7,161,932 
Atlas Air Worldwide Holdings, Inc. 
 
 
1.88% due 06/01/241 
4,686,000 
4,993,519 
Dycom Industries, Inc. 
 
 
0.75% due 09/15/211 
4,106,000 
4,156,574 
Vishay Intertechnology, Inc. 
 
 
2.25% due 06/15/251,3 
4,421,000 
3,980,240 
Air Transport Services Group, Inc. 
 
 
1.13% due 10/15/241 
3,572,000 
3,268,841 
Arconic, Inc. 
 
 
1.63% due 10/15/191 
2,387,000 
2,403,298 
Siemens Financieringsmaatschappij N.V. 
 
 
1.65% due 08/16/191 
2,000,000 
2,127,500 
China Railway Construction Corporation Ltd. 
 
 
due 01/29/211,4 
1,750,000 
1,929,756 
Airbus SE 
 
 
due 06/14/211,4 
EUR 800,000 
1,075,155 
due 07/01/221,4 
EUR 600,000 
818,991 
Larsen & Toubro Ltd. 
 
 
0.68% due 10/22/19 
1,800,000 
1,782,772 
Implenia AG 
 
 
0.50% due 06/30/22 
CHF 1,720,000 
1,731,510 
OSI Systems, Inc. 
 
 
1.25% due 09/01/22 
1,860,000 
1,707,586 
Vinci S.A. 
 
 
0.38% due 02/16/221 
1,600,000 
1,700,144 
Asia Cement Corp. 
 
 
due 09/21/231,4 
1,627,000 
1,643,218 
Golar LNG Ltd. 
 
 
2.75% due 02/15/22 
1,500,000 
1,540,500 
Sika A.G. 
 
 
0.15% due 06/05/25 
CHF 1,480,000 
1,529,363 
 
 
See notes to financial statements.

22 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Industrial – 9.1% (continued) 
 
 
Chart Industries, Inc. 
 
 
1.00% due 11/15/241,3 
941,000 
$ 1,216,190 
MINEBEA MITSUMI, Inc. 
 
 
due 08/03/224 
JPY 120,000,000 
1,209,947 
Buzzi Unicem SpA 
 
 
1.38% due 07/17/191 
EUR 800,000 
1,009,609 
Shimizu Corp. 
 
 
due 10/16/201,4 
JPY 110,000,000 
983,937 
Patrick Industries, Inc. 
 
 
1.00% due 02/01/233 
1,135,000 
959,784 
CRRC Corporation Ltd. 
 
 
due 02/05/211,4 
750,000 
748,777 
OSG Corp. 
 
 
due 04/04/224 
JPY 50,000,000 
639,289 
Safran S.A. 
 
 
due 12/31/201,4 
EUR 323,900 
419,750 
II-VI, Inc. 
 
 
0.25% due 09/01/221 
280,000 
288,680 
Total Industrial 
 
51,026,862 
 
Financial – 8.8% 
 
 
AXA S.A. 
 
 
7.25% due 05/15/211,3 
7,126,000 
7,328,236 
Colony Capital, Inc. 
 
 
3.88% due 01/15/21 
3,625,000 
3,450,337 
5.00% due 04/15/231 
1,800,000 
1,687,500 
IH Merger Sub LLC 
 
 
3.50% due 01/15/221 
3,399,000 
3,652,225 
3.00% due 07/01/19 
1,091,000 
1,309,746 
Altaba, Inc. 
 
 
due 12/01/181,4 
3,792,000 
4,257,218 
Blackstone Mortgage Trust, Inc. 
 
 
4.38% due 05/05/221 
2,500,000 
2,472,317 
4.75% due 03/15/231 
1,541,000 
1,522,087 
PRA Group, Inc. 
 
 
3.50% due 06/01/231 
2,119,000 
2,009,409 
3.00% due 08/01/201 
1,500,000 
1,415,988 
Air Lease Corp. 
 
 
3.88% due 12/01/18 
2,080,000 
2,721,489 
Goldman Sachs BDC, Inc. 
 
 
4.50% due 04/01/22 
2,700,000 
2,646,502 
SBI Holdings, Inc. 
 
 
due 09/13/231,4 
JPY 230,000,000 
2,277,867 
Poseidon Finance 1 Ltd. 
 
 
due 02/01/251,4 
2,124,000 
2,083,589 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 23

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Financial – 8.8% (continued) 
 
 
IMMOFINANZ AG 
 
 
2.00% due 01/24/241 
EUR 1,300,000 
$ 1,670,489 
BofA Finance LLC 
 
 
0.25% due 05/01/231 
1,653,000 
1,492,907 
Aurelius SE 
 
 
1.00% due 12/01/201 
EUR 1,200,000 
1,394,093 
AYC Finance Ltd. 
 
 
0.50% due 05/02/191 
1,270,000 
1,286,669 
Credit Agricole S.A. 
 
 
due 10/03/191,4 
EUR 13,100 
1,101,198 
Extra Space Storage, LP 
 
 
3.13% due 10/01/351,3 
987,000 
1,066,003 
Arbor Realty Trust, Inc. 
 
 
5.25% due 07/01/213 
772,000 
821,954 
LEG Immobilien AG 
 
 
0.88% due 09/01/251 
EUR 600,000 
740,505 
Redfin Corp. 
 
 
1.75% due 07/15/23 
750,000 
638,100 
Empire State Realty OP, LP 
 
 
2.63% due 08/15/191,3 
416,000 
414,506 
Total Financial 
 
49,460,934 
 
Consumer, Cyclical – 7.2% 
 
 
Huazhu Group Ltd. 
 
 
0.38% due 11/01/221
7,049,000 
6,671,610 
Meritor, Inc. 
 
 
3.25% due 10/15/371 
5,200,000 
4,810,520 
LGI Homes, Inc. 
 
 
4.25% due 11/15/19 
2,000,000 
4,018,144 
Caesars Entertainment Corp. 
 
 
5.00% due 10/01/241 
2,707,000 
3,872,575 
Marriott Vacations Worldwide Corp. 
 
 
1.50% due 09/15/221 
2,777,000 
2,613,990 
Zhongsheng Group Holdings Ltd. 
 
 
due 05/23/234 
HKD 19,000,000 
2,264,077 
Live Nation Entertainment, Inc. 
 
 
2.50% due 03/15/231,3 
1,960,000 
2,098,476 
Tesla, Inc. 
 
 
1.25% due 03/01/211 
1,767,000 
1,984,956 
Harvest International Co. 
 
 
due 11/21/224 
HKD 16,000,000 
1,924,082 
Sony Corp. 
 
 
due 09/30/224 
JPY 147,000,000 
1,747,379 
HIS Co. Ltd. 
 
 
due 08/30/194 
JPY 150,000,000 
1,342,763 
 
See notes to financial statements.
24 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Consumer, Cyclical – 7.2% (continued) 
 
 
EZCORP, Inc. 
 
 
2.38% due 05/01/253 
1,192,000 
$ 1,046,725 
LVMH Moet Hennessy Louis Vuitton SE 
 
 
due 02/16/211,4 
3,181 
1,030,281 
Suzuki Motor Corp. 
 
 
due 03/31/234 
JPY 80,000,000 
1,001,140 
Vinpearl JSC 
 
 
3.50% due 06/14/23 
1,000,000 
1,000,000 
Adidas AG 
 
 
0.05% due 09/12/231 
EUR 800,000 
974,096 
Cie Generale des Etablissements Michelin SCA 
 
 
due 01/10/221,4 
1,000,000 
930,820 
RH 
 
 
due 06/15/231,3,4 
998,000 
880,823 
Total Consumer, Cyclical 
 
40,212,457 
 
Energy – 4.3% 
 
 
Oasis Petroleum, Inc. 
 
 
2.63% due 09/15/231 
3,334,000 
3,765,796 
Chesapeake Energy Corp. 
 
 
5.50% due 09/15/261 
3,185,000 
3,002,264 
Cheniere Energy, Inc. 
 
 
4.25% due 03/15/451 
3,000,000 
2,310,351 
TOTAL S.A. 
 
 
0.50% due 12/02/221 
1,800,000 
1,963,114 
BP Capital Markets plc 
 
 
1.00% due 04/28/231 
GBP 1,000,000 
1,678,963 
Whiting Petroleum Corp. 
 
 
1.25% due 04/01/201 
1,715,000 
1,648,693 
Technip S.A. 
 
 
0.88% due 01/25/211 
EUR 1,300,000 
1,640,143 
Kunlun Energy Company Ltd. 
 
 
1.63% due 07/25/19 
CNY 6,000,000 
1,165,742 
Transocean, Inc. 
 
 
0.50% due 01/30/231 
834,000 
1,040,657 
Eni SpA 
 
 
due 04/13/221,4 
EUR 900,000 
1,101,834 
Oil States International, Inc. 
 
 
1.50% due 02/15/231,3 
1,086,000 
993,515 
Helix Energy Solutions Group, Inc. 
 
 
4.13% due 09/15/23 
830,000 
989,728 
RAG-Stiftung 
 
 
due 02/18/211,4 
EUR 800,000 
960,191 
RAG-Stiftung Corp. 
 
 
due 10/02/241,4 
EUR 700,000 
795,609 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 25

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CONVERTIBLE BONDS†† – 71.0% (continued) 
 
 
Energy – 4.3% (continued) 
 
 
Ensco Jersey Finance Ltd. 
 
 
3.00% due 01/31/241 
824,000 
$ 754,532 
Total Energy 
 
23,811,132 
 
Basic Materials – 1.6% 
 
 
Osisko Gold Royalties Ltd. 
 
 
4.00% due 12/31/22 
CAD 2,300,000 
1,722,045 
Toray Industries, Inc. 
 
 
due 08/30/191,4 
JPY 150,000,000 
1,373,041 
APERAM S.A. 
 
 
0.63% due 07/08/211 
1,200,000 
1,274,244 
Mitsubishi Chemical Holdings Corp. 
 
 
due 03/29/241,4 
JPY 130,000,000 
1,185,517 
Cleveland-Cliffs, Inc. 
 
 
1.50% due 01/15/251 
701,000 
1,002,409 
Pretium Resources, Inc. 
 
 
2.25% due 03/15/22 
1,059,000 
945,369 
Glencore Funding LLC 
 
 
due 03/27/251,4 
1,000,000 
892,891 
AK Steel Corp. 
 
 
5.00% due 11/15/19 
431,000 
449,036 
Total Basic Materials 
 
8,844,552 
 
Utilities – 1.1% 
 
 
CenterPoint Energy, Inc. 
 
 
4.47% due 09/15/29 
78,088 
3,400,733 
China Yangtze Power International BVI 1 Ltd. 
 
 
due 11/09/211,4 
1,775,000 
1,879,281 
NRG Energy, Inc. 
 
 
2.75% due 06/01/481,3 
977,000 
1,019,256 
Total Utilities 
 
6,299,270 
Total Convertible Bonds 
 
 
(Cost $397,810,582) 
 
397,328,768 
 
CORPORATE BONDS†† – 63.7% 
 
 
Consumer, Cyclical – 16.2% 
 
 
GameStop Corp. 
 
 
6.75% due 03/15/211,3 
8,103,000 
8,204,288 
Scientific Games International, Inc. 
 
 
5.00% due 10/15/251,3 
3,606,000 
3,362,595 
10.00% due 12/01/22 
1,625,000 
1,704,219 
Vista Outdoor, Inc. 
 
 
5.88% due 10/01/231 
5,025,000 
4,849,125 
Navistar International Corp. 
 
 
6.63% due 11/01/251,3 
4,500,000 
4,612,500 
 
See notes to financial statements.

26 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Consumer, Cyclical – 16.2% (continued) 
 
 
Staples, Inc. 
 
 
8.50% due 09/15/251,3 
4,761,000 
$ 4,332,510 
Downstream Development Authority of the Quapaw Tribe of Oklahoma 
 
 
10.50% due 02/15/231,3 
3,546,000 
3,625,785 
Dana Financing Luxembourg Sarl 
 
 
6.50% due 06/01/261,3 
3,636,000 
3,608,730 
William Carter Co. 
 
 
5.25% due 08/15/211 
3,433,000 
3,452,311 
Eagle Intermediate Global Holding BV/Ruyi US Finance LLC 
 
 
7.50% due 05/01/251,3 
3,525,000 
3,419,250 
Hanesbrands, Inc. 
 
 
4.63% due 05/15/241,3 
3,465,000 
3,335,062 
Beacon Roofing Supply, Inc. 
 
 
4.88% due 11/01/251,3 
3,665,000 
3,303,081 
Scotts Miracle-Gro Co. 
 
 
6.00% due 10/15/231 
1,626,000 
1,670,715 
5.25% due 12/15/261 
1,716,000 
1,630,200 
Mattamy Group Corp. 
 
 
6.88% due 12/15/231,3 
2,059,000 
2,015,246 
6.50% due 10/01/251,3 
1,287,000 
1,216,215 
Six Flags Entertainment Corp. 
 
 
4.88% due 07/31/241,3 
2,513,000 
2,381,068 
5.50% due 04/15/271,3 
871,000 
828,539 
Suburban Propane Partners Limited Partnership/Suburban Energy Finance Corp. 
 
 
5.88% due 03/01/271 
3,433,000 
3,149,777 
Wolverine World Wide, Inc. 
 
 
5.00% due 09/01/261,3 
3,003,000 
2,912,910 
Delphi Technologies plc 
 
 
5.00% due 10/01/251,3 
3,218,000 
2,912,290 
TRI Pointe Group Inc. / TRI Pointe Homes Inc. 
 
 
4.38% due 06/15/191 
2,820,000 
2,830,575 
Churchill Downs, Inc. 
 
 
4.75% due 01/15/281,3 
3,011,000 
2,755,065 
Speedway Motorsports, Inc. 
 
 
5.13% due 02/01/231 
2,772,000 
2,744,280 
National CineMedia LLC 
 
 
6.00% due 04/15/221 
2,657,000 
2,696,855 
American Greetings Corp. 
 
 
8.75% due 04/15/253 
2,767,000 
2,607,898 
Carlson Travel, Inc. 
 
 
9.50% due 12/15/241,3 
2,600,000 
2,499,250 
Enterprise Development Authority 
 
 
12.00% due 07/15/241,3 
2,575,000 
2,465,562 
Tempur Sealy International, Inc. 
 
 
5.63% due 10/15/231 
2,000,000 
1,960,000 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 27

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Consumer, Cyclical – 16.2% (continued) 
 
 
American Axle & Manufacturing, Inc. 
 
 
6.25% due 03/15/261 
1,974,000 
$ 1,870,365 
Ferrellgas Partners Limited Partnership / Ferrellgas Partners Finance Corp. 
 
 
8.63% due 06/15/20 
1,716,000 
1,559,415 
Stars Group Holdings BV / Stars Group US Company-Borrower LLC 
 
 
7.00% due 07/15/261,3 
215,000 
218,762 
Total Consumer, Cyclical 
 
90,734,443 
 
Consumer, Non-cyclical – 11.7% 
 
 
HCA, Inc. 
 
 
5.25% due 04/15/251 
6,141,000 
6,286,849 
6.50% due 02/15/201 
2,575,000 
2,665,125 
5.88% due 02/15/261 
1,655,000 
1,696,375 
Bausch Health Companies, Inc. 
 
 
9.00% due 12/15/251,3 
4,719,000 
4,937,254 
6.13% due 04/15/251,3 
4,000,000 
3,688,800 
7.00% due 03/15/241,3 
1,713,000 
1,798,119 
Encompass Health Corp. 
 
 
5.75% due 09/15/251 
3,782,000 
3,763,090 
5.75% due 11/01/241 
2,000,000 
2,002,500 
Tenet Healthcare Corp. 
 
 
4.63% due 07/15/241 
4,388,000 
4,240,344 
4.38% due 10/01/211 
1,500,000 
1,488,750 
Spectrum Brands, Inc. 
 
 
5.75% due 07/15/251 
4,303,000 
4,206,183 
Cardtronics Incorporated / Cardtronics USA Inc 
 
 
5.50% due 05/01/251,3 
4,069,000 
3,804,515 
Ritchie Bros Auctioneers, Inc. 
 
 
5.38% due 01/15/251,3 
3,249,000 
3,216,510 
United Rentals North America, Inc. 
 
 
5.75% due 11/15/241 
3,178,000 
3,197,863 
Molina Healthcare, Inc. 
 
 
5.38% due 11/15/221 
3,000,000 
3,015,000 
Land O’Lakes Capital Trust I 
 
 
7.45% due 03/15/281,3 
2,750,000 
2,980,312 
Cardtronics, Inc. 
 
 
5.13% due 08/01/221 
2,500,000 
2,412,500 
Pilgrim’s Pride Corp. 
 
 
5.75% due 03/15/251,3 
2,573,000 
2,412,188 
DaVita, Inc. 
 
 
5.00% due 05/01/251 
2,065,000 
1,959,168 
Nielsen Finance LLC / Nielsen Finance Co. 
 
 
5.00% due 04/15/221,3 
1,716,000 
1,675,245 
Sotheby’s 
 
 
4.88% due 12/15/251,3 
1,575,000 
1,462,781 
 
See notes to financial statements.
28 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Consumer, Non-cyclical – 11.7% (continued) 
 
 
Central Garden & Pet Co. 
 
 
6.13% due 11/15/231 
1,419,000 
$ 1,450,927 
Simmons Foods, Inc. 
 
 
5.75% due 11/01/241,3 
1,716,000 
1,269,840 
Land O’ Lakes, Inc. 
 
 
6.00% due 11/15/221,3 
45,000 
46,446 
Total Consumer, Non-cyclical 
 
65,676,684 
 
Energy – 8.6% 
 
 
PBF Holding Company LLC / PBF Finance Corp. 
 
 
7.25% due 06/15/251 
3,857,000 
3,982,352 
Parsley Energy LLC / Parsley Finance Corp. 
 
 
5.63% due 10/15/271,3 
3,861,000 
3,815,710 
Ascent Resources Utica Holdings LLC / ARU Finance Corp. 
 
 
10.00% due 04/01/221,3 
1,673,000 
1,850,756 
7.00% due 11/01/261,3 
1,714,000 
1,666,865 
Diamondback Energy, Inc. 
 
 
5.38% due 05/31/251 
3,432,000 
3,423,420 
WPX Energy, Inc. 
 
 
5.25% due 09/15/241 
3,432,000 
3,406,260 
SESI LLC 
 
 
7.75% due 09/15/241 
3,432,000 
3,384,810 
Genesis Energy Limited Partnership / Genesis Energy Finance Corp. 
 
 
6.25% due 05/15/261 
3,431,000 
3,105,055 
Oasis Petroleum, Inc. 
 
 
6.88% due 03/15/221 
3,000,000 
3,022,500 
Alliance Resource Operating Partners Limited Partnership / Alliance Resource Finance Corp. 
 
 
7.50% due 05/01/251,3 
2,859,000 
2,976,934 
Parkland Fuel Corp. 
 
 
6.00% due 04/01/261,3 
2,573,000 
2,521,540 
Continental Resources, Inc. 
 
 
5.00% due 09/15/221 
2,402,000 
2,428,150 
Gulfport Energy Corp. 
 
 
6.00% due 10/15/241 
2,573,000 
2,418,620 
Nabors Industries, Inc. 
 
 
5.75% due 02/01/251 
2,600,000 
2,406,107 
PDC Energy, Inc. 
 
 
5.75% due 05/15/261 
2,575,000 
2,372,219 
Summit Midstream Holdings LLC / Summit Midstream Finance Corp. 
 
 
5.75% due 04/15/251 
2,014,000 
1,938,475 
5.50% due 08/15/221 
125,000 
124,375 
Cheniere Corpus Christi Holdings LLC 
 
 
5.13% due 06/30/271 
1,737,000 
1,706,602 
PBF Logistics Limited Partnership / PBF Logistics Finance Corp. 
 
 
6.88% due 05/15/231 
1,565,000 
1,600,213 
Total Energy 
 
48,150,963 
 
See notes to financial statements.


AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 29

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Basic Materials – 7.4% 
 
 
First Quantum Minerals Ltd. 
 
 
6.88% due 03/01/263 
3,924,000 
$ 3,408,975 
7.50% due 04/01/253 
800,000 
717,000 
Alcoa Nederland Holding BV 
 
 
6.13% due 05/15/281,3 
3,495,000 
3,495,000 
Big River Steel LLC / BRS Finance Corp. 
 
 
7.25% due 09/01/251,3 
3,293,000 
3,441,185 
FMG Resources August 2006 Pty Ltd. 
 
 
4.75% due 05/15/221,3 
3,434,000 
3,309,517 
NOVA Chemicals Corp. 
 
 
4.88% due 06/01/241,3 
3,432,000 
3,166,020 
AK Steel Corp. 
 
 
7.50% due 07/15/231 
3,100,000 
3,162,000 
Compass Minerals International, Inc. 
 
 
4.88% due 07/15/241,3 
3,281,000 
3,067,735 
Kaiser Aluminum Corp. 
 
 
5.88% due 05/15/241 
2,853,000 
2,863,699 
Rayonier AM Products, Inc. 
 
 
5.50% due 06/01/241,3 
2,837,000 
2,666,780 
Steel Dynamics, Inc. 
 
 
5.50% due 10/01/241 
2,563,000 
2,585,426 
Valvoline, Inc. 
 
 
5.50% due 07/15/241 
2,406,000 
2,396,978 
TPC Group, Inc. 
 
 
8.75% due 12/15/201,3 
2,243,000 
2,209,355 
Tronox Finance plc 
 
 
5.75% due 10/01/251,3 
1,930,000 
1,695,987 
Tronox, Inc. 
 
 
6.50% due 04/15/261,3 
1,785,000 
1,633,275 
New Gold, Inc. 
 
 
6.25% due 11/15/221,3 
1,716,000 
1,501,500 
Total Basic Materials 
 
41,320,432 
 
Communications – 7.4% 
 
 
Sprint Corp. 
 
 
7.88% due 09/15/231 
3,558,000 
3,807,060 
7.63% due 02/15/251 
3,483,000 
3,626,674 
Charter Communications Operating LLC / Charter Communications Operating Capital 
 
 
4.91% due 07/23/251 
4,745,000 
4,771,766 
CBS Radio, Inc. 
 
 
7.25% due 11/01/241,3 
4,002,000 
3,786,893 
CenturyLink, Inc. 
 
 
7.50% due 04/01/241 
3,432,000 
3,612,180 
Sirius XM Radio, Inc. 
 
 
5.38% due 07/15/261,3 
3,510,000 
3,439,800 
 
See notes to financial statements.
30 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Communications – 7.4% (continued) 
 
 
DISH DBS Corp. 
 
 
5.13% due 05/01/201 
1,716,000 
$ 1,726,725 
7.75% due 07/01/261 
1,591,000 
1,429,911 
Hughes Satellite Systems Corp. 
 
 
6.50% due 06/15/191 
3,034,000 
3,081,710 
Frontier Communications Corp. 
 
 
7.63% due 04/15/24 
3,003,000 
1,816,815 
8.50% due 04/01/261,3 
859,000 
801,017 
Inmarsat Finance plc 
 
 
6.50% due 10/01/241,3 
2,320,000 
2,293,900 
CommScope, Inc. 
 
 
5.50% due 06/15/241,3 
2,000,000 
1,940,000 
Altice France S.A. 
 
 
8.13% due 02/01/271,3 
1,800,000 
1,786,500 
Tribune Media Co. 
 
 
5.88% due 07/15/221 
1,638,000 
1,666,665 
Cincinnati Bell, Inc. 
 
 
8.00% due 10/15/251,3 
1,715,000 
1,569,225 
Total Communications 
 
41,156,841 
 
Industrial – 6.5% 
 
 
MasTec, Inc. 
 
 
4.88% due 03/15/231 
4,715,000 
4,620,700 
TransDigm, Inc. 
 
 
6.38% due 06/15/261 
3,188,000 
3,132,210 
6.00% due 07/15/221 
859,000 
865,443 
Cleaver-Brooks, Inc. 
 
 
7.88% due 03/01/231,3 
3,957,000 
3,986,677 
Navios Maritime Acquisition Corporation / Navios Acquisition Finance US, Inc. 
 
 
8.13% due 11/15/211,3 
4,461,000 
3,763,969 
Louisiana-Pacific Corp. 
 
 
4.88% due 09/15/241 
3,779,000 
3,684,525 
Ball Corp. 
 
 
4.38% due 12/15/201 
3,432,000 
3,440,580 
CNH Industrial Capital LLC 
 
 
3.38% due 07/15/191 
3,337,000 
3,335,146 
Navios Maritime Holdings, Inc. / Navios Maritime Finance II US, Inc. 
 
 
7.38% due 01/15/223 
3,530,000 
2,682,800 
Mueller Water Products, Inc. 
 
 
5.50% due 06/15/261,3 
1,899,000 
1,884,758 
EnPro Industries, Inc. 
 
 
5.75% due 10/15/261,3 
1,718,000 
1,701,335 
Energizer Holdings, Inc. 
 
 
5.50% due 06/15/251,3 
1,716,000 
1,673,100 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 31

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
Face 
 
 
Amount~ 
Value 
 
CORPORATE BONDS†† – 63.7% (continued) 
 
 
Industrial – 6.5% (continued) 
 
 
WESCO Distribution, Inc. 
 
 
5.38% due 06/15/241 
1,716,000 
$ 1,668,810 
Total Industrial 
 
36,440,053 
 
Technology – 3.0% 
 
 
West Corp. 
 
 
8.50% due 10/15/251,3 
4,490,000 
4,074,675 
Seagate HDD Cayman 
 
 
4.75% due 01/01/251 
4,264,000 
3,883,283 
First Data Corp. 
 
 
5.38% due 08/15/231,3 
3,066,000 
3,100,493 
NCR Corp. 
 
 
5.00% due 07/15/221 
3,000,000 
2,895,000 
Dell, Inc. 
 
 
5.88% due 06/15/191 
2,632,000 
2,668,190 
Total Technology 
 
16,621,641 
 
Financial – 2.9% 
 
 
Credit Acceptance Corp. 
 
 
7.38% due 03/15/231 
3,791,000 
3,923,685 
Navient Corp. 
 
 
8.00% due 03/25/201 
3,008,000 
3,147,120 
Radian Group, Inc. 
 
 
7.00% due 03/15/211 
2,575,000 
2,729,500 
CIT Group, Inc. 
 
 
5.38% due 05/15/201 
2,575,000 
2,650,705 
Alliance Data Systems Corp. 
 
 
5.38% due 08/01/223 
2,000,000 
2,015,000 
Fidelity & Guaranty Life Holdings, Inc. 
 
 
5.50% due 05/01/251,3 
1,736,000 
1,729,490 
Total Financial 
 
16,195,500 
Total Corporate Bonds 
 
 
(Cost $364,524,711) 
 
356,296,557 
 
See notes to financial statements.

32 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
 
October 31, 2018 
 
 
 
Face 
 
 
Amount~ 
Value 
 
SENIOR FLOATING RATE INTERESTS††,5 – 1.6% 
 
 
Consumer, Cyclical – 0.9% 
 
 
PetSmart, Inc. 
 
 
5.28% (3 Month USD LIBOR + 3.00%, Rate Floor: 1.00%) due 03/11/22 
3,918,782 
$ 3,333,414 
Alterra Mountain Co. 
 
 
5.40% (3 Month USD LIBOR + 3.00%, Rate Floor: 0.00%) due 07/31/24 
1,883,765 
1,883,765 
Total Consumer, Cyclical 
 
5,217,179 
 
Communications – 0.5% 
 
 
Sprint Communications, Inc. 
 
 
4.75% (3 Month USD LIBOR + 2.50%, Rate Floor: 0.75%) due 02/02/24 
2,955,000 
2,953,129 
 
Financial – 0.2% 
 
 
Refinitiv (Financial & Risk Us Holdings, Inc.) 
 
 
6.01% (3 Month USD LIBOR + 3.75%, Rate Floor: 0.00%) due 10/01/25 
1,000,000 
992,500 
Total Senior Floating Rate Interests 
 
 
(Cost $9,771,782) 
 
9,162,808 
Total Investments – 168.2% 
 
 
(Cost $957,510,426) 
 
$ 941,166,490 
 
 
Contracts 
Value 
 
WRITTEN OPTIONS† – (0.1)% 
 
 
Call options on: 
 
 
United Rentals, Inc. 
 
 
Expiring November 2018 with strike price of $185.00 (Notional Value $2,821,645) 
235 
(2,350) 
PNC Financial Services Group, Inc. 
 
 
Expiring November 2018 with strike price of $132.00 (Notional Value 4,497,150) 
350 
(43,750) 
Delta Air Lines, Inc. 
 
 
Expiring December 2018 with strike price of $57.50 (Notional Value $2,845,960) 
520 
(66,040) 
Facebook, Inc. 
 
 
Expiring December 2018 with strike price of $160.00 (Notional Value $3,794,750) 
250 
(92,000) 
Macy’s, Inc. 
 
 
Expiring November 2018 with strike price of $35.00 (Notional Value $2,571,750) 
750 
(129,000) 
Walmart, Inc. 
 
 
Expiring November 2018 with strike price of $100.00 (Notional Value $5,014,000) 
500 
(155,000) 
Total Call Options 
 
(488,140) 
Total Listed Written Options 
 
 
(Premiums received $407,795) 
 
(488,140) 
Other Assets & Liabilities, net – (68.1)% 
 
(381,238,329) 
Total Net Assets – 100.0% 
 
$ 559,440,021 
 
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 33

 

               
PORTFOLIO OF INVESTMENTS continued 
 
 
October 31, 2018 
 
 
FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS†† 
 
 
 
 
 
 
 
Settlement 
Settlement 
Value at 
Net Unrealized 
Counterparty 
Contracts to Sell 
Currency 
Date 
Value 
October 31, 2018 
Appreciation 
Bank of New York Mellon 
15,806,145 
EUR 
12/14/18 
$18,439,891 
$17,980,989 
$458,902 
Bank of New York Mellon
 1,958,682,400 
JPY 
12/14/18 
17,664,515 
17,422,341 
242,174 
Bank of New York Mellon 
5,285,675 
GBP 
12/14/18 
6,901,855 
6,769,101 
132,754 
Bank of New York Mellon 
3,333,404 
CHF 
12/14/18 
3,450,372 
3,328,903 
121,469 
Bank of New York Mellon 
2,255,564 
CAD 
12/14/18 
1,728,799 
1,719,120 
9,679 
 
 
 
 
 
 
 
$964,978 
 
 
 
 
 
 
 
Net Unrealized 
 
 
 
 
Settlement 
Settlement 
Value at 
Appreciation/ 
Counterparty 
Contracts to Buy 
Currency 
Date 
Value 
October 31, 2018 
(Depreciation) 
Bank of New York Mellon 
91,350,000 
JPY 
12/14/18 
$ 806,755 
$ 812,552 
$ 5,797 
Bank of New York Mellon 
355,005 
EUR 
12/14/18 
403,082 
403,852 
770 
Bank of New York Mellon 
270,000 
GBP 
12/14/18 
351,629 
345,776 
(5,853) 
Bank of New York Mellon 
349,509,041 
JPY 
12/14/18 
3,130,230 
3,113,225 
(17,005) 
Bank of New York Mellon 
2,413,170 
EUR 
12/14/18 
2,796,750 
2,745,209 
(51,541) 
 
 
 
 
 
 
 
$(67,832) 
 
~
The face amount is denominated in U.S. dollars unless otherwise indicated.
*
Non-income producing security.
Value determined based on Level 1 inputs — See Note 2.
††
Value determined based on Level 2 inputs — See Note 2.
1
All or a portion of these securities have been physically segregated in connection with borrowings and reverse repurchase agreements. As of October 31, 2018, the total value of securities segregated was $750,614,035.
2
Rate indicated is the 7-day yield as of October 31, 2018.
3
Security is a 144A or Section 4(a)(2) security. These securities have been determined to be liquid under guidelines established by the Board of Trustees. The total market value of 144A or Section 4(a)(2) securities is $288,687,631 (cost $290,878,142), or 51.6% of total net assets.
4
Zero coupon rate security.
5
Variable rate security. Rate indicated is the rate effective at October 31, 2018. In some instances, the effective rate is limited by a minimum rate floor or a maximum rate cap established by the issuer. The settlement status of a position may also impact the effective rate indicated. In instances where multiple underlying reference rates and spread amounts are shown, the effective rate is based on a weighted average.
6
Perpetual maturity.
7
Security has a fixed rate coupon which will convert to a floating or variable rate coupon on a future date.
   
ADR
CAD
CHF
CNY
EUR
GBP
American Depositary Receipt
Canadian Dollar
Swiss Franc
Chinese Yuan
Euro
British Pound
 
See notes to financial statements.

34 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

     
PORTFOLIO OF INVESTMENTS continued 
October 31, 2018 
 
 
HKD 
Hong Kong Dollar 
 
JPY 
Japanese Yen 
 
LIBOR 
London Interbank Offered Rate 
 
plc 
Public Limited Company 
 
REIT 
Real Estate Investment Trust 
 
 
See Sector Classification in Other Information section.
The following table summarizes the inputs used to value the Fund’s investments at October 31, 2018 (See Note 2 in the Notes to Financial Statements):
           
 
 
 
Level 2 
Level 3 
 
 
 
Level 1 
Significant 
Significant 
 
 
 
Quoted 
Observable 
Unobservable 
 
Investments in Securities (Assets) 
Prices 
Inputs 
Inputs 
Total 
Common Stocks 
$ 86,013,055 
$                 — 
$ — 
   $   86,013,055 
Convertible Preferred Stocks 
61,962,241 
 
 
61,962,241 
Warrant 
235,196 
 
 
235,196 
Money Market Fund 
30,167,865 
 
 
30,167,865 
Convertible Bonds 
 
397,328,768 
 
397,328,768 
Corporate Bonds 
 
356,296,557 
 
356,296,557 
Senior Floating Rate Interests 
 
9,162,808 
 
9,162,808 
Forward Foreign Currency 
 
 
 
 
 
Exchange Contracts* 
 
971,545 
 
971,545 
Total Assets 
$ 178,378,357 
$ 763,759,678 
$ — 
$ 942,138,035 
 
 
 
 
Level 2 
Level 3 
 
 
 
Level 1 
Significant 
Significant 
 
 
 
Quoted 
Observable 
Unobservable 
 
Investments in Securities (Liabilities) 
Prices 
Inputs 
Inputs 
Total 
Written Options 
$ 488,140 
$       — 
$ — 
$ 488,140 
Forward Foreign Currency 
 
 
 
 
 
Exchange Contracts* 
 
74,399 
 
74,399 
Total Liabilities 
$ 488,140 
$ 74,399 
$ — 
$ 562,539 
 
* 
This derivative is reported as unrealized appreciation/depreciation at period end. 
 
 
Please refer to the detailed portfolio for the breakdown of investment type by industry category.
The Fund may hold assets and/or liabilities in which the fair value approximates the carrying amount for financial statement purposes. As of the period end, reverse repurchase agreements of $152,014,990 are categorized as Level 2 within the disclosure hierarchy.
The Fund did not hold any Level 3 securities during the year ended October 31, 2018.
Transfers between investment levels may occur as the markets fluctuate and/or the availability of data used in an investment’s valuation changes. Transfers between valuation levels, if any, are in comparison to the valuation levels at the end of the previous fiscal year, and are effective using the fair value as of the end of the current fiscal period.
For the year ended October 31, 2018, there were no transfers between levels.
See notes to financial statements.

AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT l 35

 

       
STATEMENT OF ASSETS AND LIABILITIES 
 
October 31, 2018
 
   
ASSETS: 
     
Investments, at value (cost $957,510,426) 
 
$
941,166,490
 
Unrealized appreciation on forward foreign currency exchange contracts 
   
971,545
 
Receivables: 
       
Investments sold 
   
19,915,156
 
Interest 
   
7,510,996
 
Dividends 
   
630,970
 
Tax reclaims 
   
283,455
 
Other assets 
   
257,501
 
Total assets 
   
970,736,113
 
LIABILITIES: 
       
Margin loan 
   
235,000,000
 
Reverse repurchase agreements 
   
152,014,990
 
Written options, at value (proceeds $407,795) 
   
488,140
 
Due to custodian 
   
858,165
 
Unrealized depreciation on forward foreign currency exchange contracts 
   
74,399
 
Interest due on borrowings 
   
26,277
 
Payable for: 
       
Investments purchased 
   
21,444,437
 
Investment advisory fees 
   
441,990
 
Professional fees 
   
371,987
 
Merger fees 
   
225,003
 
Servicing fees 
   
171,966
 
 Other fees 
   
178,738
 
Total liabilities 
   
411,296,092
 
NET ASSETS 
 
$
559,440,021
 
NET ASSETS CONSIST OF: 
       
Common stock, $0.001 par value per share; unlimited number of shares authorized, 
       
34,525,222 shares issued and outstanding 
 
$
34,525
 
Additional paid-in capital 
   
605,456,184
 
Total distributable earnings (loss) 
   
(46,050,688
)
NET ASSETS 
 
$
559,440,021
 
Shares outstanding ($0.001 par value with unlimited amount authorized) 
   
34,525,222
 
Net asset value, offering price and redemption price per share 
 
$
16.20
 
 
See notes to financial statements.

36 l AVK l ADVENT CLAYMORE CONVERTIBLE SECURITIES AND INCOME FUND ANNUAL REPORT

 

       
STATEMENT OF OPERATIONS 
 
October 31, 2018
For the Year Ended October 31, 2018 
     
 
INVESTMENT INCOME: 
     
Interest 
 
$
22,281,463
 
Dividends 
   
4,385,424
 
 Total investment income