Virtus Convertible & Income Fund II (NCZ)

Virtus Convertible & Income Fund II is a diversified closed-end fund that trades on the New York Stock Exchange under the symbol NCZ. It seeks total return through a combination of capital appreciation and high current income. The fund invests at least 80 percent of its assets in convertible securities and other income-producing securities, a large share of which are below investment grade. It uses leverage, including preferred shares, to enhance income.

The fund was launched in 2003 and has operated under several names as its sponsor changed over the years, reaching its current Virtus branding after Virtus took over the former Allianz Global Investors U.S. closed-end funds. Virtus Investment Advisers is the investment adviser, and Voya Investment Management serves as subadviser. It is a sister fund of Virtus Convertible & Income Fund, which trades as NCV.

NCZ pays monthly distributions on its common shares and quarterly dividends on its 5.50 percent Series A cumulative preferred shares. In late 2024 the fund carried out a reverse stock split alongside its sister fund. It continues to trade on the NYSE, with its market price able to move at a premium or discount to net asset value.