DEF 14A: MainStay MacKay Fund to Hold Annual Shareholder Meeting, Elect Trustees

MainStay MacKay DefinedTerm Municipal Opportunities Fund announces its annual shareholder meeting to elect three Class III Trustees and conduct other business.

Summary

• MainStay MacKay DefinedTerm Municipal Opportunities Fund will hold its Annual Meeting of Shareholders on September 27, 2024, at 9:00 a.m. Eastern time, at the offices of New York Life Investment Management LLC.
• The primary purpose of the meeting is to elect three Class III Trustees to serve for three-year terms expiring in 2027.
• Shareholders of record as of July 19, 2024, are entitled to vote at the meeting.
• The Board of Trustees recommends voting FOR the Class III Trustee nominees.
• The fund will change its name to NYLI MacKay DefinedTerm Muni Opportunities Fund effective August 28, 2024.
• The proxy statement and notice of the annual meeting are available online.
• Shareholders can vote by mail, online, by phone, or in person at the meeting.
• The presence of holders of thirty-three and one-third percent (33 1/3%) of the Fund's outstanding shares entitled to vote at the Meeting shall constitute a quorum.

Sentiment

Score: 7

Explanation: The document is a standard proxy statement, which is generally neutral in tone. It provides necessary information for shareholders to make informed decisions regarding the election of trustees and other governance matters. The recommendation to vote for the nominees suggests a positive outlook from the Board's perspective.

Positives

• The Board of Trustees is actively engaged in risk oversight through regular meetings and committees.
• The Fund has a Liquidity Program in place to manage liquidity risk.
• The Audit Committee is composed of independent members and oversees the Funds accounting and financial reporting processes.
• The Nominating and Governance Committee has policies for considering Trustee candidates, including those recommended by shareholders.
• The Fund provides multiple avenues for shareholders to communicate with the Board.

Risks

• If PwC's objectivity and impartiality is impaired, the Fund may need to obtain audit services from a different independent registered public accounting firm.
• The Board recognizes that it is not possible to identify all of the risks that may affect the Fund or to develop processes and controls to mitigate or eliminate all risks and their possible effects.

Future Outlook

The document outlines the upcoming Annual Meeting and the election of trustees, indicating a continuation of the Funds governance structure.

Management Comments

• The Board of Trustees believes that the Class III Trustee nominees are experienced in overseeing an investment company and that their election is in the Funds best interests.
• The Board recommends that you vote FOR the Class III Trustee nominees.
• Kirk C. Lehneis, President, encourages shareholders to carefully read the Proxy Statement and vote promptly.

Industry Context

This announcement is typical for registered investment companies, ensuring compliance with regulatory requirements and providing shareholders with the opportunity to participate in the governance of the fund.

Comparison to Industry Standards

• The fund's governance structure, with a majority of independent trustees and various committees, aligns with industry best practices for mutual funds and closed-end funds.
• The process for selecting and nominating trustees is consistent with practices at other large fund complexes, such as those managed by Fidelity, Vanguard, and BlackRock.
• The disclosure of audit and non-audit fees paid to the independent auditor is standard practice and provides transparency to shareholders.
• The engagement of a proxy solicitation firm is common for funds seeking to ensure sufficient shareholder participation in annual meetings.

Stakeholder Impact

• Shareholders have the opportunity to influence the Funds governance by voting on the election of Trustees.
• The election of qualified Trustees is intended to benefit shareholders by ensuring effective oversight of the Fund.
• The Funds operations and financial reporting are subject to oversight by the Audit Committee, which includes independent members.

Next Steps

• Shareholders should review the Proxy Statement and vote on the proposals.
• The Fund will hold its Annual Meeting on September 27, 2024.
• The newly elected Class III Trustees will begin their three-year terms.

Key Dates

Keywords

Trustees, Annual Meeting, Proxy Statement, Shareholders, Fund, MainStay MacKay, Investment Company