Multistrategy

10-Year U.S. Treasury Corporate BondsMunicipal BondsPreferred SecuritiesAlternative Income BlendS&P 500U.S. REITS

Equities Blend Fixed Income

$36k$27k

$19k$14k

$53k

$42k$50k

$35k$28k $28k $29k

$17k $19k$11k

Pre-Tax After-Tax(a)Exhibit 1: Annual Income From $1M Investment, Based on 12/31/19 Yield

Three Tax-Smart Income AlternativesInvestors today are facing the dual challenges of historically low interest rates and significant changes to the U.S. tax code, driving many to search for tax-efficient income. Cohen & Steers provides access to specialized, actively managed strategies with inherent tax efficiencies that may help investors diversify sources of income and potentially keep more of what they earn.

At December 31, 2019. Source: Cohen & Steers, Bloomberg, ICE BofAML. Data represents past performance, which is no guarantee of future results. An investor cannot invest directly in an index, and index performance does not reflect the deduction of any fees, expenses or taxes. The information presented above does not reflect the performance of any fund or other account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance reflected above. (a) Does not include state and local taxes and assumes taxation at highest marginal Federal income tax rates: ordinary income: 37%, qualified business income (QBI) 29.6%, capital gains: 20%, qualified dividend income (QDI): 20%, return of capital (ROC): 0% due to tax deferral. All tax rates except ROC include additional 3.8% Medicare surcharge. See pages 6 and 7 for index associations and definitions and additional disclosures, including after-tax assumptions.

REITs

• New 20% deduction on ordinary income distributions from REITs as qualified business income (QBI), reducing the top tax rate from 37% to 29.6%, plus a 3.8% Medicare surcharge

• Three “flavors” of tax-advantaged income: QBI, capital gains and return of capital (ROC)

• Income taxed only once, at the shareholder level, historically resulting in high and growing distributions— an efficient delivery of attractive rental income to investors

Alternative Income

• Potential income advantage of a tax-advantage alternative income blend compared with traditional stocks and bonds

• Blended allocation can provide less volatility versus investing in the individual asset classes

• Potential diversification benefits given historically low sensitivity to stocks and bonds

Preferred Securities

• Preferreds offer some of the highest income rates within investment-grade fixed income

• Most distributions treated as qualified dividend income (QDI) rather than interest, taxed at a top rate of 20% vs. 37%, plus a 3.8% Medicare surcharge

• Currently, high coupons and tax-advantaged treatment are generally resulting in higher yields than other investment-grade fixed-income categories, both before and after taxes

2

Three Tax-Smart Income Alternatives

At December 31, 2019. Source: IRS, Cohen & Steers. (a) As of 2018 tax year, taxable income of more than $500K (individuals) or $600K (married filing jointly).

37 % Includes wages, salary, commissions and interest; additional 3.8% Medicare surcharge applies

LowestTaxed

Highest Taxed

Net gain from the sale of REIT assets, typically taxed at a maximum rate of 20%, although a portion may be taxed at 25%; REITs are permitted to pass these gains through to shareholders without paying tax at the REIT level; additional 3.8% Medicare surcharge applies

29.6%

20%

New as of 2018

20% deduction on ordinary income from pass-through vehicles, including REITs; additional 3.8% Medicare surcharge applies

Tax Rate at the Highest Tax Bracket(a)

20%Dividends paid by U.S. and certain foreign corporations (excludes U.S. REITs); additional 3.8% Medicare surcharge applies

0%

Generated by non-cash deductions due to investment activities such as depreciation, depletion and amortization; does not incur an immediate tax liability, but instead reduces the cost basis for calculating capital gains at the time of sale

OrdinaryIncome

CapitalGains

QualifiedBusinessIncome(QBI)

QualifiedDividendIncome(QDI)

DeferredCapital Gain

Returnof Capital

(ROC)

Types of Income

3

REITs: Three flavors of tax-efficient income

REIT income distributions get a 20% tax break. A new deduction for qualified business income (QBI) changes the way U.S. REIT distributions are taxed, starting with the 2018 tax year. One requirement for U.S. REITs to be exempt from corporate taxes is to distribute out at least 90% of their taxable income to shareholders. This income is generated mostly from property rents and historically makes up about 60% of overall U.S. REIT distributions.

According to an announcement by the IRS on January 18, 2019, if this investment is held in a mutual fund, this income will be considered QBI, and is entitled to a 20% deduction as of the 2018 tax year. This deduction is available for all shareholders, regardless of their income level or whether they itemize or take the standard deduction. This means for every dollar of income investors previously paid taxes on, they will now pay tax on only 80 cents of income, reducing the top tax rate from 37% to 29.6%.

Complementary tax-efficient income streams. In addition to QBI, REITs generally distribute the net gains from any property sales as capital gains, taxed mostly at a top rate of 20%, while a portion is taxed at a top rate of 25%.

Example of REIT Return of Capital

$200 income from properties

– $75 cash expenses

= $125 net operating income (NOI) distributed to investors

$125 net operating income (NOI) distributed to investors

– $50 depreciation (portion of distribution classified as ROC)

= $75 taxable income (portion of distribution classified as QBI)

Exhibit 2: Aggregate Taxation of REIT Common Share Dividends(a) In Thousands

$10

$20

$30

$40

$50

U.S.

REI

T Di

viden

ds P

aid

($ B

illion

s) Total U.S. REIT Market Cap ($ Billions)

$250

$500

$750

$1,000

$1,250

At December 31, 2017. Source: REIT.com. Data represents past performance, which is no guarantee of future results. The information presented above does not reflect the performance of any fund or account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance reflected above. There is no guarantee that any historical trend illustrated above will be repeated in the future, and there is no way to predict precisely when such a trend might begin. An investor cannot invest directly in an index and index performance does not reflect the deductions of any fees, expenses or taxes. The views and opinions are as of the date of publication and are subject to change without notice. (a) U.S. REITs represented by the FTSE Nareit All REITs Index. The FTSE Nareit All REITs Index is a market capitalization-weighted index that includes all tax-qualified real estate investment trusts (REITs) that are listed on the New York Stock Exchange, the American Stock Exchange or the NASDAQ National Market List. The FTSE Nareit All REITs Index is not free float adjusted, and constituents are not required to meet minimum size and liquidity criteria.

Ordinary Income (lhs) Capital Gain (lhs)

Return of Capital (lhs) U.S. REIT Total Market Cap (rhs)

2004 2007 2011 2012 20172013 20152014 201620092008 20102005 20061997 2000 20022001 200319981995 1996 1999

Most REITs pay out all their net operating income to shareholders. However, they generally claim investment-related non-cash expenses, such as depreciation and amortization on their real estate assets, which reduces their taxable income. This difference in a REIT’s distributions between net operating and taxable income is considered return of capital (ROC). Any tax liability from ROC is deferred until time of sale, when it is calculated as a capital gain.

Single taxation and a history of high, growing dividends. To maintain their tax status as pass-through entities, U.S. REITs are required to pay out at least 90% of their taxable income to shareholders. In return, income is taxed only once at the shareholder level. This single taxation and distribution requirement is why REITs have historically paid higher dividends than most other companies. Because of the minimum distribution requirement, REIT dividends have generally grown in tandem with their underlying cash flows. As shown in Exhibit 1, REIT distributions have increased tenfold since 1995, with about 60% taxed as ordinary income that now gains an added tax break with the addition of the QBI deduction.

4

Three Tax-Smart Income Alternatives

Alternative Income Investing

The investment universe of real asset and alternative income securities has expanded significantly over the past several years. As one of the few specialist investment firms focused on the space, Cohen & Steers offers an Alternative Income Strategy that seeks to enhance and diversify income. The Strategy targets multiple non-traditional sources of income in a unified portfolio offering the potential for three benefits:

1. High, tax-advantaged income. The alternative income assets in the strategy provide tax-advantaged distributions including QDI, QBI and ROC. Exhibit 3 below highlights the potential income advantage of an alternative income blend, both before and after taxes, compared with more-traditional stocks and bonds.

2. Lower-volatility. Because these alternative asset class exhibit low historical correlations to one another, a blended allocation can provide a potentially smoother investment

experience than investing in them separately. This helps avoid the emotion often tied to higher levels of short-term volatility, particularly for investors who may be unfamiliar with alternative investments.

3. Low sensitivity to traditional assets. The strategy may help strengthen portfolio diversification. An alternative income blend has historically exhibited a low sensitivity to both traditional stocks and bonds. This may help enhance a portfolio’s overall risk-adjusted returns long term.

Five asset classes, one 1099. In addition, a consolidated alternative income strategy can deliver convenience benefits. We offer an open-end vehicle—Cohen & Steers Alternative Income Fund—that provides investors a simplified way to seek tax-advantaged and above-average income streams. These non-traditional asset classes are unified under one NAV, and investors receive one 1099 at tax time.(1)

Alternative Income Portfolio CompositionTarget Weight(+/- 10% Range)

45% 15% 15% 15% 10%

Global Real EstateSecurities

Global ListedInfrastructure

Midstream Energy and Master Limited

Partnerships (MLPs)

Natural ResourceEquity Securities

Preferred and Corporate Debt Securities

Exhibit 3: Alternative Income O�ers Attractive Income From Tax-Advantaged Asset ClassesMany Alternative Income Assets Provide Tax Benefits

2.82.8

MunicipalBonds

1.91.1

TreasuryBonds

1.91.4

S&P 500

5.43.8

PreferredSecurities

3.82.7

Global Real Estate

9.29.2

Midstream Equities and MLPs

3.62.8

Global ListedInfrastructure

3.93.0

Natural ResourceEquities

5.3

4.2

AlternativeIncome Blend

Alternative Income Portfolio Composition

Before TaxesAlternative Income Yields(2) After Taxes (Income > $612k)(3) After Taxes (Income > $612k)(3)Before TaxesTraditional Yields(2)

At December 31, 2019. Source: Cohen & Steers, ICE BofAML.Data quoted represents past performance, which is no guarantee of future results. The information presented above does not reflect the performance of any fund or other account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance reflected above. An investor cannot invest directly in an index and index performance does not reflect the deduction of any fees, expenses or taxes. (1) Effective July 1, 2019, the investment objectives of the Fund are to seek a high level of current income and secondarily, capital appreciation. Prior to July 1, 2019 the investment objectives of the Fund were to provide long-term growth of income and capital appreciation by investing in large capitalization dividend-paying common stocks and preferred stocks. (2) Yield to maturity shown for Preferred Securities, Municipal Bonds and Treasury Bonds. Dividend yield shown for all other asset classes. (3) Assumes taxation at the highest marginal Federal income tax rates of 37% for taxable interest income, 29.6% for QBI, 20% for QDI, 20% for capital gains with an additional 3.8% Medicare surcharge on all tax rates. State and local taxes are not included in these calculations. See pages 6 and 7 for index associations and additional disclosures, including after-tax assumptions.

5

Preferred Securities: Unlocking QDI

High, tax-advantaged income. Preferreds are issued mostly by high-quality issuers, but due to their subordinated position in the capital structure, they often pay higher income rates than similarly rated bonds. Many of these distributions are classified as qualified dividend income (QDI) and taxed at a top rate of 20%, compared to 37% for ordinary interest income (plus a 3.8% Medicare surcharge). This combination of high coupons and tax-advantaged treatment creates the potential for attractive after-tax income, as shown in Exhibit 3.

Using current index yields as proxies, a $1 million investment in preferred securities would potentially generate $50K per year in pre-tax income (see chart at right). If we assume that 65% of the income generated is QDI eligible, that would translate to $35.1K per year after taxes for investors in the top tax bracket—saving them $5.5K in taxes compared to the same income fully treated as interest.(b) This compares favorably to municipal bonds, which would potentially offer only $29K per year in tax-free income for a similar $1 million investment. Preferreds’ yield advantage may be narrower versus municipal bonds that are exempt from state and local taxes for investors who purchase the bonds issued by their state or municipality of residence.

Gaining a QDI edge. In 2019, about 72% of distributions from both the Cohen & Steers Preferred Securities and Income Fund and the Cohen & Steers Low Duration Preferred and Income Fund were classified as QDI. This large percentage of QDI is due, in part, to our tax team’s rigorous due diligence for every security we own.

2.6

3.7

1.3

2.2

1.21.0

1.7

Low DurationPreferred Securities

Low DurationMunicipal Bonds

Low DurationCorporate Bonds

5-Year Treasury

Low-Duration Fixed Income Yields (a)

Most preferreds pay dividends, which are

taxed at 20% for top earners

Interest income is taxed at 37% for

top earners5.0

3.5

2.9

1.9

1.1

2.9

1.7

Preferred Securities Municipal Bonds Corporate Bonds 10-Year Treasury

Intermediate-Duration Fixed Income Yields (a)

Exhibit 4: Tax-Advantaged Income

After TaxesBefore Taxes

At December 31, 2019. Source: Cohen & Steers, ICE BofAML.Data quoted represents past performance, which is no guarantee of future results. An investor cannot invest directly in an index, and index performance does not reflect the deduction of any fees, expenses or taxes. The information presented above does not reflect the performance of any fund or other account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance reflected above. See page 3 for index representations and definitions, additional disclosures.(a) Yields represented on a yield-to-maturity basis for intermediate-duration securities and a yield-to-worst basis for low-duration securities. After-tax income calculations based on current yields, do not include state and local taxes or Fund expenses, and assume taxation at the highest marginal Federal income tax rates. (b) Preferred securities assumed to be taxed as 65% QDI-eligible and 35% interest income. Tax advantage of $5.5K based on $50K of income taxed as interest at the highest marginal rate of 40.8% ($29.6K after taxes), versus 65% of income assumed to be taxed as QDI, with an effective tax rate of 29.8% ($35.1K after taxes).

6

Three Tax-Smart Income Alternatives

Cohen & Steers is a leading specialist in listed real assets and alternative

income solutions, with a long track record of strong investment performance

and an experienced, global team focused on delivering results for our clients.

Talk with your financial advisor about whether these strategies are suitable

for you based on your risk tolerance and investment objectives.

Index Definitions. An investor cannot invest directly in an index and index performance does not reflect the deduction of any fees, expenses or taxes. Alternative Income Blend: 45% Preferred Securities, 15% Global Real Estate, 15% Midstream Equities and MLPs, 15% Global Listed Infrastructure and 10% Natural Resource Equities. Preferred Securities: ICE BofAML Fixed Rate Preferred Securities Index (Credit quality: BBB) tracks the performance of fixed-rate U.S. dollar-denominated preferred securities issued in the U.S. domestic market. For Alternative Income (page 4), Preferreds represented by 60% ICE BofAML US IG Institutional Capital Securities Index, 20% ICE BofAML Core Fixed Rate Securities Index, and 20% Bloomberg Barclays Developed Market USD Contingent Capital Index. Preferred Securities after-tax calculations assumes preferred securities income is taxed at the respective qualified dividend rate and marginal tax rate on a 65/35 blended basis.Municipal Bonds: ICE BofAML Municipal Master Index (Credit quality: AA-) tracks the performance of U.S. dollar-denominated investment-grade tax-exempt debt publicly issued by U.S. states and territories, and their political subdivisions, in the U.S. domestic market. Municipal Bonds’ income is exempt from federal taxation.Corporate Bonds: ICE BofAML Corporate Master Index (Credit quality: A-) tracks the performance of U.S. dollar-denominated investment-grade corporate debt publicly issued in the U.S. domestic market. Corporate Bonds are taxed at 100% ordinary income.Low Duration Preferred Securities: ICE BofAML 8% Constrained Developed Markets Low Duration Capital Securities Custom Index (Credit quality: BBB-) tracks the performance of select U.S. dollar-denominated fixed and floating-rate preferred, corporate and contingent capital securities, with remaining term to final maturity of one year or more, but less than five years. Low Duration Municipal Bonds: (1-5 Year) ICE BofAML Municipal Master Index (Credit quality: AA-) tracks the performance of U.S. dollar-denominated investment-grade tax-exempt debt (with maturities of 1-5 years) publicly issued by U.S. states and territories, and their political subdivisions, in the U.S. domestic market. Low Duration Corporate Bonds: (1-5 Year) ICE BofAML Corporate Master Index (Credit quality: A-) tracks the performance of U.S. dollar-denominated investment-grade corporate debt (with maturities of 1-5 years) publicly issued in the U.S. domestic market. U.S. REITs: FTSE Nareit Equity REIT Index contains all tax-qualified REITs except timber and infrastructure REITs with more than 50% of total assets in qualifying real estate assets other than mortgages secured by real property that also meet minimum size and liquidity criteria. U.S REITs’ after-tax calculations assumes income is 60% QBI, 20% capital gains, 20% ROC.Global Real Estate: FTSE EPRA/NAREIT Developed Index is is an unmanaged market-capitalization-weighted total-return index, which consists of publicly traded equity REITs and listed property companies from developed markets and is net of dividend withholding taxes. Global Real Estate after-tax calculations assumes income is 22% QDI, 35% QBI, 8% capital gains, 11% ROC and 24% non-qualified income. Global Listed Infrastructure: Dow Jones Global Infrastructure Index is a float-adjusted market-capitalization-weighted index that measures performance of globally domiciled companies that derive more than 70% of their cash flows from infrastructure lines of business. Global Listed Infrastructure after-tax calculations assumes income is 100% QDI. Natural Resource Equities: S&P Global Natural Resources Index includes the largest publicly-traded companies in natural resources and commodities businesses that meet specific investability requirements and is net of dividend withholding taxes. Natural Resource Equities after-tax calculations assumes income is 100% QDI. Midstream: The Alerian MLP Index is a capped, float-adjusted, capitalization-weighted index, whose constituents represent approximately 85% of total MLP float-adjusted market capitalization. Midstream Equities and MLPs’ after-tax calculations assumes all income is ROC. Equities: The S&P 500 Index is an unmanaged index of 500 large-capitalization stocks that is frequently used as a general measure of U.S. stock market performance. Equities’ after-tax calculations assumes income is 100% QDI. The Federal Reserve 10-Year Treasury Constant Maturity Rate is published by the Federal Reserve Board based on average yield of a range of Treasury securities, all adjusted to the equivalent of a 10-year maturity. Yields on Treasury securities at constant maturity are determined by the U.S. Treasury from the daily yield curve. Treasury Bonds are fully taxable at the federal level at the taxable interest income rate of 37%.

7

Important DisclosuresData quoted represents past performance, which is no guarantee of future results. This commentary is for informational purposes, and reflects prevailing conditions and our judgment as of this date, which are subject to change without notice. We consider the information in this commentary to be accurate, but we do not represent that it is complete or should be relied upon as the sole source of suitability for investment. There is no guarantee that any market forecast set forth in this commentary will be realized. Investors should consult their tax, legal and investment professionals with respect to their individual circumstances. This material should not be relied upon as investment advice, does not constitute a recommendation to buy or sell a security or other investment and is not intended to predict or depict performance of any investment. This material is not being provided in a fiduciary capacity and is not intended to recommend any investment policy or investment strategy or take into account the specific objectives or circumstances of any investor. The information presented above does not reflect the performance of any fund or other account managed or serviced by Cohen & Steers, and there is no guarantee that investors will experience the type of performance reflected above.Please consider the investment objectives, risks, charges and expenses of any Cohen & Steers fund carefully before investing. A summary prospectus and prospectus containing this and other information may be obtained by visiting cohenandsteers.com or by calling 800 330 7348. Please read the summary prospectus and prospectus carefully before investing.Diversification does not assure a profit nor protect against loss. Risks of Investing in an Alternative Income Strategy. An alternative income strategy is subject to the risk that its asset allocations may not achieve the desired risk-return characteristic, underperform other similar investment strategies or cause an investor to lose money. In general, the risks of investing in preferred securities are similar to those of investing in bonds, including credit risk and interest-rate risk. As nearly all preferred securities have issuer call options, call risk and reinvestment risk are also important considerations. In addition, investors face equity-like risks, such as deferral or omission of distributions, subordination to bonds and other more senior debt, and higher corporate governance risks with limited voting rights. Risks associated with preferred securities are different from risks inherent with other investments. In particular, in the event of bankruptcy, a company’s preferred securities are senior to common stock but subordinated to all other types of corporate debt. Risks of investing in REITs are similar to those associated with direct investments in real estate securities, including (i) property values may fall due to increasing vacancies, declining rents resulting from economic, legal, tax, political or technological developments, lack of liquidity, limited diversification and sensitivity to certain economic factors such as interest rate changes and market recessions. Securities of natural resource companies may be affected by events occurring in nature, inflationary pressures and international politics. Global infrastructure securities may be subject to regulation by various governmental authorities, such as rates charged to customers, operational or other mishaps, tariffs and changes in tax laws, regulatory policies and accounting standards. Foreign securities involve special risks, including currency fluctuation and lower liquidity. An investment in MLPs involves risks that differ from a similar investment in equity securities, such as common stock, of a corporation. Holders of equity securities issued by MLPs have the rights typically afforded to limited partners in a limited partnership. As compared to common shareholders of a corporation, holders of such equity securities have more limited control and limited rights to vote on matters affecting the partnership. There are certain tax risks associated with an investment in equity MLP units. MLPs are subject to significant regulation and may be adversely affected by changes in the regulatory environment, including the risk that an MLP could lose its tax status as a partnership.Risks of inversing in preferred securities. An investment in a preferred strategy is subject to investment risk, including the possible loss of the entire principal amount that you invest. The value of these securities, like other investments, may move up or down, sometimes rapidly and unpredictably. Our preferred strategies may invest in below-investment-grade securities and unrated securities judged to be below investment-grade by the Advisor. Below-investment-grade securities or equivalent unrated securities generally involve greater volatility of price and risk of loss of income and principal, and may be more susceptible to real or perceived adverse economic and competitive industry conditions than higher-grade securities. The strategies’ benchmarks do not contain below investment-grade securities. Duration Risk. Duration is a mathematical calculation of the average life of a fixed-income or preferred security that serves as a measure of the security’s price risk to changes in interest rates (or yields). Securities with longer durations tend to be more sensitive to interest rate (or yield) changes than securities with shorter durations. Duration differs from maturity in that it considers potential changes to interest rates, and a security’s coupon payments, yield, price and par value and call features, in addition to the amount of time until the security matures. Various techniques may be used to shorten or lengthen the Fund’s duration. The duration of a security will be expected to change over time with changes in market factors and time to maturity.This commentary must be accompanied by the most recent Cohen & Steers fund fact sheet(s) and summary prospectus if used in conjunction with the sale of mutual fund shares. Cohen & Steers Capital Management, Inc. (Cohen & Steers) is a registered investment advisory firm that provides investment management services to corporate retirement, public and union retirement plans, endowments, foundations and mutual funds. Cohen & Steers U.S. registered open-end funds are distributed by Cohen & Steers Securities, LLC, and are available only to U.S. residents.

About Cohen & Steers

Cohen & Steers is a global investment manager specializing in liquid real assets, including real estate securities, listed infrastructure, commodities and natural resource equities, as well as preferred securities and other income solutions. Founded in 1986, the firm is headquartered in New York City, with offices in London, Hong Kong and Tokyo.

cohenandsteers.com Advisors & Investors: 800 330 7348Institutions & Consultants: 212 822 1620

Publication Date: March 2020 Copyright © 2020 Cohen & Steers, Inc. All rights reserved.

We believe accessing investment opportunities around the world requires local knowledge and insight into specialized and regional markets. Cohen & Steers maintains a global presence through the following offices:

Americas

NEW YORK

Corporate Headquarters280 Park Avenue, 10th Floor New York, New York 10017

Phone 212 832 3232 Fax 212 832 3622

Europe

LONDON

Cohen & Steers UK Limited50 Pall Mall, 7th Floor London SW1Y 5JH United Kingdom

Phone +44 207 460 6350

Asia Pacific

HONG KONG

Cohen & Steers Asia LimitedSuites 1201–02, Champion Tower 3 Garden Road Central, Hong Kong

Phone +852 3667 0080

TOKYO

Cohen & Steers Japan, LimitedPacific Century Place, 16F 1-11-1 Marunouchi Chiyoda-ku Tokyo 100–6216 Japan

Phone +81 3 4530 4710

MP874 0320