SEC Form DFAN14A filed by Nuveen New York AMT-Free Quality Municipal Income Fund
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
___________________________________
SCHEDULE 14A
Proxy Statement Pursuant to Section 14(a) of the
Securities Exchange Act of 1934
(Amendment No. )
___________________________________
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Filed by a Party other than the Registrant ☒
Check the appropriate box:
☐ Preliminary Proxy Statement
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☐ Definitive Proxy Statement
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☐ Soliciting Material under §240.14a-12
| Nuveen New York AMT-Free Quality Municipal Income Fund |
| (Name of Registrant as Specified in Its Charter) |
|
| Karpus Management, Inc., d/b/a Karpus Investment Management |
| (Name of Persons(s) Filing Proxy Statement, if Other Than the Registrant) |
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☐ Fee computed on table in exhibit required by Item 25(b) per Exchange Act Rules 14a6(i)(1) and 0-11.
July 25, 2024
Dear Fellow Shareholder,
As you may know, the Nuveen New York AMT-Free Quality Municipal Income Fund (NYSE: NRK) is having its annual meeting of shareholders on August 15, 2024. At this annual meeting shareholders will vote on several crucial matters that will determine the future of your fund. Karpus Management, Inc., d/b/a Karpus Investment Management is a client-focused advisor with a track record of fighting for shareholder rights and enhancing shareholder value. As the largest shareholder of your fund, our interests ARE aligned … with yours. We are seeking to elect three independent nominees as well as terminate the investment advisory agreement with Nuveen for a number of reasons. Your Fund has been sending out multiple letters and communications about Karpus and the proposals, in an attempt to convince you to vote for the status quo. There are a number of key facts, however, that they have not shared. We believe it is important to support the Karpus nominees and termination proposal for the following reasons:
| 1. | Poor Performance: NRK is a levered closed-end fund that, under the management of Nuveen, failed to outperform the unlevered S&P New York Municipal Index on 1-, 3-, 5-, and 7- year time horizons. |
| Periods ending June 30, 2024 | 1 Year | 3 Year | 5 Year | 7 Year |
| NRK's NAV Performance | 3.43% | -3.92% | -0.14% | 1.23% |
| S&P Municipal Bond New York Index | 3.43% | -0.66% | 1.17% | 1.88% |
| 2. | Persistently Wide Trading Discount: Not only has performance been supremely underwhelming, but NRK consistently trades at the widest discount of all the funds in the Lipper New York Muni Debt Funds category. Reflecting shareholder dissatisfaction, NRK’s 20 year average discount is over 5% wider than its peers. Shareholders have not been able to access full value of their investment in over a decade. |
| Periods ending June 30, 2024 | NRK | LIPPER PEER GROUP | RANKING
IN GROUP* |
Difference between NRK and Peer Group Ave. |
| 1 Yr Avg. discount | -12.29% | -11.74% | 6th of 12 | -0.55% |
| 3 Yr Avg. discount | -11.19% | -8.15% | 10th of 12 | -3.05% |
| 5 Yr Avg. discount | -10.92% | -7.02% | 12 of 12 (Worst) | -3.90% |
| 7 Yr Avg. discount | -11.28% | -6.59% | 12 of 12 (Worst) | -4.68% |
| 10 Yr Avg. discount | -10.72% | -5.49% | 12 of 12 (Worst) | -5.24% |
| 15 Yr Avg. discount | -9.20% | -3.80% | 12 of 12 (Worst) | -5.40% |
| 20 Yr Avg. discount | -8.88% | -3.76% | 12 of 12 (Worst) | -5.11% |
| 3. | Nuveen’s “Independent” Board: The current trustees are “hand-picked” by Nuveen, sit on the boards of 139 Nuveen funds, and are paid from $366,343-$526,950 by Nuveen funds. They adopted an illegal bylaw designed to strip shareholder voting rights, only letting go of the illegal bylaw when a Judge ruled against them … TWICE. We believe this lack of Independence is a clear sign that Nuveen’s trustees are aligned with protecting the Nuveen “Franchise” and not with maximizing shareholder value. |
The time for change is NOW! We urge you to vote to FOR the independent nominees on the GREEN PROXY CARD.
Based on the abysmal “performance” and persistent trading discount, we also believe the Board owes it to shareholders to assess other available options to manage our fund. If you agree, please vote FOR proposal 3 on the GREEN PROXY CARD.
Sincerely,
Daniel L. Lippincott
President & Chief Investment Officer
