Elaine Zaharis-Nikas
About Elaine Zaharis-Nikas
Elaine Zaharis‑Nikas is Vice President and Portfolio Manager for the Cohen & Steers Select Preferred and Income Fund (PSF). She joined Cohen & Steers Capital Management in 2003, served as Vice President from 2005–2013, and has been a Senior Vice President since 2014; she has been a PSF portfolio manager since 2012 . Born in 1973, she leads the fund’s preferred securities strategy within a team‑based process . PSF’s average annual total returns as of June 30, 2024 were 18.49% (1‑yr NAV), 3.75% (5‑yr NAV), and 7.77% (10‑yr NAV); market price returns were 17.89% (1‑yr), 0.96% (5‑yr), and 6.93% (10‑yr) .
Past Roles
| Organization | Role | Years | Strategic Impact |
|---|---|---|---|
| Cohen & Steers Capital Management, Inc. | Vice President | 2005–2013 | Investment professional leadership in preferreds |
| Cohen & Steers Capital Management, Inc. | Senior Vice President | 2014–present | Senior PM responsibilities across preferred strategies |
| Cohen & Steers Select Preferred & Income Fund (PSF) | Portfolio Manager | 2012–present | Directs and supervises PSF investment strategy execution |
External Roles
No public company directorships or external roles were disclosed for Zaharis‑Nikas in PSF’s officer lists and fund filings reviewed .
Fixed Compensation
Zaharis‑Nikas is compensated by Cohen & Steers Capital Management (the Advisor), not by PSF; fund officers other than the Chief Compliance Officer receive no compensation from the Funds . Advisor compensation for portfolio managers comprises base salary, cash bonuses, and stock‑based awards, reviewed primarily annually, typically paid/put into effect in January following CNS’s fiscal year‑end; amounts vary with manager performance and other factors .
| Component | Structure | Notes |
|---|---|---|
| Base Salary | Fixed by seniority/position | Determined by Advisor; varies by role |
| Cash Bonus | Variable | Driven by performance vs benchmarks and Advisor/CNS operating performance |
| Stock‑based Compensation | Variable | Awarded by Advisor; influenced by performance and firm results |
| Fund Officer Pay | Not paid by PSF | Officers (except CCO) receive no fund compensation |
Performance Compensation
Advisor’s PM incentives emphasize fund/account performance versus appropriate benchmarks, with primary emphasis on 1‑ and 3‑year horizons; risk‑adjusted performance and achievement of high current income objectives are also considered. Evaluation is on a pre‑tax/pre‑expense basis and on an aggregate basis for PMs managing multiple funds .
| Metric | Weighting | Target | Actual (Context) | Payout Mechanism | Vesting |
|---|---|---|---|---|---|
| Total return vs peer benchmarks (e.g., Morningstar U.S. All Taxable Ex‑Foreign Equity Index and other broad indices) | Primary emphasis on 1‑ and 3‑year performance | Not disclosed | PSF avg. annual total returns (NAV): 1‑yr 18.49%, 5‑yr 3.75%, 10‑yr 7.77; Market: 1‑yr 17.89%, 5‑yr 0.96%, 10‑yr 6.93 (as of 6/30/2024) | Cash bonus and stock‑based awards vary with performance (amounts not disclosed) | Not disclosed |
| Risk‑adjusted performance | Secondary | Not disclosed | Considered qualitatively by Advisor | Incorporated in variable pay | Not disclosed |
| High current income objective achievement | Considered for income‑focused funds | Not disclosed | Policy/distribution managed by Board; fund uses leverage to enhance income | Incorporated in variable pay | Not disclosed |
| Team management effectiveness | Secondary | Not disclosed | PMs evaluated on leading analysts/teams | Incorporated in variable pay | Not disclosed |
Equity Ownership & Alignment
- Form 5 filings show only dividend reinvestment acquisitions; no sales were reported for 2019–2024 .
- PSF shares outstanding were 12,028,187 as of the February 14, 2025 record date, implying Zaharis‑Nikas’s 2024 beneficial holdings equate to roughly 0.017% of outstanding shares (context for alignment) .
| Metric | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|
| Direct Shares Beneficially Owned | 1,811 | 1,956 | 1,108.6183 | 1,221.2336 | 1,336.8453 | 1,441.7744 |
| Indirect Shares (child’s account) | — | — | 492.718 | 542.7694 | 594.1514 | 640.7726 |
| Total Beneficial Shares | 1,811 | 1,956 | 1,601.3363 | 1,764.003 | 1,930.9967 | 2,082.547 |
| Ownership % of PSF Outstanding | — | — | — | — | — | ~0.017% (2,082.547 / 12,028,187) |
| Options/RSUs/PSUs | None disclosed | None disclosed | None disclosed | None disclosed | None disclosed | None disclosed |
Additional alignment notes:
- No pledging/hedging disclosures identified in filings reviewed; Forms indicate family account holdings with disclaimed beneficial ownership except to the extent of pecuniary interest .
- Stock ownership guidelines for fund officers not disclosed/applicable in fund filings .
Employment Terms
- Employment is through Cohen & Steers Capital Management; fund officers (other than the Chief Compliance Officer) are not paid by PSF, so severance, change‑of‑control, clawbacks, tax gross‑ups, and perquisites are not disclosed at the Fund level .
- Compensation determination by the Advisor is performance‑linked (benchmarks, horizons) and influenced by Advisor/CNS operating performance; specific contracts, non‑competes, or auto‑renewals are not disclosed in PSF filings .
Performance & Track Record
- Team‑based PM approach; Zaharis‑Nikas, Scapell, and Dorost direct execution of strategy (Dorost added April 29, 2022) .
- Sector selection contributed positively at different times: utilities and energy/pipeline selection aided relative returns in H1 2024; leverage and swaps contributed significantly to performance in H1 2024 . Earlier, H1 2022 leverage detracted from performance; swaps contributed positively; pipelines selection aided relative performance .
- Average annual total returns: as of June 30, 2024 NAV 18.49% (1‑yr), 3.75% (5‑yr), 7.77% (10‑yr); Market 17.89% (1‑yr), 0.96% (5‑yr), 6.93% (10‑yr) . As of June 30, 2022 NAV −15.27% (1‑yr), 2.36% (5‑yr), 7.10% (10‑yr); Market −27.21% (1‑yr), 1.35% (5‑yr), 6.72% (10‑yr) .
| Metric | Q2 2022 | Q2 2024 |
|---|---|---|
| NAV 1‑Year Return | −15.27% | 18.49% |
| NAV 5‑Year Return | 2.36% | 3.75% |
| NAV 10‑Year Return | 7.10% | 7.77% |
| Market 1‑Year Return | −27.21% | 17.89% |
| Market 5‑Year Return | 1.35% | 0.96% |
| Market 10‑Year Return | 6.72% | 6.93% |
Operational considerations:
- PSF employs leverage to enhance yield; leverage has variably impacted returns; interest rate swaps are used to reduce floating‑rate borrowing risk .
- Distribution policy shifted from managed distribution ($0.135 monthly) to a level rate ($0.126 monthly) effective July 1, 2023; distributions may include return of capital .
Risk Indicators & Red Flags
- Section 16(a) compliance: one Form 3 filing for Zaharis‑Nikas relating to addition as portfolio manager for RFI was not timely due to administrative error; otherwise filings complied for the relevant periods .
- Insider selling pressure: none indicated; reported acquisitions were via dividend reinvestment, with no sales reported in Form 5 filings 2019–2024 .
- Pledging/hedging: no disclosures identified in reviewed filings .
Investment Implications
- Compensation alignment: Advisor’s pay‑for‑performance framework (1‑ and 3‑year emphasis vs benchmarks, risk‑adjusted metrics, and high income objectives) ties Zaharis‑Nikas’s variable pay to fund outcomes, supporting alignment with investor returns .
- Insider signals: small, steadily increasing beneficial holdings via DRIP (about 2,083 shares in 2024) are modest relative to ~12.0M shares outstanding, offering limited “skin‑in‑the‑game” but no selling pressure .
- Execution risk: PSF’s leverage and swap usage are material levers—positive in supportive environments (e.g., H1 2024), negative when rates/markets move adversely (e.g., H1 2022)—placing a premium on interest‑rate and sector selection execution by the PM team .
- Governance/retention: As compensation is paid by the Advisor (not the Fund), retention risk is primarily tied to Advisor/CNS performance and internal incentives; fund‑level severance/COC economics are not applicable/disclosed .