UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-CSR

CERTIFIED SHAREHOLDER REPORT OF REGISTERED
MANAGEMENT INVESTMENT COMPANIES

ITEM 1. REPORT TO SHAREHOLDERS

Table of Contents

January 31, 2018 | Annual Report 1

Letter from the President

Dear Shareholder:

During the twelve-month period ended January 31, 2018, the Russell 3000 Index, a broad measure of US stock market performance, gained 25.15%; the Russell 1000 Value Index, a measure of large-cap value-style stocks, rose 17.20%; and the Russell 1000 Growth Index, a measure of growth style stocks, gained 34.89%. Convertible securities, as reflected by the ICE BofA Merrill Lynch All Convertibles All Qualities Index, returned 14.18%.

Turning to the US economy, gross domestic product (“GDP”), the value of goods and services produced in the country, which is the broadest measure of economic activity and the principal indicator of economic performance, expanded at an annual pace of 1.4% during the first quarter of 2017. GDP growth then improved to an annualized pace of 3.1% and 3.2% during the second and third quarters of 2017, respectively. Finally, the Commerce Department’s second estimate – released after the reporting period had ended – showed that GDP grew at an annualized pace of 2.5% for the fourth quarter of 2017.

The US Federal Reserve (the “Fed”) raised interest rates three times during the reporting period: in March, June and December 2017. With the rate hike in December, the federal funds rate moved to a range between 1.25% and 1.50%. Meanwhile, in October 2017 the Fed started to gradually reduce its balance sheet – a process that will likely take several years. The Fed’s actions during the fiscal year were well telegraphed and there were minimal market disruptions.

2 Annual Report | January 31, 2018

So, while we anticipate the scale of central bank support will diminish in 2018 – led by the Fed – we expect the overall shift to be slow and the precise actions to vary from one central bank to the next. In our view, interest rates will stay low overall in 2018. Consequently, we believe investors should continue to keep a careful eye on inflation, particularly because official data appear to understate rises in real-world costs. In addition to macroeconomic considerations, we feel several dominant investment themes, including geopolitical risk and business disruption, will persist in 2018.

Following muted conditions for much of last year, we have seen increased market volatility during the first quarter of 2018. This does not appear to be driven by a change in underlying market fundamentals, but rather driven by concerns that improving economic growth may trigger an uptick in inflation and more aggressive monetary policy tightening by the Fed.

Against this backdrop, we will continue to use our fundamental research and insights – and our strong global network – to help our clients balance risk and reward. Where appropriate, we will also seek to capitalize on volatility spikes and prepare to trim exposure to risky assets if cyclical data start to lose momentum.

On behalf of Allianz Global Investors U.S. LLC, thank you for investing with us. We encourage you to consult with your financial advisor and to visit our website, us.allianzgi.com, for additional information. We remain dedicated to serving your investment needs.

Thomas J. Fuccillo

President & Chief Executive Officer

January 31, 2018 | Annual Report 3

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited)

AllianzGI Diversified Income & Convertible Fund

For the period of February 1, 2017 through January 31, 2018, as provided by Doug Forsyth, CFA, Portfolio Manager.

For the twelve-month period ended January 31, 2018, the AllianzGI Diversified Income & Convertible Fund (the “Fund”) returned 21.03% on net asset value (“NAV”) and 26.13% on market price.

During the reporting period, the Russell 1000 Growth Index, a measure of growth style stocks, advanced 34.89%; convertible securities, as reflected by the ICE BofA Merrill Lynch All Convertibles All Quality Index, returned 14.18%; and high yield bonds, as reflected by the ICE BofA Merrill Lynch High Yield Master II Index, returned 6.74%.

Market Environment

Several factors influenced large-cap equities, convertible securities and high-yield bonds throughout the reporting period, including constructive economic trends, corporate fundamentals, the US Federal Reserve’s (the “Fed”) actions and commentary, tax reform and rising commodity prices.

Strong US economic trends supported the market over the reporting period. Higher housing prices helped push household wealth higher. Key manufacturing and service surveys signaled ongoing expansion. Stronger consumer spending and steady job gains supported gross domestic product (“GDP”) growth. Headline inflation eased in December but core inflation rose.

Credit trends showed sustained improvement during the reporting period as most high-yield bond and convertible bond issuers reported financial results that met or exceeded expectations. In particular, net leverage and interest coverage for the high-yield market were better quarter-over-quarter. Large-cap equities reported consecutive quarters of year-over-year earnings growth.

The Fed increased its benchmark interest rate three times in 2017, ending the year at a range of 1.25% to 1.50%. The Fed also began to trim its balance sheet holdings, which started with a $10 billion reduction in October.

All three markets also benefited from optimism tied to tax reform progress and the resulting expectation of greater corporate profitability. The Tax Cuts and Jobs Act included several positive elements such as a reduction in the corporate tax rate and the immediate expensing of capital expenditures. On balance, the prospect of US companies capturing tax savings lifted investor sentiment.

Crude oil prices rose and ended the reporting period at levels not seen since 2014 benefitting energy- and commodity-related issuers.

4 Annual Report | January 31, 2018

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

The trend of subdued volatility continued to persist throughout the 2017 calendar year. The Chicago Board Options Exchange Volatility Index (“CBOE VIX”) averaged 11.10 for the calendar year. During the reporting period, the CBOE VIX hit long-term lows multiple times and troughed intra-day with a sub-9 reading near the Christmas holiday.

Portfolio Specifics

The Fund was a natural beneficiary of the increased risk appetite across three key asset classes: equities, convertible bonds and high yield bonds. In addition to providing a strong total return, the Fund also provided a high level of income over the reporting period.

In the equity sleeve, health care, information technology, and industrials sectors helped relative performance. Conversely, the consumer discretionary, consumer staples, and energy sectors hindered relative performance.

In the convertible sleeve, sectors that contributed positively to relative performance were financials, consumer discretionary, and transportation. On the other hand, information technology, energy, and telecommunications sectors pressured relative performance.

In the high yield sleeve, industries that aided relative performance were health care, retail, and financial services. In contrast, energy, telecommunications, and support-services hampered relative performance.

For the covered call strategy, many option positions expired below strike and the portfolio was able to retain the set premiums. The number of equities with a covered call structure remained low given the subdued equity volatility backdrop and resulting opportunity set.

Outlook

At fiscal year end, US stock markets were trading near all-time highs and interest rates were above their prior lows on an improving economic outlook. Historically, these factors have been positive indicators for both economic and corporate earnings growth and supportive of investments in risk assets.

We believe the US economy will expand at a moderate pace in 2018 given favorable economic indicators exiting 2017. Corporate profits have accelerated and based on bottom-up estimates, we believe earnings are poised to trend higher throughout 2018.

In addition, US monetary policy continues to be modestly accommodative with the Fed and new Chair Jerome Powell expected to take a gradual approach toward policy adjustments.

AllianzGI Equity & Convertible Income Fund

For the period of February 1, 2017 through January 31, 2018, as provided by Doug Forsyth, CFA, Portfolio Manager.

January 31, 2018 | Annual Report 5

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

For the twelve-month period ended January 31, 2018, the AllianzGI Equity & Convertible Income Fund (the “Fund”) returned 21.81% on net asset value (“NAV”) and 24.96% on market price.

During the reporting period, the Russell 1000 Growth Index, a measure of growth style stocks, advanced 34.89%; and convertible securities, as reflected by the ICE BofA Merrill Lynch All Convertibles All Qualities Index, returned 14.18%.

Market Environment

Several factors influenced equities and convertible bonds throughout the reporting period, including constructive economic trends, corporate fundamentals, the US Federal Reserve’s (the “Fed”) actions and commentary, tax reform and rising commodity prices.

Strong US economic trends supported the market over the reporting period. Higher housing prices helped push household wealth higher. Key manufacturing and service surveys signaled ongoing expansion. Stronger consumer spending and steady job gains supported gross domestic product (“GDP”) growth. Headline inflation eased in December but core inflation rose.

Credit trends showed sustained improvement during the reporting period as most convertible bond issuers reported financial results that met or exceeded expectations. Large-cap equities reported consecutive quarters of year-over-year earnings growth.

The Fed increased its benchmark interest rate three times in 2017, ending the year at a range of 1.25% to 1.50%. The Fed also began to trim its balance sheet holdings, which started with a $10 billion reduction in October.

The convertible and equity markets also benefited from optimism tied to tax reform progress and the resulting expectation of greater corporate profitability. The Tax Cuts and Jobs Act included several positive elements such as a reduction in the corporate tax rate and the immediate expensing of capital expenditures. On balance, the prospect of US companies capturing tax savings lifted investor sentiment.

Crude oil prices rose and ended the reporting period at levels not seen since 2014, benefitting energy- and commodity-related issuers.

The trend of subdued volatility continued to persist throughout the 2017 calendar year. The Chicago Board Options Exchange Volatility Index (“CBOE VIX”) averaged 11.10 for the calendar year. During the reporting period, the CBOE VIX hit long-term lows multiple times and troughed intra-day with a sub-9 reading near the Christmas holiday.

Portfolio Specifics

The Fund was a natural beneficiary of the increased risk appetite across two key asset classes: equities and convertible bonds. In addition to providing a strong total return, the

6 Annual Report | January 31, 2018

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

Fund also provided a high level of income over the reporting period.

In the equity sleeve, health care, industrials, and real estate sectors helped relative performance. Conversely, the energy, consumer discretionary, and consumer staples sectors hindered relative performance.

In the convertible sleeve, sectors that contributed positively to relative performance were energy, materials, and consumer discretionary. On the other hand, information technology, health care, and media pressured relative performance.

For the covered call strategy, many option positions expired below strike and the portfolio was able to retain the set premiums. The number of equities with a covered call structure remained low given the subdued equity volatility backdrop and resulting opportunity set.

Outlook

At fiscal year end, US stock markets were trading near all-time highs and interest rates were above their prior lows on an improving economic outlook. Historically, these factors have been positive indicators for both economic and corporate earnings growth and supportive of investments in risk assets.

We believe the US economy will expand at a moderate pace in 2018 given favorable economic indicators exiting 2017. Corporate profits have accelerated and based on bottom-up estimates, earnings are poised to trend higher throughout 2018.

In addition, US monetary policy continues to be modestly accommodative with the Fed and new Chair Jerome Powell expected to take a gradual approach toward policy adjustments.

AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

For the period of February 1, 2017 through January 31, 2018, as provided by the Value Equity, US team.

For the twelve-month period ended January 31, 2018, the AllianzGI NFJ Dividend, Interest & Premium Strategy Fund (the “Fund”) returned 12.45% on net asset value (“NAV”) and 12.92% on market price.

During the reporting period, the Russell 1000 Value Index, a measure of large-cap value style stocks, advanced 17.20%; and convertible securities, as reflected by the ICE BofA Merrill Lynch All Convertibles All Qualities Index, returned 14.18%.

Market Environment

The twelve-month period ended January 31, 2018 was a robust period for US equities, with major indices touching a series of fresh peaks and the S&P 500 Index up more than 26%. Share prices were buoyed by better-than-expected company earnings, renewed

January 31, 2018 | Annual Report 7

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

merger and acquisition activity, and optimism over the prospects for tax reform. In December, the Senate finally approved plans for $1.5 trillion of tax cuts, the most sweeping overhaul of the US tax system in more than three decades. Despite the temporary shocks caused by hurricanes Harvey and Irma in late August and early September, US economic activity was robust. After annualized growth of 1.4% in the first quarter, US gross domestic product (“GDP”) expanded at annualized rates of 3.1% in the second quarter, 3.2% in the third quarter, and 2.5% in the fourth quarter. This placed the economy on track to expand at the fastest pace in 2017 than at any time since 2005. The momentum appeared to be continuing into the final quarter of the year, with more than 200,000 jobs added in each of October and November. The reporting period ended with a temporary government shutdown and rising bond yields, though better-than-expected corporate earnings and optimism that tax reform would further uplift US company profits helped US equities overcome these hurdles.

The US Federal Reserve (the “Fed”) continued to gradually normalize monetary policy, announcing it would start to reduce the $4.5 trillion of Treasury bonds and mortgage-backed securities it amassed through its quantitative easing programs. As widely expected, the Fed raised interest rates three times, in March, June and December, increasing the federal funds interest rate to a range of 1.25% to 1.50%. It also maintained its forecasts for three further increases in 2018 followed by two in 2019. Jerome Powell assumed office as the Chair of the Fed in February 2018. Mr. Powell is expected to continue with the current policy of slowly normalizing rates.

Portfolio Specifics

In the equity sleeve, positive stock selection and sector allocation, albeit to a lesser degree, generated positive absolute and relative returns over the trailing twelve-month period. Selection was strong across the consumer staples, health care and industrials sectors, while holdings in the energy, financials and information technology sectors failed to keep pace with benchmark shares. Underweight exposures in real estate and financials boosted relative performance results over the reporting period. Conversely, overweight positions in the energy and telecommunication services sectors detracted from trailing twelve-month returns.

In the convertibles sleeve, sector allocations that helped relative performance during the period were materials, consumer discretionary, and consumer staples. In contrast, health care, information technology, and telecommunication sector exposure weighed on relative returns.

In the equity options sleeve, retaining call premiums proved difficult during the twelve-month period. The period was notable for US

8 Annual Report | January 31, 2018

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

equities, with major indices touching a series of fresh peaks and the S&P 500 Index delivering a return of approximately 26.4%. That momentum carried into the new year as better-than-expected company earnings, renewed merger and acquisition activity, and optimism over the prospects for tax reform continued. Levels of implied volatility, as measured by the Chicago Board Options Exchange Volatility Index (“CBOE VIX”), averaged just over 11.1 with a high of 17.3 during a brief stint in August. Overall, the 200 day moving average trended lower throughout the period, adversely affecting ability to collect premiums. The overall strong performance in equities resulted in our options positions expiring in-the-money, requiring cash assignments in excess of the premium collected or short covering in excess of premiums collected. The options portfolio as of January 31, 2018 consisted of single stock covered calls that are diversified by sector, strike and maturity.

Outlook

Last year marked another robust return period for US equities, with markets reaching all-time highs in 10 of 12 months in 2017. Much of these gains were sustained by remarkably low volatility across risk assets. Now in the midst of a nine-year bull market – the second longest in S&P 500 history – US investors have become sufficiently confident to place a large overweight on equities. At the end of December, stocks accounted for 72% of the average US retail investor’s holding – the most since April 2000. What do the equity markets have in store for investors?

With the Fed removing liquidity from the system, some global central banks beginning their tightening cycles (e.g. Bank of England, European Central Bank, and Bank of China), and tax reform now a reality, we believe that volatility may be on the horizon equity markets. Though the CBOE VIX ended the year at 11, its long term average is close to double that at 20.5. With interest rates beginning to move upward, investors may find themselves looking beyond equities to access sufficient portfolio returns. Increased volatility typically ushers in lower correlations and higher dispersions in risk assets, and active managers will be important resources to help investors sift through market winners and losers.

With the Fed on a normalization trajectory in 2018, it is also important to keep in mind that 10 of the last 13 Fed cycles post-World War II have ended in recession. Though history may not repeat itself, it often rhymes; and while untampered optimism could lead to overreach, supportive dynamics for market strength remain. From synchronized global growth to US tax reform to continued monetary accommodation and favorable domestic demographics, US equities could climb higher in 2018. After almost a decade in a seemingly complacent bull market, are investors and their portfolios prepared to weather increased volatility?

January 31, 2018 | Annual Report 9

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

Effective October 10, 2017, Dividend, Interest & Premium Strategy rescinded its non-fundamental policy regarding written call options on equity indices and adopted a new non-fundamental policy of writing (selling) covered call options on individual stocks held in the Fund’s Equity Component. The newly adopted non-fundamental policy of the Fund with respect to writing call options is set forth below:

The Fund normally employs a strategy of writing (selling) covered call options on the stocks held in the Fund’s Equity Component (the “Option Strategy”). It is expected that the Fund ordinarily will write call options on some or all of the individual stocks held in the Equity Component, depending on market conditions and other factors, and with respect to generally 70% or less of the value of each position. As the Fund writes covered call options over more of its equity portfolio, its ability to benefit from capital appreciation of its common stock holdings in the Equity Component becomes more limited. The extent of the Fund’s use of the Option Strategy may vary from time to time, depending on market conditions and other factors. The Option Strategy is designed to generate gains from option premiums in an attempt to enhance amounts available for distributions payable to the Fund’s shareholders. However, there is no assurance that the Option Strategy will achieve its objective.

Call options on individual securities are contracts representing the right to purchase the underlying equity security at a specified price (the “strike price”) at or before a specified future date (the “expiration date”). The price of the option is determined by trading activity in the broad options market and generally reflects the relationship between factors including the current value of the underlying equity security and the strike price, the volatility of the underlying equity security and the time remaining until the expiration date. As the writer (seller) of a call option, the Fund would receive cash (the premium) from the purchaser of the option, and the purchaser would have the right to receive from the Fund either the underlying security or any appreciation in the value of the underlying security above the strike price upon exercise. In effect, the Fund would forgo the potential appreciation in the underlying security above the strike price in exchange for the premium, although it would retain the risk of loss should the price of the underlying security decline. Therefore, the Fund’s use of the Option Strategy will generally limit the Fund’s ability to benefit from the full upside potential of its Equity Component.

As part of the Option Strategy, the Fund will generally write call options with a strike price that is above (“out-of-the-money”) the market value of the underlying security at the time the option is written. In addition to providing possible gains through premiums,

10 Annual Report | January 31, 2018

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

out-of-the-money call options allow the Fund to potentially benefit from appreciation in the underlying security held by the Fund up to the strike price, but the Fund forgoes any appreciation above the strike price. The Fund also reserves the flexibility to write “at-the-money” (i.e., with a strike price equal to the market value of the underlying security) and “in-the-money” call options (i.e., with a strike price below the market value of the underlying security). The Fund will typically only write call options on individual securities if those options are “covered.” The Fund’s written call options on individual securities will ordinarily be covered by the Fund holding the underlying security in its portfolio throughout the term of the option. The Fund will generally not write options with respect to individual equity securities (other than ETFs, as described below) that are not held in the Fund’s portfolio (i.e., “naked” options). The Fund may also write call options on equity indexes and ETFs. The Fund will normally cover any options on equity indexes and ETFs either by segregating liquid assets in an amount equal to its net obligations under the contract or by entering into offsetting positions.

The Fund generally will write “listed” call options that are originated and standardized by the Options Clearing Corporation and trade on a major exchange, although it also may write unlisted (or “over-the-counter”) call options and so-called “flex” options (options that are traded on an exchange, but with customized strike prices and expiration dates). The Fund’s Option Strategy could cause the Fund to recognize larger amounts of net short-term capital gains, which are taxable at the higher ordinary income tax rates when distributed to shareholders, than it otherwise would in the absence of such strategy. The Fund’s Option Strategy also could terminate or suspend the Fund’s holding period in the underlying securities, and, as a result, any dividends received by the Fund on those securities may not qualify for treatment as “qualified dividend income” (which generally is taxable to individual shareholders at the lower rates applicable to long-term capital gain).

Certain risks associated with the Dividend, Interest & Premium Strategy’s new policy are set for the below:

The ability of the Fund to achieve current gains to support Fund dividends is partially dependent on the successful implementation of its Option Strategy. There are several risks associated with transactions in options on securities. For example, there are significant differences between the securities and options markets that could result in an imperfect correlation between these markets, causing a given transaction not to achieve its objective. A decision as to whether, when and how to use options involves the exercise of skill and judgment, and even a well-conceived transaction may be unsuccessful to some degree because of market behavior or

January 31, 2018 | Annual Report 11

Fund Insights

AllianzGI Diversified Income & Convertible Fund/ AllianzGI Equity & Convertible Income Fund/ AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited) (continued)

unexpected events. The Fund’s ability to use options successfully will depend on the Investment Manager’s ability to predict pertinent market movements, which cannot be assured. As the writer of a covered call option, the Fund forgoes, during the option’s life, the opportunity to profit from increases in the market value of the security covering the call option above the sum of the premium and the strike price of the call, but has retained the risk of loss should the price of the underlying security decline. In other words, as the Fund writes covered calls over more of its Equity Component, the Fund’s ability to benefit from capital appreciation of its common stock holdings becomes more limited.

Effective January 22, 2018, Diversified Income & Convertible revised its non-fundamental policy regarding written call options. Under the preexisting policy, covered call options were to be written on “approximately 30% to 80% of the Fund’s common stocks,” while the revised policy contemplates options written on “up to 80% of the Fund’s common stocks.” Certain additional changes were also implemented. The newly adopted non-fundamental policy of the Fund with respect to writing call options is set forth below:

The Fund expects to normally employ a strategy of writing (selling) covered call options on the stocks held in its portfolio (the “Option Strategy”). The Fund will ordinarily write call options on the individual stocks held in its portfolio, and with respect to up to approximately 70% of the value of each position. The Fund will normally write covered call options on up to 80% of the Fund’s common stocks, with the percentage varying from time to time, depending on market conditions and other factors. The Fund’s use of the Option Strategy may vary from time to time, depending on market conditions and other factors, and the Fund may determine not to employ the Option Strategy at all during certain periods.

We believe our dividend and value-oriented equity portfolios have the potential to provide additional protection when investing in equities. Our dividend focus, for example, positions our portfolios with an inherent advantage relative to the benchmark, as dividends provide a tangible return and more predictable current income. Historical studies also suggest that dividend-paying stocks have exhibited less volatility than non-dividend paying securities. As US equity markets continue their meteoric rise, our team continues to identify investment opportunities with compelling valuations and stable earnings growth. Though we cannot predict when today’s bull market will run its course, we can design portfolios that seek attractive valuations that we believe will participate on the upside and aim to protect on the downside for our investors.

12 Annual Report | January 31, 2018

Performance & Statistics

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (unaudited)

(1) Past performance is no guarantee of future results. Total return is calculated by determining the percentage change in NAV or market price (as applicable) in the specified period. The calculation assumes that all dividends and distributions, if any, have been reinvested. Total return does not reflect broker commissions or sales charges in connection with the purchase or sale of Fund shares and includes the effect of any expense reductions, if any. Total return for a period of more than one year represents the average annual total return.

Performance at market price will differ from results at NAV. Although market price returns typically reflect investment results over time, during shorter periods returns at market price can also be influenced by factors such as changing views about the Fund, market conditions, supply and demand for the Fund’s shares, or changes in the Fund’s dividends.

An investment in the Fund involves risk, including the loss of principal. Total return, market price, market price yield and NAV will fluctuate with changes in market conditions. This data is provided for information purposes only and is not intended for trading purposes. Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are traded in the open market through a stock exchange. NAV is equal to total assets attributable to common shareholders less total liabilities divided by the number of common shares outstanding. Holdings are subject to change daily.

(2) The NAV disclosed in the Fund’s financial statements may differ due to accounting principles generally accepted in the United States of America.

(3) Market Price Yield is determined by dividing the annualized current (declared February 1, 2018) monthly dividend per common share (comprised of net investment income and net capital gains, if any) by the market price per common share at January 31, 2018.

(4) Represents Mandatory Redeemable Preferred Shares, Senior Secured Notes and amounts drawn under the short-term margin loan facility (“Leverage”) outstanding, as a percentage of total managed assets. Total managed assets refer to total assets (including assets attributable to Leverage) minus liabilities (other than liabilities representing Leverage).

January 31, 2018 | Annual Report 13

Performance & Statistics

AllianzGI Equity & Convertible Income Fund

January 31, 2018 (unaudited)

(1) Past performance is no guarantee of future results. Total return is calculated by determining the percentage change in NAV or market price (as applicable) in the specified period. The calculation assumes that all dividends and distributions, if any, have been reinvested. Total return does not reflect broker commissions or sales charges in connection with the purchase or sale of Fund shares and includes the effect of any expense reductions, if any. Total return for a period of more than one year represents the average annual total return.

Performance at market price will differ from results at NAV. Although market price returns typically reflect investment results over time, during shorter periods returns at market price can also be influenced by factors such as changing views about the Fund, market conditions, supply and demand for the Fund’s shares, or changes in the Fund’s dividends.

An investment in the Fund involves risk, including the loss of principal. Total return, market price, market price yield and NAV will fluctuate with changes in market conditions. This data is provided for information purposes only and is not intended for trading purposes. Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are traded in the open market through a stock exchange. NAV is equal to total assets less total liabilities divided by the number of shares outstanding. Holdings are subject to change daily.

(2) The NAV disclosed in the Fund’s financial statements may differ due to accounting principles generally accepted in the United States of America.

(3) Market Price Yield is determined by dividing the annualized current quarterly dividend per share (comprised of net investment income and net capital gains, if any) by the market price per share at January 31, 2018.

14 Annual Report | January 31, 2018

Performance & Statistics

AllianzGI NFJ Dividend, Interest & Premium Strategy Fund

January 31, 2018 (unaudited)

(1) Past performance is no guarantee of future results. Total return is calculated by determining the percentage change in NAV or market price (as applicable) in the specified period. The calculation assumes that all dividends and distributions, if any, have been reinvested. Total return does not reflect broker commissions or sales charges in connection with the purchase or sale of Fund shares and includes the effect of any expense reductions, if any. Total return for a period of more than one year represents the average annual total return.

Performance at market price will differ from results at NAV. Although market price returns typically reflect investment results over time, during shorter periods returns at market price can also be influenced by factors such as changing views about the Fund, market conditions, supply and demand for the Fund’s shares, or changes in the Fund’s dividends.

An investment in the Fund involves risk, including the loss of principal. Total return, market price, market price yield and NAV will fluctuate with changes in market conditions. This data is provided for information purposes only and is not intended for trading purposes. Closed-end funds, unlike open-end funds, are not continuously offered. There is a one-time public offering and once issued, shares of closed-end funds are traded in the open market through a stock exchange. NAV is equal to total assets less total liabilities divided by the number of shares outstanding. Holdings are subject to change daily.

(2) The NAV disclosed in the Fund’s financial statements may differ due to accounting principles generally accepted in the United States of America.

(3) Market Price Yield is determined by dividing the annualized current quarterly dividend per share (comprised of net investment income and net capital gains, if any) by the market price per share at January 31, 2018.

January 31, 2018 | Annual Report 15

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018

16 Annual Report | January 31, 2018

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)

January 31, 2018 | Annual Report 17

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)

18 Annual Report | January 31, 2018

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)

January 31, 2018 | Annual Report 19

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)

20 Annual Report | January 31, 2018

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)

January 31, 2018 | Annual Report 21

Schedule of Investments

AllianzGI Diversified Income & Convertible Fund

January 31, 2018 (continued)