Schedule of Investments (unaudited)
February 28, 2026
If you need assistance accessing this content, please reach out to your sales representative or send an email to accessibility@franklintempleton.com.
 LMP Capital and Income Fund Inc.

(Percentages shown based on Fund net assets) 
Security
 
 
 
Shares
Value
Common Stocks — 101.7%
Communication Services — 6.0%
Interactive Media & Services — 4.1%
Alphabet Inc., Class A Shares
33,277
 $10,374,438
 (a)
Meta Platforms Inc., Class A Shares
8,823
5,718,892
 
Total Interactive Media & Services
16,093,330
Wireless Telecommunication Services — 1.9%
T-Mobile US Inc.
34,307
7,447,706
 (a)
 
Total Communication Services
23,541,036
Consumer Discretionary — 2.7%
Household Durables — 1.8%
Lennar Corp., Class A Shares
60,083
6,871,092
 (a)
Specialty Retail — 0.9%
Home Depot Inc.
9,477
3,608,083
 
 
Total Consumer Discretionary
10,479,175
Consumer Staples — 8.8%
Beverages — 1.4%
Coca-Cola Co.
65,027
5,303,602
 (a)
Consumer Staples Distribution & Retail — 1.7%
Walmart Inc.
52,056
6,660,565
 (a)
Food Products — 1.8%
McCormick & Co. Inc., Non Voting Shares
101,913
7,239,900
 (a)
Household Products — 3.9%
Colgate-Palmolive Co.
78,162
7,748,980
 (a)
Procter & Gamble Co.
46,609
7,793,025
 (a)
Total Household Products
15,542,005
 
Total Consumer Staples
34,746,072
Energy — 16.8%
Oil, Gas & Consumable Fuels — 16.8%
Cheniere Energy Inc.
11,449
2,698,873
 
Enbridge Inc.
155,729
8,275,439
 (a)
Kinder Morgan Inc.
385,564
12,827,714
 (a)
ONEOK Inc.
99,978
8,275,179
 (a)
Sunococorp LLC
81,658
4,890,498
 (a)
Targa Resources Corp.
20,358
4,800,416
 (a)
TC Energy Corp.
99,626
6,412,926
 (a)
Williams Cos. Inc.
245,011
18,307,222
 (a)
 
Total Energy
66,488,267
Financials — 9.5%
Banks — 5.3%
Bank of America Corp.
129,907
6,473,266
 (a)
Citigroup Inc.
52,984
5,838,307
 (a)
JPMorgan Chase & Co.
28,805
8,650,141
 (a)
Total Banks
20,961,714
Capital Markets — 3.1%
Ares Management Corp., Class A Shares
21,222
2,377,076
 
Blackstone Inc.
20,626
2,338,370
 (a)
Charles Schwab Corp.
25,336
2,411,987
 (a)
See Notes to Schedule of Investments.
1
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Schedule of Investments (unaudited) (cont’d)
February 28, 2026
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
 
 
Shares
Value
 
Capital Markets — continued
Goldman Sachs Group Inc.
2,665
 $2,290,754
 (a)
Intercontinental Exchange Inc.
16,066
2,636,913
 (a)
Total Capital Markets
12,055,100
Insurance — 1.1%
MetLife Inc.
61,852
4,457,674
 (a)
 
Total Financials
37,474,488
Health Care — 11.7%
Biotechnology — 1.9%
AbbVie Inc.
19,251
4,467,772
 (a)
Amgen Inc.
7,298
2,832,792
 
Total Biotechnology
7,300,564
Health Care Equipment & Supplies — 1.5%
Abbott Laboratories
51,008
5,934,781
 
Health Care Providers & Services — 2.0%
McKesson Corp.
8,183
8,079,648
 
Pharmaceuticals — 6.3%
Eli Lilly & Co.
2,888
3,038,147
 
Johnson & Johnson
24,204
6,013,000
 (a)
Merck & Co. Inc.
56,499
6,995,706
 (a)
Roche Holding AG, ADR
150,289
8,949,710
 
Total Pharmaceuticals
24,996,563
 
Total Health Care
46,311,556
Industrials — 13.3%
Aerospace & Defense — 6.3%
L3Harris Technologies Inc.
28,076
10,234,825
 (a)
Lockheed Martin Corp.
8,455
5,564,066
 (a)
Northrop Grumman Corp.
12,461
9,026,499
 
Total Aerospace & Defense
24,825,390
Electrical Equipment — 3.7%
Eaton Corp. PLC
19,044
7,159,020
 (a)
Emerson Electric Co.
49,222
7,420,217
 (a)
Total Electrical Equipment
14,579,237
Ground Transportation — 3.3%
Union Pacific Corp.
49,711
13,172,421
 (a)
 
Total Industrials
52,577,048
Information Technology — 14.4%
Electronic Equipment, Instruments & Components — 1.6%
Amphenol Corp., Class A Shares
44,346
6,477,177
 (a)
Semiconductors & Semiconductor Equipment — 6.3%
ASML Holding NV, Registered Shares
3,807
5,522,282
 (a)
Broadcom Inc.
18,568
5,933,404
 (a)
Marvell Technology Inc.
88,960
7,267,143
 (a)
QUALCOMM Inc.
41,722
5,939,544
 (a)
Total Semiconductors & Semiconductor Equipment
24,662,373
Software — 3.4%
Microsoft Corp.
25,590
10,050,216
 (a)
See Notes to Schedule of Investments.
2
LMP Capital and Income Fund Inc. 2026 Quarterly Report
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
 
 
Shares
Value
 
Software — continued
Oracle Corp.
24,380
 $3,544,852
 (a)
Total Software
13,595,068
Technology Hardware, Storage & Peripherals — 3.1%
Apple Inc.
46,244
12,216,740
 (a)
 
Total Information Technology
56,951,358
Materials — 2.8%
Chemicals — 0.9%
Sherwin-Williams Co.
9,957
3,610,309
 
Metals & Mining — 1.9%
Freeport-McMoRan Inc.
111,035
7,559,263
 (a)
 
Total Materials
11,169,572
Real Estate — 8.6%
Industrial REITs — 1.6%
Prologis Inc.
45,390
6,471,252
 (a)
Residential REITs — 1.8%
Equity LifeStyle Properties Inc.
107,616
7,227,491
 (a)
Specialized REITs — 5.2%
American Tower Corp.
26,799
5,141,656
 (a)
Digital Realty Trust Inc.
27,979
4,957,879
 (a)
Equinix Inc.
2,766
2,694,803
 (a)
Public Storage
7,749
2,379,408
 
VICI Properties Inc.
170,000
5,135,700
 (a)
Total Specialized REITs
20,309,446
 
Total Real Estate
34,008,189
Utilities — 7.1%
Electric Utilities — 2.9%
NextEra Energy Inc.
123,477
11,578,438
 (a)
Gas Utilities — 1.6%
Atmos Energy Corp.
34,761
6,493,007
 
Multi-Utilities — 2.6%
DTE Energy Co.
68,495
10,153,699
 
 
Total Utilities
28,225,144
Total Common Stocks (Cost — $303,658,124)
401,971,905
 
 
 
 
Shares/Units
 
Master Limited Partnerships — 12.0%
Diversified Energy Infrastructure — 7.2%
Energy Transfer LP
467,937
8,815,933
 (a)
Enterprise Products Partners LP
282,076
10,194,226
 (a)
Plains GP Holdings LP, Class A Shares
424,466
9,567,464
 *(a)
Total Diversified Energy Infrastructure
28,577,623
Gathering/Processing — 0.6%
 
Western Midstream Partners LP
56,000
2,329,040
 (a)
Oil/Refined Products — 2.2%
CrossAmerica Partners LP
135,864
2,741,736
 (a)
MPLX LP
99,696
5,876,082
 (a)
Total Oil/Refined Products
8,617,818
See Notes to Schedule of Investments.
3
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Schedule of Investments (unaudited) (cont’d)
February 28, 2026
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
 
 
Shares/Units
Value
 
Petrochemicals — 2.0%
Westlake Chemical Partners LP
348,827
 $7,681,171
 (a)
 
Total Master Limited Partnerships (Cost — $18,920,069)
47,205,652
 
 
Rate
Maturity
Date
Face
Amount
 
Corporate Bonds & Notes — 4.4%
Communication Services — 0.7%
Entertainment — 0.3%
Discovery Global Holdings Inc., Senior Notes
4.279%
3/15/32
 $20,000
18,400
 
Discovery Global Holdings Inc., Senior Notes
5.050%
3/15/42
20,000
14,100
 
Flutter Treasury DAC, Senior Secured Notes
5.875%
6/4/31
200,000
199,556
 (b)
Netflix Inc., Senior Notes
5.375%
11/15/29
400,000
417,454
 (b)
Walt Disney Co., Senior Notes
2.000%
9/1/29
600,000
566,116
 
Total Entertainment
1,215,626
Media — 0.2%
AMC Networks Inc., Senior Secured Notes
10.250%
1/15/29
30,000
32,190
 (b)
CCO Holdings LLC/CCO Holdings Capital Corp., Senior Notes
7.375%
2/1/36
240,000
243,754
 (b)
Comcast Corp., Senior Notes
4.250%
10/15/30
550,000
554,983
 
Fox Corp., Senior Notes
6.500%
10/13/33
20,000
21,958
 
Versant Media Group Inc., Senior Secured Notes
7.250%
1/30/31
30,000
30,721
 (b)
Total Media
883,606
Wireless Telecommunication Services — 0.2%
T-Mobile USA Inc., Senior Notes
3.875%
4/15/30
500,000
496,250
 
 
Total Communication Services
2,595,482
Consumer Discretionary — 0.5%
Automobile Components — 0.0%††
American Axle & Manufacturing Inc., Senior Secured Notes
6.375%
10/15/32
40,000
40,735
 (b)
ZF North America Capital Inc., Senior Notes
6.750%
4/23/30
150,000
151,625
 (b)
Total Automobile Components
192,360
Automobiles — 0.1%
Ford Motor Co., Senior Notes
3.250%
2/12/32
50,000
45,026
 
General Motors Financial Co. Inc., Senior Notes
4.350%
1/17/27
250,000
250,447
 
Total Automobiles
295,473
Broadline Retail — 0.1%
Amazon.com Inc., Senior Notes
2.100%
5/12/31
550,000
501,077
 
Hotels, Restaurants & Leisure — 0.2%
Brightstar Lottery PLC/Brightstar Global Solutions Corp., Senior Secured Notes
5.750%
1/15/33
20,000
19,888
 (b)
Carnival Corp., Senior Notes
5.125%
5/1/29
50,000
50,741
 (b)
Carnival Corp., Senior Notes
6.125%
2/15/33
210,000
217,532
 (b)
Las Vegas Sands Corp., Senior Notes
5.625%
6/15/28
10,000
10,247
 
Las Vegas Sands Corp., Senior Notes
6.000%
6/14/30
290,000
304,628
 
Viking Cruises Ltd., Senior Notes
5.875%
10/15/33
140,000
142,904
 (b)
Total Hotels, Restaurants & Leisure
745,940
Specialty Retail — 0.1%
Home Depot Inc., Senior Notes
2.700%
4/15/30
300,000
286,619
 
 
Total Consumer Discretionary
2,021,469
See Notes to Schedule of Investments.
4
LMP Capital and Income Fund Inc. 2026 Quarterly Report
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
Rate
Maturity
Date
Face
Amount
Value
 
Consumer Staples — 0.1%
Personal Care Products — 0.1%
Kenvue Inc., Senior Notes
4.900%
3/22/33
 $400,000
 $413,312
 
 
Financials — 1.4%
Banks — 0.8%
Bank of America Corp., Senior Notes (5.015% to 7/22/32 then SOFR + 2.160%)
5.015%
7/22/33
600,000
617,810
 (c)
BNP Paribas SA, Senior Notes (5.894% to 12/5/33 then SOFR + 1.866%)
5.894%
12/5/34
250,000
268,315
 (b)(c)
Citigroup Inc., Subordinated Notes (6.174% to 5/25/33 then SOFR + 2.661%)
6.174%
5/25/34
700,000
747,492
 (c)
JPMorgan Chase & Co., Subordinated Notes (5.717% to 9/14/32 then SOFR +
2.580%)
5.717%
9/14/33
700,000
741,900
 (c)
Truist Financial Corp., Senior Notes (5.711% to 1/24/34 then SOFR + 1.922%)
5.711%
1/24/35
300,000
318,414
 (c)
Wells Fargo & Co., Senior Notes (4.897% to 7/25/32 then SOFR + 2.100%)
4.897%
7/25/33
500,000
510,053
 (c)
Total Banks
3,203,984
Capital Markets — 0.0%††
StoneX Escrow Issuer LLC, Secured Notes
6.875%
7/15/32
30,000
31,155
 (b)
Consumer Finance — 0.2%
American Express Co., Senior Notes (5.043% to 5/1/33 then SOFR + 1.835%)
5.043%
5/1/34
500,000
514,186
 (c)
EZCORP Inc., Senior Notes
7.375%
4/1/32
30,000
32,203
 (b)
Midcap Financial Issuer Trust, Junior Subordinated Notes (3 mo. Term SOFR +
3.750%)
7.422%
1/15/56
200,000
197,132
 (b)(c)
Total Consumer Finance
743,521
Financial Services — 0.3%
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, Senior Notes
3.300%
1/30/32
300,000
280,430
 
AerCap Ireland Capital DAC/AerCap Global Aviation Trust, Senior Notes
5.000%
11/15/35
700,000
699,365
 
Block Inc., Senior Notes
6.000%
8/15/33
50,000
50,846
 (b)
Jane Street Group/JSG Finance Inc., Senior Secured Notes
6.750%
5/1/33
140,000
143,773
 (b)
Rocket Cos. Inc., Senior Notes
6.125%
8/1/30
40,000
41,061
 (b)
Total Financial Services
1,215,475
Insurance — 0.0%††
APH Somerset Investor 2 LLC/APH2 Somerset Investor 2 LLC/APH3 Somerset
Investor 2 LLC, Senior Notes
7.875%
11/1/29
50,000
48,486
 (b)
Asurion LLC/Asurion Co-Issuer Inc., Senior Secured Notes
8.000%
12/31/32
120,000
126,140
 (b)
Total Insurance
174,626
Mortgage Real Estate Investment Trusts (REITs) — 0.1%
Arbor Realty SR Inc., Senior Notes
8.500%
12/15/28
60,000
58,423
 (b)
Ladder Capital Finance Holdings LLLP/Ladder Capital Finance Corp., Senior Notes
7.000%
7/15/31
280,000
295,461
 (b)
Total Mortgage Real Estate Investment Trusts (REITs)
353,884
 
Total Financials
5,722,645
Health Care — 0.7%
Biotechnology — 0.2%
Amgen Inc., Senior Notes
5.250%
3/2/33
550,000
576,054
 
Health Care Providers & Services — 0.3%
Cigna Group, Senior Notes
2.400%
3/15/30
348,000
327,473
 
CVS Health Corp., Senior Notes
3.750%
4/1/30
600,000
590,775
 
HCA Inc., Senior Notes
5.625%
9/1/28
400,000
412,700
 
Total Health Care Providers & Services
1,330,948
See Notes to Schedule of Investments.
5
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Schedule of Investments (unaudited) (cont’d)
February 28, 2026
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
Rate
Maturity
Date
Face
Amount
Value
 
Pharmaceuticals — 0.2%
Pfizer Investment Enterprises Pte Ltd., Senior Notes
4.750%
5/19/33
 $550,000
 $561,601
 
Teva Pharmaceutical Finance Netherlands III BV, Senior Notes
6.000%
12/1/32
200,000
212,381
 
Total Pharmaceuticals
773,982
 
Total Health Care
2,680,984
Industrials — 0.4%
Aerospace & Defense — 0.2%
AAR Escrow Issuer LLC, Senior Notes
6.750%
3/15/29
50,000
51,576
 (b)
Axon Enterprise Inc., Senior Notes
6.250%
3/15/33
20,000
20,746
 (b)
Northrop Grumman Corp., Senior Notes
4.750%
6/1/43
500,000
471,262
 
Total Aerospace & Defense
543,584
Building Products — 0.0%††
Builders FirstSource Inc., Senior Notes
6.750%
5/15/35
50,000
52,241
 (b)
Quikrete Holdings Inc., Senior Secured Notes
6.375%
3/1/32
20,000
20,799
 (b)
Total Building Products
73,040
Commercial Services & Supplies — 0.0%††
CoreCivic Inc., Senior Notes
8.250%
4/15/29
80,000
83,246
 
Deluxe Corp., Senior Secured Notes
8.125%
9/15/29
30,000
31,505
 (b)
Total Commercial Services & Supplies
114,751
Construction & Engineering — 0.0%††
AECOM, Senior Notes
6.000%
8/1/33
80,000
81,796
 (b)
Ground Transportation — 0.1%
XPO Inc., Senior Secured Notes
6.250%
6/1/28
350,000
356,283
 (b)
Machinery — 0.0%††
Columbus McKinnon Corp., Senior Secured Notes
7.125%
2/1/33
20,000
20,575
 (b)
Trading Companies & Distributors — 0.1%
Herc Holdings Inc., Senior Notes
7.250%
6/15/33
60,000
63,463
 (b)
Herc Holdings Inc., Senior Notes
6.000%
3/15/34
20,000
20,126
 (b)
QXO Building Products Inc., Senior Secured Notes
6.750%
4/30/32
60,000
62,196
 (b)
United Rentals North America Inc., Senior Notes
3.750%
1/15/32
230,000
217,358
 
Total Trading Companies & Distributors
363,143
 
Total Industrials
1,553,172
Information Technology — 0.1%
IT Services — 0.0%††
APLD ComputeCo LLC, Senior Secured Notes
9.250%
12/15/30
30,000
31,512
 (b)
Shift4 Payments LLC/Shift4 Payments Finance Sub Inc., Senior Notes
6.750%
8/15/32
30,000
29,389
 (b)
Total IT Services
60,901
Semiconductors & Semiconductor Equipment — 0.1%
Amkor Technology Inc., Senior Notes
5.875%
10/1/33
80,000
81,735
 (b)
Qnity Electronics Inc., Senior Secured Notes
5.750%
8/15/32
50,000
51,221
 (b)
Total Semiconductors & Semiconductor Equipment
132,956
Software — 0.0%††
Gen Digital Inc., Senior Notes
6.250%
4/1/33
20,000
19,915
 (b)
Oracle Corp., Senior Notes
6.000%
8/3/55
50,000
44,074
 
Total Software
63,989
Technology Hardware, Storage & Peripherals — 0.0%††
Black Pearl Compute LLC, Senior Secured Notes
6.125%
2/15/31
20,000
20,494
 (b)
See Notes to Schedule of Investments.
6
LMP Capital and Income Fund Inc. 2026 Quarterly Report
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
Rate
Maturity
Date
Face
Amount
Value
 
Technology Hardware, Storage & Peripherals — continued
Seagate Data Storage Technology Pte Ltd., Senior Notes
5.875%
7/15/30
 $50,000
 $51,503
 (b)
Total Technology Hardware, Storage & Peripherals
71,997
 
Total Information Technology
329,843
Materials — 0.3%
Chemicals — 0.0%††
Celanese US Holdings LLC, Senior Notes
7.000%
2/15/31
10,000
10,306
 
Celanese US Holdings LLC, Senior Notes
6.750%
4/15/33
60,000
61,558
 
Methanex US Operations Inc., Senior Notes
6.250%
3/15/32
50,000
51,782
 (b)
Total Chemicals
123,646
Construction Materials — 0.0%††
Standard Building Solutions Inc., Senior Notes
6.250%
8/1/33
50,000
50,968
 (b)
Metals & Mining — 0.3%
Capstone Copper Corp., Senior Notes
6.750%
3/31/33
80,000
82,733
 (b)
Freeport-McMoRan Inc., Senior Notes
5.450%
3/15/43
500,000
494,980
 
Glencore Funding LLC, Senior Notes
5.673%
4/1/35
160,000
169,118
 (b)
Glencore Funding LLC, Senior Notes
6.141%
4/1/55
220,000
232,562
 (b)
Total Metals & Mining
979,393
 
Total Materials
1,154,007
Real Estate — 0.1%
Real Estate Management & Development — 0.0%††
Forestar Group Inc., Senior Notes
6.500%
3/15/33
60,000
61,476
 (b)
Specialized REITs — 0.1%
Millrose Properties Inc., Senior Notes
6.375%
8/1/30
60,000
61,590
 (b)
Millrose Properties Inc., Senior Notes
6.250%
9/15/32
10,000
10,134
 (b)
SV RNO Property Owner 1 LLC, Senior Secured Notes
5.875%
3/1/31
90,000
90,466
 (b)
Total Specialized REITs
162,190
 
Total Real Estate
223,666
Utilities — 0.1%
Electric Utilities — 0.1%
NRG Energy Inc., Senior Notes
6.000%
1/15/36
90,000
91,646
 (b)
Pacific Gas and Electric Co., First Mortgage Bonds
5.800%
5/15/34
270,000
284,963
 
Total Electric Utilities
376,609
Independent Power and Renewable Electricity Producers — 0.0%††
Lightning Power LLC, Senior Secured Notes
7.250%
8/15/32
100,000
106,231
 (b)
 
Total Utilities
482,840
Total Corporate Bonds & Notes (Cost — $16,656,551)
17,177,420
 
 
 
 
Shares
 
Convertible Preferred Stocks — 3.9%
Financials — 1.2%
Capital Markets — 0.6%
KKR & Co. Inc.
6.250%
59,118
2,346,394
 
Financial Services — 0.6%
Apollo Global Management Inc.
6.750%
41,322
2,316,511
 
 
Total Financials
4,662,905
See Notes to Schedule of Investments.
7
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Schedule of Investments (unaudited) (cont’d)
February 28, 2026
 LMP Capital and Income Fund Inc.
(Percentages shown based on Fund net assets)
Security
 
Rate
 
Shares
Value
 
Industrials — 2.7%
Aerospace & Defense — 2.1%
Boeing Co.
6.000%
114,383
 $8,341,952
 
Trading Companies & Distributors — 0.6%
QXO Inc., Non Voting Shares
5.500%
37,025
2,441,428
 
 
Total Industrials
10,783,380
Total Convertible Preferred Stocks (Cost — $13,365,263)
15,446,285
 
 
Rate
Maturity
Date
Face
Amount
 
U.S. Government & Agency Obligations — 0.0%††
U.S. Government Obligations — 0.0%††
U.S. Treasury Notes (Cost — $168,317)
3.875%
8/15/34
 $170,000
170,276
 
Total Investments before Short-Term Investments (Cost — $352,768,324)
481,971,538
 
 
 
 
Shares
 
Short-Term Investments — 2.3%
Dreyfus Government Cash Management, Institutional Shares
3.555%
141,029
141,029
 (d)
JPMorgan 100% U.S. Treasury Securities Money Market Fund, Institutional Class
3.503%
9,050,931
9,050,931
 (d)
 
Total Short-Term Investments (Cost — $9,191,960)
9,191,960
Total Investments — 124.3% (Cost — $361,960,284)
491,163,498
Liabilities in Excess of Other Assets — (24.3)%
(96,055,855
)
Total Net Assets — 100.0%
$395,107,643
 
††
Represents less than 0.1%.
*
Non-income producing security.
(a)
All or a portion of this security is pledged as collateral pursuant to the loan agreement.
(b)
Security is exempt from registration under Rule 144A of the Securities Act of 1933. This security may be resold in transactions that are exempt from
registration, normally to qualified institutional buyers. This security has been deemed liquid pursuant to guidelines approved by the Board of Directors.
(c)
Variable rate security. Interest rate disclosed is as of the most recent information available. Certain variable rate securities are not based on a published
reference rate and spread but are determined by the issuer or agent and are based on current market conditions. These securities do not indicate a
reference rate and spread in their description above.
(d)
Rate shown is one-day yield as of the end of the reporting period.
 
Abbreviation(s) used in this schedule:
ADR
—
American Depositary Receipts
DAC
—
Designated Activity Company
SOFR
—
Secured Overnight Financing Rate
This Schedule of Investments is unaudited and is intended to provide information about the Fund’s investments as of the date of the schedule. Other information regarding the Fund is available in the Fund’s most recent annual or semi-annual shareholder report.
See Notes to Schedule of Investments.
8
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Notes to Schedule of Investments (unaudited)
1. Organization and significant accounting policies
LMP Capital and Income Fund Inc. (the “Fund”) was incorporated in Maryland on November 12, 2003, and is registered as a diversified, closed-end management investment company under the Investment Company Act of 1940, as amended (the “1940 Act”). The Board of Directors (the “Board”) authorized 100 million shares of $0.001 par value common stock. The Fund’s investment objective is total return with an emphasis on income.
Under normal market conditions, the Fund seeks to maximize total return by investing at least 80% of its Managed Assets in a broad range of equity and fixed income securities of both U.S. and foreign issuers. The Fund will vary its allocation between equity and fixed income securities depending on ClearBridge Investments, LLC’s (“ClearBridge”) view of economic, market or political conditions, fiscal and monetary policy and security valuation.
The Fund follows the accounting and reporting guidance in Financial Accounting Standards Board (“FASB”) Accounting Standards Codification Topic 946, Financial Services – Investment Companies (“ASC 946”). The following are significant accounting policies consistently followed by the Fund and are in conformity with U.S. generally accepted accounting principles (“GAAP”), including, but not limited to, ASC 946.
(a) Investment valuation. Equity securities for which market quotations are available are valued at the last reported sales price or official closing price on the primary market or exchange on which they trade. The valuations for fixed income securities (which may include, but are not limited to, corporate, government, municipal, mortgage-backed, collateralized mortgage obligations and asset-backed securities) and certain derivative instruments are typically the prices supplied by independent third party pricing services, which may use market prices or broker/dealer quotations or a variety of valuation techniques and methodologies. The independent third party pricing services typically use inputs that are observable such as issuer details, interest rates, yield curves, prepayment speeds, credit risks/spreads, default rates and quoted prices for similar securities. Investments in open-end funds are valued at the closing net asset value per share of each fund on the day of valuation. When the Fund holds securities or other assets that are denominated in a foreign currency, the Fund will normally use the currency exchange rates as of 4:00 p.m. (Eastern Time). If independent third party pricing services are unable to supply prices for a portfolio investment, or if the prices supplied are deemed by the manager to be unreliable, the market price may be determined by the manager using quotations from one or more broker/dealers or at the transaction price if the security has recently been purchased and no value has yet been obtained from a pricing service or pricing broker. When reliable prices are not readily available, such as when the value of a security has been significantly affected by events after the close of the exchange or market on which the security is principally traded, but before the Fund calculates its net asset value, the Fund values these securities as determined in accordance with procedures approved by the Board.
Pursuant to policies adopted by the Board, the Fund’s manager has been designated as the valuation designee and is responsible for the oversight of the daily valuation process. The Fund’s manager is assisted by the Global Fund Valuation Committee (the “Valuation Committee”). The Valuation Committee is responsible for making fair value determinations, evaluating the effectiveness of the Fund’s pricing policies, and reporting to the Fund’s manager and the Board. When determining the reliability of third party pricing information for investments owned by the Fund, the Valuation Committee, among other things, conducts due diligence reviews of pricing vendors, monitors the daily change in prices and reviews transactions among market participants.
The Valuation Committee will consider pricing methodologies it deems relevant and appropriate when making fair value determinations. Examples of possible methodologies include, but are not limited to, multiple of earnings; discount from market of a similar freely traded security; discounted cash-flow analysis; book value or a multiple thereof; risk premium/yield analysis; yield to maturity; and/or fundamental investment analysis. The Valuation Committee will also consider factors it deems relevant and appropriate in light of the facts and circumstances. Examples of possible factors include, but are not limited to, the type of security; the issuer’s financial statements; the purchase price of the security; the discount from market value of unrestricted securities of the same class at the time of purchase; analysts’ research and observations from financial institutions; information regarding any transactions or offers with respect to the security; the existence of merger proposals or tender offers affecting the security; the price and extent of public trading in similar securities of the issuer or comparable companies; and the existence of a shelf registration for restricted securities.
For each portfolio security that has been fair valued pursuant to the policies adopted by the Board, the fair value price is compared against the last available and next available market quotations. The Valuation Committee reviews the results of such back testing monthly and fair valuation occurrences are reported to the Board quarterly.
9
LMP Capital and Income Fund Inc. 2026 Quarterly Report
Notes to Schedule of Investments (unaudited) (cont’d)
The Fund uses valuation techniques to measure fair value that are consistent with the market approach and/or income approach, depending on the type of security and the particular circumstance. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable securities. The income approach uses valuation techniques to discount estimated future cash flows to present value.
GAAP establishes a disclosure hierarchy that categorizes the inputs to valuation techniques used to value assets and liabilities at measurement date. These inputs are summarized in the three broad levels listed below:
•
Level 1 — unadjusted quoted prices in active markets for identical investments
•
Level 2 — other significant observable inputs (including quoted prices for similar investments, interest rates, prepayment speeds, credit risk, etc.)
•
Level 3 — significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments)
The inputs or methodologies used to value securities are not necessarily an indication of the risk associated with investing in those securities.
The following is a summary of the inputs used in valuing the Fund’s assets carried at fair value:
 
ASSETS
Description
Quoted Prices
(Level 1)
Other Significant
Observable Inputs
(Level 2)
Significant
Unobservable
Inputs
(Level 3)
Total
Long-Term Investments†:
Common Stocks
 $401,971,905
—
—
 $401,971,905
Master Limited Partnerships
47,205,652
—
—
47,205,652
Corporate Bonds & Notes
—
 $17,177,420
—
17,177,420
Convertible Preferred Stocks
15,446,285
—
—
15,446,285
U.S. Government & Agency Obligations
—
170,276
—
170,276
Total Long-Term Investments
464,623,842
17,347,696
—
481,971,538
Short-Term Investments†
9,191,960
—
—
9,191,960
Total Investments
$473,815,802
$17,347,696
—
$491,163,498
 
†
See Schedule of Investments for additional detailed categorizations.
10
LMP Capital and Income Fund Inc. 2026 Quarterly Report