TORONTO: Sentry Select Capital Inc. (“Sentry Select” of the “Manager”) announces that, effective on or about June 4, 2010, it will replace Lazard Asset Management LLC (“Lazard”) as the investment manager of the Sentry Select Lazard Global Infrastructure Fund (“Infrastructure Fund”). As a result, commencing on or about June 7, 2010, the name of the Infrastructure Fund will be changed to “Sentry Select Infrastructure Fund” and Sentry Select will provide investment management services for the Infrastructure Fund going forward.
In addition, also effective on or about June 7, 2010, subject to regulatory approval, the Infrastructure Fund will commence offering Series I securities as well as Series A securities under the Deferred Sales Charge and Low Load sales charge options. In conjunction with this change, the Manager proposes to increase the service fee paid by Sentry Select to dealers on the sale of securities of the Infrastructure Fund purchased under the Series A sales charge option from 1.00% to 1.25%. Finally, the Manager will amend the current distribution policy of the Infrastructure Fund to pay monthly distributions of $0.03 per security instead of quarterly distributions of $0.125 per security (which equates to a reduction from $0.50 per annum to $0.36 per annum on a per security basis).Sentry Select has built its business on strong partnerships with the investment community and award winning investment management. Sentry
Select has a long established and successful track-record in managing “hard asset” investments, including infrastructure related securities. The Infrastructure Fund will be managed by Dennis Mitchell, Vice-President and Senior Portfolio Manager, and one of four Sentry Select portfolio managers to be named a recipient of the Brendan Wood Top Gun award awarded to those portfolio managers with the best grasp of the industries in which they invest and those with the most influence in the Canadian market. Sentry Select believes that internalizing the management of the Infrastructure Fund as well as the introduction of Series I securities and additional sales charge options will benefit the Infrastructure Fund and its securityholders over the long-term and increase the availability of the Infrastructure Fund to a broader audience of investors.
Sentry Select Lazard Global Infrastructure Fund: The Infrastructure Fund is an open-end mutual fund with approximately $39.7 million in net assets as at April 28, 2010. The Infrastructure Fund’s current investment objectives are to: (i) provide a total return for securityholders consisting of interest, dividend income and capital appreciation that outperform inflation, as measured by the Canadian Consumer Price Index, by 5% per annum over rolling five year periods, and (ii) pay quarterly cash distributions (expected to be $0.125 per quarter, or 5% per annum based on the original price of $10.00 per security). As previously announced, Sentry Select is seeking the approval of the securityholders of the Infrastructure Fund at a special meeting to be held on May 25, 2010, to amend the investment objective of Infrastructure Fund as follows:
“The investment objective of the Fund is to provide regular current income by investing globally in companies with either a direct or indirect exposure to infrastructure.”
Further details of this proposed change will be discussed in a Management Information Circular that will be sent in due course to those securityholders of record on April 16, 2010
Sentry Select Capital Inc." Sentry Select Capital Inc. is a Canadian wealth management company that offers a diverse range of investment products including mutual funds, closed-end investment funds, principal-protected notes and flow-through limited partnerships, covering a variety of domestic and global mandates.
Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions "expect," "intend," "will" and similar expressions to the extent they relate to Sentry Select. The forward-looking statements are not historical facts but reflect Sentry Select's current expectations regarding future results including, but not limited to, the proposed timing of the above noted changes. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although Sentry Select believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Sentry Select undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law. For a complete disclosure record of the Infrastructure Fund, please visit www.sedar.com.
Documents (including press releases) regarding the various investment funds that are managed or advised by Sentry are provided for information purposes only and cannot be relied on to be complete, exhaustive or error-free unless the complete set of documents for any given investment fund with respect to which information is being sought is reviewed and then only on SEDAR (www.sedar.com).