TORONTO: Sentry Select Capital Inc. (“Sentry” or the “Manager”) is pleased to announce that at a special meeting held today unitholders of Sentry Select MBS Adjustable Rate Income Fund II (the “Fund”) approved the restructuring of the Fund such that, among other things:
(collectively, the “Restructuring”).
The Restructuring is expected to become effective on or about March 25, 2011 (the “Effective Date”).
As a result of the Restructuring, the Fund's investment objectives will be changed to mandate that the Fund seek a balance of current income and long-term capital appreciation by investing primarily in a diversified portfolio of dividend-paying U.S. equity securities, including common and preferred shares and, to a lesser extent, interest bearing securities, such as bonds, bills or banker's acceptances. The Manager believes that the U.S. market offers an excellent investment opportunity for the application of Sentry's investment style.
On the Effective Date, the name of the Fund will be changed to “Sentry U.S. Growth and Income Fund”. While the Manager is currently not accepting purchase orders for Class A and Class F units of the Fund, it is anticipated that units of the Sentry U.S. Growth and Income Fund will be available for daily purchase and redemption once qualified for distribution under a simplified prospectus, which is expected to occur on or about May 27, 2011. At such time, it is expected that the Fund will offer Series A, Series F and Series I units with applicable fees similar to those of other equity funds within the Sentry Group of Funds.
As part of the Restructuring, existing Class A and Class X units will be consolidated with Class X units.
Beginning on the Effective Date, the Manager will be paid only that portion of the management fee that the Manager pays directly to investment dealers as a servicing fee for a period of five years for existing unitholders. To that end, the management fee payable to the Manager by the Fund in respect of the new Class X units of the Fund will be set at 0.40% per annum of the monthly average of the daily class net asset value per unit of the assets of the Fund.
Effective April 1, 2016, the management fee in respect of the Class X units will be increased to 2.25% per annum of the monthly average of the daily class net asset value per unit of the assets of the Fund, of which 1.25% will be paid by the Manager to investment dealers as a servicing fee to bring it in line with the management fees and servicing fees of other equity funds within the Sentry Group of Funds.
Sentry Investments: Sentry Investments is a Canadian asset management company that offers a diverse range of investment products including mutual funds, hedge funds, flow-through limited partnerships and other alternative investments, covering a variety of domestic and global mandates.
Les documents (y compris les communiqués de presse) se rapportant aux divers fonds d'investissement pour lesquels Sentry agit à titre de gestionnaire ou de conseiller ne sont fournis qu'à titre informatif. Ces documents ne peuvent être considérés comme étant exhaustifs ou exempts d'erreur sans un examen approfondi de la totalité des documents se rapportant à un fonds d'investissement en particulier disponibles sur SEDAR (www.sedar.com).