TSX Symbol: CIX.UN
TORONTO, July 2 /CNW/ - CI Financial Income Fund ("CI") today reported
net sales of $442 million in June 2008, and assets under management of $67.8
billion and total fee-earning assets of $102.7 billion as of June 30, 2008.
CI subsidiaries CI Investments Inc. and United Financial Corporation had
combined gross retail sales of $1.1 billion, with net sales of $442 million
consisting of $415 million in long-term funds and $27 million in money market
funds. In the last five months, CI has posted gross sales of $5.5 billion and
net sales of $1.9 billion.
"This marks CI's highest ever net sales for the month of June," said
Stephen A. MacPhail, CI President. "This reflects the strength of our diverse
product platforms and the overall excellent performance of our fund lineup."
For example, Signature Select Canadian Fund, one of CI's largest Canadian
equity funds, reached its 10th anniversary on May 31, 2008, and has
established a stellar track record. Over the last 10 years, the fund is ranked
first in its category for risk-adjusted returns and second for overall
returns. The portfolio has been managed since inception by Eric Bushell, chief
investment officer of Signature Global Advisors. Two of CI's other Canadian
equity funds, Harbour Fund and CI Canadian Investment Fund, also rank in the
top five for risk-adjusted returns over the 10 years ending May 31, 2008
(Source: Globe HySales).
Harbour Fund and Harbour Growth & Income Fund, a Canadian balanced fund,
are first quartile over the one, three, five and 10-year periods ending
May 31, 2008, while the Cambridge Funds, launched in January under the
direction of lead portfolio manager Alan Radlo, have had exceptional
year-to-date returns and have gathered over $400 million in assets.
CI's assets under management at June 30, 2008 consisted of investment
funds at CI Investments and United Financial of $65.1 billion, institutional
assets at KBSH Capital Management Inc. of $2.7 billion and structured product
assets of $549 million. CI also reported assets under administration of
$33.4 billion, which consisted of $23.6 billion in assets under administration
at Assante Wealth Management (Canada) Ltd. and $9.8 billion in assets under
administration at Blackmont Capital Inc.
Additional information about CI's sales, assets and financial position
can be found below in the tables of preliminary statistics and on its website
in the Statistics section.
CI Financial Income Fund (TSX: CIX.UN) is an independent, Canadian-owned
wealth management company. CI offers a broad range of investment products and
services, including an industry-leading selection of investment funds, and is
on the Web at www.ci.com/cix.-------------------------------------------------------------------------
CI FINANCIAL INCOME FUND
June 30, 2008
MONTH-END STATISTICS
-------------------------------------------------------------------------
MONTHLY SALES DATA RETAIL GROSS SALES REDEMPTIONS NET SALES
MANAGED FUNDS (millions) (millions) (millions)
-------------------------------------------------------------------------
Total long-term $1,032 $617 $415
Total short-term $117 $90 $27
-------------------------------------------------------------------------
TOTAL RETAIL FUNDS $1,149 $707 $442
-------------------------------------------------------------------------
-------------------------------------------------------------------------
FEE-EARNING ASSETS May 31/08 June 30/08
(millions) (millions) % Change
-------------------------------------------------------------------------
Retail managed funds $66,242 $64,555 -2.5%
-------------------------------------------------------------------------
Structured products 557 549 -1.4%
-------------------------------------------------------------------------
TOTAL retail assets under
management $66,799 $65,104 -2.5%
-------------------------------------------------------------------------
Institutional managed assets 2,813 2,741 -2.6%
-------------------------------------------------------------------------
TOTAL assets under management $69,612 $67,845 -2.5%
-------------------------------------------------------------------------
Assante assets under
administration(*) 24,066 23,585 -2.0%
-------------------------------------------------------------------------
Blackmont assets under
administration 9,683 9,842 1.6%
-------------------------------------------------------------------------
TOTAL assets under administration $33,749 $33,427 -1.0%
-------------------------------------------------------------------------
CI other fee-earning assets 1,521 1,449 -4.7%
-------------------------------------------------------------------------
TOTAL FEE-EARNING ASSETS $104,882 $102,721 -2.1%
-------------------------------------------------------------------------
-------------------------------------------------------------------------
AVERAGE RETAIL ASSETS UNDER May 31/08 June 30/08
MANAGEMENT (millions) (millions) % Change
-------------------------------------------------------------------------
Monthly $66,655 $66,236 -0.6%
-------------------------------------------------------------------------
Quarter-to-date $65,645 $65,840 0.3%
-------------------------------------------------------------------------
Fiscal year-to-date $63,354 $63,829 0.8%
-------------------------------------------------------------------------
-------------------------------------------------------------------------
FISCAL AVERAGE RETAIL ASSETS Fiscal 2007 Fiscal 2008
UNDER MANAGEMENT (millions) (millions) % Change
-------------------------------------------------------------------------
Fiscal year average retail
assets $64,958 $63,829 -1.7%
-------------------------------------------------------------------------
-------------------------------------------------------------------------
EQUITY FINANCIAL POSITION
(millions unless otherwise indicated)
-------------------------------------------------------------------------
LP units 146,518,301 Bank debt $1,066
Trust units 134,644,203 Cash & marketable securities (140)
Total outstanding ----------------------------------------
units(xxx) 281,162,504 Net debt outstanding $926
Quarter-to-date ----------------------------------------
weighted average Net debt to annualized
units outstanding 279,117,635 EBITDA (most recent
Yield at $22.00 9.3% quarter) 1.37:1
In-the-money ----------------------------------------
options 2,317,225 In-the-money option liability
Percentage of all (net of tax) $7
options 91% Terminal redemption value of
All options % of funds $790
units 0.9% Quarter-to-date equity-based
compensation(xx) $2
-------------------------------------------------------------------------
(*) Includes United Financial investment funds
(xx) Estimate partially based on marked-to-market pre-tax option expense
accrual from change in unit price and vesting from last quarter-end
($21.79) to June 30, 2008 ($22.00).
(xxx) Does not include units that have been acquired by CI under its
Normal Course Issuer Bid which may be reissued.
-------------------------------------------------------------------------
GEOGRAPHIC EXPOSURE OF AUM
-------------------------------------------------------------------------
Canada 46% Asia 4%
-------------------------------------------------------------------------
United States 22% Other 3%
-------------------------------------------------------------------------
Europe 11% Cash 14%
-------------------------------------------------------------------------EBITDA (earnings before interest, taxes, depreciation and amortization)
is a non-GAAP (generally accepted accounting principles) earnings measure;
however, CI management believes that most unitholders, creditors, other
stakeholders and investment analysts prefer to include the use of this
performance measure in analyzing CI's results. EBITDA is a measure of
operating performance, a facilitator for valuation and a proxy for cash flow.
This press release contains forward-looking statements with respect to CI
and its products and services, including its business operations and strategy
and financial performance and condition. Although management believes that the
expectations reflected in such forward-looking statements are reasonable, such
statements involve risks and uncertainties. Actual results may differ
materially from those expressed or implied by such forward-looking statements.
Factors that could cause actual results to differ materially from expectations
include, among other things, general economic and market factors, including
interest rates, business competition, changes in government regulations or in
tax laws, and other factors discussed in materials filed with applicable
securities regulatory authorities from time to time.
For further information: Stephen A. MacPhail, President, (416) 364-1145
