/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN
THE UNITED STATES./
TORONTO, March 1, 2013 /CNW/ - Excel Funds Management Inc. (the
"Manager") is pleased to announce that the Excel Latin America Bond
Fund (the "Fund") has filed a preliminary prospectus for a treasury
offering of Class A Units, Class F Units and Class U Units. The Class F
Units are designed for fee-based accounts and the Class U Units are
designed for investors wishing to make their investment in U.S.
dollars. The offering price of the Units will be determined so as to
be non-dilutive to the net asset value per Unit of existing Unitholders
as at the date of the final prospectus. The Class F and Class U Units
will not be listed on a stock exchange but will be convertible into
Class A Units on a monthly basis. The Fund's outstanding Class A Units
are listed and posted for trading on the Toronto Stock Exchange under
the symbol "ELA.UN".
The Fund's investment objectives are to (i) provide quarterly
tax-advantaged distributions consisting primarily of returns of
capital; and (ii) preserve and provide the opportunity to increase the
net asset value of the Fund, in each case, through exposure to an
actively managed, diversified portfolio consisting primarily of U.S.
dollar denominated high yield fixed income securities issued by
companies located in Latin America, with a focus on Brazil. The
distribution target for the Fund is expected to remain at $0.19375 per
Unit per quarter ($0.775 per annum), consisting primarily of returns of
capital which are not immediately taxable but which reduce a
Unitholder's adjusted cost base of its Units. Excel Investment Counsel
Inc., the portfolio manager, hedges substantially all of the value of
the portfolio attributable to the Class A Units and the Class F Units
to the Canadian dollar.
The Manager and portfolio manager are part of the Excel Funds group, a
Canadian pioneer in emerging market mutual fund investing, which
manages 11 other investment funds focused on the emerging markets, the
largest product line-up in the asset class across Canada.
BTG Pactual acts as sub-advisor in connection with the selection,
purchase and sale of portfolio securities and other assets of the
portfolio. The sub-advisor is one of Latin America's leading
independent asset managers with over U.S. $65 billion in assets under
management as at December 31, 2012.
The syndicate of agents for the offering is being co-led by BMO Capital
Markets, CIBC and RBC Capital Markets and includes National Bank
Financial Inc., Raymond James Ltd., TD Securities Inc., Desjardins
Securities Inc., Canaccord Genuity Corp., GMP Securities L.P., Dundee
Securities Ltd., Mackie Research Capital Corporation, Macquarie Private
Wealth Inc., Manulife Securities Incorporated, Industrial Alliance
Securities Inc. and Sherbrooke Street Capital (SCC) Inc.
A preliminary prospectus containing important information relating to
these securities has been filed with securities commissions or similar
authorities in all provinces and territories of Canada. The preliminary
prospectus is still subject to completion or amendment. Copies of the
preliminary prospectus may be obtained from any of the above-mentioned
agents. There will not be any sale or any acceptance of an offer to buy
the securities until a receipt for the final prospectus has been
Commissions, management fees and expenses all may be associated with
investment funds. Please read the Fund's publicly filed documents
which are available on SEDAR at www.sedar.com. Investment funds are not guaranteed, their values change frequently
and past performance may not be repeated.
Certain statements contained in this news release constitute
forward-looking information within the meaning of Canadian securities
laws. Forward-looking information may relate to the future outlook of
the Fund and anticipated distributions, events or results and may
include statements regarding the future financial performance of the
Fund. In some cases, forward-looking information can be identified by
terms such as "may", "will", "should", "expect", "anticipate",
"believe", "intend" or other similar expressions concerning matters
that are not historical facts. Actual results may vary from such
The securities offered have not been registered under the U.S.
Securities Act of 1933, as amended, or any state securities laws. This
press release does not constitute an offer to sell or the solicitation
of an offer to buy any securities within the United States.
SOURCE: Excel Funds Management Inc.
For further information:
Please contact your financial advisor, call our investor relations line at 1-888-813-9813 or visit our website at www.excelfunds.com.
Chief Compliance Officer
Excel Funds Management Inc.