TORONTO, Jan. 26, 2012 /CNW/ - Strategic Income Allocation Fund (the
"Fund") announces that it has filed a preliminary prospectus dated
January 25, 2012 with the securities regulatory authorities of all of
the Canadian provinces and territories for an initial public offering
of transferable trust units (the "Units") of the Fund at $10.00 per
The Fund's investment objectives are to provide holders of Units with
(i) maximized total returns, and (ii) monthly, tax-advantaged
distributions. The Fund will seek to achieve these investment
objectives through exposure by virtue of a forward purchase and sale
agreement to an actively managed diversified portfolio comprised
primarily of income generating North American fixed income investments,
including high yield bonds, investment grade bonds, senior loans and
convertible debt held by SIA Trust (the "Portfolio Trust"). Aston Hill
Asset Management Inc. has been retained to provide investment advisory
and portfolio management services to the Fund and Portfolio Trust. The
Fund will be managed by Propel Capital Corporation ("Propel").
The distributions are initially targeted to be 6.5% per annum on the
subscription price of $10.00 per Unit ($0.05417 per Unit per month or
$0.65 per annum). The Fund will not have a fixed distribution amount
but intends to at least annually set periodic distribution targets.
The syndicate of agents for this offering is being led by CIBC, and RBC
Capital Markets, and includes GMP Securities L.P., TD Securities Inc.,
BMO Capital Markets, National Bank Financial Inc., Scotia Capital Inc.,
Canaccord Genuity Corp., Macquarie Private Wealth Inc., Raymond James
Ltd., Desjardins Securities Inc., Dundee Securities Ltd, Mackie
Research Capital Corporation and Manulife Securities Incorporated.
A preliminary prospectus containing important information relating to
these securities has been filed with securities commissions or similar
authorities in each of the provinces and territories of Canada. The
preliminary prospectus is still subject to completion or amendment.
Copies of the preliminary prospectus may be obtained from one of the
agents noted above. 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 issued.
SOURCE Strategic Income Allocation Fund
For further information:
Raj Lala, President, Propel Capital at 416-572-2364 or visit www.propelcapital.ca