TORONTO, June 5, 2013 /CNW/ - Aston Hill Asset Management Inc. (the "Manager") is pleased to announce the launch of a new fund called Aston Hill
Strategic Yield II Fund ("SY II Fund"). SY II Fund was created to provide a new option for investors
looking to access the high yield portfolio managed by Mr. Sandy Liang
after Aston Hill Strategic Yield Fund ("SY Fund") was closed for new purchases earlier this year as a result of the
Federal Budget changes announced in March. Specifically, the Federal
Budget ended the use of a forward purchase or sale agreement (a "Forward Agreement") if entered into or extended on or after March 21, 2013. Forward
Agreements have been used by investment funds to obtain exposure to a
reference portfolio or asset on a more tax-efficient basis than
directly holding the reference portfolio or asset. SY Fund currently
has in place a Forward Agreement which provides exposure to the
investment returns of Aston Hill Strategic Yield Trust ("SY Trust"). This Forward Agreement was entered into prior to the date of the Budget and will therefore continue to offer current
unitholders tax-efficiency until the end of its term on December 9,
2014. For more information on the impact of the Federal Budget, please
view our communication released on April 3, 2013 titled Impact of the Federal Budget on Aston Hill Funds Currently Utilizing
The newly launched SY II Fund has the same investment objective as SY
Fund. Similarly to SY Fund, SY II Fund's investment strategy is to
obtain exposure to SY Trust by investing directly in units of SY Trust,
but without the use of a Forward Agreement. As both SY Fund and SY II
Fund seek to achieve their objective by obtaining exposure to SY Trust,
the Manager expects the returns for these two funds to be similar;
however, it is important to note that future returns will not be
identical as there are different fees and expenses associated with each
fund, one of which is the cost of the Forward Agreement utilized by SY
"Mr. Liang has done an impressive job generating low volatility returns
for current investors and, as a result, the Strategic Yield strategy
continues to garner significant interest. We are pleased to have
launched Aston Hill Strategic Yield II Fund in order to continue to
provide investors with access to Mr. Liang's portfolio management
expertise," said Michael J. Killeen, President of Aston Hill Asset
Management Inc. "Aston Hill currently is managing approximately $2
billion in high yield corporate debt assets and I look forward to being
able to provide investors with access to this market," said Mr. Liang.
About Aston Hill
The Manager is a wholly-owned subsidiary of Aston Hill Financial Inc.
(TSX: AHF). Aston Hill Financial Inc. is a diversified asset management
company with a suite of retail mutual funds, closed end funds, private
equity funds, hedge funds and segregated institutional funds. Aston
Hill Financial is also engaged in the administration of Argent Energy
Trust (TSX: AET.UN). Aston Hill Financial has offices in Calgary,
Toronto and Halifax.
Commissions, trailing commissions, management fees and expenses all may
be associated with mutual fund investments. Please read the prospectus
before investing. Mutual funds are not guaranteed, their values change
frequently and past performance may not be repeated.
SOURCE: Aston Hill Asset Management Inc.
For further information:
Sales & Marketing Department
Aston Hill Asset Management Inc.