CI Financial reports $265 million in net sales and 2.6% asset growth for May



    TSX Symbol: CIX.UN

    TORONTO, June 2 /CNW/ - CI Financial Income Fund ("CI") today reported
net sales of $265 million in May 2008, and assets under management of
$69.6 billion and total fee-earning assets of $105.1 billion as of
May 31, 2008.
    During the month, retail assets under management grew by $1.67 billion or
2.6% to $66.8 billion. This represents a gain of $2.6 billion or 4.1% for the
year-to-date.
    In May, CI subsidiaries CI Investments Inc. and United Financial
Corporation had combined gross retail sales of $988 million and net sales of
$265 million, consisting of $219 million in long-term funds and $46 million in
money market funds.
    "It was an excellent month for sales and asset growth," said Stephen A.
MacPhail, CI President. "The sales momentum of the RSP season has continued
into the slower spring months, a tribute to the strength and depth of our
product lineup."
    Since February 1, 2008, CI has achieved $1.4 billion in net sales and
experienced an increase in retail assets under management of $5.3 billion or
9%.
    Support for the Cambridge Funds, launched in January 2008, continues to
build, with the funds reaching over $50 million in net sales in May. Under
Lead Portfolio Manager Alan Radlo, the Cambridge Funds have posted exceptional
performance. For example, Cambridge Canadian Equity Corporate Class has a
year-to-date return of 11.2%, outperforming the S&P/TSX Composite Index by
3.7 percentage points, and Cambridge Global Equity Corporate Class has
returned 13.7% for the year-to-date, outperforming the MSCI World Index (in
Canadian dollars) by 15.6 percentage points.
    In May, the SunWise Elite Plus segregated funds with the Guaranteed
Minimum Withdrawal Benefit (GMWB), a rider that offers investors a guaranteed
retirement income, surpassed $1 billion in assets under management. SunWise
Elite Plus with the GMWB, offered in partnership with Sun Life Financial, was
launched in April 2007 and enhanced in March 2008 with a lifetime withdrawal
option.
    CI's assets under management at May 31, 2008 consisted of investment
funds at CI Investments and United Financial of $66.2 billion, institutional
assets at KBSH Capital Management Inc. of $2.8 billion and structured product
assets of $553 million. CI also reported assets under administration of
$34.0 billion, which consisted of $24.3 billion in assets under administration
at Assante Wealth Management (Canada) Ltd. and $9.7 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
                                 May 31, 2008
                             MONTH-END STATISTICS
    -------------------------------------------------------------------------
    MONTHLY SALES DATA           GROSS SALES     REDEMPTIONS       NET SALES
    RETAIL MANAGED FUNDS          (millions)      (millions)      (millions)
    -------------------------------------------------------------------------
    Total long-term                     $850            $631            $219
    Total short-term                    $138             $92             $46
    -------------------------------------------------------------------------
    TOTAL RETAIL FUNDS                  $988            $723            $265
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    FEE-EARNING ASSETS           April 30/08       May 31/08               %
                                  (millions)      (millions)          Change
    -------------------------------------------------------------------------
    Retail managed funds             $64,579         $66,241            2.6%
    -------------------------------------------------------------------------
    Structured products                  549             553            0.7%
    -------------------------------------------------------------------------
    TOTAL retail assets under
     management                      $65,128         $66,794            2.6%
    -------------------------------------------------------------------------
    Institutional managed assets       2,942           2,832           -3.7%
    -------------------------------------------------------------------------
    TOTAL assets under management    $68,070         $69,626            2.3%
    -------------------------------------------------------------------------
    Assante assets under
     administration(*)                23,838          24,315            2.0%
    -------------------------------------------------------------------------
    Blackmont assets under
     administration                    9,306           9,683            4.1%
    -------------------------------------------------------------------------
    TOTAL assets under
     administration                  $33,144         $33,998            2.6%
    -------------------------------------------------------------------------
    CI other fee-earning assets        1,533           1,521           -0.8%
    -------------------------------------------------------------------------
    TOTAL FEE-EARNING ASSETS        $102,747        $105,145            2.3%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    AVERAGE RETAIL ASSETS        April 30/08       May 31/08               %
    UNDER MANAGEMENT              (millions)      (millions)          Change
    -------------------------------------------------------------------------
    Monthly                          $64,601         $66,654            3.2%
    Quarter-to-date                  $64,601         $65,644            1.6%
    Fiscal year-to-date              $62,508         $63,353            1.4%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    FISCAL AVERAGE RETAIL        Fiscal 2007     Fiscal 2008               %
    ASSETS UNDER MANAGEMENT       (millions)      (millions)          Change
    -------------------------------------------------------------------------
    Fiscal year average retail
     assets                          $64,958         $63,353           -2.5%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    EQUITY                            FINANCIAL POSITION
                                      (millions unless otherwise indicated)
    -------------------------------------------------------------------------
    LP units            146,558,251   Bank debt                       $1,068
    Trust units         135,004,253   Cash & marketable securities     (153)
    Total outstanding                 ---------------------------------------
     units              281,562,504   Net debt outstanding              $915
    Quarter-to-date                   ---------------------------------------
     weighted average                 Net debt to annualized EBITDA
     units outstanding  279,152,799    (most recent quarter)          1.34:1
    Yield at $23.75            8.6%   ---------------------------------------
    In-the-money                      In-the-money option liability
     options              2,337,549    (net of tax)                      $10
    Percentage of all                 Terminal redemption value
     options                    91%    of funds                         $786
    All options % of                  Quarter-to-date equity-based
     units                     0.9%    compensation(*)(*)                 $6
    -------------------------------------------------------------------------

    (*)    Includes United Financial investment funds
    (*)(*) 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 May 31, 2008 ($23.75).


    -------------------------------------------------------------------------
    GEOGRAPHIC EXPOSURE OF AUM
    -------------------------------------------------------------------------
    Canada                         46%    Asia                            4%
    -------------------------------------------------------------------------
    United States                  22%    Other                           3%
    -------------------------------------------------------------------------
    Europe                         12%    Cash                           13%
    -------------------------------------------------------------------------
    

    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.

    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:

For further information: Stephen A. MacPhail, President, (416) 364-1145


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890