CI Financial reports sales and assets for August



    TSX Symbol: CIX.UN

    TORONTO, Sept. 4 /CNW/ - CI Financial Income Fund ("CI") today reported
assets under management of $67.9 billion and fee-earning assets of
$95.4 billion as of August 31, 2007. These totals represent increases over a
year ago of 16.4% and 25.7%, respectively.
    CI Investments Inc. posted net sales of $59 million for August in its
retail mutual funds and gross sales of $595 million. Activity in institutional
accounts related to several series of deposit notes resulted in overall net
redemptions of $137 million for CI Investments. The deposit notes use asset
allocation strategies in which money is re-allocated out of the underlying
funds when related markets are declining.
    United Financial Corporation reported gross sales of $154 million and net
sales of $11 million.
    "We're pleased that our retail fund sales continued to be positive in the
face of the extreme volatility on financial markets in August," said President
Stephen A. MacPhail.
    Redemptions in structured products of $102 million during the month were
the result of a one-time redemption right for unitholders of DDJ High Yield
Fund at the 10-year anniversary of this closed-end fund. The fund had been
scheduled to terminate in August, but its term has been extended for another
10 years.
    In total, CI had gross sales of $749 million and net redemptions of
$228 million in August. For the year-to-date, CI had gross sales of
$8.1 billion and net sales of $1.5 billion.
    CI's assets under management at August 31, 2007 consisted of investment
fund assets at CI Investments and United Financial of $64.1 billion,
structured product assets of $723 million and $3.2 billion of institutional
assets at KBSH Capital Management Inc. CI also reported other assets of
$27.4 billion, which included $16.6 billion in assets under administration at
Assante Wealth Management (Canada) Ltd. (net of assets under management at
United Financial), assets under administration at Blackmont Capital Inc. of
$9.1 billion, as well as institutional assets at Trilogy Global Advisors, LLC
that generate fees for CI.
    In other news, Morningstar Canada announced in August that CI Investments
had an industry-leading 43 mutual and segregated funds with its top five-star
rating at July 31, 2007.
    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
                               August 31, 2007
                            MONTH-END STATISTICS
    -------------------------------------------------------------------------
    MONTHLY SALES DATA                 GROSS SALES   REDEMPTIONS   NET SALES
                                        (millions)    (millions)   (millions)
    -------------------------------------------------------------------------
    CI funds excluding MMF                  $495          $645         -$150
    CI money market                          100            87            13
    -------------------------------------------------------------------------
    TOTAL CI Investments                    $595          $732         -$137
    -------------------------------------------------------------------------
    TOTAL United Financial                  $154          $143           $11
    -------------------------------------------------------------------------
    TOTAL structured products                 $0          $102         -$102
    -------------------------------------------------------------------------
    TOTAL CI                                $749          $977         -$228
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    FEE-EARNING ASSETS                 July 31/07    August 31/07        %
                                       (millions)     (millions)      Change
    -------------------------------------------------------------------------
    CI mutual/segregated funds           $54,933       $54,305         -1.1%
    United Financial funds                 9,790         9,759         -0.3%
    -------------------------------------------------------------------------
                                         $64,723       $64,064         -1.0%
    -------------------------------------------------------------------------
    Structured products                      845           723        -14.4%
    -------------------------------------------------------------------------
    TOTAL retail assets under
     management                          $65,568       $64,787         -1.2%
    -------------------------------------------------------------------------
    Institutional managed assets           3,174         3,152         -0.7%
    -------------------------------------------------------------------------
    TOTAL assets under management        $68,742       $67,939         -1.2%
    -------------------------------------------------------------------------
    CI administered/other assets           1,846         1,712         -7.3%
    -------------------------------------------------------------------------
    Assante assets under administration
     (net of United funds)                16,585        16,585          0.0%
    -------------------------------------------------------------------------
    Blackmont assets under
     administration                        9,934         9,122         -8.2%
    -------------------------------------------------------------------------
    TOTAL FEE-EARNING ASSETS             $97,107       $95,358         -1.8%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    AVERAGE RETAIL ASSETS UNDER        July 31/07    August 31/07        %
     MANAGEMENT                        (millions)     (millions)      Change
    -------------------------------------------------------------------------
    Monthly                              $66,706       $64,055         -4.0%
    Quarter-to-date                      $66,706       $65,381         -2.0%
    Fiscal year-to-date                  $65,294       $65,136         -0.2%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    FISCAL AVERAGE RETAIL ASSETS         Fiscal      Fiscal 2007        %
     UNDER MANAGEMENT                  2006 (Dec.)    (millions)      Change
                                       (millions)
    -------------------------------------------------------------------------
    Fiscal year average retail assets    $58,735       $65,136         10.9%
    -------------------------------------------------------------------------


    -------------------------------------------------------------------------
    EQUITY                               FINANCIAL POSITION
                                         (millions unless otherwise
                                          indicated)
    -------------------------------------------------------------------------
    LP units               146,884,350   Bank debt                      $803
    Trust units            139,389,827   Cash & marketable securities    (28)
    Total outstanding                    ------------------------------------
     units                 286,274,177   Net debt outstanding           $775
    Quarter-to-date                      ------------------------------------
     weighted average                    Net debt to annualized EBITDA
     units outstanding     285,190,844    (most recent quarter)       0.99:1
    Yield at $25.43               9.0%   ------------------------------------
    In-the-money options     2,879,039   In-the-money equity comp.
    Percentage of all                     liability (net of tax)         $16
     options                       89%   Terminal redemption value
    All options % of units        1.1%    of funds                      $782
                                         Quarter-to-date equity-based
                                          compensation(*)                ($3)
    -------------------------------------------------------------------------
    (*) Based on marked-to-market pre-tax equity-based compensation expense
        accrual from change in unit price and vesting from last quarter-end
        ($27.10) to August 31, 2007 ($25.43).


    -------------------------------------------------------------------------
    GEOGRAPHIC EXPOSURE OF AUM
    -------------------------------------------------------------------------
    Canada                         48%   Asia                             4%
    -------------------------------------------------------------------------
    United States                  23%   Other                            3%
    -------------------------------------------------------------------------
    Europe                         12%   Cash                            10%
    -------------------------------------------------------------------------
    

    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. CI 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 that
does not have any standardized meaning prescribed by GAAP. It is therefore
unlikely to be comparable to similar measures presented by other companies.
However, 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.

    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


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