CI Investments announces fund mergers



    TSX SYMBOL: CIX

    TORONTO, June 11 /CNW/ - CI Investments Inc. ("CI") today announced a
plan to streamline its mutual fund lineup by merging 16 mutual funds into
other funds. In addition, CI intends to reduce the annual management fees and
modify the investment objectives of Signature Corporate Bond Fund and
Signature Corporate Bond Corporate Class.
    "The current economic environment obliges us to seek improved
efficiencies wherever possible," said Peter W. Anderson, CI Chief Executive
Officer. "Through these mergers, CI will simplify its fund lineup, while
continuing to provide an industry-leading choice of investment mandates."
    "Furthermore," Mr. Anderson said, "we believe that investors will benefit
from a clearer set of choices and from being invested in larger funds with
potentially greater access to a broader set of investment opportunities."

    
    The proposed mergers are as follows:

    -------------------------------------------------------------------------
    Terminating Fund                       Continuing Fund
    -------------------------------------------------------------------------
    Blackmont Corporate Bond Fund          Signature Corporate Bond
                                           Corporate Class
    -------------------------------------------------------------------------
    CI Global Balanced Corporate Class     CI International Balanced
                                           Corporate Class
    -------------------------------------------------------------------------
    CI Global Biotechnology                CI Global Health Sciences
    Corporate Class                        Corporate Class
    -------------------------------------------------------------------------
    CI Global Consumer Products            CI Global Value Corporate Class
    Corporate Class
    -------------------------------------------------------------------------
    CI Global Financial Services           CI Global Value Corporate Class
    Corporate Class
    -------------------------------------------------------------------------
    Knight Bain Canadian Bond Fund         Signature Canadian Bond Fund
    -------------------------------------------------------------------------
    Knight Bain Corporate Bond Fund        Signature Canadian Bond Fund
    -------------------------------------------------------------------------
    Knight Bain Diversified                Signature Global Income & Growth
    Monthly Income Fund                    Fund
    -------------------------------------------------------------------------
    Knight Bain Pure Canadian              Signature Select Canadian Fund
    Equity Fund
    -------------------------------------------------------------------------
    Knight Bain Small Cap Fund             CI Can-Am Small Cap Corporate
                                           Class
    -------------------------------------------------------------------------
    Signature Canadian Asset               Signature Canadian Balanced Fund
    Allocation Fund
    -------------------------------------------------------------------------
    Synergy Canadian Style Management      Synergy Canadian Corporate Class
    Corporate Class
    -------------------------------------------------------------------------
    Synergy Focus Canadian Equity Fund     Synergy Canadian Corporate Class
    -------------------------------------------------------------------------
    Synergy Focus Global Equity Fund       Synergy Global Corporate Class
    -------------------------------------------------------------------------
    Synergy Global Style Management        Synergy Global Corporate Class
    Corporate Class
    -------------------------------------------------------------------------
    Signature Long-Term Bond Fund          Signature Canadian Bond Fund
    -------------------------------------------------------------------------
    

    The funds being merged have small asset bases and/or similar mandates to
the respective continuing fund.
    With the mergers, CI will no longer offer funds under the Knight Bain
name. As previously announced, the Knight Bain funds' portfolio management
team, KBSH Capital Management, has been integrated into Signature Global
Advisors. The Knight Bain funds were formerly offered by Rockwater Capital
Corp., which CI Financial acquired in April 2007.
    The mergers will indirectly affect the following segregated funds, which
invest in units of CI mutual funds: SunWise CI Global Balanced Corporate
Class, CI Global Balanced Guaranteed Investment Fund, SunWise CI Signature
Canadian Asset Allocation Fund, and SunWise Elite CI Signature Canadian Asset
Allocation Fund.
    CI also will reduce the annual management fees of Signature Corporate
Bond Fund and Signature Corporate Bond Corporate Class to 1.70% from 2.0% for
Class A, and to 0.85% from 1.50% for Class F. CI is also seeking the approval
of securityholders of these funds to modify their investment objectives by
permitting increased exposure to investment-grade corporate bonds and by
removing the restriction to invest mainly in Canadian securities. The new
investment objectives will be: "To achieve a yield advantage by using
fundamental value analysis to evaluate investments. The fund will invest
mainly in fixed-income securities that are investment grade and below
investment grade."
    The new mandates will benefit the funds by allowing for greater
diversification and investment opportunities through increased access to
investment-grade securities and U.S. and global corporate bond markets. The
modification will indirectly affect one segregated fund, Clarica SF CI
Signature Corporate Bond Fund.
    The changes require the approval of securityholders in Signature
Corporate Bond Fund, Signature Corporate Bond Corporate Class, 13 of the
terminating mutual funds and two of the continuing mutual funds. Meetings of
securityholders in these funds have been scheduled for August 10, 2009, and
investors will be sent a notice of meeting, management information circular
and proxy form in mid-July.
    Securityholder approval is not required for the mergers of CI Global
Biotechnology Corporate Class, CI Global Balanced Corporate Class, and Synergy
Global Style Management Corporate Class. Investors in these funds will be
notified of the mergers.
    The Board of Governors, acting in its capacity as the independent review
committee for the CI funds, has reviewed all of the proposed mergers with
respect to conflict of interest issues and has determined that the mergers
achieve a fair and reasonable result to investors.
    Following required securityholder and regulatory approvals, the changes
will take effect on or about August 14, 2009.

    CI Investments Inc. is one of Canada's largest investment management
companies. It 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. CI is a subsidiary of CI Financial Corp. (TSX: CIX), an
independent, Canadian-owned wealth management firm with approximately $86
billion in fee-earning assets as of May 31, 2009.





For further information:

For further information: Murray Oxby, Director, Communications, CI
Investments Inc., (416) 681-3254


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