TORONTO, April 19 /CNW/ - IA Clarington Investments Inc. (the "Manager") is pleased to announce that IA Clarington Aston Hill Tactical Yield Fund (the "Fund") has completed its initial public offering (the "Offering") of 10,000,000 Units at a price of $10.00 per Unit for aggregate gross proceeds of $100 million.
Each Unit consists of one transferable trust unit (a "Trust Unit") and one Trust Unit purchase warrant (a "Warrant"). The Units will separate into Trust Units and Warrants on or before the 30th day following the closing of the Offering. Each Warrant entitles the holder to purchase one Trust Unit at the subscription price of $10.00 per Trust Unit on or before 5:00 p.m. (Toronto time) on April 29, 2011.
The Fund's investment objectives are:
- to provide unitholders with monthly cash distributions, initially
targeted to be 6.0% per Trust Unit per annum on the original offering
price of $10.00 per Unit ($0.05 per Trust Unit per month or $0.60 per
Trust Unit per annum); and
- to maximize total returns for unitholders, consisting of both cash
distributions and capital appreciation, while reducing risk and
The Fund's investment strategy is to invest in an actively managed,
diversified portfolio comprised primarily of:
- Canadian common and preferred equity securities and income trust
units that provide a consistent and stable source of current income;
- fixed income securities, including high yield corporate debt
securities, cash and cash equivalents.
Each of the equity portion and the fixed income portion generally will represent between one-third and two-thirds of the portfolio, with the allocation at any time being determined by the portfolio manager based on its view of market opportunities at the time of investment.
The Fund will be actively managed by Catapult Financial Management Inc., and Ben Cheng will be the lead portfolio manager responsible for the Fund.
On or before April 30, 2012, the Fund will either:
- convert to an open-ended mutual fund, or
- merge on a tax-deferred basis with an open-ended mutual fund to be
managed by the Manager or an affiliate of the Manager.
The syndicate of agents is co-led by CIBC World Markets Inc. and RBC Capital Markets and includes BMO Capital Markets, National Bank Financial Inc., Scotia Capital Inc., TD Securities Inc., Canaccord Financial Ltd., Desjardins Securities Inc., HSBC Securities (Canada) Inc., Raymond James Ltd., Wellington West Capital Markets Inc., Dundee Securities Corporation, Macquarie Capital Markets Canada Ltd., Industrial Alliance Securities Inc. and Rothenberg Capital Management Inc.
About IA Clarington Investments Inc.
IA Clarington Investments Inc., a subsidiary of Industrial Alliance Insurance and Financial Services Inc., markets a wide range of investment products, including mutual funds and segregated funds managed by leading portfolio advisors. IA Clarington managed more than $8.2 billion in assets as at March 31, 2010.
Catapult Financial Management Inc.
Catapult is a wholly-owned subsidiary of Aston Hill Financial Inc. ("Aston Hill"), which is listed on the TSX Venture Exchange under "AHF". As at March 31, 2010, Aston Hill had approximately $1.8 billion in assets under management.
The IA Clarington Funds and IA Clarington Target Click Funds are managed by IA Clarington Investments Inc. IA Clarington and the IA Clarington logo are trademarks of Industrial Alliance Insurance and Financial Services Inc. and are used under license.
SOURCE IA Clarington Investments Inc
For further information: For further information: Eric Frape, Senior Vice-President, Product and Business Development, IA Clarington Investments Inc., (416) 860-9880, Toll-Free 1-888-860-9888, Email: firstname.lastname@example.org, www.iaclarington.com