United Financial announces proposed fund mergers, portfolio management change



    TORONTO, April 15 /CNW/ - United Financial Corporation, the manager of
the United Funds, announced today its intention to merge each United
Diversified Fund into its corresponding United Value Fund and United Growth
Fund.
    The current investment mandate of each United Diversified Fund is
comprised of a combination of a value mandate and a growth mandate. Under the
proposal, each merger will involve the United Diversified Fund merging a
portion of its assets into the United Value Fund and a portion into the United
Growth Fund, as follows, with the approximate proportion allocated to each
fund in brackets:

    
    -   Canadian Equity Diversified Pool will be merged into Canadian Equity
        Value Pool (60%) and Canadian Equity Growth Pool (40%).

    -   Canadian Equity Diversified Corporate Class will be merged into
        Canadian Equity Value Corporate Class (60%) and Canadian Equity
        Growth Corporate Class (40%);

    -   US Equity Diversified Pool will be merged into US Equity Value Pool
        (50%) and US Equity Growth Pool (50%);

    -   US Equity Diversified Corporate Class will be merged into US Equity
        Value Corporate Class (50%) and US Equity Growth Corporate Class
        (50%);

    -   International Equity Diversified Pool will be merged into
        International Equity Value Pool (50%) and International Equity Growth
        Pool (50%);

    -   International Equity Diversified Corporate Class will be merged into
        International Equity Value Corporate Class (50%) and International
        Equity Growth Corporate Class (50%).
    

    "The mergers will streamline and simplify our lineup while putting
investors into pools with more precise investment mandates than the blended
mandates of the diversified funds," said Steven J. Donald, President and Chief
Operating Officer of United Financial. "The mergers will not change investors'
overall market exposure or reduce their ability to build a diversified
portfolio, according to their preferences, using the United lineup."
    In addition, United Financial announced that CI Global Holdings Inc.,
which carries on business as Cambridge Advisors of Boston and is a subsidiary
of CI Investments Inc., has been appointed portfolio manager of a portion of
International Equity Growth Pool and International Equity Growth Corporate
Class, effective May 22. The remainder will continue to be managed by Picton
Mahoney Asset Management.
    Cambridge Advisors currently manages the growth portion of International
Equity Diversified Pool and International Equity Diversified Corporate Class.
Cambridge is led by Alan Radlo, Senior Vice-President, Portfolio Management,
who has more than 25 years of experience in managing Canadian, U.S. and global
large and small-cap equity portfolios.
    There are no other changes to the portfolio management of the continuing
funds.
    In each merger, assets of the United Diversified Fund will be sold in
return for units or shares (as applicable) of the United Value Fund and United
Growth Fund. The United Diversified Fund then will terminate and each
investor's units or shares of the United Diversified Fund will be replaced
with a proportionate number of units or shares of both the United Value Fund
and the United Growth Fund.
    While the mergers involving Canadian Equity Diversified Pool, US Equity
Diversified Pool and International Equity Diversified Pool will not be
eligible for tax-free rollover treatment, United Financial expects that the
mergers will result in minimal, if any, tax liability for such United
Diversified Funds and their unitholders. The mergers involving Canadian Equity
Diversified Corporate Class, US Equity Diversified Corporate Class and
International Equity Diversified Corporate Class will be eligible for tax-free
rollover treatment for their shareholders. To the extent that any such United
Diversified Fund disposes of units of another United Diversified Fund as a
result of a merger, United Financial expects that the disposition will result
in minimal, if any, tax liability.
    Investors in each United Diversified Fund will be asked to approve its
merger at special meetings of securityholders to be held on or about May 22,
2009. Each merger also is subject to regulatory approval and, for corporate
law requirements, approval by the shareholders of the continuing United Value
Funds and United Growth Funds that are structured as Corporate Classes.
Subject to approval, the mergers will take effect after the close of business
on or about May 22, 2009.

    About United Financial

    United Financial Corporation is a Canadian investment management and
wealth planning firm. It provides customized managed portfolio solutions for
individuals, families and businesses through the Artisan Portfolios,
Institutional Managed Portfolios, Evolution Private Managed Accounts, Optima
Strategy, and Private Client Managed Portfolios programs distributed through
advisors with Assante Wealth Management. United Financial is on the Web at
www.unitedfinancial.ca.
    United Financial is wholly owned by CI Financial Corp. (TSX: CIX), an
independent, Canadian-owned wealth management firm with approximately $78
billion in fee-earning assets as of March 31, 2009. CI Financial is on the Web
at www.ci.com/cix.





For further information:

For further information: Steven J. Donald, President and Chief Operating
Officer, United Financial Corporation, (416) 644-5650

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UNITED FINANCIAL CORPORATION

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