C$ unless otherwise stated
TORONTO, April 5, 2016 /CNW/ - As a result of the Federal Government's budget announcement on March 22, 2016, Manulife Investments today informed its investors that, if the proposal on the taxation of switch fund shares is enacted, there will be a change to the corporate "tax-rollover" rules applicable to investors in mutual funds that are each a separate class of shares of a mutual fund corporation, including the Manulife Corporate Class Funds ("MIX Corp. Funds"), effective as of October 1, 2016.
Specifically, effective on October 1, 2016, an investor in one MIX Corp. Fund will no longer be able to switch to another MIX Corp. Fund without realizing a taxable capital gain or loss in their taxable accounts. If the proposal becomes law, tax-deferred switching will no longer be a feature of corporate class mutual funds.
Until the change becomes effective, switches between MIX Corp. Funds will continue to occur on a tax-deferred basis. Other benefits of corporate class mutual funds remain unchanged.
Manulife Investments is assessing the implications of the announcement on its MIX Corp. Funds and investors and will provide further updates, as required.
Existing investors are encouraged to speak with their advisor and/or tax advisor about this proposed change and their options.
The proposal affects all of the Manulife Corporate Class Funds including:
- Manulife Asia Equity Class
- Manulife Balanced Equity Private Pool
- Manulife Canadian Balanced Private Pool
- Manulife Canadian Dividend Growth Class (formerly Standard Life Canadian Dividend Growth Class)
- Manulife Canadian Dividend Income Class (formerly Standard Life Dividend Income Class)
- Manulife Canadian Equity Balanced Class
- Manulife Canadian Equity Private Pool
- Manulife Canadian Focused Class
- Manulife Canadian Investment Class
- Manulife Canadian Monthly Income Class (formerly Standard Life Monthly Income Class)
- Manulife Canadian Opportunities Balanced Class
- Manulife Canadian Opportunities Class
- Manulife Canadian Stock Class
- Manulife China Class
- Manulife Covered Call U.S. Equity Class (formerly Manulife U.S. Opportunities Class)
- Manulife Dividend Income Class
- Manulife Dividend Income Private Pool
- Manulife Emerging Markets Class (formerly Standard Life Emerging Markets Dividend Class)
- Manulife Global Dividend Class
- Manulife Global Dividend Growth Class (formerly Standard Life Global Dividend Growth Class)
- Manulife Global Equity Class
- Manulife Global Equity Private Pool
- Manulife Global Equity Unconstrained Class (formerly Standard Life Global Equity Class)
- Manulife Global Infrastructure Class
- Manulife Global Real Estate Class
- Manulife Growth Opportunities Class
- Manulife Monthly High Income Class
- Manulife Portrait Dividend Growth & Income Portfolio Class (formerly Standard Life Dividend Growth & Income Portfolio Class)
- Manulife Portrait Growth Portfolio Class (formerly Standard Life Growth Portfolio Class)
- Manulife Preferred Income Class
- Manulife Short Term Yield Class
- Manulife U.S. All Cap Equity Class
- Manulife U.S. Dividend Income Class (formerly Manulife U.S. Dividend Class)
- Manulife U.S. Equity Private Pool
- Manulife Value Balanced Class
- Manulife World Investment Class
- Standard Life Canadian Bond Class
- Standard Life Conservative Portfolio Class
- Standard Life Corporate Bond Class
- Standard Life Moderate Portfolio Class
- Standard Life Short Term Yield Class
For more information, please contact Manulife Customer Service at 1-888-588-7999.
About Manulife Investments
Manulife Investments, a division of Manulife Asset Management Limited, builds on 125 years of Manulife's wealth and investment management expertise in managing assets for Canadian investors. As one of Canada's leading integrated financial services providers, Manulife Investments offers a variety of products and services including segregated fund contracts, mutual funds, annuities and guaranteed interest contracts.
Manulife Financial Corporation is a leading international financial services group providing forward-thinking solutions to help people with their big financial decisions. We operate as John Hancock in the United States, and Manulife elsewhere. We provide financial advice, insurance and wealth and asset management solutions for individuals, groups and institutions. At the end of 2015, we had approximately 34,000 employees, 63,000 agents, and thousands of distribution partners, serving 20 million customers. At the end of December 2015, we had $935 billion (US$676 billion) in assets under management and administration, and in the previous 12 months we made more than $24.6 billion in benefits, interest and other payments to our customers. Our principal operations are in Asia, Canada and the United States where we have served customers for more than 100 years. With our global headquarters in Toronto, Canada, we trade as 'MFC' on the Toronto, New York, and the Philippine stock exchanges and under '945' in Hong Kong. Follow Manulife on Twitter @ManulifeNews or visit http://www.manulife.com or www.johnhancock.com.
SOURCE Manulife Financial Corporation
For further information: Media contact: Bev MacLean, Manulife, 416-852-8501, Beverley_Maclean@manulife.com, @ManulifeNews