TORONTO, Nov. 2, 2011 /CNW/ - Gold and Silver Enhanced Income Fund (the
"Fund") is pleased to announce that it has filed and received a receipt
for its preliminary prospectus from the securities regulatory authority
in each province of Canada. The Fund is an investment trust designed to
provide investors with an actively managed investment in the common
shares of leading gold and silver mining producers while mitigating
downside risk and paying a monthly cash distribution.
The Fund's investment objectives are:
to maximize risk adjusted returns for holders of Units of the Fund; and
to pay Unitholders monthly cash distributions in an amount targeted to
be 5.0% per annum on the net asset value per Unit.
The Fund will seek to achieve its investment objectives by actively
investing in a diversified portfolio consisting primarily of gold and
silver equity securities combined with selective covered call option
writing designed to enhance portfolio income and mitigate downside
risk. The precious metals sector is particularly attractive for covered
option writing given that gold and silver equity securities have
traditionally exhibited higher volatility and lower dividend yields
relative to the broader equity market. Moreover, a divergence has
emerged between the performance of gold and silver equity securities
and the increase in bullion prices. While the price performance of gold
and silver bullion has beenimpressive, large-cap gold and silver mining
stocks have significantly underperformedbullion in recent years.
Strathbridge Asset Management Inc., an experienced Canadian closed-end
fund manager, will be responsible for the management and administration
of the Fund and will also implement the Fund's investment strategies.
The offering is being made through a syndicate of investment dealers
co-led by RBC Capital Markets and CIBC and includes BMO Capital
Markets, National Bank Financial Inc., Scotia Capital Inc., TD
Securities Inc., Canaccord Genuity Corp., Desjardins Securities Inc.,
GMP Securities L.P., HSBC Securities (Canada) Inc., Mackie Research
Capital Corporation, Macquarie Private Wealth Inc., Manulife Securities
Incorporated and Raymond James Ltd.
The Strathbridge team is committed to providing unique investment funds
for investors to meet their individual income needs and risk tolerance.
For further information, please contact Investor Relations at
416.681.3966, toll free at 1.800.725.7172 or visit www.strathbridge.com.
A preliminary prospectus containing important information relating to
these securities has been filed with securities commissions or similar
authorities in certain jurisdictions of Canada. The preliminary
prospectus is still subject to completion or amendment. Copies of the
preliminary prospectus may be obtained from Strathbridge Asset
Management Inc. by emailing email@example.com. There will not be any sale or any acceptance of an offer to buy the
securities until a receipt for the final prospectus has been issued.
SOURCE Gold and Silver Enhanced Income Fund
For further information:
President, Fund Services