MONTREAL, May 2, 2014 /CNW Telbec/ - National Bank Securities Inc. ("NBSI"), manager of the National Bank Securities Mutual Funds (the "Funds"), announced today that it was implementing changes to the Funds. Such changes will be reflected in the Simplified Prospectus of the National Bank Securities Mutual Funds which will be filed on or about May 12, 2014.
First, NBSI announces a change in the risk rating associated with investments in certain Funds. NBSI has a risk rating policy based upon the guidelines established by the Investment Funds Institute of Canada which are themselves based primarily upon the variability of a mutual fund's returns. In the application of this policy, NBSI decided to change the risk rating of certain Funds, as indicated below. No material change has been made to the investment objectives, strategies or management of these Funds.
Name of Funds
|Current Risk Rating||New Risk Rating|
|Altamira Corporate Bond Fund||Low to medium||Low|
|National Bank Monthly Moderate Income Fund||Low to medium||Low|
|National Bank Monthly High Income Fund||Medium||Low to medium|
|National Bank Monthly Equity Income Fund||Medium||Low to medium|
|AltaFund Investment Corp.||Medium||Medium to high|
|Altamira Quebec Growth Fund||Medium to high||Medium|
Second, NBSI announces a change in the investment strategy of the Altamira Tactical Asset Allocation Fund in order to allow the Fund to increase its investments in foreign securities, namely in debt securities issued by governments, municipalities or companies in developed and emerging countries, in agency securities and in high yield bonds. Changes made to the investment strategy of the Fund seek to provide greater diversification among the different asset classes. NBSI does not expect the risk level of the Fund to increase due to this change.
Finally, NBSI announces the re-opening of the Omega Preferred Equity Fund to new investors as of May 12, 2014. The Fund had been closed to new investors since September 30, 2012. The Omega Preferred Equity Fund is managed by Intact Investment Management ("Intact"). The Fund's investment objective is to generate high dividend income while focusing on capital preservation.
"The Omega Preferred Equity Fund has proven to be an excellent investment product for investors looking for stable distributions in the form of dividend income and we are proud to be able to allow new investors to benefit from Intact's expertise" said Michel Falk, President of NBSI.
About National Bank Securities Inc.
National Bank Securities Inc. is a subsidiary specializing in designing and managing mutual funds and mutual fund portfolios. We are an investment fund management firm dedicated to providing a broad selection of investment solutions that meet a variety of investment profiles. National Bank Securities' role is not limited to administrative aspects of management; National Bank Securities Advisory Services and its registered mutual fund representatives form a team of specialists who provide information and advice to help you develop a portfolio adapted to your financial needs.
Products offered by National Bank Securities are distributed in the National Bank branch network, through National Bank Direct Brokerage, National Bank Financial and by authorized external brokers across Canada. The value of assets under management in National Bank Securities products is $16.5 billion (as at October 31, 2013).
National Bank Securities Mutual Funds (the "Funds") are offered by National Bank Securities Inc., a wholly owned subsidiary of National Bank of Canada. Commissions, trailing commissions, management fees and expenses all may be associated with investments in the Funds. Please read the prospectus of the Funds before investing. The Funds' securities are not insured by the Canada Deposit Insurance Corporation or by any other government deposit insurer. For money market funds, there can be no assurances that a fund will be able to maintain its net asset value per security at a constant amount or that the full amount of the investment in a fund will be returned. The Funds are not guaranteed, their values change frequently and past performance may not be repeated.
About National Bank of Canada
With $195 billion in assets as at January 31, 2014, National Bank of Canada (www.nbc.ca), together with its subsidiaries, forms one of Canada's leading integrated financial groups, and has been named among the 20 strongest banks in the world by Bloomberg Markets magazine. The Bank has close to 20,000 employees and is widely recognized as a top employer. Its securities are listed on the Toronto Stock Exchange (TSX: NA). Follow the Bank's activities via social media and learn more about its extensive community involvement at clearfacts.ca and commitment.nationalbank.ca.
SOURCE: National Bank of Canada
(The telephone number provided below is for the exclusive use of journalists and other media representatives.)
Senior Advisor - Public Affairs