TORONTO, Nov. 7, 2018 /CNW/ - CI Investments Inc. ("CI") today announced the launch of its first liquid alternative mutual funds. These funds are based on the Canadian Securities Administrators' "alternative mutual funds" proposals under National Instrument 81-102 Investment Funds. Liquid alts provide retail investors access to alternative investment strategies – often used by hedge funds – that have typically only been available to institutional and accredited investors.
CI's three new liquid alternative solutions are:
- Lawrence Park Alternative Investment Grade Credit Fund
- Marret Alternative Absolute Return Bond Fund
- Munro Alternative Global Growth Fund.
As investors' needs become more sophisticated and require more innovative strategies, CI is providing products with enhanced investment flexibility and potential diversification benefits. CI's liquid alt funds will target strong absolute returns with an emphasis on capital preservation and a low correlation to traditional equity and fixed-income markets. Compared to hedge funds, liquid alt funds are expected to have increased liquidity, transparency and disclosure, and generally lower management fees. CI's liquid alternatives are available for a minimum investment of $500.
"CI's liquid alts lineup is designed to meet distinct investor needs through a choice of mandates – investment-grade credit, fixed income and global equities – that draw on the unique strengths of our portfolio management teams," said Roy Ratnavel, Executive Vice-President and Head of Sales for CI Investments. "Lawrence Park Asset Management, Marret Asset Management and Munro Partners each have particular expertise and an established track record investing in specific alternative strategies on behalf of retail, high net worth and institutional clients."
About CI's liquid alternatives
Lawrence Park Alternative Investment Grade Credit Fund invests mainly in the investment-grade debt of corporations and financial institutions in the developed world, and uses leverage to prudently increase the expected yield of the portfolio while attempting to limit expected volatility.
Marret Alternative Absolute Return Bond Fund seeks to provide positive absolute returns with low volatility over a market cycle regardless of market conditions or general market direction by primarily investing in debt instruments across the credit spectrum.
Munro Alternative Global Growth Fund seeks to generate risk-adjusted, absolute returns through exposure to global growth equities over the medium to long term, while maintaining a capital preservation mindset.
CI's liquid alt funds are currently available exclusively through advisors registered with the Investment Industry Regulatory Organization of Canada (IIROC), according to current regulatory requirements.
About alternative strategies
CI's liquid alts are mutual funds that incorporate certain hedge-fund investment strategies such as short-selling, leverage and derivatives. The "liquid" part of the title refers to the investment vehicle itself – a mutual fund that can be bought and sold on a daily basis; the "alternative" relates to non-traditional investment strategies.
About CI Investments – Trusted Partner in Wealth™
CI Investments is one of Canada's largest investment management companies. It offers a wide range of investment products and services, and is on the Web at www.ci.com. CI is a subsidiary of CI Financial Corp. (TSX: CIX), an independent, Canadian-owned wealth management firm with $172.5 billion in fee-earning assets as of October 31, 2018.
Commissions, trailing commissions, management fees and expenses all may be associated with investments in the funds. Please read the prospectus before investing. Investments in the funds are not guaranteed; their values change frequently and past performance may not be repeated.
SOURCE CI Financial Corp.
For further information: Murray Oxby, Vice-President, Communications, CI Investments, (416) 681-3254, [email protected]