TORONTO, Feb. 4 /CNW/ - Goodman & Company, Investment Counsel Ltd. ("Goodman & Company"), manager of diversiTrust(TM) Stable Income Fund (TSX: DTS.UN) (the "Fund"), announces a normal course issuer bid. In accordance with the terms of its initial public offering, the Fund intends to purchase, through the facilities of the TSX, up to 335,831 trust units of the Fund (the "Trust Units"), representing approximately 10% of the public float. The public float of the Fund as of January 27, 2010 was 3,358,310 Trust Units.
The Trust Units may be purchased for cancellation commencing February 8, 2010 through to February 7, 2011, through the facilities of the TSX, and may be purchased when the net asset value ("NAV") per Trust Unit exceeds its trading price. Pursuant to TSX policies, the Fund will not purchase during any 30 day period more than 80,551 Trust Units, representing 2% of the 4,027,554 Trust Units outstanding as at January 27, 2010. A Notice of Intention to Make a Normal Course Issuer Bid has been accepted by the TSX effective as of February 4, 2010.
The purpose of the normal course issuer bid is to provide the Fund with a mechanism to decrease the potential spread between the NAV per Trust Unit and the market price of the Trust Units. For the period February 6, 2009 to January 27, 2010, 107,300, Trust Units were purchased by the Fund under its normal course issuer bid at an average market price of $8.21 per Trust Unit (excluding commission charges).
The Fund is a TSX-listed closed-end investment trust, which seeks to provide a stable monthly distribution through investment in a diversified portfolio consisting primarily of high income securities including business trusts, resources trusts, utility trusts and REITs, as well as other high yielding securities. As of January 27, 2010, the NAV was $10.23 per Trust Unit and the closing trading price was $9.91 per Trust Unit (representing a discount of 3.13% when measured against the NAV per Trust Unit).
Goodman & Company, Investment Counsel Ltd., is a leading Canadian asset management company tracing its roots back more than 50 years. Goodman & Company offers a wide range of wealth management solutions through financial advisors. These include the mutual funds, hedge funds and closed-end investment trusts of Dynamic Funds(TM), the portfolio solutions of the Marquis Investment Program, the flow-through limited partnerships of CMP(TM) and Canada Dominion Resources and the high-net worth investment counsel of Goodman Private Wealth Management. Goodman & Company is a wholly owned subsidiary of DundeeWealth Inc. (TSX: DW).
SOURCE GOODMAN & COMPANY, INVESTMENT COUNSEL LTD.
For further information: For further information: Customer Relations Centre, Goodman & Company, Investment Counsel Ltd., 1-800-268-8186 or www.diversifunds.com; Myra Reisler, Media Relations, (416) 365-5370