TORONTO, Oct. 8, 2014 /CNW/ - NEI Investments ("NEI") today announced its intent to terminate two funds, NEI Income Corporate Class and NEI Northwest Specialty Global High Yield Bond Corporate Class (together, the "Funds") on or about December 10, 2014 (the "Termination Date").
The Funds have been closed to new purchases since April 12, 2013, as a result of the federal budget in March 2013 which eliminated the tax-related benefits associated with forward sale transactions. These Funds were designed to use forward contracts as part of their investment strategies in order to convert ordinary income into tax-efficient capital gains.
In accordance with securities legislation, existing investors of the Funds will receive a notice setting out their option to switch their investments to another NEI mutual fund or redeem their investments on or prior to the termination date. All investments not redeemed prior to the Funds' closure will be automatically redeemed at fair market value on the Termination Date.
With today's announcement NEI now offers a comprehensive 16 investment options within its corporate class lineup, including the NEI Northwest Tactical Yield Corporate Class which was reopened on September 29, 2014.
NEI Investments encourages all existing investors to consult with their financial advisors to discuss their options and understand any financial and tax implications.
ABOUT NEI INVESTMENTS
NEI Investments is a national investment firm with over $6 billion in assets under management. It offers Canadian retail investors unique access to top independent money managers through high quality investment solutions in two fund families, Northwest Funds and Ethical Funds. Its products provide investors with a full range of investment management styles as well as conventional and socially responsible investment choices.
NEI Investments is owned 50% by the Provincial Credit Union Centrals and 50% by Desjardins Group. This backing of experience and resources allows NEI Investments to actively support business growth in these networks as well as independent advisor channels.
NEI Investments has offices in Toronto, Vancouver and Montreal.
SOURCE: NEI Investments
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