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TORONTO, July 3, 2013 /CNW/ - Purpose Investments Inc. ("Purpose") is pleased to announce that it has filed a preliminary prospectus for U.S. dollar denominated Class U units and Class V units (together the "USD Units") of the Limited Duration Investment Grade Preferred Securities Fund (the "Fund") at a price of U.S. $25.00 per USD Unit. The Fund's investment objectives are to provide unitholders with: (i) a stable stream of monthly distributions; (ii) to preserve the net asset value per Unit; and (iii) to reduce the risk of rising interest rates by managing portfolio duration. The initial distribution target for the USD Units is U.S. $0.1198 per USD Unit per month or U.S. $1.4375 per annum representing a 5.75% annual distribution yield based on the subscription price of U.S. $25.00 per USD Unit.
The Fund completed its initial public offering of Canadian dollar denominated Class A Units and Class F Units (together the "CAD Units") on June 20, 2013, through the issuance of an aggregate of 3,600,000 Class A Units and Class F Units at CAD $25.00 per CAD Unit for aggregate gross proceeds of CAD $90,000,000. The Class A Units currently trade on the Toronto Stock Exchange under the symbol "PFD.UN".
USD Units of the Fund are being offered on a best efforts basis in each of the provinces and territories in Canada through a syndicate of investment dealers co-led by TD Securities Inc., CIBC, RBC Capital Markets, National Bank Financial Inc., Scotiabank and including BMO Capital Markets, Canaccord Genuity Corp., GMP Securities L.P., Macquarie Private Wealth Inc., Raymond James Ltd., Desjardins Securities Inc., Dundee Securities Ltd., Mackie Research Capital Corporation, Manulife Securities Incorporated and Rothenberg Capital Management Inc. .
A preliminary prospectus containing important information relating to these securities has been filed with the securities commissions or similar authorities in each of the provinces and territories of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from one of the agents noted above. 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: Purpose Investments Inc.
For further information:
President & CEO
Purpose Investments Inc.
Vice President, Marketing
Purpose Investments Inc.