CIBC Asset Management is making changes to its Renaissance Investments and CIBC mutual fund families, including fund mergers, a fund termination and changes to fund names.
“These fund changes will enhance and strengthen our mutual fund families through a more focused product line-up that will continue to offer investors value, choice and quality investment management expertise,” said Steve Geist, president of CIBC Asset Management.
The funds being merged have similar investment objectives, the company said. The mergers will be effective on or about August 27, 2010.
The company is merging the Renaissance Canadian Balanced Fund and the Renaissance Canadian Asset Allocation Fund with the Renaissance Canadian Balanced Value Fund, which will be renamed the Renaissance Canadian Balanced Fund.
It is also merging the Renaissance Dividend Fund with the Renaissance Canadian Dividend Income Fund, which will be renamed the Renaissance Canadian Dividend Fund.
In addition, the Renaissance Millennium Next Generation Fund will be merged into the Renaissance Canadian Small-Cap Fund, which will maintain the same name.
These mergers are not subject to unitholder or regulatory approval due to the similar investment objective, fee structure and valuation procedures of each terminating and continuing fund, according to CIBC.
Purchases, redemptions and switches in the terminating funds will be accepted up to and including the last business day prior to the fund mergers.
CIBC also announced that it intends to terminate the CIBC High Yield Cash Fund on August 27, 2010. Effective the end of business on June 21, 2010, no additional purchases will be accepted into the fund, including purchases through existing regular investment plans.
The High Yield Cash Fund was launched 10 years ago as a hybrid between a fixed-income and money market fund. At the end of 2009, the fund had total assets of $23.8 million.
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