O’Leary Funds Management LP has filed a final prospectus for the initial public offering of the O’Leary Founder’s Series Income & Growth Fund with securities regulators across the country, the company announced on Wednesday.

The maximum $200 million offering is expected to close on October 23.

The fund is an investment trust that will invest in an actively managed portfolio comprised primarily of publicly-traded corporate bonds, preferred securities and dividend-paying common equity securities of mid and large-cap Canadian and global issuers, providing investors with both income and potential for capital appreciation.

The securities in the portfolio, which are largely institutionally traded and denominated in foreign currencies, are often difficult for most retail investors to purchase. The fund will hedge foreign currency and adjust portfolio allocations across the different types of securities to seek to capitalize on developments in market conditions.

The units will be issued at a price of $12.00 each. Each unit consists of one transferable trust unit and one trust unit purchase warrant, which entitles the holder to purchase one unit at a subscription price of $11.50 by September 30, 2010.

The fund’s monthly distributions are initially targeted to be $0.06 per unit, or $0.72 per annum, representing an annual cash distribution of 6% based on the $12.00 per unit issue price.

Stanton Asset Management Inc. will act as a portfolio advisor, working with Savtrev, Inc. to identify securities providing income and the potential for capital appreciation.

On or about November 1, 2010, the fund will become an open-end mutual fund, the trust units of the fund will be delisted and the trust units will become redeemable at their net asset value per trust unit on a daily basis.

The syndicate of agents is co-led by CIBC World Markets Inc. and RBC Capital Markets and includes BMO Capital Markets, National Bank Financial Inc., Scotia Capital Inc., Blackmont Capital Inc., GMP Securities L.P., HSBC Securities (Canada) Inc., Canaccord Capital Corporation, Desjardins Securities Inc., Dundee Securities Corporation, Manulife Securities Incorporated, MGI Securities Inc., Raymond James Ltd., Research Capital Corporation and Wellington West Capital Markets Inc.

IE