Mackenzie Financial Corp. today announced the launch of MSP Maxxum Trust, a structured investment fund that aims to provide Canadian investors with tax-efficient monthly income.
The preliminary prospectus has been filed and Mackenzie expects the Trust to be available through independent financial advisors until mid-December.
MSP Maxxum Trust intends to provide investors with monthly cash distributions of approximately 70¢ per unit, per year or 7.0% annually on the original issue price of $10 a unit.
Lead manager Bill Procter, senior VP of Mackenzie Financial, will invest in a broadly diversified portfolio of North American securities comprised mainly of Canadian equities and income trusts. The trust is eligible as Canadian property for registered accounts.
Procter, a 30–year industry veteran, will manage the trust’s portfolio using his five-step value-oriented investment approach. Procter is lead manager of several Mackenzie Maxxum funds including Mackenzie Maxxum Dividend Fund, a mutual fund with a similar investment strategy to MSP Maxxum Trust.
The syndicate of agents for the offering is co-led by CIBC World Markets Inc. and RBC Capital Markets.