Mackenzie Financial Corp. Wednesday introduced two new services: One-Step Dollar Cost Averaging (DCA) and the Flexible Payout Service (FPS).
“Both these new services are designed to give investors greater flexibility and control over their investments,” says Mary Taylor, senior vice president, product and marketing of Mackenzie Investments. “Mackenzie One-Step Dollar Cost Averaging helps investors build wealth in a systematic, common sense way, and the Flexible Payout Service gives investors greater control over how much cash they receive from their investments.”
With the Mackenzie One-Step Dollar Cost Averaging program, the concept is simple: an investor makes a fixed dollar contribution Mackenzie Sentinel Money Market Fund or Mackenzie Sentinel Canadian Short-Term Yield Class as the allocator fund, and then every week part of the money is automatically switched into a pre-determined Mackenzie fund over the course of one year.
Mackenzie One-Step DCA is only approved for sale by certain dealers; financial advisors should check with their dealer for availability.
Designed for investors who are drawing cash from their investments, Mackenzie’s Flexible Payout Service allows investors to customize the amount of cash they receive by choosing monthly payments, either at a percentage rate or a specific dollar amount. The only limitation is that the cash payout cannot exceed the amount distributed on the fund securities they hold. The selected payment rate can be modified at any time to suit changing lifestyle needs.
By using the new service on Mackenzie corporate class funds, investors can receive cash flows that are completely tax-deferred, as the monthly distributions on these funds consist entirely of return of capital. Many investors choose to defer taxes until they retire and are in a lower tax bracket.
The new service is available on most Mackenzie mutual fund series that pay regular monthly distributions at a fixed percentage rate.