CI Funds to merge seven mutual funds

CI Mutual Funds Inc. today announced a proposal to merge seven mutual funds as part of its ongoing efforts to streamline its lineup.

“Our goal is to continue to offer an industry-leading choice of funds while maximizing operational efficiencies. These mergers will benefit unitholders by combining funds with similar mandates under one cost structure,” said Peter. Anderson, president and CEO, in a news release..

The seven terminating funds each have a similar investment mandate and the same portfolio manager as the fund into which it is being merged. Under the proposal:

CI American Growth RSP Fund will merge into CI Value Trust RSP Fund
CI World Equity Fund will merge into CI Global Value Fund
CI European Growth Fund will merge into CI European Fund
CI European Growth RSP Fund will merge into CI European RSP Fund
CI Canadian Stock Fund will merge into Signature Select Canadian Fund
Synergy Canadian Growth Class will merge into Synergy Canadian Momentum Class.

The mergers are subject to unitholder and regulatory approval. Investors in the terminating funds will vote on the proposals at special meetings to be held in Toronto on May 19. If approved, the mergers will take effect on or about May 21, 2004.

The mergers will affect one fund within CI’s Insight Program. Under the proposal, the Insight units of CI American Growth Fund will become Insight shares of CI Value Trust Sector Fund.

Although these mergers will change the underlying funds of several SunWise Segregated Funds, the investment mandates of those funds will be unchanged and the contracts of the segregated fund investors will not be affected.

CI is also renaming two funds, effective May 21. Synergy Canadian Income Fund will be renamed Signature Income & Growth Fund, while Synergy Canadian Small Cap Class will be renamed Signature Canadian Small Cap Class. The rebranding of these two funds reflects the fact that their portfolio managers are part of CI’s Signature Funds Group.