Phillips, Hager & North Investment Management Ltd. (PH&N) today announced management fee reductions to selected PH&N and BonaVista investment funds, as well as the re-opening of the PH&N Vintage Fund.
On June 27, management fees will be reduced on Series A units of seven funds, and on Series F units of 17 funds.
Series A units’ management fees will be reduced by between 5 and 35 basis points, while the management fees for Series F units will be reduced by between 3 and 60 basis points.
“PH&N is known for strong long-term performance and low fees,” says John Montalbano, president of PH&N and CEO of RBC Asset Management Inc. “The fee reductions we are announcing today demonstrate that these cornerstones of our firm remain as strong as ever.”
“Moreover, while our strength in serving to the direct-to-investor market is well recognized, the significant Series F fee reductions underscore our support of fee-based advisory relationships.”
Also effective June 27, the PH&N Vintage Fund will be re-opened for investment. Its management fee is currently 1.75% for Series A and Series F units. On October 1, the management fee will be reduced to 1.25% for Series A units and to 1.00% for Series F units. As of that date, which follows the required notice to unitholders, and subject to approval by the fund’s independent review committee, the fund’s expenses will be paid by the fund, consistent with how expenses are charged to PH&N’s other funds.
Launched in April 1986, the Vintage Fund is PH&N’s most aggressive Canadian equity fund. It was closed to new investors in 1993, but changes in market conditions and liquidity now support re-opening the fund. The fund is managed by PH&N’s Canadian equity team; the lead portfolio managers are Don Anderson and Andrew MacDonald.
Units of PH&N and BonaVista funds can be purchased directly from PH&N, with a minimum account size of $25,000 (which may be spread across multiple funds). Certain funds may also be purchased through a third party dealer or discount brokerage, with a minimum investment of $5,000 per fund.
For a full list of the fee reductions, please refer to the attached news release.