NEI Investments proposes fund mergers

Toronto-based NEI Investments LP has proposed the merger of two of its mutual funds. The investment firm plans to merge NEI Northwest Enhanced Yield Equity Corporate Class into NEI Northwest Canadian Dividend Corporate Class. The proposal will be decided at a shareholders meeting on or about Aug. 30. Once the merger is approved, NEI Northwest Enhanced Yield Equity Corporate Class will be terminated as of Sept. 9. Advisor commissions for front-end sales of the continuing fund, NEI Northwest Canadian Dividend Corporate Class, are 0%-5% for deferred sales; 1% for the low-load option; 2.5% for the low-load 2 option; or 3.5% for the low-load 3 option. Redemption fees begin at 6% in Year 1 and end at zero after Year 6 for the regular DSC schedule; begin at 1.5% in Year 1 and end at zero after Year 2 of the low-load schedule; begin at 3% in Year 1 and end at zero after Year 3 for the low-load 2 option; or begin at 4.5% in Year 1 and end at zero after Year 3 for the low-load 3 option. Trailing commissions are 1% for front-end sales; 0.5% for deferred sales; 1% for the low-load sales; and 0.5% for the first three years of the low-load 2 and low-load 3 sales options, and 1% thereafter. Management fees are 2% for A-class units and 1% for F-class units. Minimum investment is $500.

(fcollie@investmentexecutive.com).