Product Watch: Aston Hill introduces two mutual funds

Toronto-based Aston Hill Asset Management Inc. has introduced two new liquid alternative mutual funds: Aston Hill U.S. Growth Fund and Aston Hill Corporate Bond Fund (previously known as Build America Investment Grade Bond Fund). 1. Aston Hill U.S. Growth Fund will be managed through fundamental equities research and a variety of options strategies meant to generate income, enhance returns and offer downside protection. The fund may, at times, use shorting strategies, within regulatory limitations, to reduce volatility. Advisor commissions for front-end sales are 0%-5%; or 2.5% for the low-load option. There are no redemption fees for front-end units. Redemption fees for the low-load schedule begin at 3% in Year 1 and end at zero after Year 3. Trailing commissions are 1% for front-end sales; or 0.5% for the first three years of low-load sales, then 1% thereafter. Management fees are 2% for A-class units and 1% for F-class units. 2. Aston Hill Corporate Bond Fund fund will invest mostly in investment-grade Canadian corporate bonds rated BBB- or higher, as well as in other Canadian and non-Canadian issuers of fixed-income securities to a lesser extent – including high-yield corporate debt, floating-rate notes, bank loans, convertible debentures and bonds backed by mortgages. The fund also will use alternative investing strategies within regulatory limits. Advisor commissions for the front-end sales are 0%-5% and 2.5% for the low-load option. There are no redemption fees for front-end units. Redemption fees for the low-load schedule begin at 3% in Year 1 and end at zero after Year 3. Trailing commissions are 0.5% for front-end sales; or 0.25% for the first three years of low-load sales, then 0.5% thereafter. Management fees are 1.3% for A-class units and 0.8% for F-class units. The minimum investment for both funds is $2,000.

(fcollie@investmentexecutive.com).