Russell rolls out “core plus” strategy

Toronto-based Russell Investments Canada has launched Russell Core Plus Fixed Income Pool. It is designed to provide investors with greater diversification, higher potential returns and more access to foreign opportunities than a typical fixed-income fund, the company says. Advisor commissions for front-end sales are 0%-5%, or 1.5% for the low-load option. For the low-load option, redemption fees begin at 3% in Year 1 and end at zero after Year 3. Trailing commissions are 0.82% for front-end sales and 0.25% for the low-load option. Management fees are 1.5% for A-class units and 0.75% for F-class units. Minimum investment is $25,000.

Man Investments, CIBC launch deposit notes

Toronto-based Man Investments Canada Corp. has partnered with Toronto-based CIBC to launch CIBC Man IP 220 Deposit Notes. The notes are linked to the value of a notional investment in a dedicated portfolio, modelled on the existing Man IP 220 portfolio. The notes give investors the potential to reduce overall portfolio risk and enhance returns and they offer 100% principal protection at maturity, Man says. They are available until Dec. 10. If held to maturity, a term of approximately 9.75 years, investors will receive no less than their original capital of $100 per deposit note, guaranteed by CIBC.

BMO, GGOF introduce “principal at risk” notes

Toronto-based Guardian Group of Funds Ltd. and Toronto-based Bank of Montreal have launched Bank of Montreal PARtNrs (principal-at-risk notes) GGOF Dividend Growth Fund Total Return Class Series 1. The notes are based on the performance of GGOF Dividend Growth Fund, which is managed by Michael Stanley of Jones Heward Investment Counsel Inc.; the notes will maintain 150% leveraged exposure to the total return of GGOF Dividend Growth Fund. The structure of the notes provides leverage at a significantly lower rate than a typical margin account, GGOF says. The notes will provide the potential for enhanced returns from a fund focused on stable, long-term growth. Principal is not protected under these notes, which have a 10-year term with a 2% management fee. They are available until Dec. 14.

ROI changes three fund names

Toronto-based Return on Innovation Capital Inc. has announced name changes for three mutual funds: ROI Sceptre Canadian Pension Fund is now named ROI Canadian Retirement Fund; ROI Global Pension Fund is now ROI Global Retirement Fund; and Sceptre Income and High Growth Trust is now ROI Sceptre Retirement Growth Fund. The name changes were completed as part of the conversion of Toronto-based Sceptre Investment Counsel Ltd.’s Sceptre Income and High Growth Trust to ROI Capital. The ROI funds’ investment objectives and investment philosophy remain the same as those of the original funds.

RBC issues commodity booster notes

Toronto-based Royal Bank of Canada has issued RBC Commodity Booster Notes Series 4. The notes offer 100% principal protection and have a five-year term. They allow investors access to a basket of commodities, including crude oil, copper and zinc. For appreciation in the commodity basket of more than 0% and less than 50%, the notes will return 50% at maturity (the booster zone). For appreciation of more than 50%, investors will receive the full appreciation of the commodity basket at maturity. Should the change in the commodity basket be less than or equal to 0%, investors will receive their original principal amount at maturity. The notes are available until Nov. 30, with a Dec. 5, 2012, maturity date. The notes are RRSP-eligible.

CIBC brings out infrastructure fund

Toronto-based CIBC Asset Management has launched Renaissance Global Infrastructure Fund to help investors capitalize on growth potential in the infrastructure space. Investors can also benefit from the steady cash flow that long-term infrastructure investments can provide, as well as hedge against inflation, the company says. Richard Elmslie and Nick Langley, investment directors at Australia-based RARE Infrastructure Ltd., are subadvisors to the portfolio. Advisor commissions for front-end sales are 0%-5%; for deferred sales, 5%; and 1% for the low-load option. Redemption fees for the DSC funds begin at 5.5% in Year 1 and end at zero after Year 6, or begin at 1.25% in Year 1 and end at zero after Year 2 of the low-load schedule. Trailing commissions are 1.25% for front-end sales, 0.5% for deferred sales and 1% for low-load sales. Management fees are 2.5% for A-class units and 1.25% for F-class units. Minimum investment is $500.

@page_break@Compiled by Clare O’Hara (cohara@investmentexecutive.com).