CI Investments Inc. today announced the launch of The Bank of Nova Scotia – CI 2X Deposit Notes, Series 1, which allow investors to benefit from double the exposure to a diverse portfolio of equity and income securities.

The notes, issued by The Bank of Nova Scotia, offer a return linked to the performance of Signature Income & Growth Fund, an income balanced fund from CI that uses active asset allocation to capitalize on changing market conditions. The notes’ innovative strategy ensures that they have continuous 200% exposure to the fund throughout their 6.5-year life. The fund’s distributions are automatically reinvested into the note structure to maximize tax-deferred growth, while the principal amount is 100% guaranteed by Scotiabank if held to maturity.

“The notes are designed for investors who want to magnify the impact of their investments, while preserving their hard-earned capital,” says David McBain, CI senior vp. “The notes’ structure maximizes performance potential with 200% exposure to the fund at all times regardless of fund performance, while controlling risk through principal protection and the fund’s broad diversification.”

Signature Income & Growth Fund’s portfolio is managed by Signature Global Advisors, a division of CI Investments, and invests in a broad range of asset classes, including government and corporate bonds, income trusts, preferred shares and dividend-paying common stocks. This diversification reduces risk and gives the managers more flexibility to respond to changing market conditions, so that they can take advantage of new opportunities as well as preserve capital. The lead portfolio managers are Eric Bushell, Signature’s chief investment officer, and James Dutkiewicz.

The notes are available for sale until July 31, through registered dealer representatives, and are eligible for registered plans. The minimum purchase is $5,000.