Fidelity Investments Canada Limited today announced that the board of directors of Fidelity Capital Structure Corp. has approved the immediate closure of Fidelity Canadian Short Term Income Class to new purchases and transfers from outside the Fidelity Capital Structure Corp.

Fidelity is taking this step to avoid potential adverse tax consequences for the shareholders of Fidelity Capital Structure Corp. As assets in the Fidelity Canadian Short Term Income Class rise and make up a greater proportion of the overall assets of Fidelity Capital Structure Corp., there is an increased likelihood of requiring the payment of taxable dividends and or causing income taxes to be paid by the corporation. Fidelity’s objective in taking this step is to protect investors in all the different Classes of Fidelity Capital Structure Corp. Fidelity Canadian Short Term Income Class fund will continue to be available within Fidelity Capital Structure Corp. as a short-term investment option.

This closure will not apply to transfers from other Classes of Fidelity Capital Structure Corp. or to any pre-existing pre-authorized chequing plans that currently buy shares of Fidelity Canadian Short Term Income Class. Permitted switches from other Classes will continue to be subject to Fidelity’s short-term trading policies. Note, Fidelity may choose to re-open the fund to new purchases at a future time.

Investors and advisors seeking an alternative short-term investment to Fidelity Canadian Short Term Income Class may want to consider Fidelity Canadian Money Market Fund.