GGOF Guardian Group of Funds has unveiled the GGOF Diversified Monthly Income Fund. The fund generates regular monthly income from four different asset classes.

“In today’s low interest rate environment, it can be difficult for investors to generate sufficient income from traditional investments to meet their needs,” said John Boeckh, senior vice president, marketing at GGOF. ” We have been able to use our expertise and experience to create a product that generates a single source of monthly, tax-efficient income from four well diversified asset classes.”

The fund consists of four asset classes — preferred shares, high yield bonds, income trusts and dividend-paying common shares. The individual components of the Fund are managed by several of Canada’s leading income specialists — John Priestman, Kevin Hall and Steve Kearns from Guardian Capital Inc. and Michael Stanley from Jones Heward Investment Counsel Inc.

“The four asset classes we chose for the fund are not highly correlated, which ensures investors receive real diversification,” said Gavin Graham, director of investments, GGOF.

Each asset class represented in the fund already forms the basis for a fund:

  • Preferred shares (GGOF Monthly Dividend Fund);
  • High yield bonds (GGOF Canadian High Yield Bond Fund):
  • Income trusts (GGOF Monthly High Income Fund and GGOF Monthly High Income Fund II); and
  • Dividend-paying common shares (GGOF Dividend Growth Fund).



The fund will provide investors with tax-advantaged monthly distributions of 3.5¢ per unit, composed of dividend and interest income, and tax-deferred capital gains in the form of return of capital. Capital gains will be distributed annually.

http://www.newswire.ca/releases/September2003/25/c4326.html