Winnipeg-based Investors Group announced on Wednesday that it’s proposing to make several changes to its mutual funds as part of a bid to streamline its offerings.
The firm is seeking to merge a collection of its existing funds with continuing funds — pending approval — on or before June 16. (A full list of the affected funds is available in its release.)
As part of these proposed mergers, Investors Group plans to lower the fees on several of its continuing funds — even if the changes fail to gain securityholder approval. Specifically, there will be fee reductions between 0.25 basis points (bps) and 8.6 bps for Allegro Portfolios and Allegro Portfolio Classes.
The firm has also proposed amendments to the investment objectives and strategies for the following eight mutual funds, according to the announcement: Allegro Moderate Conservative Portfolio’ Allegro Conservative Portfolio, Allegro Moderate Portfolio, Allegro Moderate Aggressive Portfolio, Allegro Aggressive Portfolio, Alto Monthly Income Portfolio, Alto Monthly Income & Growth Portfolio and Alto Monthly Income & Enhanced Growth Portfolio.
These amendments, which may take effect on or about May 23, seek to afford more flexibility in asset allocation.
“This will allow Investors Group to respond more quickly to changing market conditions, and increased efficiencies in the management of the portfolios,” the announcement states.
Other proposals up for review include changes to the investment objectives of a handful of the firm’s corresponding funds. Investors Group expects that this will produce a more efficient management structure and cut some trading costs. The change, which has yet to be approved, could take place on or about May 29.
Securityholder meetings for those impacted by these proposals are scheduled for 10 a.m. CT on May 18 at the firm’s head office.