Mavrix Fund Management Inc. today announced its intention to close Mavrix Dividend & Income Fund to new purchases effective March 1.

The fund will remain open for purchases by existing unitholders, existing pre- authorized payment plans and automatically reinvested distributions.

“Mavrix believes that conditions within the sectors of the Fund’s mandate are such that sharp increases in cash flow into the Fund could dilute the Fund’s returns,” says Mal Spooner, president and CEO, Mavrix Fund Management Inc.

“The mandate of the fund is to produce high returns and consistent sustainable distributions. Our top priority is to protect current unit holders. We felt that restricting purchases of the fund provides us with the opportunity to continue producing better returns with less risk.”

Spooner added that Mavrix Canadian Income Trust Fund, which offers an attractive distribution and is managed by the same team as Mavrix Dividend & Income, would serve clients well.

Mavrix reserves the right to reopen the fund at a future date.