O’Leary Funds Management LP has filed a preliminary prospectus for the O’Leary Founder’s Series Income & Growth Fund in each province, the company announced on Friday.

The investment trust will invest in an actively managed portfolio comprised primarily of publicly-traded corporate bonds, preferred securities and dividend-paying common equity securities of mid and large-cap Canadian and global issuers. It will provide investors with both income and potential for capital appreciation.

O’Leary Funds Management has appointed Stanton Asset Management Inc. to provide investment advisory services to the fund. Stanton will work with Savtrev, Inc. to identify securities providing income and the potential for capital appreciation.

The fund’s investment objectives are to maximize total return for unitholders consisting of distributions, interest and dividend income and capital appreciation, and to provide unitholders with monthly distributions. The distributions are initially targeted to be $0.06 per unit, representing an annual cash distribution of 6% based on a proposed issue price of $12.00 per unit.

Each unit will consist of one transferable trust unit and one trust unit purchase warrant that entitles the holder to purchase one trust unit at a subscription price of $11.50 by Sept. 30, 2010.

The syndicate of agents is co-led by CIBC World Markets Inc. and RBC Capital Markets. Other members include BMO Capital Markets, Scotia Capital Inc., Blackmont Capital Inc., GMP Securities L.P., HSBC Securities (Canada) Inc., Canaccord Capital Corporation, Desjardins Securities Inc., Dundee Securities Corporation, Manulife Securities Incorporated, MGI Securities Inc., Raymond James Ltd., Research Capital Corporation and Wellington West Capital Markets Inc.