Phillips, Hager & North Investment Management Ltd. today announced the launch of PH&N Canadian Income Fund.

Comprising a diversified mix of Canadian equities and income trusts, with a small allocation to fixed income securities, the fund is designed for investors who are seeking a balance between capital preservation, growth and steady income.

“PH&N has a strong reputation for Canadian equity research and yield-enhancement strategies,” said the firm’s president, John Montalbano, in a release. “The Canadian Income Fund brings these strengths together in a low-fee package to benefit investors.”

The fund invests primarily in high-quality, dividend-paying Canadian equities and income trusts across a wide range of industries. Security selection is based on rigorous analysis performed by PH&N. For the selection of equities and income trusts, the fund management team draws on the resources of PH&N’s Canadian equity research department, utilizing the investment style that has proven successful in PH&N’s Canadian equity funds, including PH&N Dividend Income Fund.

The new fund may also invest in corporate bonds and convertible securities. The fund’s overall asset mix reflects the management team’s prevailing view of where the most compelling opportunities in the market are to be found.

Investors will receive distributions on a monthly basis. This distribution may comprise dividend income, interest income and return of capital.

The fund is expected to grow due to new investment following its launch. After it reaches a reasonable size, the fund’s normalized management expense ratio (MER) is expected to be approximately 1.25%.

As with all PH&N investment funds, a minimum initial investment of $1,000 is required. A minimum account size of $25,000 also applies.

PH&N manages over $55 billion in investments on behalf of individuals, corporate and multi-employer pension plans, and non-profit organizations across Canada.