Mackenzie introduces new fund series

Toronto-based Mackenzie Financial Corp. has launched a new series of Saxon mutual funds: Saxon High-Income Fund, Saxon Stock Fund, Saxon Small-Cap Fund, Saxon Microcap Fund, Saxon U.S. Equity Fund, Saxon U.S. Small-Cap Fund, Saxon International Equity Fund, Saxon World Growth and Saxon Global Small-Cap Fund. All are available in A-class units. Managed by Howson Tattersall Investment Counsel Ltd., the funds provide clients with access to a disciplined multi-cap value style of investing in both Canadian and international markets. Advisor commissions for front-end sales are 0%-5%, for deferred sales 5% or 2.5% for the low-load option. Redemption fees begin at 5.5% in Year 1 and end at zero after Year 7 for the regular DSC schedule, or begin at 3% in Year 1 and end at zero after Year 3 of the low-load schedule. Trailing commissions are 1% for front-end sales, 0.5% for the first seven years of deferred sales and 1% thereafter, and 0.5% for the first three years of low-load sales and 1% thereafter. Management fees are 1.85% for the Saxon High Income Fund; 2% for the Saxon Stock Fund, Saxon U.S. Equity Fund, Saxon International Equity Fund and Saxon World Growth; 2.15% for the Small-Cap Fund, Saxon U.S Small-Cap Fund and Saxon Global Small-Cap Fund; and 3% for the Saxon Microcap Fund. Minimum investment is $500. In addition, McElvaine Investment Management Ltd. has been appointed as subadvisor to two Mackenzie funds: Mackenzie Maxxum Canadian Value Fund and Mackenzie Maxxum Canadian Value Class, and the funds have been renamed Mackenzie Universal Canadian Value Fund and Mackenzie Universal Canadian Value Class.

AGF shuts down fund

Toronto-based AGF Funds Inc. will terminate AGF World Opportunities Fund as of April 20. As of Feb. 17, fund units were no longer available for purchase. The decision to terminate the fund was driven by a combination of reasons, the company says: the small number of unit holders, relatively low assets and the costs associated with maintaining such a small fund. Prior to the termination date, unitholders will have the option to switch their investments to any of AGF’s family of more than 50 mutual funds or to redeem their units. Any remaining assets on the termination date will be redeemed and re-invested in units of AGF Canadian Money Market Fund or AGF U.S. Dollar Money Market Account, depending on the currency denomination of the assets. Unitholders will not be required to pay redemption fees or sales charges.

New subadvisor at HSBC

Vancouver-based HSBC Asset Management (Canada) Ltd. has appointed J.P. Morgan Asset Management as subadvisor to HSBC U.S High-Yield Bond Pooled Fund. J.P. Morgan Asset Management, one of the largest active asset managers in the world, provides institutional, ultra high net-worth and retail clients with investment products across all asset classes globally, including fixed income, equity, liquidity, real estate, private equity and hedge funds. HSBC U.S. High Yield Bond Pooled Fund is available to Canadian investors through the Portfolio Advantage and Private Investment Management services offered by HSBC Global Asset Management (Canada) Ltd.

Sarbit funds to merge with IA funds

Toronto-based IA Clarington Investments Inc. will integrate Sarbit Money Market Trust and Sarbit Canadian Bond Trust into IA Clarington Money Market Fund and IA Clarington Bond Fund, respectively. The mergers have been approved by the independent review committee of the funds and will take place on April 17. IA Clarington manages all funds, and investors in the Sarbit funds will see a decrease in fees as a result of the mergers. Units of the funds will be available to exchange for units of other Sarbit Funds until the close of business on April 9, following which time the funds will cease distribution of new units, except under a pre-authorized chequing plan or similar systematic plan established prior to April 9. Unitholders of each fund will have the right to redeem their units up to the close of business on the business day immediately preceding the effective date of the mergers.

Northern Rivers proposes changes

Unitholders of Northern Rivers Monthly Income and Capital Appreciation Fund and Northern Rivers Monthly Income and Capital Appreciation Trust Pool, sponsored and managed by Toronto-based Northern Rivers Capital Management Inc., are being asked to approve a change in management to Mavrix Fund Management Inc. of Toronto. Northern Rivers believes that Mavrix’s significant distribution network will allow for greater sales exposure, thus increasing assets under management and spreading costs over a larger asset base. In addition, unitholders are being asked to approve the merger of Northern Rivers Evolution Fund and Northern Rivers Conservation Growth Fund.

@page_break@Compiled by Clare O’Hara (cohara@investmentexecutive.com).