Investors Group announces fund mergers
Winnipeg, MB – April 24, 2014: Investors Group has announced four proposed fund mergers.
The mergers are expected to take effect on or about the close of business on July 18, 2014, subject to any necessary securityholder and regulatory approvals:
|Merging Fund||Continuing Fund|
|Investors U.S. Equity Fund||To merge into||Investors Core U.S. Equity Fund|
|Investors U.S. Equity Class1||To merge into||Investors Core U.S. Equity Class1|
|Investors Income Portfolio||To merge into||Investors Fixed Income Flex Portfolio|
|IG Mackenzie U.S. Growth Class1||To merge into||IG Putnam U.S. Growth Class1|
Generally, these mergers are expected to benefit the securityholders of the merging funds as a result of the potential for improved long-term performance in the continuing funds. The continuing funds’ larger asset base may provide greater portfolio management efficiency and/or a more comprehensive investment mandate with enhanced diversification, less volatility and greater portfolio management opportunities. In addition, it is anticipated the mergers will increase administration efficiency, including fee reductions in some cases.
All of the mergers have been reviewed by the Investors Group Funds Independent Review Committee (IRC) which has determined that the mergers achieve a fair and reasonable result for the funds.
Securityholders of the merging funds, as well as for the two continuing Corporate Class funds, will be asked to approve the mergers involving their funds at special meetings scheduled to be held July 7, 2014, in Winnipeg. Registered owners of the affected funds as at the record date (May 20, 2014) will receive a Notice of Meeting, Proxy and a Management Information Circular detailing the mergers.
The mergers are not considered to be material for any of the continuing funds, but meetings for the two continuing Corporate Class funds are required for corporate law purposes.
Persons who become registered securityholders after the record date of a fund for which a meeting is being held may request to receive the meeting materials and vote at the meeting by contacting the manager at least 10 days in advance of the meeting of their fund. The costs associated with the fund mergers will be borne by Investors Group.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. The Funds are distributed across Canada by Investors Group Financial Services Inc., (in Quebec, a financial services firm), and Investors Group Securities Inc. (in Quebec, a firm in financial planning.)
Investors Group, founded in 1926, is a national leader in delivering personalized financial solutions to Canadians through a network of over 4,700 Consultants located throughout Canada. In addition to an exclusive family of mutual funds and other investment vehicles, Investors Group offers a wide range of insurance, securities, mortgage and other financial services. Investors Group is a member of the IGM Financial Inc. (TSX: IGM) group of companies. IGM Financial is one of Canada’s premier financial services companies with over $137 billion in total assets under management as of March 31, 2014.
1This mutual fund is a class of securities issued by Investors Group Corporate Class Inc.TM
TMThis trademark is owned by IGM Financial Inc. and licensed to its subsidiary corporations.
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