CIBC Asset Management announces changes to its fund line-up
Toronto, June 8, 2007 – CIBC Asset Management Inc. announced today a number of changes to its fund line-up including fund mergers, name changes, portfolio sub-advisor changes and a fund termination.
The changes are part of an initiative that will create a unified offering under Renaissance Investments, which will be launched this August. “The Renaissance Investments line-up of investment solutions will be enhanced to give investors the very best in choice, value and investment management expertise,” said Steve Geist, President of CIBC Asset Management.
Fund Mergers - CIBC Asset Management Inc., as manager, will merge several Talvest and Renaissance Funds with similar investment objectives effective on or about August 17, 2007.
| Terminating Fund: | Continuing Fund: | Post-merger Fund Name: | |||
|---|---|---|---|---|---|
| Talvest Cdn. Equity Growth Fund | Renaissance Canadian Growth Fund | Renaissance Canadian Growth Fund | |||
| Talvest Cdn. Equity Value Fund | Renaissance Canadian Core Value Fund | Renaissance Canadian Core Value Fund | |||
| Talvest European Fund | Renaissance Euro Fund | Renaissance European Fund | |||
| Talvest High Yield Bond Fund | Renaissance Canadian High Yield Bond Fund | Renaissance Canadian High Yield Bond Fund | |||
| Talvest Small Cap Cdn. Equity Fund | Renaissance Canadian Small Cap Fund | Renaissance Canadian Small-Cap Fund | |||
| Talvest U.S. Equity Fund | Renaissance U.S. Equity Value Fund | Renaissance U.S. Equity Value Fund | |||
| Talvest Renaissance Canadian Balanced Fund | Renaissance Canadian Balanced Fund | Renaissance Canadian Balanced Fund | |||
| Talvest Renaissance Canadian Balanced Value Fund | Renaissance Canadian Balanced Value Fund | Renaissance Canadian Balanced Value Fund | |||
| Talvest Renaissance Canadian Core Value Fund | Renaissance Canadian Core Value Fund | Renaissance Canadian Core Value Fund | |||
| Talvest Renaissance Canadian Real Return Bond Fund | Renaissance Canadian Real Return Bond Fund | Renaissance Canadian Real Return Bond Fund | |||
| Talvest Renaissance U.S. Equity Value Fund | Renaissance U.S. Equity Value Fund | Renaissance U.S. Equity Value Fund | |||
| Renaissance Canadian Bond Fund | Talvest Bond Fund | Renaissance Canadian Bond Fund | |||
| Renaissance Canadian Money Market Fund | Talvest Money Market Fund | Renaissance Money Market Fund | |||
| Renaissance Global Opportunities Fund | Talvest Global Markets Fund | Renaissance Global Markets Fund | |||
| Renaissance International Growth Fund | Talvest International Equity Fund | Renaissance International Equity Fund | |||
| Renaissance Tactical Allocation Fund | Talvest Global Asset Allocation Fund | Renaissance Global Asset Allocation Fund | |||
| Renaissance Talvest China Plus Fund | Talvest China Plus Fund | Renaissance China Plus Fund | |||
| Renaissance Talvest Global Health Care Fund | Talvest Global Health Care Fund | Renaissance Global Health Care Fund | |||
| Renaissance Talvest Millennium High Income Fund | Talvest Millennium High Income Fund | Renaissance Millennium High Income Fund | |||
The mergers are not subject to unitholder or regulatory approvals due to the similar nature, fee structure, and valuation procedures of each Terminating and Continuing Fund. The mergers were approved by the Independent Review Committee of the Funds at a meeting held on April 27, 2007 and the Board of Directors of CIBC Asset Management Inc. at a meeting held on June 7, 2007.
These fund mergers will not trigger capital gains or losses on units of the Funds, with the average cost of units in the Terminating Fund carried over to the Continuing Fund. Terminating Funds and Continuing Funds may declare a distribution on the merger date to reflect any taxable income or gains in the Funds since their last taxation year-end.
Purchases, redemptions and switches in the Terminating Funds will be accepted up to and including the last business day prior to the fund mergers, on or about August 17.
The overall management expense ratio for investors in the Terminating Funds will be maintained or, in some instances, lowered following the mergers.
In accordance with securities legislation, notice will be sent to unitholders of the Terminating Funds no less than 60 days prior to the effective date of the mergers.
| Former Fund Name: | New Fund Name: | ||||
|---|---|---|---|---|---|
| Talvest Asian Fund | Renaissance Asian Fund | ||||
| Talvest Cdn. Asset Allocation Fund | Renaissance Canadian Asset Allocation Fund | ||||
| Talvest Dividend Fund | Renaissance Dividend Fund | ||||
| Talvest Global Bond Fund | Renaissance Global Bond Fund | ||||
| Talvest Global Equity Fund | Renaissance Global Value Fund | ||||
| Talvest Global Multi Management Fund | Renaissance Global Multi Management Fund | ||||
| Talvest Global Resource Fund | Renaissance Global Resource Fund | ||||
| Talvest Global Science & Technology Fund | Renaissance Global Science & Technology Fund | ||||
| Talvest Global Small Cap Fund | Renaissance Global Small-Cap Fund | ||||
| Talvest Income Fund | Renaissance Canadian Income Fund | ||||
| Talvest Millennium Next Generation Fund | Renaissance Millennium Next Generation Fund | ||||
| Renaissance Developing Capital Markets Fund | Renaissance Emerging Markets Fund | ||||
| Renaissance Global Sectors Fund | Renaissance Global Focus Fund | ||||
Portfolio Sub-Advisor Changes
Effective July 17, 2007, the following Portfolio Sub-Advisor changes will take place:
Wintergreen Advisers, LLC will replace The Global Value Investment Portfolio Management Pte. Ltd. as portfolio sub-advisor of Renaissance Global Opportunities Fund. David Winters of Wintergreen Advisers has an excellent performance record and has been a global value investor for two decades with a track record of success in global fund management.
Walter Scott & Partners Limited will replace GE Asset Management Incorporated as portfolio sub-advisor of Talvest International Equity Fund. Walter Scott & Partners employs a bottom-up growth style of investing that has historically delivered top quartile performance.
McLean Budden Limited will replace Connor, Clark & Lunn Investment Management Ltd. as portfolio sub-advisor of Talvest Cdn. Equity Growth Fund. Distinguished by its proven track record and organizational depth, McLean Budden uses disciplined asset mix management to outperform. Their equity management process focuses on security selection to produce superior performance, and invests in companies that have sound balance sheets, above-average earnings growth and strong management.
CIBC Asset Management Inc. would like to thank the three departing portfolio sub-advisors for their past service and contribution.
Fund Termination
On or about August 10, 2007, CIBC Asset Management Inc. will terminate Talvest Cdn. Multi Management Fund as a result of certain underlying funds being merged. On the termination date, the assets of the Fund, which consist of Talvest Cdn. Equity Value Fund, Talvest Cdn. Equity Growth Fund, Talvest Small Cap Cdn. Equity Fund and Talvest Millennium Next Generation Fund (the “Underlying Funds”) will be distributed in kind to unitholders of the Fund. Accordingly, unitholders of the Fund will become direct unitholders of the Underlying Funds.
In addition, on or about August 17, 2007, three of the four Underlying Funds will be merged and renamed, as indicated above. The fourth fund, Talvest Millennium Next Generation Fund, will change its name to Renaissance Millennium Next Generation Fund, as indicated above.
Purchases, redemptions and switches in Talvest Cdn. Multi Management Fund will be accepted up to and including August 9, 2007, and, in the merging Terminating Funds, up to and including the last business day prior to the fund mergers.
For additional information, please visit www.renaissancefunds.ca/merger.
CIBC Asset Management is responsible for the CIBC family of mutual funds – including CIBC Mutual Funds, Renaissance Mutual Funds and the Talvest Funds – and the CIBC family of managed portfolio solutions – Frontiers, Axiom Portfolios, Sequence Portfolios, Managed Portfolio Services (MPS) and Personal Portfolio Services (PPS). CIBC Asset Management manages over $50 billion in assets for more than 1.5 million investors across Canada.
CIBC is a leading North American financial institution with more than 11 million personal banking and business customers. CIBC offers a full range of products and services through its comprehensive electronic banking network, branches and offices across Canada, in the United States and around the world. You can find other news releases and information about CIBC in our Press Centre on our corporate website at www.cibc.com.
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Media contact: Rob McLeod, Senior Director, CIBC Communications and Public Affairs, at 416-980-3714.
Product inquiries: CIBC Asset
Management Client Services 1-888-888-3863.