Investors Group announces changes to mutual funds impacted by the 2013 Federal
WINNIPEG, April 16, 2013 /CNW/ - The 2013 federal budget proposed changes to
Canadian tax laws that will impact the ability of investors to obtain
tax-efficient exposure to a variety of investments. This proposal affects a
number of investment funds across the industry, including the following
Investors Group funds (the Funds):
-- Investors Short Term Capital Yield Class
-- Investors Capital Yield Class
Until there is greater guidance from the federal government, the Funds will be
closed to new lump sum investments, effective immediately.
While the government has not yet provided full clarity on how it plans to
implement the proposal, derivative transactions currently in place on the
Funds prior to March 21, 2013, are expected to remain tax-efficient until
their expiration dates. It is important to note that even with this proposed
legislation, the fundamental benefits of mutual fund corporations remain,
including tax-deferred switching and re-balancing.
Investors Group will continue to monitor and assess this budget proposal and
its potential impact.
Investors Group, founded in 1926, is a national leader in delivering
personalized financial solutions to Canadians through a network of
approximately 4,500 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 approximately $126 billion in total assets
under management as of March 31, 2013.
Ron Arnst Investors Group (204) 956-3364 firstname.lastname@example.org
SOURCE: Investors Group Inc.
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-0- Apr/16/2013 14:27 GMT
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