TORONTO, Aug. 16, 2013 /CNW/ - CIBC Asset Management today announced it
intends to offer the Renaissance Corporate Bond Fund (the Fund) for
sale as of August 26, 2013.
The Fund benefits from the research-driven approach of the experienced
CIBC Global Asset Management Fixed Income Team. The Fund has a track
record of strong returns by investing in a portfolio of corporate bonds
that have passed rigorous, internal credit analysis.
Since November 18, 2009, the Fund has been the underlying Reference Fund
for the Renaissance Corporate Bond Capital Yield Fund. CIBC Asset
Management also announced that, effective as of the close of business
August 23, 2013, it will cease to allow new purchases and switches into
the Renaissance Corporate Bond Capital Yield Fund. This is in response
to the July 11, 2013 Department of Finance announcement on proposed
transitional rules for the character conversion transactions announced
in the 2013 Federal Budget.
The March 2013 Federal Budget proposed changes to eliminate "character
conversion transactions" that use forward contracts to convert ordinary
income to capital gains for tax purposes. The July 11, 2013
announcement proposed to extend the transition period in respect of
forward agreements that were entered into before March 21, 2013 until
the end of 2014. Given the proposed extension, CIBC Asset Management
has determined it is in the best interest of existing unitholders to
cap the Renaissance Corporate Bond Capital Yield Fund at this time.
CIBC Asset Management Inc., the asset management division of CIBC, is
responsible for the CIBC and Renaissance Investments families of mutual
funds, Imperial Pools, Frontiers Pools and the CIBC family of managed
portfolio solutions - Axiom Portfolios, CIBC Managed Portfolio Services
and CIBC Personal Portfolio Services. CIBC Asset Management manages
more than $60 billion in assets.
Commissions, trailing commissions, management fees and expenses all may
be associated with mutual fund investments. Please read the Renaissance
Investments family of funds simplified prospectus before investing.
Mutual funds are not guaranteed; their values change frequently and
past performance may not be repeated.
SOURCE: CIBC
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Media contact: Kevin Dove, Head, External Communications and Media Relations, at 416-980-8835 or e-mail: kevin.dove@cibc.ca.
Product inquiries: Renaissance Investments Client Services at 1-888-888-FUND (3863).
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