TORONTO, March 25, 2022 /CNW/ - CIBC (TSX: CM) (NYSE: CM), as manager, today announced the introduction of a fixed administration fee for the CIBC Mutual Funds and CIBC Family of Portfolios* (each, a "fund" and collectively, the "funds") listed in Appendix A of this release, replacing the variable operating expenses currently being charged to these funds (the "administration fee").
Effective July 1, 2022, CIBC will be responsible for the operating expenses of each fund, other than certain expenses, in exchange for the payment by the fund of a fixed administration fee. The administration fee will apply to all classes of each fund, with the exception of Class O, as applicable.
The benefits to unitholders of the administration fee include greater predictability and transparency of the management expense ratio ("MER") of each class of the funds, which will consist of the management fee, the administration fee, certain expenses and applicable taxes. Prior to applicable taxes, the MER of each class of each fund is also expected to be less than or equal to the most recently published MER. Unitholders will also gain a protection from potential increases in future operating expenses. The Independent Review Committee of the funds has reviewed the introduction of a fixed administration fee with respect to the potential conflict of interest matters and provided its positive recommendation, having determined that the fixed administration fee achieves a fair and reasonable result for each fund.
Unitholders in the following classes of the funds do not need to approve the administration fee. They will be provided with at least 60 days' notice before the implementation of the change, in accordance with applicable securities law:
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Funds
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Classes
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CIBC Mutual Funds and CIBC Family of Portfolios*
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Class A, Class T4, Class T6, Class T8, Premium Class, Class F, Class FT4, Class FT6, Class FT8, and Class F-Premium units.
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* excluding the CIBC Sustainable Investment Strategies, CIBC Smart Investment Solutions and CIBC Passive Portfolios which already have fixed administration fees.
Appendix A
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CIBC Mutual Funds
CIBC Canadian T-Bill Fund
CIBC Money Market Fund
CIBC U.S. Dollar Money Market Fund
CIBC Short-Term Income Fund
CIBC Canadian Bond Fund
CIBC Monthly Income Fund
CIBC Global Bond Fund
CIBC Global Monthly Income Fund
CIBC Balanced Fund
CIBC Dividend Income Fund
CIBC Dividend Growth Fund
CIBC Canadian Equity Fund
CIBC Canadian Equity Value Fund
CIBC Canadian Small-Cap Fund
CIBC U.S. Equity Fund
CIBC U.S. Small Companies Fund
CIBC Global Equity Fund
CIBC International Equity Fund
CIBC European Equity Fund
CIBC Emerging Markets Fund
CIBC Asia Pacific Fund
CIBC International Small Companies Fund
CIBC Financial Companies Fund
CIBC Canadian Resources Fund
CIBC Energy Fund
CIBC Canadian Real Estate Fund
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CIBC Precious Metals Fund
CIBC Global Technology Fund
CIBC Canadian Short-Term Bond Index Fund
CIBC Canadian Bond Index Fund
CIBC Global Bond Index Fund
CIBC Balanced Index Fund
CIBC Canadian Index Fund
CIBC U.S. Broad Market Index Fund
CIBC U.S. Index Fund
CIBC International Index Fund
CIBC European Index Fund
CIBC Emerging Markets Index Fund
CIBC Asia Pacific Index Fund
CIBC Nasdaq Index Fund
CIBC Family of Portfolios
CIBC Managed Income Portfolio
CIBC Managed Income Plus Portfolio
CIBC Managed Balanced Portfolio
CIBC Managed Monthly Income Balanced
Portfolio
CIBC Managed Balanced Growth Portfolio
CIBC Managed Growth Portfolio
CIBC Managed Aggressive Growth Portfolio
CIBC U.S. Dollar Managed Income Portfolio
CIBC U.S. Dollar Managed Balanced Portfolio
CIBC U.S. Dollar Managed Growth Portfolio
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About CIBC
CIBC is a leading North American financial institution with 11 million personal banking, business, public sector and institutional clients. Across Personal and Small Business Banking, Commercial Banking and Wealth Management, and Capital Markets businesses, CIBC offers a full range of advice, solutions and services through its leading digital banking network, and locations across Canada, in the United States and around the world. Ongoing news releases and more information about CIBC can be found at https://cibc.mediaroom.com/
SOURCE CIBC
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