CI Global Asset Management(“CI GAM”) announced today that the distribution frequency of CI Canadian Banks Covered Call Income Class ETF (TSX: CIC) and CI Canadian Banks Covered Call Income Corporate Class is changing to monthly from quarterly.
Effective this month, the mutual fund and ETF (the “Funds”) will pay variable distributions of ordinary taxable dividends and capital gains dividends, if any, on a monthly basis. The change is being made to provide investors with more frequent distribution payments.
The Funds provide exposure to common shares of the six largest Canadian banks while generating additional yield through a call option writing strategy. Each month, covered calls are written on approximately 25% of the portfolio, a strategy that produces additional monthly income while maintaining exposure to a majority of the capital gains potential of the underlying securities. The Funds are designed for investors seeking tax-efficient income and capital appreciation potential with lower volatility.
Distribution information for each CI GAM fund is posted on ci.com while the distributions for the CI ETFs are also announced by press release each month.
Risk rating change
The risk rating of CI Gold Bullion Fund (the “ETF”) is changing to Medium from Medium-to-High, effective immediately. The change applies to all series of the ETF, including ETF C$ Hedged Series Units (TSX: VALT), ETF C$ Unhedged Series Units (VALT.B) and ETF US$ Series Units (VALT.U).
The risk rating change is based on the risk classification methodology mandated by the Canadian Securities Administrators to determine the risk level of mutual funds, including ETFs. CI GAM reviews the risk rating for each of the funds it manages at least on an annual basis, as well as when a fund undergoes a material change. This change is the result of our ongoing internal reviews and is not the result of any changes to the investment objectives, strategies or management of the ETFs.
About CI Global Asset Management
CI Global Asset Management (“CI GAM”) is one of Canada’s largest investment management companies. It offers a wide range of investment products and services and is on the web at www.ci.com. CI GAM is a subsidiary of CI Financial Corp. (TSX: CIX), an integrated global asset and wealth management company with approximately $509.2 billion in assets as at August 31, 2024.
Commissions, trailing commissions, management fees and expenses all may be associated with an investment in mutual funds and exchange-traded funds (ETFs). Please read the prospectus before investing. Important information about mutual funds and ETFs is contained in their respective prospectus. Mutual funds and ETFs are not guaranteed; their values change frequently, and past performance may not be repeated. You will usually pay brokerage fees to your dealer if you purchase or sell units of an ETF on recognized Canadian exchanges. If the units are purchased or sold on these Canadian exchanges, investors may pay more than the current net asset value when buying units of the ETF and may receive less than the current net asset value when selling them.
This communication is intended for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to purchase mutual funds managed by CI Global Asset Management and is not, and should not be construed as, investment, tax, legal or accounting advice, and should not be relied upon in that regard. Every effort has been made to ensure that the material contained in this document is accurate at the time of publication. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies. These investments may not be suitable to the circumstances of an investor.
The CI Exchange-Traded Funds are managed by CI Global Asset Management, a wholly owned subsidiary of CI Financial Corp. (TSX: CIX). CI Global Asset Management is a registered business name of CI Investments Inc.
©CI Investments Inc. 2024. All rights reserved.
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