Click here to close now.

SYS-CON MEDIA Authors: Dana Gardner, Elizabeth White, Jnan Dash, Kevin Jackson, Peter Silva

News Feed Item

RBC Global Asset Management Inc. announces proposal to close certain RBC Corporate Class Funds

TORONTO, March 31, 2014 /CNW/ - RBC Global Asset Management Inc. today announced that effective September 12, 2014, the following RBC Corporate Class Funds (the Funds) will be closed, subject to shareholder and regulatory approval:

RBC Capital Classes

  • RBC Bond Capital Class
  • Phillips, Hager & North Total Return Bond Capital Class
  • RBC High Yield Bond Capital Class

RBC Select Classes

  • RBC Select Very Conservative Class
  • RBC Select Conservative Class
  • RBC Select Balanced Class
  • RBC Select Growth Class
  • RBC Select Aggressive Growth Class

The Funds will be closed to address changes announced in the 2013 Federal Budget that included provisions to eliminate the tax benefits associated with forward agreements used by certain investment funds to achieve capital gains treatment on investment returns that would otherwise be treated as income for tax purposes.

The Funds were designed to include exposure to forward agreements as part of their investment strategies. Due to the change in tax treatment, RBC Global Asset Management Inc., the manager of the Funds, has proposed that it is in the best interests of mutual fund shareholders to close the Funds.

Under the proposed terminations, mutual fund shareholders of each Fund will receive units in the same series of a corresponding mutual fund trust which has an investment objective consistent with that of the Fund. Mutual fund shareholders of each Fund will receive units of a mutual fund trust with a value equal to the value of their mutual fund shares of a Fund.

The termination of each Fund will be considered a taxable disposition. The affected Funds and their corresponding mutual fund trusts are listed in the table below:

Terminating Funds Corresponding Mutual Fund Trusts
RBC Bond Capital Class RBC Bond Fund
Phillips, Hager & North Total Return Bond Capital Class Phillips, Hager & North Total Return Bond Fund
RBC High Yield Bond Capital Class RBC High Yield Bond Fund
RBC Select Very Conservative Class RBC Select Very Conservative Portfolio
RBC Select Conservative Class RBC Select Conservative Portfolio
RBC Select Balanced Class RBC Select Balanced Portfolio
RBC Select Growth Class RBC Select Growth Portfolio
RBC Select Aggressive Growth Class RBC Select Aggressive Growth Portfolio

The corresponding mutual fund trusts are not affected by the change in tax treatment because they do not use forward agreements.

Shareholder Approvals
RBC Global Asset Management Inc. will seek the required approval of mutual fund shareholders of the Funds for the proposed terminations at a special meeting to be held on or about Friday June 20, 2014, in Toronto, Ontario. Notice of the meeting, together with a management information circular for the meeting containing full details of the proposed terminations, will be mailed on or about Wednesday May 28, 2014, to mutual fund shareholders of record as of Friday May 9, 2014.

If the necessary approvals are received, the proposed terminations will take place on or about Friday September 12, 2014. Mutual fund shareholders will have a right to redeem mutual fund shares of the Funds up to the close of business on the business day immediately preceding the effective date of the proposed terminations.

The Independent Review Committee of the Funds considered and provided a positive recommendation for the proposed terminations after determining that the proposed terminations, if implemented, achieve a fair and reasonable result for each of the applicable Funds.

In conjunction with the proposed terminations, the corresponding RBC Underlying Funds and RBC Reference Funds will also be terminated on or about September 12, 2014.

About RBC Global Asset Management and RBC Wealth Management
RBC Global Asset Management (RBC GAM) is the asset management division of Royal Bank of Canada (RBC), and includes institutional money managers BlueBay Asset Management and Phillips, Hager & North Investment Management. RBC GAM is a provider of global investment management services and solutions to individual, high-net-worth and institutional investors through mutual funds, exchange-traded funds, hedge funds, pooled funds, separate accounts and specialty investment strategies. RBC GAM group of companies manage more than C$315 billion in assets and have approximately 1,200 employees located across Canada, the United States, Europe and Asia. In 2013, RBC GAM was recognized as the fastest growing asset manager over the last five years among the world's top 50 asset managers, and named as having the second highest growth in assets under management over the last five years+.

RBC Global Asset Management is part of RBC Wealth Management, which is one of the world's top 10 largest wealth managers*. RBC Wealth Management directly serves affluent, high-net-worth and ultra-high net worth clients in Canada, the United States, Latin America, Europe, the Middle East, Africa, and Asia with a full suite of banking, investment, trust and other wealth management solutions. The business also provides asset management products and services directly and through RBC and third party distributors to institutional and individual clients, through its RBC Global Asset Management business (which includes BlueBay Asset Management).

RBC Wealth Management has more than C$675 billion of assets under administration, more than C$411 billion of assets under management and over 4,400 financial consultants, advisors, private bankers, and trust officers. For more information, please visit rbcwealthmanagement.com.

+Pensions & Investments/Towers Watson global 500 ranking: World's Largest Asset Managers 2013. *Scorpio Partnership Global Private Banking KPI Benchmark 2013. In the United States, securities are offered through RBC Wealth Management, a division of RBC Capital Markets, LLC, a wholly owned subsidiary of Royal Bank of Canada. Member NYSE/FINRA/SIPC.

 

SOURCE RBC

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
VoxImplant has announced full WebRTC support in the newest versions of its Android SDK and iOS SDK. The updated SDKs, which enable audio and video calls on mobile devices, are now compatible with the WebRTC standard to allow any mobile app to communicate with WebRTC-enabled browsers, including Google Chrome, Mozilla Firefox, Opera, and, when available, Microsoft Spartan. The WebRTC-updated SDKs represent VoxImplant's continued leadership in simplifying the development of real-time communication...
Chef and Canonical announced a partnership to integrate and distribute Chef with Ubuntu. Canonical is integrating the Chef automation platform with Canonical's Machine-As-A-Service (MAAS), enabling users to automate the provisioning, configuration and deployment of bare metal compute resources in the data center. Canonical is packaging Chef 12 server in upcoming distributions of its Ubuntu open source operating system and will provide commercial support for Chef within its user base.
The IoT Bootcamp is coming to Cloud Expo | @ThingsExpo on June 9-10 at the Javits Center in New York. Instructor. Registration is now available at http://iotbootcamp.sys-con.com/ Instructor Janakiram MSV previously taught the famously successful Multi-Cloud Bootcamp at Cloud Expo | @ThingsExpo in November in Santa Clara. Now he is expanding the focus to Janakiram is the founder and CTO of Get Cloud Ready Consulting, a niche Cloud Migration and Cloud Operations firm that recently got acquir...
PubNub on Wednesday released an open source template to allow developers to add Skype-like video chat into their apps. The free template provides a fully functional video chat platform using WebRTC, PubNub and Google Authentication for a global, reliable collaboration solution. “While the WebRTC protocol has created huge excitement as a way to deliver video chat ubiquitously, there’s still a gap between the protocol itself and the ability to deploy a working, globally scaled, collaboration appl...
Today, IT is not just a cost center. IT is an enabler and driver of business. With the emergence of the hybrid cloud paradigm, IT now has increasingly more capabilities to create new strategic opportunities for a business. Hybrid cloud allows an organization to utilize multi-tenant public clouds, dedicated private clouds, bare metal hosting, and the associated support and services for the right use cases through an on-demand, XaaS model. This model of IT creates tremendous opportunities for busi...
SYS-CON Events announced today that BroadSoft, the leading global provider of Unified Communications and Collaboration (UCC) services to operators worldwide, has been named “Gold Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. BroadSoft is the leading provider of software and services that enable mobile, fixed-line and cable service providers to offer Unified Communications over their Internet Protocol networks. The Compa...
SYS-CON Events announced today that GENBAND, a leading developer of real time communications software solutions, has been named “Silver Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. The GENBAND team will be on hand to demonstrate their newest product, Kandy. Kandy is a communications Platform-as-a-Service (PaaS) that enables companies to seamlessly integrate more human communications into their Web and mobile applicatio...
SOASTA, the leader in performance analytics, today reported record growth of the CloudTest community, exceeding 30,000 registered users of the CloudTest platform in Q1 2015. SOASTA also announced widespread adoption of its Web and mobile testing solutions, with more than 1,600 customers completing more than 285,000 tests using CloudTest during the quarter. This rapid growth shows that DevOps-driven digital businesses are embracing a more continuous approach to testing, and CloudTest is meeting t...
ProfitBricks has launched its new DevOps Central and REST API, along with support for three multi-cloud libraries and a Python SDK. This, combined with its already existing SOAP API and its new RESTful API, moves ProfitBricks into a position to better serve the DevOps community and provide the ability to automate cloud infrastructure in a multi-cloud world. Following this momentum, ProfitBricks has also introduced several libraries that enable developers to use their favorite language to code ...
SYS-CON Events announced today that Optimal Design, an Internet of Things solution provider, will exhibit at SYS-CON's Internet of @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Optimal Design is an award winning product development firm offering industrial design and engineering services to the consumer, medical, and defense markets.
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists will discuss how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations m...
SYS-CON Events announced today that kintone has been named “Bronze Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY, and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. kintone promotes cloud-based workgroup productivity, transparency and profitability with a seamless collaboration space, build your own business applic...
SYS-CON Events announced today that Stratoscale, the new data center operating system, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Based in Herzeliya, Israel, Stratoscale is redefining the data center, developing a hardware-agnostic, software platform hyper-converging compute, storage and networking across the rack or data center. The self-optimizing platform automatically distributes all physical...
of cloud, colocation, managed services and disaster recovery solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. TierPoint, LLC, is a leading national provider of information technology and data center services, including cloud, colocation, disaster recovery and managed IT services, with corporate headquarters in St. Louis, MO. TierPoint was formed through the strategic combination of some of t...
How do you securely enable access to your applications in AWS without exposing any attack surfaces? The answer is usually very complicated because application environments morph over time in response to growing requirements from your employee base, your partners and your customers. In his session at 16th Cloud Expo, Haseeb Budhani, CEO and Co-founder of Soha, will share five common approaches that DevOps teams follow to secure access to applications deployed in AWS, Azure, etc., and the frict...