CI Investments announces fund mergers

TSX Symbol: CIX

TORONTO, Sept. 23, 2016 /CNW/ - CI Investments Inc. ("CI") today announced a proposal to merge six funds into other funds with substantially similar mandates:

Terminating fund	Continuing fund
CI Short-Term Advantage Corporate Class	CI Short-Term Corporate Class
CI U.S. Equity Plus Fund	Cambridge American Equity Fund
Red Sky Canadian Equity Corporate Class	Cambridge Canadian Growth Companies Fund
Signature Diversified Yield Fund	Signature Diversified Yield II Fund
Signature Select Global Corporate Class	CI Global Corporate Class (to be renamed Signature Global Equity Corporate Class)
Signature Select Global Fund	CI Global Fund (to be renamed Signature Global Equity Fund)

CI is proposing the mergers to reduce duplication and to help streamline and simplify its fund lineup. In addition, the continuing funds will benefit from larger asset bases, allowing for increased portfolio diversification opportunities. 

The CI Investments Board of Governors, acting in its capacity as the independent review committee for the funds, has reviewed the proposed mergers with respect to potential conflict of interest matters and provided a positive recommendation, having determined that the mergers, if implemented, achieve a fair and reasonable result for each of the funds. The costs and expenses associated with the mergers are being borne by CI, not the funds.

The merger of Signature Diversified Yield Fund into Signature Diversified Yield II Fund does not require securityholder approval and will be effected at the close of business on or about December 2, 2016.

The remaining proposed mergers require the approval of the securityholders of the terminating funds. The approval of securityholders of two continuing funds – CI Short-Term Corporate Class and CI Global Corporate Class – is also required. CI expects to mail meeting materials to securityholders in October and meetings to vote on the proposal have been scheduled for November 24, 2016. Pending the applicable securityholder and regulatory approvals, the mergers will be effected at the close of business on or about December 2, 2016.

In addition, CI Global Fund will be renamed Signature Global Equity Fund and CI Global Corporate Class will be renamed Signature Global Equity Corporate Class effective on or about December 5, 2016, to reflect the fact that Signature Global Asset Management is the portfolio advisor to the funds.

About CI Investments

CI is one of Canada's largest investment management companies. It offers a broad range of investment products and services, including an industry-leading selection of investment funds, and is on the Web at www.ci.com. CI is a subsidiary of CI Financial Corp. (TSX: CIX), an independent, Canadian-owned wealth management firm with approximately $149 billion in assets as of August 31, 2016.

SOURCE CI Financial Corp.

Murray Oxby, Director, Communications, CI Investments, [phone], [email protected]