O'Leary Canadian Income Opportunities Fund 2 files Preliminary Prospectus

MONTREAL, Nov. 1 /CNW/ - O'Leary Funds Management LP (the "Manager") is pleased to announce that a preliminary prospectus for the O'Leary Canadian Income Opportunities Fund 2 (the "Fund") has been filed with, and a receipt therefor has been issued by, the securities regulatory authorities in each of the provinces of Canada.

The Fund was created to invest in an actively-managed portfolio (the "Portfolio") comprised primarily of publicly-traded securities of issuers domiciled in Canada providing investors with both income and potential for capital appreciation.

The Fund's investment objectives are to (i) maximize total return for holders of trust units of the Fund ("Unitholders"), consisting of distributions, interest and dividend income and capital appreciation; and (ii) to initially provide Unitholders with monthly distributions targeted to be $0.08 per Unit ($0.96 per annum representing an annual cash distribution of 8% based on the $12.00 per Unit issue price).

The Manager has retained Stanton Asset Management Inc. (the "Portfolio Advisor") to provide investment advisory services to the Fund. The Portfolio Advisor is a Canadian investment firm focused on global investment opportunities, and is also the manager of a variety of specialized funds.

The Fund is an investment trust governed by the laws of the Province of Ontario which proposes to issue transferable units (the "Units") of the Fund (the "Offering") at a price of $12.00 per Unit. Prospective purchasers may purchase Units either by cash payment or in exchange for income trust units, dividend-paying equity securities and preferred shares of the exchange eligible issuers listed in the preliminary prospectus. Prospective purchasers under the exchange option are required to deposit their securities prior to 5:00 p.m. on November 25, 2010. CDS Participants may have an earlier deadline for receiving instructions concerning such deposits.

On or before December 14, 2012, the Fund will become an open-end mutual fund, the Units of the Fund will be delisted and the Units will become redeemable at their net asset value per Unit on a daily basis.

The syndicate of agents is co-led by CIBC World Markets Inc. and RBC Capital Markets and includes National Bank Financial Inc., Scotia Capital Inc., Macquarie Private Wealth Inc., Canaccord Genuity Corp., Raymond James Ltd., Wellington West Capital Markets Inc., Dundee Securities Corporation, GMP Securities L.P., HSBC Securities (Canada) Inc., MGI Securities Inc., Desjardins Securities Inc., Mackie Research Capital Corporation and Manulife Securities Incorporated (collectively, the "Agents").

Certain statements included in this news release constitute forward-looking statements, including, but not limited to, those identified by the expressions "expect", "intend", "will" and similar expressions to the extent they relate to the Fund. The forward-looking statements are not historical facts but reflect the Manager's current expectations regarding future results or events. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although the Manager believes that the assumptions inherent in the forward-looking statements are reasonable, forward-looking statements are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. The Manager undertakes no obligation to update publicly or otherwise revise any forward-looking statement or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.

A preliminary prospectus dated October 27, 2010 containing important information relating to these securities has been filed with securities commissions or similar authorities in certain jurisdictions of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from any of the Agents. There will not be any sale or any acceptance of an offer to buy the securities until a receipt for the preliminary prospectus has been issued.

All capital terms noted herein but not defined are as per the preliminary prospectus dated October 27, 2010.

For further information:

for media inquiries or additional information: please contact O'Leary Funds at [email protected] or at 1-877-849-2004 x226.