Strategic Income Allocation Fund Completes Initial Public Offering

TORONTO, March 20, 2012 /CNW/ - Strategic Income Allocation Fund (the "Fund") is pleased to announce the closing of its initial public offering (the "Offering").  Pursuant to the Offering, the Fund issued 6.6 million transferable trust units (the "Units") at $10.00 per Unit, for gross proceeds of $66 million.  The Fund has granted the agents for the offering an over-allotment option to acquire up to an additional 15% of Units issued at a price or $10.00 per Unit exercisable at any time during the next thirty days. The Units are listed on the Toronto Stock Exchange under the symbol SIF.UN.  The Fund's investment objectives are to provide holders of Units with (i) maximized total returns, and (ii) monthly, tax-advantaged distributions. The Fund will seek to achieve these investment objectives through exposure by virtue of a forward purchase and sale agreement to an actively managed diversified portfolio comprised primarily of income generating North American fixed income investments, including high yield bonds, investment grade bonds, senior loans and convertible debt held by SIA Trust (the "Portfolio Trust").  Aston Hill Asset Management Inc. has been retained to provide investment advisory and portfolio management services to the Fund and Portfolio Trust.  The Fund will be managed by Propel Capital Corporation ("Propel Capital").

The distributions are initially targeted to be 6.5% per annum on the subscription price of $10.00 per Unit ($0.05417 per Unit per month or $0.65 per annum). The Fund will not have a fixed distribution amount but intends to at least annually set periodic distribution targets.

The syndicate of agents for this offering is being led by CIBC, and RBC Capital Markets, and includes GMP Securities L.P., TD Securities Inc., BMO Capital Markets, National Bank Financial Inc., Scotia Capital Inc., Canaccord Genuity Corp., Macquarie Private Wealth Inc., Raymond James Ltd., Desjardins Securities Inc., Dundee Securities Ltd, Mackie Research Capital Corporation and Manulife Securities Incorporated.

This offering is only made by prospectus. The prospectus contains important detailed information about the securities being offered. Copies of the prospectus may be obtained from one of the above-noted agents. Investors should read the prospectus before making an investment decision.

Raj Lala, President, Propel Capital at 416-572-2364 or visit www.propelcapital.ca