National Bank Securities announces measures to optimize its investment fund line-up

Montreal, 6 April 2009 - 

National Bank Securities announces the convening of special securityholder meetings to obtain approval for changes to a number of its funds. These changes aim to simplify its mutual fund line-up, while also delivering benefits for both investors and the financial advisors who distribute National Bank Securities’ funds.

Simplification of the line-up will result from merging 29 National Bank and Altamira Funds that have similar investment objectives. Further, the investment objectives for three funds will be modified to give their portfolio managers more flexibility and potential for greater returns. Finally, 15 funds will also be renamed to better reflect their investment objectives and brand attributes.

“This is the final phase of the process of integrating Altamira into National Bank Securities, a process that began last November”, declared Charles Guay, President and Chief Executive Officer of National Bank Securities.

Once these changes are complete, National Bank Securities will have four fund families – each with its own characteristics, distinct features and advantages. In a context where the fund offering available to investors in Canada is both broad and complex, National Bank Securities wishes to make it easier to understand the distinctions between the National Bank, Altamira, Omega and Meritage fund families.

National Bank Securities is also taking this opportunity to slightly reposition the branding of its funds, in order to render its product line-up more intuitive. All in all, National Bank Securities believes this exercise will enable it to better respond to the needs of its growing clientele of investors and financial advisors, and ultimately increase its competitiveness in the marketplace.

At the special meetings, scheduled for June 4 to 11, 2009, securityholders of the relevant funds will consider various matters, including:

- changing the fundamental investment objectives of National Bank/Fidelity True North® Fund (which will be renamed “Omega Canadian Equity Fund”) and of National Bank/Fidelity Global Fund (which will be renamed “Omega Global Equity Fund”) to move from a “fund of fund” structure to a regular structure, while nonetheless maintaining similar objectives;

- changing the fundamental investment objective of Altamira US Larger Company Fund (which will be renamed “Altamira U.S. Equity Fund”) to broaden its mandate in order to allow investments in securities of American companies of all capitalizations;

- the modernization of the declarations of trust of National Bank/Fidelity True North® Fund, National Bank/Fidelity Global Fund, Altamira US Larger Company Fund and Altamira Income Fund; and

- the fund mergers set forth in the following table :

Proposed Mergers
Each Terminating Fund shall merge into the corresponding Continuing Fund. Certain funds will also be renamed, as indicated.

Terminating Fund

Continuing Fund

Name Changes

National Bank Treasury Bill Plus Fund

National Bank Money Market Fund

 

Altamira T-Bill Fund

Altamira Short Term Government Bond Fund

National Bank Mortgage Fund

 

Altamira Inflation-Adjusted Bond Fund

Altamira Long Term Bond Fund

 

Altamira Global Bond Fund

National Bank Global Bond Fund

Will be renamed “Altamira Global Bond Fund”

Altamira Short Term Global Income Fund

Altamira High Yield Bond Fund

National Bank High Yield Bond Fund

Will be renamed “Altamira High Yield Bond Fund”

Altamira Monthly Income Fund

National Bank Monthly Income Fund

 

Altamira Balanced Fund

National Bank Balanced Diversified Fund

 

National Bank Retirement Balanced Fund

Altamira Global Diversified Fund

National Bank Growth Diversified Fund

 

National Bank/Fidelity Canadian Asset Allocation Fund

Altamira Growth & Income Fund

Will be renamed “Altamira Tactical Asset Allocation Fund”

Altamira Canadian Value Fund

National Bank Canadian Equity Fund

 

Altamira Capital Growth Fund Limited

Altamira Equity  Fund

Will be renamed “Altamira Canadian Equity Growth Fund”

Altamira Special Growth Fund

National Bank Small Capitalization  Fund

 

Altamira Global Value Fund

National Bank Global Equity Fund

 

National Bank Future Economy  Fund

Altamira Select American Fund

Altamira US Larger Company Fund

Will be renamed “Altamira U.S. Equity Fund”

National Bank European Equity  Fund

Altamira European Equity  Fund

 

National Bank Asia-Pacific Fund

Altamira Asia Pacific Fund

 

Altamira Global Discovery Fund

National Bank Emerging Markets  Fund

Will be renamed “Omega Emerging Markets Fund”

National Bank European Small Capitalization  Fund

Altamira Global Small Company Fund

 

National Bank Natural Resources Fund

Altamira Resource Fund

 

National Bank Global Technologies Fund

Altamira Science and Technology Fund

 

National Bank Canadian Index Fund

Altamira Precision Canadian Index Fund

Will be renamed “Altamira Canadian Index Fund”

National Bank Canadian Index Plus Fund

National Bank American Index Plus Fund

National Bank American Index Fund

Will be renamed “Altamira U.S. Index Fund”

Altamira Precision European Index Fund

Altamira Precision International Currency Neutral Index Fund

Will be renamed “Altamira International Currency Neutral Index Fund”

Altamira Precision U.S. Midcap Index Fund

Altamira Precision U.S. Currency Neutral Index Fund

Will be renamed “Altamira U.S. Currency Neutral Index Fund”

The management fees of National Bank American Index Fund and of National Bank International Index Fund will be reduced to 0.45% in order to be aligned with the Altamira Index Funds.

Three other funds will also change names at that time: Altamira Short Term Canadian Income Fund will be renamed “National Bank Short Term Canadian Income Fund”, National Bank Quebec Growth Fund will be renamed “Altamira Quebec Growth Fund” and National Bank International Index Fund will be renamed “Altamira International Index Fund”.

Subject to regulatory and securityholder approval and to the positive recommendation of the Independent Review Committee, the proposed changes will take effect on or about June 12, 2009. Should the required approvals not be obtained, such fund(s) will continue to exist as they did before, with the exception of Altamira T-Bill Fund, which would then be terminated. 

Immediately following the close of business on April 6, 2009, the Terminating Funds will be closed to new purchases, with the exception of pre-established systematic investment and distribution reinvestment plans.

All information pertaining to the changes proposed as part of the special meetings will be provided to current investors, and potential investors can obtain this information from National Bank Securities prior to the special meetings. The time and place of the special meetings will appear in the notice of meeting and management information circular which will be mailed to securityholders. In addition, this information will be posted to www.sedar.com and will be available from your advisor or from National Bank Securities.

About National Bank Securities Inc.
The National Bank Mutual Funds (including the Omega FundsTM) and the Altamira Funds (the “Funds”), as well as the Meritage Portfolios® (the "Porfolios") are offered by National Bank Securities Inc., a wholly owned subsidiary of National Bank of Canada. Commissions, trailing commissions, management fees and expenses all may be associated with investments in the Funds or in the Portfolios. Please read the prospectus of the Funds or of the Portfolios before investing. The Funds’ and Portfolios’ securities are not insured by the Canada Deposit Insurance Corporation or by any other government deposit insurer. The Funds and the Portfolios are not guaranteed, their values change frequently and past performance may not be repeated. 

“Omega Funds™” and the Omega Funds logo and ‘’Meritage Portfolios®’’ and the Meritage Portfolios logo are trademarks of National Bank of Canada, used under license by National Bank Securities Inc.

About National Bank of Canada
National Bank of Canada, which is celebrating its 150th anniversary in 2009, is an integrated group which provides comprehensive financial services to consumers, small and medium-sized enterprises and large corporations in its core market, while offering specialized services to its clients elsewhere in the world. The National Bank offers a full array of banking services, including retail, corporate and investment banking. It is an active player on international capital markets and, through its subsidiaries, is involved in securities brokerage, insurance and wealth management as well as mutual fund and retirement plan management. National Bank has close to $137 billion in assets and, together with its subsidiaries, employs 17,199 people. The Bank’s securities are listed on the Toronto Stock Exchange (NA:TSX). For more information, visit the Bank’s website at
www.nbc.ca.

Information (The telephone number provided below is for the exclusive use of journalists and other media representatives.):

Marie-Claude Lavigne
Public Relations
National Bank Financial Group
Tel.: 514-394-6500