National Bank Securities launches six new monthly income portfolios
National Bank Securities is launching six monthly income portfolios. A turnkey solution for investors’ retirement needs, these new portfolios, composed of mutual funds, will give investors a regular monthly income stream while allowing them to benefit from sound portfolio diversification and significant tax breaks.
“As an increasing number of investors, including some 10 million baby boomers, retire or near retirement, they need income from their investments. That’s where our monthly income portfolios come in. They constitute the monthly paycheque of a person who has just retired,” explained Martin Lavigne, Senior Vice President, Sales and Products at National Bank Securities.
Monthly income portfolios are tailored to investors’ profiles, risk tolerance and investment horizon. There are six portfolios available, one for each profile: secure, conservative, moderate, balanced, growth and equity. Each portfolio offers a diversified investment strategy generating moderate to high capital growth. With Natcan Investment Management’s dynamic approach, weightings can be varied among the different asset classes such as shares, bonds, mortgage-backed securities and income trusts. The underlying funds of some portfolios also contain mutual funds from the renowned company Fidelity Investments.
Portfolio income is largely derived from dividends, which are eligible for a tax credit. Capital gains, which are taxed at only 50%, and return of capital1, which is not taxable, will also be distributed. Because monthly income portfolios are flexible, investors can choose between a fixed monthly distribution or a variable distribution that fluctuates slightly with changing market conditions. The minimum investment for the portfolios is $500.
Monthly income portfolios are available from financial advisors in National Bank branches, from National Bank Direct Brokerage and from National Bank Securities Advisory Service at 1-888-270-3941. Bank clients can also call TelNat at 1-888-4TelNat or (514) 394-5555. For more information on these solutions, consult the Bank’s website at www.nbc.ca/income.
1 The return of capital is not taxable, but reduces the average cost of the investment, which could result in a higher capital gain (or lower capital loss) when the investment is sold.
National Bank Mutual Funds (the “Funds”) 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 mutual fund investments. Please read the prospectus before investing. The Funds are not guaranteed, their values change frequently and past performance may not be repeated.
About National Bank of Canada
National Bank of Canada 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. 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 more than $105 billion in assets and, together with its subsidiaries, employs 16,993 people. The Bank’s securities are listed on the Toronto Stock Exchange (NA:TSX). For more information, visit the Bank’s website atwww.nbc.ca.
Information (The telephone number provided below is for the exclusive use of journalists and other media representatives):
Senior Director – Public Relations
National Bank of Canada
Tel.: (514) 394-8644