Press Releases

National Bank Mutual Funds / Altamira Mutual Funds : authorization of investments in the common shares of NBC

Montreal, 4 July 2006 -

National Bank Securities Inc., the manager of the National Bank Mutual Funds, and Altamira Investment Services Inc., the manager of the Altamira Mutual Funds (collectively, the “Funds”), announced today that the independent committee of the Funds has pre-authorized, subject to certain conditions, a program of purchases, sales and continued holdings of the common shares of National Bank of Canada (the “Bank”) by the Funds.  This authorization by the committee follows a decision made by the Canadian securities regulatory authorities to permit the Funds to invest in the common shares of the Bank provided that, among other things, an independent committee monitors these investments.

The mandate of the independent committee is notably to review, at least once per quarter, transactions made on behalf of the Funds to invest in common shares of the Bank in order to be satisfied that the decisions to buy, sell and hold common shares of the Bank represent the business judgment of the portfolio manager, uninfluenced by considerations other than the best interests of the Funds, that the decisions were made free from any influence of the Bank and without taking into account any consideration relevant to the Bank or its associates or affiliates.  National Bank Securities Inc. and Altamira Investment Services Inc., the managers of the Funds, and National Bank Financial Inc., an unrestricted practice broker, are wholly owned by the Bank.  Natcan Investment Management Inc., the portfolio manager of the Funds, is majority owned by the Bank.

Although draft National Instrument 81-107 respecting Independent Review Committees for Investment Funds is not yet in force, National Bank Securities Inc. and Altamira Investment Services Inc. established an independent review committee in 2004. In addition to monitoring the Funds’ transactions in the common shares of the Bank, this independent committee also acts in compliance with conditions of various orders issued from time to time by the Canadian securities regulatory authorities.

The members of the independent committee are Yves Julien, Jean Durivage, André Godbout and Jean-François Bernier.  None of the members of the independent committee are employees, directors, officers or associates of the Bank, National Bank Securities Inc., Altamira Investment Services Inc. or Natcan Investment Management Inc., or an associate of an affiliate of the above mentioned corporations.

Each member of the independent committee receives a fee plus expenses for each meeting of the independent committee that the member attends.  This fee is allocated among the Funds in a manner that is considered by the independent committee to be fair and reasonable to the Funds.

National Bank Securities inc. and Altamira Investment Services Inc. are wholly owned subsidiaries of National Bank of Canada, which offers an array of investment solutions to individual and commercial investors.

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 $110 billion in assets and, together with its subsidiaries, employs 16,955 people. The Bank’s securities are listed on the Toronto Stock Exchange (NA:TSX). For more information, visit the Bank’s website at

About Altamira
Altamira Investment Services is a leading provider of financial and retirement planning services. We offer a wide range of investment solutions including mutual funds, savings accounts, principal-protected notes and managed portfolio services. Award-winning client service, product innovation and expert advice define Altamira’s distinctive approach to investment management. The company is headquartered in Toronto with offices across the country, and is a subsidiary of the National Bank of Canada.

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

Denis Dubé
Senior Director – Public Relations
National Bank of Canada
Tel.: (514) 394-8644

Glenn Cooper
Director of Communications
Tel.: (416) 507-7044