National Bank Securities repositions its Strategic Portfolios to better face the markets of tomorrow
National Bank Securities has announced that it will make changes to its Strategic Portfolios. These changes will favourably position Strategic Portfolios for the market conditions going forward, while at the same time enabling them to retain all of their current benefits.
To that effect, modifications will be made to the National Bank Securities Mutual Funds used as component elements for the Strategic Portfolios. The weightings of these funds in the portfolios will also be adjusted. These changes will deliver a better risk-return trade-off, as well as offering the potential for higher returns – both of which are valuable benefits for investors.
In addition, some National Bank Securities Mutual Funds will be added to the Strategic Portfolios, including the Altamira Corporate Bond Fund. The integration of this new fund will enhance diversification, particularly for the fixed-income portion of the portfolios. Given their low correlations with other investments, their diversification benefits and their superior growth potential relative to government bonds, corporate bonds are an interesting component to add to investment portfolios. Furthermore, carefully chosen corporate bonds generally carry a fairly low level of risk.
“The changes that will be made to the Strategic Portfolios are a step forward and should be seen as a plus by National Bank Securities clients; particularly since they are one of the most popular solutions for our investors,” states Charles Guay, President and Chief Executive Officer of National Bank Securities. “These changes will better position Strategic Portfolios in terms of meeting our clients’ needs for diversification, while fully respecting their risk profiles.”
Strategic Portfolios are available in six profiles that take into account six different investment strategies. These strategies are implemented by putting together different combinations of National Bank Securities Mutual Funds. The Strategic Portfolios are rebalanced on a semi-annual basis, when necessary.
The rebalancing required to carry out these modifications will take place between September 3 and September 24, 2010. A detailed notice giving all the details will be sent to all clients who own Strategic Portfolios.
About National Bank Securities Inc.
National Bank Securities Mutual Funds (the “Funds”) and National Bank Strategic Portfolios (the "Portfolios") are offered by National Bank Securities Inc., a wholly owned subsidiary of National Bank of Canada. An investment in the Funds and the use of the Portfolios can lead to trailing commissions, management fees and other expenses. Please read the prospectus of the Funds before investing. There is no guarantee that money market funds can maintain a fixed net asset value per security or that the full amount of your investment in a fund will be returned to you. The Funds’ securities are not insured by the Canadian Deposit Insurance Corporation or any other government deposit insurer. The Funds are not guaranteed. Their values change frequently and past performance is not indicative of future performance.
About National Bank of Canada
National Bank of Canada is an integrated group that 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 over $150 billion in assets and, together with its subsidiaries, employs 18,248 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 Advisor, Public Relations
National Bank Financial Group