TORONTO, May 21, 2019 /CNW/ - Sun Life Global Investments
(Canada) Inc. ("Sun Life Global
Investments") today announced that unitholders approved investment
objective changes to two of its mutual funds at special unitholder
meetings held on May 17, 2019.
Effective as of 4:01 p.m. ET on
May 24, 2019, Sun Life Multi-Strategy
Target Return Fund will become Sun Life Opportunistic Fixed Income
Fund and its investment objective will change as described below,
and effective as of 4:01 p.m. ET on
May 31, 2019, Sun Life Infrastructure
Fund will become Sun Life Real Assets Fund and its investment
objective will change as described below.
"When you combine the new objectives with lower management fees,
both funds offer a great value proposition to investors," says
Sadiq Adatia, Chief Investment
Officer, Sun Life Global Investments (Canada) Inc. "Refocusing fund objectives to
seek more diversification while lowering overall risk will better
position investors for the short and long-term. We want to generate
income and preserve capital, while maintaining the flexibility to
seize opportunities as they arise."
Sun Life Multi-Strategy Target Return Fund to become Sun Life
Opportunistic Fixed Income Fund
The new investment objective of the fund will be to seek
long-term capital appreciation and income by investing primarily in
a diversified portfolio of global fixed income securities. In
addition to the change of the fund's investment objective and
investment strategies, the fund will undergo the following
updates:
- The fund will be renamed Sun Life Opportunistic Fixed Income
Fund;
- The fund's benchmark will be changed to the Bloomberg Barclays
Global Aggregate Bond Index (hedged to Canadian dollars);
- The fund's maximum leverage exposure will be limited to 300% of
its net asset value;
- The fund's risk rating will be reduced from "Low to Medium" to
"Low"; and
- The fund's management fees and administration fees will be
reduced per the table below.
Series
|
Current
management
fee
|
New
management
fee
(as of 4:01
p.m. ET
May 24,
2019)
|
Current
administration
fee
|
New administration
fee
(as of 4:01
p.m. ET
May 24,
2019)
|
Series A
|
2.25
|
1.55
|
0.20
|
0.15
|
Series F,
O
|
1.25
|
0.80
|
0.15
|
0.10
|
In connection with the change to the investment objective,
Wellington Management Canada ULC will be appointed sub-advisor
of the fund.
The new objective, name, benchmark change, maximum leverage
reduction, risk rating reduction, fee reductions and sub-advisor
change will take effect at 4:01 p.m.
ET on May 24, 2019.
Sun Life Infrastructure Fund to become Sun Life Real Assets
Fund
The new investment objective of the fund will be to seek to
provide long-term capital appreciation while preserving purchasing
power, including during periods of rising inflation, by investing
primarily in a diversified portfolio of global securities. In
addition to the change of the fund's investment objective and
investment strategies, the fund will undergo the following
updates:
- The fund will be renamed Sun Life Real Assets Fund;
- The fund's benchmark will be changed to a blended benchmark
comprised of 35% FTSE EPRA/NAREIT Developed Real Estate Index (in
Canadian dollars), 35% S&P Global Infrastructure Index (in
Canadian dollars) and 30% S&P Global Natural Resource Index (in
Canadian dollars);
- The fund's management fees and administration fees will be per
the table below; and
Series
|
Current
management
fee
|
New
management
fee
(as of 4:01
p.m. ET
May 31,
2019)
|
Current
administration
fee
|
New administration
fee
(as of 4:01 p.m.
ET
May 31,
2019)
|
Series A
|
2.00
|
1.95
|
0.20
|
No
change
|
Series F,
O
|
1.00
|
0.95
|
0.20
|
0.15
|
- The fund will transition to a multi-manager arrangement:
-
- Lazard Asset Management (Canada) Inc. (the current sub-advisor of the
Sun Life Infrastructure Fund) will continue to manage the fund's
infrastructure sleeve;
- KBI Global Investors (North
America) Ltd. has been hired to manage the fund's natural
resource sleeve; and
- MFS Investment Management Canada Limited has been hired to
manage the fund's real estate sleeve.
Sun Life Global Investments will manage the asset allocation
amongst underlying sleeves of the fund. Each sub-advisor will
follow its own investment philosophies and strategies within its
respective sleeve to identify securities to meet the fund's stated
investment objective.
The new objective, name, benchmark change, fee reductions and
multi-manager arrangement will take effect at 4:01 p.m. ET on May 31,
2019.
About Sun Life Global Investments (Canada) Inc.
Sun Life Global
Investments is a subsidiary of Sun Life Financial Inc. It offers
Canadians a diverse lineup of mutual funds and innovative portfolio
solutions, empowering them to pursue their financial goals at every
life stage. We bring together the strength of one of Canada's most trusted names in financial
services with some of the best asset managers from around the world
to deliver a truly global investment platform. Sun Life Global
Investments manages $25 billion on
behalf of institutional and retail investors from coast-to-coast
and is a member of the Sun Life group of companies. For more
information, visit www.sunlifeglobalinvestments.com or connect with
us on Twitter @SLGI_Canada.
About Sun Life
Sun Life is a leading international
financial services organization providing insurance, wealth and
asset management solutions to individual and corporate Clients. Sun
Life has operations in a number of markets worldwide, including
Canada, the United States, the United Kingdom, Ireland, Hong
Kong, the Philippines,
Japan, Indonesia, India, China,
Australia, Singapore, Vietnam, Malaysia and Bermuda. As of March
31, 2019, Sun Life had total assets under management of
$1,011 billion. For more information,
please visit www.sunlife.com.
Sun Life Financial Inc. trades on the Toronto (TSX), New
York (NYSE) and Philippine (PSE) stock exchanges under the
ticker symbol SLF.
Note to editors: All figures in Canadian dollars
Commissions, trailing commissions, management fees and expenses
all may be associated with mutual fund investments. Please read the
prospectus before investing. Mutual funds are not guaranteed, their
values change frequently and past performance may not be
repeated.
Forward-Looking Statements
Certain statements in this news release may be considered to be
forward-looking statements within the meaning of applicable
Canadian securities legislation. Information about risk factors
relating to the mutual funds managed by Sun Life Global Investments
can be found in the current prospectus of the mutual funds
discussed in this press release and for Sun Life Financial can be
found in the annual information form of Sun Life Financial Inc.,
for the year ended December 31,
2018 under the heading "Risk Factors" and other
regulatory filings filed with or furnished to Canadian securities
regulators available at www.sedar.com.
© Sun Life Global Investments (Canada) Inc., 2019. Sun Life Global
Investments (Canada) Inc. is a
member of the Sun Life group of companies.
Media Relations Contact:
Catherine Rajana
Senior Media Specialist
Corporate Communications
T. 416-475-4744
catherine.rajana@sunlife.com
SOURCE Sun Life Global Investments (Canada) Inc.