First of Their Kind in Canada - Life Cycle Funds Offer Powerful
Return Potential, Plus Guarantee
TORONTO, ON, February 14, 2005 - ClaringtonFunds Inc.
("Clarington") today launched Clarington Target Click Funds ("the
Funds") ─ an innovative new investment product that combines the
advantages of 'life cycle' funds with a guarantee.
The Funds offer a range of fixed maturity dates and are
guaranteed to pay, at their maturity, the greater of the Funds'
inception unit price or the highest month-end unit price achieved
over the life of the Fund. The Funds are the only ones of their
kind available in Canada.
Available exclusively from Clarington, the Funds are guaranteed
by ABN AMRO Bank N.V. ("ABN AMRO"), a leading international bank
with more than CDN$1 trillion in assets. The portfolio advisor to
the Funds is the Canadian subsidiary of an affiliate of
the bank, ABN AMRO Asset Management, one of the world's leading
asset managers. ABN AMRO Asset Management pioneered the Target
Click concept in Europe in 2000.
The Funds have a range of fixed maturity dates designed to meet
varying investment time horizons; 2010, 2015, 2020 and 2025. As the
scheduled maturity dates approach, the risk profile of the Funds
gradually decrease as the Funds' asset allocation will shift their
exposure from equities to cash and bonds (known as life cycle
Over the long term, the Funds are intended to provide returns
similar to those of a global balanced fund, while providing capital
protection based on the greater of the Funds' launch price or the
highest month-end price during the life of the Fund, if held to
Eric Frape, Vice-President, Product Management for
ClaringtonFunds said that the Funds are ideal for investors
targeting specific financial goals, such as retirement or education
savings, but could also be used as a core holding in almost any
"This unique product is designed to offer the principal
protection of a guaranteed investment, the growth potential of a
diversified global balanced fund, the asset allocation of a managed
investment program, together with the monthly "click" feature,
which locks in gains over time. Investors will also have the
opportunity to lock in returns in down markets, as the guarantee on
the highest month-end value is available regardless of when a Fund
is purchased," he said.
The Funds will have three key investments: Government of Canada
strip bonds, T-bills, and units of the ABN AMRO Global Exposure
Fund, which provides growth potential through a portfolio based on
international stock indices.
The Funds are available at an initial issue price of $10 per
unit, are offered through simplified a prospectus and are managed
in accordance with National Instrument 81- 102. The Funds are
open-ended and RSP eligible, while offering liquidity and
competitive fees that reduce during the term of each Fund as the
Fund approaches its scheduled maturity.
For further information, including a more detailed description
of the "click" feature, the guarantee and the maturity of the
Funds, please read the simplified prospectus of the Funds available
About ABN AMRO Bank N.V.
ABN AMRO Bank is a leading international bank with a history
dating from 1824. Based in The Netherlands, ABN AMRO Bank has more
than 3,000 branches in 60 countries and total assets of CDN $1
trillion, ranking it among the world's 20 largest banks. ABN AMRO
Bank holds a AA- rating from Standard & Poor's.
The Canadian subsidiary of its asset management business, which
manages money for 2,000 institutions including central banks,
pension funds and insurance companies, was recently rated by
Benefits Canada as one of the five fastest-growing pension fund
managers in Canada. The company's Canadian website is
About ClaringtonFunds Inc.
Clarington, a wholly owned subsidiary of Clarington Corporation,
is an independent Canadian mutual fund company with more than $3.9
billion in assets under management. The company offers a wide
variety of mutual funds managed by leading Canadian and
international portfolio managers, including ABN AMRO Asset
Management Canada Limited. Based in Toronto, ClaringtonFunds
maintains regional offices in major Canadian centres.