IA Clarington Announces Mergers of Clarington Diversified
Income + Growth Fund and Focused 40 Income Fund
Toronto, Ontario March 24, 2009 - IA Clarington
Investments Inc. ("IA Clarington") today announced its intention to
merge Clarington Diversified Income + Growth Fund (TSX: DIF) and
Focused 40 Income Fund (TSX: FIF) into IA Clarington Diversified
Income Fund, an open-ended mutual fund managed by IA
"Bringing these assets into the IA Clarington fund family will
provide unitholders with access to a highly regarded manager
in Ben Cheng, along with greater economies of scale and better
liquidity options," said David Scandiffio, President of IA
These proposed mergers are subject to investor approval, at a
special meeting scheduled for May 29, 2009.
A proxy voting package and information circular detailing these
mergers, which includes tax consequences to investors in the
Merging Funds, will be sent to unitholders in May.
If the mergers are approved by investors, IA Clarington will
apply to de-list the units of both funds from the Toronto Stock
Exchange prior to the proposed merger date of June 26, 2009. In
addition, if the mergers are approved, the Declaration of Trust of
Focused 40 Income Fund will be amended to provide investors with
the right to redeem units of that Fund on a monthly basis at a
price that is based on a formula that is related to the trading and
closing price of the units.
About IA Clarington Investments Inc.
IA Clarington Investments Inc., a subsidiary of Industrial
Alliance Insurance and Financial Services Inc., markets a wide
range of investment products, including mutual funds, segregated
funds, principal protected notes and closed-end funds managed by
leading Portfolio Advisors. IA Clarington and its subsidiaries
managed just over $5.3 billion in assets as at February 28,