Briefly: “Edward Jones launches Portfolio Models” and more news

Edward Jones has launched a fee-based managed investment program called the Edward Jones Portfolio Program. It allows investors to choose from 11 Portfolio Models managed by SEI.

“The automatic rebalancing of the Portfolio Models means that investors can focus on other things in life and step back from the investment decision-making emotional rollercoaster of oft-changing market movements, plus have the expertise of professional money managers traditionally available only to large institutional clients,” says Mary Chan, principal, mutual funds and managed account program, Edward Jones.

The program uses a “manager-of-managers” investment strategy of hiring the best-in-class global money managers to execute specific mandates based on their area of expertise.

The minimum investment in the program is $50,000 and investors pay an annual fee, based on the value of the investment, rather than transaction commissions.

– Steven Lamb

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Global Prosperata offers RDSP solution

Global Prosperata Funds has launched an investment product designed for use in Registered Disability Savings Plan (RDSP) and aimed at independent advisors. Until now, the federal program has been dominated by banks.

Global Prosperata’s Capital Preservation Fund is “well-suited for a RDSP because of its low-volatility, consistent returns and regular stream of income,” the company says.

“By offering the Capital Preservation Fund through independent financial advisors, we can help more Canadians,” says Glenn Moore, Vice-President, Global Prosperata Funds Inc. “We look forward to working with advisors and their clients’ families and assisting them in understanding how they can effectively build their savings and maximize benefits of the RDSP.”

There are roughly 1.5 million Canadians with lifetime disabilities and the RDSP was created to provide long-term financial security for people with disabilities. Prior to the program, testamentary trusts were pretty much the only means for planning for the future.

– Steven Lamb

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VentureLink merges four funds

VentureLink has announced the successful amalgamation of VentureLink Brighter Future Fund Inc., VentureLink Financial Services Innovation Fund Inc., VentureLink Diversified Income Fund Inc., and VentureLink Balanced Fund Inc. to a new fund called VentureLink Innovation Fund Inc., effective September 10, 2010.

“This amalgamation will create increased scale for the fund, enhance liquidity to shareholders and provide more flexibility for the manager to add value to the venture portfolios,” said Jim Whitaker, VentureLink LP managing partner.

The new fund will be managed by VL Advisors Inc., the investment advisor to the predecessors of the fund, and a wholly owned subsidiary of VentureLink LP.

– Suzanne Sharma

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BMO receives security holder approval

BMO Investments has received security-holder approval for changes to its mutual fund line-up, which were initially announced August 3, 2010. The revisions aim to provide BMO investors with a wider variety of investment products.

The summary of approved changes, effective at the close of business September 17, 2010, is as follows:

‡ BMO Equity Index Fund (changed to BMO Canadian Equity ETF Fund): It will provide a return that is similar to the return of one or more exchange-traded funds that invest primarily in Canadian equities. It will invest all or a portion of its assets in one or more exchange-traded funds, invest directly in the underlying securities held by the exchange-traded funds, and/or use derivatives to provide the fund with a return determined by reference to the exchange-traded funds.

‡ BMO International Index Fund (changed to BMO International Equity ETF Fund): It will provide a return that is similar to the return of one or more exchange-traded funds that invest primarily in international equities. The fund will invest all or a portion of its assets in one or more exchange-traded funds, invest directly in the underlying securities held by the exchange-traded funds, and/or use derivatives to provide the fund with a return determined by reference to the exchange-traded funds.

‡ BMO U.S. Equity Index Fund (changed to BMO U.S. Equity ETF Fund): It will provide a return that is similar to the return of one or more exchange-traded funds that invest primarily in U.S. equities. The fund will invest all or a portion of its assets in one or more exchange-traded funds, invest directly in the underlying securities held by the exchange-traded funds, and/or use derivatives to provide the fund with a return determined by reference to the exchange-traded funds.

– Suzanne Sharma

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Franklin Templeton to kill Canadian Small Cap Fund

Franklin Templeton Investments Corp. has proposed a merger of Franklin Templeton Canadian Small Cap Fund into Bissett Small Cap Fund. Security-holders of the terminating fund will vote on the proposal mid-November 2010 in Toronto, with the deal expected to close by November 26.

The merger is subject to security-holder and regulatory approval, and will allow Franklin Templeton to streamline its product offering.

– Suzanne Sharma

(09/14/10)