Flaherty & Crumrine Investment Grade Preferred Fund

Flaherty & Crumrine Investment Grade Preferred Fund

November 25, 2008 15:58 ET

Flaherty & Crumrine Investment Grade Preferred Fund Suspends Safety Net Hedging Strategy

TORONTO, ONTARIO--(Marketwire - Nov. 25, 2008) - Flaherty & Crumrine Investment Grade Preferred Fund (TSX:FAC.UN) -

Due to abnormal market conditions, the Portfolio Manager, Flaherty & Crumrine Incorporated, has decided to suspend employing the safety net hedging strategy. Recent market conditions have reduced the effectiveness of the strategy as the correlation between the Fund's portfolio and U.S. Treasury bonds has declined substantially and an increase in market volatility has significantly increased the strategy's cost. The Portfolio Manager will continue to review market conditions to determine if it will be appropriate to employ the safety net hedging strategy again.

For additional information concerning the Fund and the safety net hedging strategy, please visit our website at www.bromptongroup.com.

Commissions, trailing commissions, management fees and expenses all may be associated with investment funds. Please read the Fund's publicly filed documents which are available from SEDAR at www.sedar.com. Investment funds are not guaranteed; their values change frequently and past performance may not be repeated.

Contact Information

  • Brompton Funds Management Limited
    David E. Roode
    Senior Vice-President
    (416) 642-6008
    Website: www.bromptongroup.com