STRATEGIC ENERGY FUND

STRATEGIC ENERGY FUND

January 10, 2005 09:27 ET

Strategic Energy Fund 'TSX: SEF.UN' To Pay a Cash Distribution of $0.06 Per Unit for January 2005


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: STRATEGIC ENERGY FUND

TSX SYMBOL: SEF.UN

JANUARY 10, 2005 - 09:27 ET

Strategic Energy Fund 'TSX: SEF.UN' To Pay a Cash
Distribution of $0.06 Per Unit for January 2005

TORONTO, ONTARIO and CALGARY, ALBERTA--(CCNMatthews - Jan. 10, 2005) -
Strategic Energy Management Corp. announces that Strategic Energy Fund's
(TSX:SEF.UN) cash distribution for January is C$0.06 per unit. The
distribution details are:



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Distribution Ex-Distribution Date Record Date Payable Date
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C$0.06 per unit January 13, 2005 January 17, 2005 January 31, 2005
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Based on the closing price of $11.24 per unit on the Toronto Stock
Exchange as at January 7, 2005, the distribution would represent an
annualized yield of 6.41%.

Strategic Energy Fund

Strategic Energy Fund is an investment trust that seeks to provide
investors with superior rates of return through a diversified portfolio
of investments in the Canadian energy sector.

The Fund invests in securities of oil and gas royalty and income trusts
to provide income to make monthly cash distributions to Unitholders.
These distributions are presently targeted to be $0.72 per unit per year.

The Fund also invests in start-up and early stage energy companies with
a focus on those that have strong, experienced management teams with
proven track records of enhancing shareholder value and successfully
executing exit strategies. The Fund will also invest in energy issuers
where the portfolio manager believes the potential for capital
appreciation exists.

Trading information and Net Asset Value

Strategic Energy Fund units trade on the Toronto Stock Exchange under
the symbol SEF.UN.

The Fund's Net Asset Value as at January 5, 2005 was $12.73 per unit.

Future distributions

The Manager expects to pay monthly distributions of $0.06 per unit
through the year 2005. However, if the make-up of the portfolio changes
or if such portfolio holdings make distributions other than in
accordance with their indicated guidance, distributions may differ.

Sentry Select Capital Corp.

The Investment Adviser is Sentry Select Capital Corp. Sentry Select is a
wealth management company with total assets under management of
approximately $4.0 billion, including more than $800 million in
energy-sector-related investments.

Forward looking statements

This news release contains forward-looking statements that involve risks
and uncertainties. These forward-looking statements relate to, among
other things, the future performance of the Trust, including the
potential for future distributions. When used in this news release, the
words "in the future" and "believe" and the use of the future tense
generally identify forward-looking statements. These statements reflect
Sentry Select's current expectations, but are subject to a number of
risks and uncertainties. Due to the many risks and uncertainties, Sentry
Select cannot assure that the forward-looking statements contained in
this news release will be realized.



The Exchange Tower
130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4



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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Strategic Energy Fund
    Investor Services (investor enquiries)
    1-888-246-6656
    (416) 364-1197 (FAX)
    or
    Strategic Energy Fund
    Jason Graham/Patrick Schryburt (media enquiries)
    1-888-246-6656
    (416) 364-1197 (FAX)
    info@sentryselect.com
    www.sentryselect.com