Advantaged Canadian High Yield Bond Fund Announces Private Placement of Units

TORONTO, ONTARIO--(Marketwire - May 11, 2011) -

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES OF AMERICA.

Scotia Managed Companies Administration Inc. is pleased to announce that the Advantaged Canadian High Yield Bond Fund (the "Fund") (TSX:AHY.UN) is undertaking a private placement of up to 1,487,500 Class A and Class F Units of the Fund (the "Units") at a price of $9.85 per Class A Unit and $10.17 per Class F Unit for maximum gross proceeds of up to $15,127,875 (the "Offering"). Scotia Capital Inc. (the "Agent") is acting as the Fund's lead agent in connection with the Offering. The Fund will pay the Agent a cash commission equal to 4.5% of the gross proceeds of the Offering. The offering price of the Units was established through negotiation between the Agent and the Fund and is not dilutive to existing unitholders of the Fund. Closing of the Offering is expected to take place on or about May 26, 2011.

The Units sold pursuant to the Offering will be subject to resale restrictions under applicable securities laws. The Offering is subject to the completion of a definitive agency agreement and the approval of the Toronto Stock Exchange.

The Fund is a closed-end investment fund established under the laws of the Province of Ontario to provide unitholders with investment exposure to a diversified portfolio of Canadian high yield fixed income securities actively managed by High Rock Capital Management Inc.

Certain statements included in this news release constitute forward-looking statements. The forward-looking statements are not historical facts but reflect current expectations regarding future results or events. These forward- looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. Scotia Managed Companies Administration Inc. undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law. Investment funds are not covered by the Canada Deposit Insurance Corporation or by any other government deposit insurer. There is no assurance that the Fund will be able to achieve its distribution and capital preservation objectives or that the full amount of a unitholders investment in the Fund will be returned.