BG Advantaged Corporate Bond Fund

BG Advantaged Corporate Bond Fund

November 08, 2006 16:29 ET

BG Advantaged Corporate Bond Fund Unitholders Given Right to Withdraw November Redemption Requests

TORONTO, ONTARIO--(CCNMatthews - Nov. 8, 2006) - BG Advantaged Corporate Bond Fund ("BAC") (TSX:BAC.UN) today announced that it has granted Unitholders of BAC the right to withdraw their November redemption requests until 5:00 p.m. Monday, November 20, 2006 (although some dealers may have earlier cut-off dates and times).

The distributions of BAC will not be affected by the recently proposed changes to income trust taxation, as the taxation change is specific to income trusts with operating businesses, not closed-end mutual funds structured as trusts, such as this fund. As a result, Brompton believes that BAC has become an even more attractive long-term investment for investors.

BAC.UN offers a high quality investment in US corporate debt securities. Two thirds of the portfolio is comprised of investment grade US corporate bonds based on iBoxx USD Investment Grade Liquid Index and one third in high yield US corporate bonds based on the iBoxx USD High Yield Liquid Index. The Fund is structured with an equity forward contract so that distributions are expected to be primarily return of capital and to a lesser extent capital gains. The Fund currently offers an attractive yield of 5.7% based on the closing unit price of November 3, 2006.

To withdraw redemption requests, unitholders are advised to contact their investment advisor or dealer directly. For additional information including the Fund's portfolio, please visit our website at

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 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