BluMont Man Alternative Yield Fund

BluMont Man Alternative Yield Fund

June 11, 2007 16:54 ET

BluMont Man Alternative Yield Fund Proposes Changes Following Results of Annual Redemption Privilege

TORONTO, ONTARIO--(Marketwire - June 11, 2007) - BluMont Man Alternative Yield Fund (the "Fund") (TSX:BMY.UN) today announced that the manager of the Fund, BluMont Capital Corporation ("BluMont"), intends to effect a termination of the Fund as a result of aggregate redemptions submitted, in respect of the annual redemption privilege, of 786,580 units of the Fund, representing 35.9% of the total units outstanding. With the dollar value of the redemptions to be processed as at June 30, 2007 expected to be approximately C$7 million, it is BluMont's view that the Fund will no longer be economically viable to operate. In connection with BluMont's decision, notice has been given to the counterparty under the Fund's forward agreement to terminate the forward transaction.

The Fund was designed to provide investors with monthly distributions yielding 6% per annum based on an investor's original subscription amount and has done so since inception. In an effort to maintain a regular income stream for unitholders, the Fund intends to convene a special meeting of unitholders prior to the scheduled termination of the Fund to consider a transaction whereby unitholders would have the opportunity to receive, on a pro rata basis, units of BluMont Core Hedge Fund (the "Core Hedge Fund") upon termination of the Fund (the "Core Hedge Fund Transaction").

The Income Focus Units of the Core Hedge Fund provide investors with monthly distributions yielding 6% per annum based on net asset value and has done so since inception. The Core Hedge Fund is a single manager investment trust with an investment objective of providing superior absolute returns measured over a complete market cycle. It offers weekly liquidity with no trading discount to its net asset value. Performance information and an overview of the Core Hedge Fund can be found at

It is anticipated that the special meeting of unitholders of the Fund will be convened in or around mid-August 2007. In the event that the requisite unitholder approval for the Core Hedge Fund Transaction is not obtained at the meeting, the Fund will terminate effective August 31st, 2007 and its net assets will be distributed to unitholders on a pro rata basis. It is anticipated that an information circular and other related documents will be made available on SEDAR at and mailed to unitholders in early July.

About the Fund

The BluMont Man Alternative Yield Fund is a closed-end investment trust that seeks to provide unitholders with tax-efficient monthly distributions of $0.05 per unit (6% annually), to preserve capital and to achieve growth over the term of the Trust.

About BluMont Capital

BluMont is one of Canada's leading providers of retail alternative investments.

Founded in 2000, BluMont offers investment products designed to provide enhanced diversification and return potential outside of traditional equity and bond investments. With over 35 employees, BluMont employs a national sales force and has expanding strategic alliances with multi-national financial services providers.

BluMont is a founding member of the Canadian Chapter of the Alternative Investment Management Association (AIMA Canada) and is setting new standards in delivering alternative products and services to Canadian retail investors.

BluMont is a wholly owned subsidiary of Toronto-based Integrated Asset Management Corp. (TSX:IAM), a leading Canadian alternative asset investment management company with approximately C$3 billion in assets and committed capital under management as of March 31, 2007 (

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