August 15, 2005 10:12 ET

National Bank Launches New Energy and Base Metals Note

MONTREAL, QUEBEC--(CCNMatthews - Aug. 15, 2005) -

- Principal fully protected by the Bank
- Unlimited potential return at maturity(i)
- 5% guaranteed coupon on the first anniversary date

National Bank (TSX:NA) today launched its Energy and Base Metals Note, a new investment solution that offers fully protected principal and an unlimited potential return at maturity. The note's return is linked to the price of aluminum, copper, oil and natural gas, which makes it easier for investors to gain exposure to commodities markets.

"For investors, this note is a new asset class. By adding this note to their investment portfolio, they can benefit from an extremely interesting diversification opportunity," said Charles Guay, Senior Vice-President - Mutual Funds, National Bank, President and Chief Operating Officer of National Bank Securities and President and Chief Executive Officer of Altamira. "The skyrocketing prices of certain commodity-linked trusts in recent years has made some investors nervous. The Energy and Base Metals Note is an excellent option for those who want to continue to benefit from rising commodity prices while protecting their principal and ensuring 5% interest in the first year."

With an 8-year term, the Energy and Base Metals Note offers an unlimited potential return at maturity, in addition to a guaranteed 5% coupon on the first anniversary date. The note also offers a potential 4% return payable on the 2nd through 7th anniversary dates, depending on the prices of the commodities that make up the benchmark index.

The Energy and Base Metals Note qualifies for registered plans such as RRSPs, RRIFs, DPSPs and RESPs. The note can be purchased through advisors in National Bank branches, from National Bank Direct Brokerage or by calling National Bank Securities Advisory Service at 1-888-270-3941. National Bank clients can also purchase the note through TelNat by calling 1-888-4-TELNAT or (514) 394-5555. The note is also available through brokers and financial planners with whom National Bank Securities and Altamira have distribution agreements.

National Bank Securities Inc. and Altamira are wholly owned subsidiaries of National Bank of Canada that offer a full range of investment solutions to a clientele made up of both individuals and businesses.

(i) Any change in the benchmark index of the Energy and Base Metals principal-protected note, which corresponds to the change in the return of the underlying commodity basket, will have a direct impact on the coupon payable. It is therefore possible that no interest will be paid after the first anniversary date. Interest is paid in cash and cannot be reinvested in the same issue. A minimum initial investment of $1,000 is required.

About National Bank

National Bank of Canada is an integrated group which provides comprehensive financial services to consumers, small and medium-sized enterprises and large corporations in its core market, while offering specialized services to its customers elsewhere in the world. National Bank offers a full array of banking services, including corporate and investment banking. It is an active player on international capital markets and, through its subsidiaries, is involved in securities brokerage, insurance and wealth management, as well as mutual fund and retirement plan management. National Bank has nearly $100 billion in assets and, together with its subsidiaries, employs close to 17,000 people. The Bank's securities are listed on the Toronto Stock Exchange (NA: TSX). For more information, visit the Bank's website at

Information (the telephone number provided below is for the exclusive use of journalists and other media representatives):

Contact Information

  • National Bank of Canada
    Denis Dube
    Director, Public Relations
    (514) 394-8644