NDX Growth & Income Fund

NDX Growth & Income Fund

December 19, 2013 09:19 ET

NDX Growth & Income Fund Closes Initial Public Offering

TORONTO, ONTARIO--(Marketwired - Dec. 19, 2013) - Strathbridge Asset Management Inc. (the "Manager") is pleased to announce that NDX Growth & Income Fund (the "Fund") has completed its initial public offering of 2,800,000 Class A units at a price of CAD$10.00 per unit and 298,425 Class U units at a price of US$10.00 per unit, for gross proceeds of approximately $31 million. The Class A units will commence trading on the Toronto Stock Exchange under the ticker symbol NGI.UN. Each unit initially pays a quarterly distribution of 6.0% annually of the issue price in their respective currencies.

The Fund's investment objectives are to provide unitholders with (i) stable quarterly cash distributions; and (ii) the opportunity for capital appreciation.

The Fund will seek to achieve its investment objectives by investing in a portfolio consisting primarily of the top 20 highest yielding constituents of the NASDAQ-100 Index(SM) (the "NASDAQ-100"). The NASDAQ 100 includes 100 of the largest U.S. domestic and international non-financial securities listed on The NASDAQ Stock Market based on market capitalization. Each top 20 security held in the portfolio shall at the time of purchase have a weighting of between 3% and 7% of the Fund's Net Asset Value and will continue to be held in the portfolio until it is reconstituted. The portfolio will be reconstituted annually (portfolio constituents selected) on December 31 of each year to include the then top 20 highest yielding securities of the NASDAQ 100.

The Manager intends to strategically write covered call options from time to time, in respect of not more than 33% of the securities in the portfolio, in order to generate additional income above the distributions earned on the equity securities and to reduce the overall volatility of the portfolio.

The syndicate of agents for the offering was co-led by Scotiabank, CIBC and RBC Capital Markets and includes BMO Capital Markets, TD Securities Inc., National Bank Financial Inc., GMP Securities L.P., Canaccord Genuity Corp., Raymond James Ltd., Desjardins Securities Inc., Dundee Securities Corporation and Mackie Research Capital Corporation.

For further information, please contact your financial advisor, call our investor relations line at 416.681.3966, toll free at 1.800.725.7172 or visit www.strathbridge.com.

Commissions, trailing commissions, management fees and expenses all may be associated with investment fund investments. Please read the prospectus before investing. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.

Contact Information

  • Strathbridge Asset Management Inc.
    David Roode
    President, Fund Services
    416.681.3966 or 1.800.725.7172

    Strathbridge Asset Management Inc.
    121 King Street West, Suite 2600
    Toronto, Ontario, M5H 3T9