Sentry Select Capital Corp.

Sentry Select Capital Corp.

January 18, 2006 12:42 ET

Sentry Select Capital Corp. Announces Launch of Bank of Montreal Sentry Select Canadian Income Deposit Notes'TM' and R.O.C. Canadian Income Deposit Notes'TM'

TORONTO, ONTARIO--(CCNMatthews - Jan. 18, 2006) - Sentry Select Capital Corp. is pleased to announce the launch of Bank of Montreal Sentry Select Canadian Income Deposit Notes Series 1 and Bank of Montreal Sentry Select R.O.C. Canadian Income Deposit Notes Series 1.

Basket Portfolio

Bank of Montreal Sentry Select Canadian Income Deposit Notes Series 1 and Bank of Montreal Sentry Select R.O.C. Canadian Income Deposit Notes Series 1 ("the Notes") are deposit notes, issuable in series by Bank of Montreal. The performance of the Notes is linked to the appreciation of a Basket comprised of (i) an income trust portfolio managed by Sandy McIntyre, Canada's premier income trust manager, ("Income Portfolio") and (ii) a notional bond portfolio ("Notional Bond Portfolio"). The Income Portfolio is designed primarily to replicate the performance of Sentry Select Canadian Income Fund, as set out in the Information Statement.

Issue Price and Minimum Investment

The issue price of both Bank of Montreal Sentry Select Canadian Income Deposit Notes and Bank of Montreal Sentry Select R.O.C. Canadian Income Deposit Notes is $100 per note with a minimum investment of $2,000 (20 Notes).

Selling Period

The Notes are available for sale until March 10, 2006.

FundSERV

The FundSERV code for Bank of Montreal Sentry Select Canadian Income Deposit Notes is JHN601 and for Bank of Montreal Sentry Select R.O.C. Canadian Income Deposit Notes JHN602.

Monthly Income

Within 10 business days of the end of each month, Investors will receive a payout equal to 75% of all distributions, if any, received on the Income Portfolio component of the Basket and not yet paid out or reinvested. The remaining 25% of the distributions will be reinvested in the Basket. The payout made on the R.O.C. Canadian Income Deposits Notes should be considered return of capital and the payouts on Canadian Income Deposit Notes should be considered interest.

Payment at Maturity

The Notes will mature on March 16, 2015, and investors will be repaid their principal, or in case of the R.O.C. Notes, the unpaid principal, plus an amount, if any, linked to the performance of the Basket. The fluctuation of the value of the Basket will directly impact the return payable at maturity. It is possible that no return will be paid.

In case of the R.O.C. Notes, the amount paid at maturity will be reduced by a percentage of the total amount of principal repaid prior to maturity.

Liquidity

A daily secondary market will be maintained by BMO Nesbitt Burns Inc. under normal market conditions, as set out in the Information Statement. There is no assurance that a secondary market will exist. Sale of Notes within 3 years of their issue will be subject to an early trading charge.

Sentry Select Capital Corp.

Established in 1997, Sentry Select Capital Corp. provides investment, administrative and marketing services to 22 exchange-listed closed-end funds, 16 of which have exposure to the income trust sector, 11 mutual funds, 8 principal protected notes and 4 flow-through limited partnerships. Sentry Select is one of the largest Canadian investment managers in the income trust sector. As of December 31, 2005, the firm had approximately 8 billion in gross assets under management, including $3.4 billion in income funds.

Sentry Select Canadian Income Fund

Sentry Select Canadian Income Fund performance as at December 31, 2005(a)



1 year 2 year 3 year Since inception (February 11, 2002)
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22.6% 26.7% 29.2% 21.5%


For a copy of the Information Statement please visit www.sentryselect.com

"Sentry Selec"t and "Sentry Select logo" are registered trademarks of Sentry Select Capital Corp. and have been licensed for use by BMO Nesbitt Burns Corporation Limited and its affiliates. "Nesbitt Burns" is a registered trademark and "Canadian Income Deposit Notes" and "R.O.C. Canadian Income Deposit Notes" are trademarks of BMO Nesbitt Burns Corporation Limited used under license.

(a) The information above contains historical compounded total returns of Sentry Select Canadian Income Fund, and is not intended to be, nor should it be, construed to be, an indication as to the future returns or volatility of the Fund or the potential return, if any, of the Deposit Notes. For the Sentry Select Canadian Income Fund it assumes that all distributions were reinvested in additional units of the Fund. The returns are shown after the payment of expenses and management fees, but have not been reduced by any applicable sales, redemption, distribution or optional charges or taxes.



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130 King Street West
Suite 2850, P.O. Box 104
Toronto, Ontario M5X 1A4



Contact Information

  • Sentry Select Capital Corp.
    Investor Services
    (broker/investor inquiries)
    1-888-246-6656
    416-364-1330 (FAX)
    or
    Sentry Select Capital Corp.
    Brian McOstrich
    (media inquiries)
    1-888-246-6656
    416-364-1330 (FAX)
    or
    Sentry Select Capital Corp.
    Katherine Pawling
    (Corporate Secretary)
    1-888-246-6656
    416-364-1330 (FAX)
    info@sentryselect.com
    www.sentryselect.com