Sentry Select Capital Corp.

Sentry Select Capital Corp.

November 01, 2005 16:10 ET

Sentry Select Rogers International Commodity Index Principal-Protected Notes Raises $46.4 Million; Launches Series 2

TORONTO, ONTARIO--(CCNMatthews - Nov. 1, 2005) - Sentry Select Capital Corp. is pleased to announce that $46,478,100 principal amount of Sentry Select Rogers International Commodity Index Principal-Protected Notes has been issued. Sentry Select Capital Corp. is also pleased to announce the launch of Sentry Select Rogers International Commodity Index Principal-Protected Notes, Series 2.

Benchmark Portfolio

Sentry Select Rogers International Commodity Index Principal-Protected Notes, Series 2 (the "Notes") are deposit notes, issuable in series by National Bank of Canada. The performance of the Notes is linked to the appreciation of (i) a portfolio of commodities managed by Diapason Commodities Management SA(a) with the objective to replicate the performance of the Rogers International Commodity Index™ (RICI) and (ii) certain fixed income and/or money market instruments (the "Benchmark Portfolio").

Marketing Agent

Sentry Select Capital Corp. is the marketing agent of the Notes.

Issuer

National Bank of Canada (the "Bank") is the issuer of the Notes.

Investment Manager

Diapason Commodities Management SA(a), a Swiss company, of which Jim Rogers(b) is founder and principal shareholder.

Payment at Maturity

At maturity, after eight years, investors will be repaid their principal, plus appreciation in the Benchmark Portfolio, if any. The fluctuation of the value of the Benchmark Portfolio will directly impact the return payable. It is therefore possible that no return will be paid.

Liquidity

A weekly secondary market will be maintained by National Bank Financial under normal market conditions to ensure the Notes' liquidity. There is no assurance that a secondary market will develop. Sale of Notes within 24 months of their issue will be subject to an early trading charge.

Annual Income

On each anniversary date of the issuance of the Notes, subject to certain conditions, the investors may be entitled to receive an amount per Note equal to (i) the sum of, for each day of that year, the Canadian overnight financing rate of the Bank of Canada, less 0.50%, divided by 365, multiplied by a specified amount of cash or cash equivalent instruments held in the Benchmark Portfolio for that day, (ii) divided by the number of Notes outstanding. If the value of the Benchmark Portfolio becomes equal to or less than a specified level, no amount will be paid to the investors on any anniversary date of the Notes.

At current interest rate levels and considering the initial Investment Level, the annual coupon is estimated to be 1.9%.

Terms of the Offering

An investment in the Notes is subject to certain risks. The complete terms of the offering, including a discussion of certain risks relating to an investment in the Notes, are set out in an Information Statement, which can be obtained by investors from their financial advisor.

Issue Price and Minimum Investment

The issue price of the Sentry Select Rogers International Commodity Index Principal-Protected Notes, Series 2 is $100 per note with a minimum investment of $2,000 (20 notes).

Selling Period

Sentry Select Rogers International Commodity Index Principal-Protected Notes, Series 2 are available for sale until December 16, 2005.

FundSERV

The FundSERV code for Sentry Select Rogers International Commodity Index Principal- Protected Notes, Series 2 is SSC 052.

Sentry Select Capital Corp.

Sentry Select Capital Corp. is the Marketing Agent of the Notes. Sentry Select is a wealth management company with gross assets under management in excess of $9 billion. It is the portfolio manager of 17 closed-end trusts, 4 flow-through limited partnerships and 11 mutual funds; the manager of an investment corporation; the marketing agent for a series of principal-protected notes; and the administrator of 3 closed-end trusts.

The Notes are not sponsored, endorsed, sold or promoted by James Beeland Rogers, Jim Rogers or Beeland Interests Inc. (collectively "Beeland") or Diapason Commodities Management SA ("Diapason"). Beeland and Diapason make no representation or warranty, express or implied, to investors in the Notes or any potential investor, governmental authority, or any member of the public, regarding the advisability of investing in securities or commodities generally, or in the Notes or futures particularly. "Jim Rogers", "Rogers International Commodity Index", "RICI" are trademarks and service marks owned by Beeland."

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(a) Diapason Commodities Management SA is a limited partnership and commodity operator whose main mandate is to promote and distribute products designed around the Rogers International Commodity Index(tm). Founded by Jim Rogers, Diapason is owned (58%) by Jim Rogers (who is not, however, involved in the daily operations of the firm) and the balance by experienced professionals in the fields of asset management, commodity markets, futures and options trading and is managing in excess of 1.1 billion Euros in assets.

(b) "James Beeland Rogers", "Jim Rogers" and "Rogers International Commodity Index™" are trade-marks and service marks of Beeland Interests Inc. "Rogers International Commodity Index™" has been licensed to the Bank on a non-exclusive basis in connection with the issuance of the Notes.



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Contact Information

  • Sentry Select Capital Corp.
    Investor Services
    (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)
    info@sentryselect.com
    www.sentryselect.com