iA Clarington announces purchase option and other changes
Toronto, March 14, 2022 / CNW/ - IA Clarington Investments Inc. (“iA Clarington” or “the Firm”) today announced its intention to close its deferred sales charge (DSC), low load (LL) and advisor service charge (ASC)/Series L purchase options and end all payments of trailing commissions to investment dealers that do not make suitability determinations, such as order-execution-only dealers.
The Firm also announced that Dan Bastasic, Senior Vice-President, Investments & Portfolio Manager, will be joining iA Investment Management Inc. (iAIM), the investment management arm of iA Financial Group (iAFG). iAIM oversees more than $100 billion in assets (as at December 31, 2021), covering iAFG’s general fund as well as retail segregated funds and mutual funds, including several iA Clarington mandates.
Purchase option changes
In line with new regulatory requirements, iA Clarington will be closing its DSC, LL and ASC/Series L purchase options. Effective the close of business on May 27, 2022, all DSC, LL and ASC/Series L purchase options will be closed to new investments.
On or about June 1, 2022, matured DSC, LL and ASC/Series L units will be automatically switched to the appropriate front-end purchase option of the same fund. Units that mature after June 1, 2022 will be automatically switched to the appropriate front-end purchase option of the same fund the day after the units mature. No action is required by advisors or investors as a result of this change.
If you have any questions, please contact your advisor.
Dealer compensation changes
Also in line with new regulatory requirements, iA Clarington will no longer be paying mutual fund trailing commissions to investment dealers that do not make suitability determinations. As a result of this change, all assets in trailing-commission-paying series at impacted dealers will be moved to Series F or an equivalent on or about April 22, 2022. There will be no redemption fees as a result of this change and no action is required by dealers or investors.
If you have any questions about this change, please contact your investment dealer.
Dan Bastasic to join iAIM
Subject to necessary approvals, Dan Bastasic, Senior Vice-President, Investments & Portfolio Manager, will be joining iAIM on or about May 2, 2022. Mr. Bastasic will continue as portfolio manager for all his current iA Clarington mandates:
- IA Clarington Strategic Corporate Bond Fund
Provides active, risk-conscious exposure to high-yield corporate bonds with strong potential for long-term outperformance.
- IA Clarington Strategic Equity Income Fund
Provides strong potential for long-term income generation and capital appreciation by focusing on high-quality dividend-paying stocks.
- IA Clarington Strategic Income Fund
IA Clarington Tactical Income Class
Provides high-conviction exposure to attractive opportunities across the capital structure.
There is no change to the investment objectives, strategies or fees of these mandates and no action is required by investors or advisors.
“Dan is a highly respected industry veteran with a unique and compelling investment style. We are thrilled to have him join our world-class team and look forward to a fruitful exchange of expertise as we further refine our innovative, institutional-calibre approach to asset allocation and security selection,” said Alain Bergeron, Executive Vice-President & Chief Investment Officer, iA Financial Group.
“Dan has been helping Canadian investors achieve their wealth-creation goals for over 20 years and has been an integral part of iA Clarington for over a decade. We look forward to continuing this core partnership for many years to come,” said Adam Elliott, President & CEO, iA Clarington.
Learn more about Dan Bastasic and the funds he manages for iA Clarington.
About IA Clarington Investments Inc.
A subsidiary of Industrial Alliance Insurance and Financial Services Inc. – Canada’s fourth-largest life and health insurance company – iA Clarington offers a wide range of investment products, including actively managed mutual funds, managed portfolio solutions, Active ETF Series and socially responsible investments. As of December 31, 2021, iA Clarington has over $19 billion in assets under management. For more information, please visit iaclarington.com
About iA Investment Management Inc.
Industrial Alliance Investment Management Inc. (iA Investment Management) operates as a subsidiary of Industrial Alliance Insurance and Financial Services Inc. It was founded in 2004 and is based in Quebec. With over 100 investment professionals, iA Investment Management manages general portfolios, segregated funds and mutual funds for the Industrial Alliance group. As of December 31, 2021, iA Investment Management has over $100 billion in assets under management.
About iA Financial Group
iA Financial Group is one of the largest insurance and wealth management groups in Canada, with operations in the United States. Founded in 1892, it is an important Canadian public company and is listed on the Toronto Stock Exchange under the ticker symbols IAG (common shares) and IAF (preferred shares). Visit ia.ca to learn more.
Commissions, trailing commissions, management fees, brokerage fees and expenses all may be associated with mutual fund investments, including investments in exchange-traded series of mutual funds. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. The iA Clarington Funds are managed by IA Clarington Investments Inc. iA Clarington and the iA Clarington logo, and iA Wealth and the iA Wealth logo, are trademarks of Industrial Alliance Insurance and Financial Services Inc. and are used under license.
For further information: Rob Martin, VP, Marketing & Communications, iA Clarington Investments, firstname.lastname@example.org, T: 416-860-9880 ext. 8070