New funds offer investors more choice for income in today’s low interest rate environment
Sun Life Global Investments launches new funds to help investors increase income and manage risk
TORONTO, ON (January 17, 2013) – Sun Life Global Investments launched four new income funds today geared toward providing investors a source of income as well as one new equity value fund. With interest rates near all-time lows and market uncertainty, investors are facing challenges generating higher income while managing risk – a growing concern for Canadians entering retirement as well as those already in retirement.
According to Statistics Canada, approximately 42.4 per cent of the working population is between the ages of 45 and 64. As Canada’s aging population continues to grow, investors are looking for alternative sources of income as they move from asset accumulation to asset decumulation.
“The current environment we are in is quite difficult for investors to navigate through. They are looking to generate income, while trying to protect what they have accumulated through their working years,” says Sadiq S. Adatia, Chief Investment Officer, Sun Life Global Investments. “As Canadians enter the retirement stage, these new funds aim to provide income and generate long-term capital growth. With interest rates remaining persistently low and our aging population on the rise – income funds are growing in popularity.”
Sun Life Global Investments’ new fund line-up includes:
Sun Life Granite Managed Portfolios:
The Sun Life Granite Managed Income Portfolios are two asset allocation portfolios with a diversified mix of income-generating fixed income and equity investments. These portfolios will be managed by Sun Life Global Investments’ in-house Portfolio Management team, led by Sadiq S. Adatia and will include funds managed by some of the best income managers for each asset class. These income managers include: BlackRock, GCIC Ltd. (manager of the Dynamic Funds®*), Guardian Capital, MFS McLean Budden, RBC Asset Management and Sentry Investments. The team monitors and adjusts the portfolios based on market conditions.
The two additional income funds in the line-up are sub-advised by industry-leading investment manager GCIC Ltd., which brings a wealth of income-oriented investment expertise. The new value-oriented fund will be sub-advised by Sentry Investments, a firm with a consistent investment philosophy aimed at delivering superior risk-adjusted returns and preserving invested capital. The funds will be available through Sun Life advisors, MFDA and IIROC advisors.
The new income funds add to Sun Life Global Investments’ growing investment platform which has expanded to include 65 funds (segregated and mutual funds) in just over two years. Sun Life Global Investments’ funds have seen strong investment performance, with all 12 original long-term mutual funds ranked above median of their respective categories. Eight of 12 original long-term mutual funds ranked in the first quartile within a two year period.** One fund has won a Lipper*** Fund Award – a mutual fund industry award program that recognizes funds with excellent performance. Sun Life Global Investments oversees $6 billion in client assets under management as of December 31, 2012. The growth of Sun Life Global Investments builds on Sun Life Financial’s focus to expand its wealth management business in Canada.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.
About Sun Life Global Investments (Canada) Inc.
Sun Life Global Investments (Canada) Inc. brings together the strength of one of Canada’s most trusted names in financial services with some of the best asset managers from around the world. With a focus on risk management, our rigorous selection and monitoring process provides access to leading asset managers who use insight and innovation to manage high quality investment solutions for Canadian investors. For more information, visit: www.sunlifeglobalinvestments.com.
About Sun Life Financial
Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth accumulation products and services to individuals and corporate customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China, Vietnam and Bermuda. As of September 30, 2012, the Sun Life Financial group of companies had total AUM of $515 billion. For more information please visit www.sunlife.com.
Sun Life Financial Inc. trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock exchanges under the ticker symbol SLF.
About GCIC Ltd.
GCIC Ltd. (“GCICL”), one of the sub-advisors named above and also the manager of the Dynamic Funds, is a subsidiary of DundeeWealth Inc. GCICL offers a wide range of wealth management solutions through financial advisors. These include the mutual funds and hedge funds of Dynamic Funds and the portfolio solutions of the Marquis Investment Program. DundeeWealth Inc. is a wholly-owned subsidiary of Scotiabank.
About Sentry Investments
Sentry Investments is a Canadian asset management company with over $8 billion in assets under management on behalf of Canadian investors. Sentry offers a diverse range of investment products, including mutual funds and flow-through limited partnerships. Sentry was recognized as Canada’s Best Equity Funds Group at the 2011 and 2012 Lipper Fund Awards**, and is one of only three firms to receive four consecutive Brendan Wood International TopGun Asset Management Team Awards (2009 to 2012).
*Dynamic and Dynamic Funds® are registered and proprietary trademarks of Scotiabank, used under license by Sun Life Global Investments (Canada) Inc.
**Quartile rankings are determined by Morningstar Research Inc. The quartile measure shows how well a fund has performed compared to all other funds in its Morningstar category peer group. Quartile ranking is as of November 30, 2012 and is subject to change every month.
*** Lipper and Lipper corporate marks are proprietary trademarks of Lipper, a Thomson Reuters Company. © 2011 Thomson Reuters.
All figures in Canadian dollars, unless otherwise noted.
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