TORONTO, January 16, 2023--(BUSINESS WIRE)--CI Global Asset Management ("CI GAM") today announced a proposal to merge CI Global Equity Income Private Pool Class into CI Global Concentrated Equity Private Pool, and a risk rating change for the Hedged Common Units of CI Tech Giants Covered Call ETF (TSX: TXF).

Fund merger

CI GAM is proposing the merger to reduce duplication within its product lineup as part of its strategic priority of modernizing its asset management business. Both CI Global Equity Income Private Pool Class (the "Terminating Fund") and CI Global Concentrated Equity Private Pool (the "Continuing Fund") are global equity funds within CI’s private pool platform. They have substantially similar investment objectives and a risk rating of Medium. The CI GAM investment team is portfolio manager of both funds.

CI GAM expects the merger to benefit securityholders by resulting in a Continuing Fund with a larger asset base, allowing for increased portfolio diversification opportunities and a larger profile within the marketplace. Additionally, management and administration fees payable by investors in the Continuing Fund are lower than those of the Terminating Fund.

The costs and expenses associated with the merger are being borne by CI GAM, not the funds. The merger will result in a taxable disposition for investors holding units of the Terminating Fund outside of registered plans.

The merger requires the approval of the Terminating Fund’s securityholders and CI GAM has scheduled a securityholder meeting to vote on the proposal for March 22, 2023. Meeting materials will be mailed to affected securityholders in February 2023. If approved, the merger will take place on or after April 14, 2023.

ETF risk rating change

The risk rating for Hedged Common Units of CI Tech Giants Covered Call ETF (TSX: TXF) is being changed to Medium-to-High from Medium, effective immediately.

The risk rating change is based on the risk classification methodology mandated by the Canadian Securities Administrators to determine the risk level of mutual funds, including ETFs. CI GAM reviews the risk rating for each of the funds it manages at least on an annual basis, as well as when a fund undergoes a material change. This change is not the result of any changes to the investment objectives, strategies or management of the ETF.



About CI Global Asset Management

CI Global Asset Management is one of Canada’s largest investment management companies. It offers a wide range of investment products and services and is on the Web at www.ci.com. CI Global Asset Management is a subsidiary of CI Financial Corp. (TSX: CIX, NYSE: CIXX), an integrated global asset and wealth management company with approximately $384.9 billion in assets as of November 30, 2022.

Commissions, trailing commissions, management fees and expenses all may be associated with an investment in mutual funds and exchange-traded funds (ETFs). Please read the prospectus before investing. Important information about mutual funds and ETFs is contained in their respective prospectus. Mutual funds and ETFs are not guaranteed; their values change frequently, and past performance may not be repeated. You will usually pay brokerage fees to your dealer if you purchase or sell units of an ETF on recognized Canadian exchanges. If the units are purchased or sold on these Canadian exchanges, investors may pay more than the current net asset value when buying units of the ETF and may receive less than the current net asset value when selling them.

This document contains forward-looking statements concerning anticipated future events, results, circumstances, performance or expectations with respect to CI Financial Corp. ("CI") and its products and services, including its business operations, strategy and financial performance and condition. Forward-looking statements are typically identified by words such as "believe", "expect", "foresee", "forecast", "anticipate", "intend", "estimate", "goal", "plan" and "project" and similar references to future periods, or conditional verbs such as "will", "may", "should", "could" or "would". These statements are not historical facts but instead represent management beliefs regarding future events, many of which by their nature are inherently uncertain and beyond management’s control. Although management believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, such statements involve risks and uncertainties. The material factors and assumptions applied in reaching the conclusions contained in these forward-looking statements include that all announced transactions will be completed and that assets levels do not decline prior to completion, the investment fund industry will remain stable and that interest rates will remain relatively stable. Factors that could cause actual results to differ materially from expectations include, among other things, general economic and market conditions, including interest and foreign exchange rates, global financial markets, changes in government regulations or in tax laws, industry competition, technological developments and other factors described or discussed in CI’s disclosure materials filed with applicable securities regulatory authorities from time to time. The foregoing list is not exhaustive and the reader is cautioned to consider these and other factors carefully and not to place undue reliance on forward-looking statements. Other than as specifically required by applicable law, CI undertakes no obligation to update or alter any forward-looking statement after the date on which it is made, whether to reflect new information, future events or otherwise.

The CI Exchange-Traded Funds (ETFs) are managed by CI Global Asset Management, a wholly owned subsidiary of CI Financial Corp. (TSX: CIX; NYSE: CIXX). CI Global Asset Management is a registered business name of CI Investments Inc.

This communication is intended for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to purchase mutual funds managed by CI Global Asset Management and is not, and should not be construed as, investment, tax, legal or accounting advice, and should not be relied upon in that regard. Every effort has been made to ensure that the material contained in this document is accurate at the time of publication. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies. These investments may not be suitable to the circumstances of an investor.

©CI Investments Inc. 2023. All rights reserved.

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Contacts

Murray Oxby
Vice-President, Corporate Communications
CI Global Asset Management
416-681-3254
[email protected]