TORONTO, May 25, 2020 (GLOBE NEWSWIRE) -- Ninepoint Partners LP (Ninepoint Partners) announced today certain changes as described below to some of the funds that it manages.
Merger of Ninepoint Enhanced Balanced Fund into Ninepoint Enhanced Equity Class
Ninepoint Partners proposes to merge (the Merger) Ninepoint Enhanced Balanced Fund (the Terminating Fund) into Ninepoint Enhanced Equity Class (the Continuing Fund). The Terminating Fund will cease to be available for sale effective immediately. Following the Merger, pre-authorized purchase plans established for purchases of securities of the Terminating Fund will be immediately transferred to the equivalent series of securities of the Continuing Fund. Through the Merger, holders of securities of each series of the Terminating Fund will receive securities of the same series of the Continuing Fund (other than Series A1, Series F1, Series T and Series FT securityholders, who will receive Series A, Series F, Series A and Series F of the Continuing Fund, respectively), determined on a dollar-for-dollar basis.
Ninepoint Partners will seek approvals for the Merger from securityholders of the Terminating Fund at a special meeting held on or about July 20, 2020, and from the applicable securities regulator. Next month, further details of the merger and the investment objective change being proposed to the Continuing Fund (see below) will be sent to investors in the Terminating Fund who are entitled to vote. If the required approvals from the securityholders and securities regulator are obtained for the Merger, the Merger will be effective on or about July 29, 2020. As soon as practicable following the Merger, the Terminating Fund will be wound up. The Independent Review Committee has reviewed the potential conflict of interest matters related to the proposed Merger and has provided Ninepoint Partners with a positive decision having determined that the changes, if implemented, will achieve a fair and reasonable result for each of the Terminating Fund and the Continuing Fund.
Investment Objective and Investment Strategy Changes, Termination of Low Load Sales Option and U.S. Dollar Option, and Redesignation of Series of Ninepoint Enhanced Equity Class
Ninepoint Partners also announced today that it proposes to change the investment objective of the Continuing Fund to permit the Continuing Fund to replicate the daily performance, net of expenses, of the S&P 500 Index, or a successor or replacement index and provide downside protection through the use of option strategies. If this investment objective change is approved by securityholders, Ninepoint Partners will adjust the investment strategies to implement the new investment objective and change the name of the Continuing Fund to Ninepoint Risk Advantaged U.S. Equity Index Class. Ninepoint Partners will also be terminating the low load sales charge option and U.S. dollar purchase option. Investors holding units purchased under the low load option will no longer be subject to deferred sales charges effective on or about July 29, 2020 and investors holding units purchased under the U.S. dollar purchase option will receive redemption proceeds and distributions in Canadian dollars effective on or about July 29, 2020.
Additionally, Ninepoint Partners will be redesignating certain series of the Continuing Fund as follows:
| Terminating Series | Redesignated Series |
| Series A1 | Series A |
| Series T | Series A |
| Series F1 | Series F |
| Series FT | Series F |
Series A1, Series T, Series F1 and Series FT will cease to be offered for sale immediately and any pre-authorized purchase plans established for purchases of the terminating series will be on or about July 29, 2020 transferred to the redesignated series.
Ninepoint Partners will seek approval for the investment objective change of the Continuing Fund from securityholders of the Continuing Fund at a special meeting held on or about July 20, 2020. Next month, details of the investment objective change of the Continuing Fund will be sent to investors in the Continuing Fund who are entitled to vote. If the required approvals from the securityholders are obtained for the investment objective change, the corresponding investment strategy change, name change, termination of the low load sales charge option and U.S. dollar purchase option, and the redesignation of series of the Continuing Fund will be effective on or about July 29, 2020.
Change to Alternative Mutual Fund, Investment Objective and Investment Strategy Changes, Termination of Low Load Sales Option, Base Currency Change and Redesignation of Series of Ninepoint Enhanced U.S. Equity Class
In addition, Ninepoint Partners announced today that it proposes to change the investment objective of Ninepoint Enhanced U.S. Equity Class to permit Ninepoint Enhanced U.S. Equity Class to replicate by a multiple of 200% the daily performance, net of expenses, of the S&P 500 Index, or a successor or replacement index and provide downside protection through the use of option strategies. Ninepoint Enhanced U.S. Equity Class will also be able to use derivatives, borrow cash and sell securities short. The maximum aggregate exposure to short selling, cash borrowing and derivatives used for leverage will not exceed 300% of the fund’s net asset value, calculated on a daily basis. If the investment objective change is approved by securityholders, this fund will convert from being a traditional mutual fund to an “alternative mutual fund” as defined in National Instrument 81-102 Investment Funds. Ninepoint Partners will adjust the investment strategies to implement the new investment objective and change the name of Ninepoint Enhanced U.S. Equity Class to Ninepoint Return Advantaged U.S. Equity Index Class. Concurrently with this change, Ninepoint Enhanced U.S. Equity Class will change from a U.S. dollar-denominated fund to a Canadian dollar-denominated fund. The low load sales charge option will also cease to be available and investors holding units purchased under the low load option will no longer be subject to deferred sales charges effective on or about July 29, 2020. Additionally, Ninepoint Partners will be redesignating certain series of Ninepoint Enhanced U.S. Equity Class as follows:
| Terminating Series | Redesignated Series |
| Series AH | Series A |
| Series T | Series A |
| Series FH | Series F |
| Series FT | Series F |
Series AH, Series T, Series FH and Series FT of Ninepoint Enhanced U.S. Equity Class will cease to be offered for sale immediately and any pre-authorized purchase plans established for purchases of the terminating series will be or on about July 29, 2020 transferred to the redesignated series.
Ninepoint Partners will seek approval for the investment objective change of Ninepoint Enhanced U.S. Equity Class from securityholders at a special meeting held on or about July 20, 2020. Next month, details of the investment objective change of Ninepoint Enhanced U.S. Equity Class will be sent to investors who are entitled to vote. If the required approvals from the securityholders are obtained for the investment objective change, the corresponding investment strategy change, name change, termination of the low load sales charge option, base currency change and the redesignation of series of Ninepoint Enhanced U.S. Equity Class will be effective on or about July 29, 2020.
About Ninepoint Partners
Based in Toronto, Ninepoint Partners LP is one of Canada’s leading alternative investment management firms overseeing approximately $6 billion in assets under management and institutional contracts. Committed to helping investors explore innovative investment solutions that have the potential to enhance returns and manage portfolio risk, Ninepoint offers a diverse set of alternative strategies including North American Equity, Global Equity, Real Assets & Alternative Income.
For more information on Ninepoint Partners LP, please visit www.ninepoint.com or please contact us at (416) 943-6707 or (866) 299-9906 or invest@ninepoint.com.
Sales Inquiries:
Ninepoint Partners LP
Neil Ross
416-945-6227
nross@ninepoint.com