Investors Group announces changes to funds

The 2013 federal budget proposed changes to Canadian tax laws that will impact the ability of investors to obtain tax-efficient exposure to a variety of investments.

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This proposal affects a number of investment funds across the industry, including the following Investors Group funds:

• Investors Short Term Capital Yield Class
• Investors Capital Yield Class

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Until there is greater guidance from the federal government, the funds will be closed to new lump sum investments, effective immediately. While the government has not yet provided full clarity on how it plans to implement the proposal, derivative transactions currently in place on the funds prior to March 21, 2013, are expected to remain tax-efficient until their expiration dates. Investors Group will continue to monitor and assess this budget proposal and its potential impact.

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The staff of Advisor.ca have been covering news for financial advisors since 1998.