TORONTO, Nov. 5, 2013 /CNW/ - RBC Global Asset Management Inc. (RBC GAM) today announced that effective November 12, 2013, five RBC Select Classes, held in the RBC Corporate Class structure, will be closed to new and additional investments, with the exception of pre-authorized purchase plans established prior to that date.
This change will affect the following RBC Select Classes:
- RBC Select Very Conservative Class
- RBC Select Conservative Class
- RBC Select Balanced Class
- RBC Select Growth Class
- RBC Select Aggressive Growth Class
The Funds will be capped to address changes announced in the 2013 Federal Budget that eliminates, in December 2014, the tax benefits associated with forward agreements used by certain investment funds to achieve capital gains treatment on investment returns that would otherwise be treated as income for tax purposes. The Funds were designed to incorporate these forward agreements as part of their investment strategies.
RBC GAM is currently exploring options for the Funds as a result of the changes in tax treatment of forward agreements, including the potential closure of these Funds.About RBC Global Asset Management and RBC Wealth Management RBC Global Asset Management (RBC GAM) is the asset management division of Royal Bank of Canada (RBC), and includes institutional money managers BlueBay Asset Management, Phillips, Hager & North Investment Management and RBC Global Asset Management (U.S.). RBC GAM is a provider of global investment management services and solutions to individual, high-net-worth and institutional investors through exchange-traded funds, hedge funds, mutual funds, pooled funds, separate accounts and specialty investment strategies. RBC GAM group of companies manage more than $290 billion in assets and have approximately 1,000 employees located across Canada, the United States, Europe and Asia. RBC Global Asset Management is part of RBC Wealth Management, which is one of the world's top 10 largest wealth managers*. RBC Wealth Management directly serves affluent, high-net-worth and ultra-high net worth clients in Canada, the United States, Latin America, Europe, the Middle East, Africa, and Asia with a full suite of banking, investment, trust and other wealth management solutions. The business also provides asset management products and services directly and through RBC and third party distributors to institutional and individual clients, through its RBC Global Asset Management business (which includes BlueBay Asset Management). RBC Wealth Management has more than C$615 billion of assets under administration, more than C$373 billion of assets under management and over 4,400 financial consultants, advisors, private bankers, and trust officers. For more information, please visit www.rbcwealthmanagement.com. *Scorpio Partnership Global Private Banking KPI Benchmark 2013. In the United States, securities are offered through RBC Wealth Management, a division of RBC Capital Markets, LLC, a wholly owned subsidiary of Royal Bank of Canada. Member NYSE/FINRA/SIPC. SOURCE RBC