Low Volatility U.S. Equity Income Fund announces an Equity Buyback for 128,829 units, representing 10% of its public float and that of its issued and outstanding units.
October 17, 2014
Share
Low Volatility U.S. Equity Income Fund announces a share repurchase program. Under the bid, the company will repurchase up to 128,829 units, representing 10% of its public float and that of its issued and outstanding units. The units will be repurchased at a price per unit not exceeding the last net asset value per units. The repurchases will be made through the facilities of the TSX or other eligible alternative market and may only be purchased. The units will be repurchased for cancellation. The fund may repurchase up to 25,790 units in any 30-day period, representing 2% of its issued and outstanding units. The Directors believe that such repurchases are in the best interest of the fund and are a desirable use of its available funds. The bid will commence from October 22, 2014 and will end on October 21, 2015. As of September 30, 2014, the fund has 1,288,297 units in public float and 1,289,533 issued and outstanding units.
On October 20, 2014, the Board announced that it has received approval from the Toronto Stock Exchange to make the repurchases.
Low Volatility U.S. Equity Income Fund is a closed-end investment trust. The Fund's investment objectives are to maximize risk adjusted returns for unitholders, and pay unitholders monthly cash distributions in an amount targeted to be approximately 5% per annum on the net asset value (NAV) per unit. It invests over 75% of the value of the Fund in securities of an issuer included in the S&P 100 Index that has a trailing 12 month Beta relative to the S&P 100 Index of less than 1.0. In addition, over 25% of the value of the Fund may be invested in securities of other issuers included in the S&P 100 Index. It may also invest in public investment funds, including exchange-traded funds and other Strathbridge Asset Management Inc. funds that provide exposure to such securities. The Fund invests in various sectors, such as technology, telecom services, utilities, industrials, cash, energy and financials. The manager and investment manager of the Fund is Strathbridge Asset Management Inc.
Low Volatility U.S. Equity Income Fund announces an Equity Buyback for 128,829 units, representing 10% of its public float and that of its issued and outstanding units.