National Life’s ‘Alternative Investment with Principal Guaranteed’ offers equity-style returns with a 100% guarantee

TORONTO, Nov. 7, 2002 – Investors searching for relief from recent losses on stock market investments will find a secure haven in National Life’s Alternative Investment with Principal Guaranteed (AIPG), a fixed term product available until December 20, 2002. The AIPG combines the safety of GICs and the potential for equity-like returns by offering a 100% guarantee and returns that are independent of stock market fluctuations. Using alternative management techniques, the AIPG effectively expands the opportunities within an investment portfolio while safeguarding the capital investment.

“Investors aren’t willing to take as many risks with their money as they might have been in the past, yet they still want the chance to earn a good return on their investment,” says Brenda Moore, Director of Marketing, Retirement and Investment Products. “The AIPG effectively answers both of these needs, giving investors the confidence to remain active in the markets.”

Alternative management styles allow the value of investments to evolve independently of stock markets, bond markets and foreign currencies. Because of this, managers can take advantage of more opportunities to realize an absolute return with lower volatility. Returns are determined according to the performance of managers who also personally invest their money using alternative management techniques. Over the 5-year investment period, capital
can grow more steadily so that the actual rate obtained with the AIPG, known at the end of the term, has the potential to surpass traditional GIC investment rates by as much as 10% or more. Managed by State Street Alternative Absolute Return Investment Strategies (SSARIS), an experienced investment firm specializing in alternative management methods, the AIPG’s unique features include fewer investment restrictions than other products. That means that managers are free to apply different techniques, based on various styles, sectors and geographical regions, to one investment and create a highly diversified environment where investments grow more steadily, without increased risk.

Alternative management aims to achieve positive results regardless of the state of the economy. The AIPG puts those techniques to work for investors, allowing their investments to grow more steadily and increase the value of their portfolio.

More advantages that AIPG offers:

  • Minimum investment: $1,000
  • Eligible for RRSPs, LIRA and non-registered contracts
  • Interest rate between the time of the contribution and the investment date: 2% on an annualized basis
  • Single investment date: December 20, 2002
  • Investment term: 5 years, non-redeemable

A complete AIPG marketing kit can be obtained by contacting National Life via email at marketing@NationalLife.ca.

National Life has been a strong performer in the insurance and financial industry for over a century, with a reputation for service excellence and product innovation. Providing individual insurance, group life and health insurance, and retirement and investment products across Canada and in parts of the Caribbean, National Life is a trusted name in the financial industry. Working in partnership with the industry’s top independent producers, National
Life’s network of expert resources provides long-term wealth management solutions to clients. The company was rated A (Excellent) by the A.M. Best Company, the oldest insurance rating agency in the world and has been recognized as one of “Canada’s Top 100 Employers” for the past three years by MediaCorp. National Life is a member of the Industrial Alliance Group of Companies, which ranks seventh among Canadian life insurers, with $16 billion in assets under management and under administration.