TORONTO, June 30, 2005 – Manulife Mutual Funds (a division of Elliott & Page Limited) announced today their decision to cap all funds designed exclusively for RSP-eligible funds in their line-up: E&P RSP American Growth Fund (formerly Elliott & Page RSP American Growth Fund), E&P RSP U.S. Mid-Cap Fund (formerly Elliott & Page RSP U.S. Mid-Cap Fund), E&P RSP MIX SEAMARK Total Global Equity Fund (formerly Elliott & Page RSP Total Equity Fund), effective immediately. These funds will subsequently be terminated on August 29, 2005.
RSP-eligible funds were created to enable Canadian investors to enhance their foreign content exposure within registered plans without violating the foreign property limit of 30 per cent. The 2005 Federal Budget in Canada removed the restriction on foreign property within registered accounts, rendering RSP-eligible funds redundant. Investors will benefit in the improved performance of the underlying funds, which avoid the additional costs associated with the derivatives used by the RSP-eligible funds.
“The elimination of foreign property rules allows investors to determine the appropriate level of foreign exposure for their registered accounts without employing RSP-eligible funds. To facilitate the transition for investors of our RSP-eligible funds, we will be issuing units or shares of the corresponding foreign funds to the funds’ unitholders,” said Rick Annaert, Vice President of Investment Products for Manulife Financial.
Also as a result of the elimination of foreign property legislation, Manulife Investments announced today that they are discontinuing their foreign property automatic rebalancing month-end service for Elliott & Page registered plans. Auto-rebalancing for foreign content was designed to help investors remain within foreign property restrictions, which are no longer applicable. Investors wishing to continue to have their accounts rebalanced should contact their financial advisor.
About Manulife Investments
Manulife Investments is the brand name describing certain Canadian subsidiaries and operating divisions of Manulife Financial Corporation that offer personal wealth management products and services in Canada. As one of Canada’s leading integrated financial services providers, Manulife Investments offers a variety of products and services including segregated funds, mutual funds, annuities and guaranteed investment contracts.
About Manulife Financial
Manulife Financial is a leading Canadian-based financial services group serving millions of customers in 19 countries and territories worldwide. Operating as Manulife Financial in Canada and Asia, and primarily through John Hancock in the United States, the Company offers clients a diverse range of financial protection products and wealth management services through its extensive network of employees, agents and distribution partners. Funds under management by Manulife Financial and its subsidiaries were Cdn$350.3 billion as at March 31, 2005.
Manulife Financial Corporation trades as ‘MFC’ on the TSX, NYSE and PSE, and under ‘0945’ on the SEHK. Manulife Financial can be found on the Internet at www.manulife.com.