TD Asset Management Inc. (TDAM), the manager of TD Mutual Funds, Wednesday announced plans to terminate the operations of three mutual funds.
TD Fixed Income Capital Yield Pool Class, TD Global High Yield Capital Class and TD Private Bond Capital Yield Fund will be terminated on October 3.
The decision to terminate the funds was made as a result of measures announced in the federal budget in March 2013 which will eliminate tax benefits for certain investment funds, including these funds. These funds have been closed to additional investments since April 5.
Unitholders may redeem or switch their holdings in the funds for settlement on or before the termination date. Beginning today, TDAM will not charge any redemption fees, sales charges or other fees for transactions on these funds.
On October 3, TDAM will liquidate the holdings of the terminating funds at fair market value, determine distributions and distribute the net assets to unitholders.