A new split share product is being launched to invest in the shares of 15 financial firms.

A new prospectus has been filed for Financial 15 Split Corp., a mutual fund corporation that will offer both preferred shares and class A shares, for $10 and $15 respectively.

The mutual fund, which is managed by Quadravest Capital Management Inc., will invest primarily in a portfolio of common shares of 15 financial services firms, including both Canadian and U.S. issuers. The Canadian issuers include the big six banks, along with life insurers Manulife Financial Corp., Sun Life Financial Services of Canada Inc. and Great-West Lifeco Inc., and fund manager CI Fund Management Inc.

The proposed U.S. holdings are Bank of America Corp., Citigroup Inc., JP Morgan Chase & Co., Bank One Corp. and Wells Fargo & Co.

The prospectus says that the fund expects that it will hold at least 4% of the portfolio in each of the 15 names, and no more than 8%. It will keep the U.S. component with foreign property limits.

Up to 15% of the fund may be invested in equity securities of issuers other than the 15, and it may substitute for the main 15 holdings in “extraordinary circumstances”. To supplement the dividends received on the portfolio and to reduce risk, the fund will also write covered call options on the portfolio.