GGOF announced today that, effective Jan. 31, 2002, the GGOF Guardian Canadian High Yield Bond Fund will increase its monthly payout from 4¢ to 5? per unit. The fixed monthly distribution was introduced by GGOF in June.

“In this period of market volatility, income funds are particularly attractive to investors seeking income, liquidity, and greater diversification,” said Harold Hillier, GGOF’s president and CEO. “GGOF Guardian Canadian High Yield Bond Fund offers these and additional benefits because of its low correlation to both traditional debt instruments and equities.”

The fund typically invests in corporate bonds rated “BB” or higher. While high yield bonds can be more volatile than some other income products, the diversified nature of a mutual fund reduces risks for investors. To further reduce risk, the portfolio team has successfully employed an intensive process of credit analysis to avoid defaults. The fund’s lead manager is Steve Kearns of Guardian Capital Inc.

At Dec. 31, 2001, the fund’s annual compound rates of return were 9.8% for one year, 9.9% for two years and 7.7% for the three years since its inception in January 1999.