Guardian Group of Funds Ltd. announced today that both GGOF Guardian Monthly High Income Fund and GGOF Guardian Monthly Dividend Fund will pay two bonus distributions of 4¢ each on October 15 and November 15, 2001.

For GGOF Guardian Monthly High Income Fund, the distributions will be in addition to the fund’s regular monthly distributions of 6¢ per unit. As of September 30, the fund had posted a one-year return of 17.0%, a three-year return of 14.3%, and a return of 6.5% since its inception on Oct. 21, 1996. October will mark the fund’s fifth year anniversary and 60th straight month of distributing 6¢ per unit.

For GGOF Guardian Monthly Dividend Fund, which re-opened for new purchases in January, the distributions will be in addition to the fund’s regular monthly tax-efficient distributions of 3.5¢ per month.

“GGOF is renowned for its strength in monthly-pay fixed income funds,” said Harold Hillier, president and CEO, GGOF. “GGOF Guardian Monthly High Income Fund anchors our suite of funds, and has performed exceptionally well in these volatile markets.”

GGOF Guardian Monthly High Income Fund is designed to provide a high level of regular, monthly tax-efficient income, while placing equal emphasis on risk control, return enhancement and capital preservation. Since its inception in 1996, the fund’s investments have been primarily concentrated in investment trust units (ITUs) and real estate investment trusts (REITs).

GGOF Guardian Monthly Dividend Fund is designed to provide a moderate level of regular, monthly tax-efficient dividend income, while placing a greater emphasis on risk control. The fund invests primarily in exchangeable, retractable and floating rate preferred shares.