Nigel Stephens Management Inc., the manager and trustee of the NSC Group of Funds announced today a proposed change to the fundamental investment objective of the NSC Canadian Balanced Income Fund and a proposed increase in the management fee of the NSC Canadian Balanced Income Fund.

The proposed change to the investment objective the fund is to allow for greater diversification and to allow for greater flexibility and responsiveness to the risks associated with varying financial conditions and varying investment environments.

Nigel Stephens Management proposes to increase the management fee for the Class A Units of the NSC Canadian Balanced Income Fund from 0.60% to 0.70% and the management fee for the Class I Units of the NSC Canadian Balanced Income Fund from 0.40% to 0.50%.

The increase of the management fees has been proposed because additional investment management resources are required for the fund to execute its new investment objective

If approved by unitholders at a special meeting to be held November 28, it is expected that the changes to the fundamental investment objective and management fee of the NSC Canadian Balanced Income Fund will become effective by November 30.

Unitholders of each of the NSC Group of Funds will also be asked approve the previously announced proposed changes to the trustee and manager of the NSC Group of Funds.

Nigel Stephens Management also announced today a change in the chief compliance officer of the firm and Northwood Stephens Private Counsel Inc., the investment advisor to the NSC Group of Funds.

Peter Simmie has resigned as chief compliance officer of both firms and as a portfolio manager to the funds. J. Ian Dalrymple has been appointed to replace Simmie as chief compliance officer at the two firms and to act as lead portfolio manager to the funds.