Montreal-based Standard Life Mutual Funds Ltd. is launching two new retail mutual funds: Standard Life Short Term Bond Fund and Standard Life High Yield Bond Fund.

Standard Life Short Term Bond Fund is managed by Standard Life Investments Inc., one of the largest fixed income managers in Canada. Its investment objective is to provide a higher level of current income than traditional money market instruments while preserving capital and maintaining liquidity. The fund invests primarily in Canadian short-term fixed-income securities issued by the federal government, provincial government or Canadian corporations.

Standard Life High Yield Bond Fund invests in higher-yielding corporate or government debt securities of issuers throughout the world. Its investment objective is to provide a high level of income and potential for long-term capital growth. The portfolio management responsibilities of this fund have been sub-advised to Standard Life Investments (USA) Ltd.