Wellington West Asset Management Inc., a subsidiary of National Bank of Canada, said Wednesday it plans to terminate the NxT Funds on October 15.

Wellington West says the decision to terminate the funs, which are distributed primarily by National Bank Financial investment advisors, was made in order to simplify the range of investment solutions offered by National Bank (TSX:NA) and its subsidiaries.

The four Nxt funds were launched by Wellington West in July, 2009, for exclusive distribution by Wellington West advisors, and have grown to $150 million in assets. When National Bank acquired Wellington West about a year ago, the Nxt funds were part of the package. However, the Nxt fund family overlapped with existing product already being sold through the advisor network at National Bank Financial.

“National Bank Financial has many managed solutions, and the funds were not much different than our existing products,” says Michel Falk, senior vice-president at National Bank Financial in Montreal. “It was a difficult message to communicate to the sales force regarding product differentiation.”

The four funds to be terminated are: NxT EQ 35 Income & Growth Fund; NxT EQ 60 Balanced Fund; NxT EQ 75 Balanced Growth Fund; and NxT Short Term Income Fund.

Following the close of business on June 27, the funds will be closed to new purchases, with the exception of pre-established systematic investment and distribution reinvestment plans. Systematic investment plans will cease as of July 26. Furthermore, unitholders of record as of June 26, will receive monthly special distributions in order to minimize the impacts of large redemptions on remaining unitholders. Special distributions will be automatically invested in additional units of the funds, unless a unitholder has requested to receive distributions in cash.

Unitholders will be able to redeem their units of the funds until October 15. Any remaining unitholders will then have their units redeemed and the redemption proceeds will be paid out.

No redemption or sales fees will be charged to unitholders as of June 28.