(November 2- 16:15 ET) – AmeriStar RSP Income Trust has filed a preliminary prospectus for a proposed offering of trust units. AmeriStar RSP has been designed to allow RRSP and RRIF investors to increase their foreign exposure beyond the current 20% limit.
AmeriStar intends to invest directly or indirectly in an actively
managed diversified portfolio consisting of issuers selected from
the S&P 500 Index.
The direct holding of such shares is limited so that the Units will not be foreign property under the federal Income Tax Act. The indirect holdings of such shares is achieved through the use of derivative instruments such as forward contracts and is designed to replicate the economic performance of holding such shares directly.
To generate additional returns above the dividend income earned on the Portfolio, AmeriStar will, from time to time, write covered call options in respect of all or part of the securities in the Portfolio, or on the common shares which are the underlying interest of the forward contracts or other instruments entered into by AmeriStar.
AmeriStar’s investment portfolio will be actively managed by Quadravest Capital Management. Merrill Lynch Canada Inc. and Nesbitt Burns Inc. are the lead agents for the proposed offering. The other members of the syndicate are RBC Dominion Securities Inc., TD Securities Inc., CIBC World Markets Inc., ScotiaMcLeod Inc., National Bank Financial Corp., HSBC Securities (Canada) Inc., Canaccord Capital Inc., Goepel McDermid Inc., and Bieber Securities Inc.
-IE Staff
For more please see: