VANCOUVER, BRITISH COLUMBIA — (Marketwire) — 10/14/11 — MUTUAL FUND ROLLOVER TRANSACTION
Maple Leaf Short Duration 2010 Flow-Through Limited Partnership (the “Partnership”, CUSIP # 56531A107) announces that it will be proceeding with a transaction (the “Liquidity Transaction”) pursuant to which the assets of the Partnership (the “Assets”) will be transferred, at the close of business on October 21st, to the Maple Leaf Resource Class Mutual Fund (the “Mutual Fund” and or “CDO100”) of Maple Leaf Corporate Funds Ltd., an open-ended mutual fund corporation, in exchange for Resource Class – Series A shares of the Mutual Fund.
The transfer will be on a tax deferred exchange basis and no capital gains tax is payable on the transaction. Investors can elect to hold their Mutual Fund shares for long term growth and capital appreciation switch tax-deferred into the Maple Leaf Income Class shares or redeem their shares. Investors may have a capital gain when the Mutual Fund shares are redeemed.
The rollover to the Mutual Fund provides investors with the ability to redeem and obtain immediate liquidity. Alternatively, investors diversify their investments through maintaining ownership of Mutual Fund shares in the either the Resource Class or the Income Class shares, while deferring capital gains.
There will be no fees charged on either the rollover to the Mutual Fund or on redemption of the Mutual Fund shares.
Once the Mutual Fund shares that the Partnership will receive as consideration for the transfer of the Assets are distributed to the Limited Partners, the Partnership will be dissolved.
The general partner of the Partnership (the “General Partner”) will be implementing the Liquidity Transaction in accordance with the limited partnership agreement (the “Partnership Agreement”) that governs the Partnership. The Liquidity Transaction has been mutually agreed to by the General Partner and the Mutual Fund and joint elections will be made to effect the transfer on a tax-deferred basis.
Summary Information of the Rollover Transaction
Important Notes:
The Partnership, Maple Leaf Corporate Funds Ltd nor the Mutual Fund will accept any liability for transactions that are either executed or fail to be executed due to processing delays or prior to dealer records being updated.
THE PARTNERSHIP AND THE MUTUAL FUND
Maple Leaf Short Duration 2010 Flow-Through Limited Partnership
The Partnership was established to provide Limited Partners with a tax-assisted investment in a diversified portfolio of flow-through shares of resource companies with a view to achieving capital appreciation for Limited Partners. The principal business of the resource companies was oil and gas exploration, development and/or production and mining exploration, development and/or production.
Investors received tax deductions for 2010 of approximately 100% of the amount of their investment.
Maple Leaf Corporate Funds Ltd.
The Mutual Fund is a mutual fund corporation authorized to issue an unlimited number of separate classes of which the Maple Leaf Resource Class of shares is one. Each class of mutual fund shares is a separate mutual fund. The Corporation–s articles permit it to issue an unlimited number of mutual fund shares in each class in one or more series. The Corporation currently offers series A shares of the Maple Leaf Resource Class and series A shares of the Maple Leaf Income Class. The Corporation may, without notice to, or approval from, the existing shareholders of the Fund, create new mutual funds by distributing these classes of mutual fund shares to the public.
Specific Information about the Mutual Fund
Investment Objective & Strategies of the Mutual Fund
The investment objective of the Mutual Fund is to maximize capital appreciation by investing in equity securities of natural resource companies and companies that support resource companies.
The Mutual Fund–s portfolio will consist primarily of investments which generate capital gains, but will also include investments which generate income. The Mutual Fund may hold significant cash, cash equivalents or fixed income positions pending investment or when the Portfolio Advisor considers it desirable. The Mutual Fund may use derivatives for hedging or non-hedging purposes.
The Portfolio Advisor will make investments in securities which it believes are undervalued based on its research. These will include, in particular, securities of issuers with improving fundamentals such as growing revenues and earnings, strong balance sheets and solid management, capital structure and business franchises.
The Mutual Fund may take positions in other securities, such as convertible securities, high-yield debt securities and derivative instruments based on such securities, invest in foreign companies listed on major stock exchanges or exchange traded funds that provide magnified positive or inverse exposure to the foregoing.
Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Mutual Funds are not guaranteed, their values change frequently, and past performance may not be repeated. Please read the prospectus before investing.
Portfolio Advisor
T.I.P. Wealth Manager Inc. (“TIP”) will be responsible for the Mutual Fund–s investment activities. Mr. Jim Huang, the President of T.I.P., will act as Portfolio Manager on behalf of TIP. Mr. Huang has over 16 years of experience investing in the Canadian capital markets. As lead or co-manager while working at NATCAN (formerly Altamira), Mr. Huang has managed or co-managed over $2 billion in mutual funds and institutional assets, including all of the resource and equity income products in the Altamira and National Bank mutual fund families. Altamira Energy Fund, Altamira Resource Fund, Altamira Precious and Strategic Metals Fund and AltaFund (a Canadian Equity fund focusing on Western Canada) had industry-leading performance and won awards and positive press coverage during Mr. Huang–s management. Currently, Mr. Huang is the manager for the T.I.P. Opportunities Fund, a long/short North American equity hedge fund, as well as being the lead manager for the Maple Leaf Short Duration Flow-Through Funds, the Maple Leaf Corporate Funds Ltd. family of mutual funds and a small cap equity mutual fund.
Regulatory Approvals
Completion of the Liquidity Transaction is subject to the receipt of all necessary regulatory approvals and other closing conditions.
Additional Information
Additional information about the Mutual Fund will be available in the Mutual Fund–s simplified prospectus, annual information form, management reports of fund performance and financial statements. You can obtain a copy of these documents at your request and at no cost by calling toll free 1-866-688-5750, or from your financial advisor, or by e-mailing , or at .
These documents and other information about the Mutual Fund, such as information circulars and material contracts, will also be available at SEDAR (the System for Electronic Document Analysis and Retrieval established by the Canadian Securities Administrators) at .
Contacts:
CADO Investment Fund Management Inc.
604 684-5742 or Toll Free: 866-688-5750
604-684-5748 (FAX)