RBC Asset Management to lower costs and increase cost certainty for Mutual Fund Investors
Mutual fund investors will benefit from lower costs and increased cost certainty, as RBC Asset Management (RBC AM) continues to improve value for unitholders. Effective July 1, 2007, RBC Asset Management will implement a fixed administration fee for all RBC Funds. In return, RBC Asset Management will pay the majority of operating expenses for the Funds. RBC Asset Management announced this change in April and notified unitholders in writing.
“The fixed administration fee ranges from two to ten basis points on money market funds and fixed income funds, and from ten to 20 basis points on balanced and equity funds. This will reduce the management expense ratios (MERs) on more than 80 percent of the RBC Funds,” said Frank Lippa, chief operating officer and chief financial officer, RBC Asset Management Inc. “By replacing operating expenses with a fixed administration fee, the MER for each RBC Fund will be more stable and provide unitholders with greater certainty about the cost of investing in an RBC Fund.”
Advisor Series unitholders approve fixed administration fee proposal
For Advisor Series units of the funds listed below, this change required unitholder approval. The meetings of these unitholders were held on Friday, June 22 and the change was approved by the vast majority of unitholders.
This news content was configured by WebWire editorial staff. Linking is permitted.
News Release Distribution and Press Release Distribution Services Provided by WebWire.