2011
The following summarizes recent changes relating to the investment funds offered under the Manulife
Investment Watch (i-Watch®) and its respective investment manager(s). For more information,
call us at 1-800-242-1704.
Addenda Capital Inc.
CIO change at Addenda
Mr. Yvan Fontaine, Senior Vice-President and Co-Chief Investment Officer has decided to leave Addenda as of January 31st, 2012 to explore other career opportunities. Mr. Jean-Francois Pepin, who has been with Addenda since 2000 in a variety of roles, has been promoted to Senior Vice-President and Co-Chief Investment Officer with responsibility for the Active Duration Strategy, as well as a wide range of fixed income mandates managed by the Montreal office.
This Active Duration Strategy fund is the underlying fund for the Manulife Bond Fund (Addenda) (December 2011).
AGF Funds Inc.
Changes at AGF International Advisors Co.
After a reputable career in investment management and nearly 20 years at AGFIA, John Arnold, Managing Director will be retiring from the firm effective October 31, 2011.
Rory Flynn, currently Global Advisor, will take on the role of Chief Investment Officer for the AGF International Stock Class which is the underlying fund for the Manulife International Equity Fund (AGF).
Artio Global Investors Inc.
Artio Global - Reduction in Staff
Artio Global Management has recently announced organizational changes designed to lower its operating costs and more efficiently manage its resources for current business conditions. In aggregate, the Company is reducing its workforce by 25 employees, or approximately 11% of headcount. No portfolio managers, research analysts or client service professionals were included in the staff reductions.
Artio Global Management is the underlying investment manager for the Manulife Global Equity Fund (Artio), as well as the Manulife International Equity Fund (Artio). (October 2011)
Bissett Investment Management
Change in PM for the Bissett Bond Fund
Bissett Investment Management announced the appointment of Tom O'Gorman as Senior Vice President and Director of Fixed Income.
Mr. O'Gorman has more than twenty years of experience managing fixed income assets. He worked for ten years with Munich Re Capital Management of New York, overseeing an investment portfolio that included a substantial weighting in Canadian fixed income assets. In addition, he has held Senior Investment Management and Credit Analyst roles with several major U.S. firms, including Vanderbilt Capital of New York and Prudential Financial of New Jersey.
The Bissett Bond Fund is the underlying fund investment for Manulife's Bond Fund (Bissett). (March 2011)
Departure of Portfolio Manager from the Bissett Investment Management Balanced Fund
Michele Horne, President of Bissett Investment Management, has chosen to resign. She will leave the company on February 15, 2011. Ms Horne was also the portfolio manager of the Bissett Canadian Balanced Fund, underlying fund for the Manulife Balanced Fund (Bissett).
Going forward, Garey Aitken, Bissett's Chief Investment Officer, and Ian Riach, Director of Balanced Portfolio Management at Bissett, will co-manage the Bissett Canadian Balanced. Asset mix decisions for balanced portfolios will continue to be made by the Bissett Asset Mix Committee.
BMO Asset Management
Portfolio Manager at BMO takes a sabbatical
Lesley Marks, Vice President and Portfolio Manager for the BMO Canadian Equity Small Cap fund, has decided to take a 12-month sabbatical for family reasons effective February 29, 2012. During Lesley's sabbatical and effective immediately, Tyler Hewlett, Vice President and Portfolio Manager, will act as lead portfolio manager for the fund. Tyler has been the back-up portfolio manager and worked closely with Lesley for the last 5 years. During this 12-month period, Robert Taylor, Vice President and Portfolio Manager, will act as a back-up portfolio manager.
This fund is the underlying fund for the Manulife Canadian Small-Cap Equity Fund (BMO Asset Management) (December 2011).
Fidelity Investments Canada Limited
Departure of Lead Manager of the Canadian Asset Allocation Fund
Bob Swanson, lead manager of the Fidelity Canadian Asset Allocation Fund, has made the personal decision to leave the Fidelity organization. Bob was head of the asset allocation team, as well as the Canadian equity portion of the fund.
Derek Young, long-time Fidelity portfolio manager and current Chief Investment Officer of Fidelity's Global Asset Allocation group has been named to the role of co-portfolio manager for the Fidelity Canadian Asset Allocation Fund and will be co-head of the Canadian Asset Allocation Team (CAAT). Derek has managed asset allocation funds for Canadian investors in the past and knows the Canadian market.
Joining Derek as co-portfolio manager will be Geoff Stein. Geoff Stein is a portfolio manager in the Global Asset Allocation Group for Fidelity Management & Research Company, an investment advisory division of Fidelity Investments. He is currently responsible for a number of Fidelity funds available to U.S. investors.
Fidelity is also announcing portfolio management changes on the Canadian equity sub-portfolio of the Fidelity Canadian Asset Allocation Fund. Going forward, the fund's Canadian equity sub-portfolio will be managed by a team of experienced portfolio managers: Darren Lekkerkerker, Hugo Lavallée, Don Newman, and Joe Overdevest. Each portfolio manager will be responsible for security selection and portfolio construction with a focus on specific groups of industries within the Canadian equity market. The portfolio will target neutral exposure to four super sectors (Resources, Interest Rate Sensitive, Industrials, and Consumer) of the S&P/TSX Composite Index. This super sector neutral investment approach will serve as a guide to portfolio construction and contribute structurally for overall portfolio risk management. Security selection and portfolio construction continue to be grounded in bottom-up fundamental research, leveraging Fidelity's global investment research network, with a primary focus on the investment research output of Fidelity's "Team Canada."
The Fidelity Canadian Asset Allocation Fund is the underlying fund investment for Manulife's Canadian Asset Allocation Fund (Fidelity). (April 2011)
Franklin Templeton Investments Corp.
Change in Portfolio Manager for the Templeton Global Equity Trust
Effective March 1, 2011, Norm Boersma, portfolio manager for the Templeton Global Equity Trust, will relocate from Toronto to Templeton's Nassau office. In addition, he will be named president of Templeton Global Advisors Ltd.
Katherine Owens, senior Vice President and Health Care sector team leader, will replace Mr. Boersma as the PM for the Global Equity Trust. Ms Owens had joined the Templeton organization and its global research team in 2001. The Templeton Global Equity Trust is the underlying fund investment for Manulife's Global Equity Fund (Templeton).(Jan. 2011)
GE Asset Management
Departure of a Co-Manager from the Investment Management Team of the US Equity Fund
GE Asset Management (GEAM) announces the departure of George Bicher as co-manager of their US Multi-Style Equity Fund. Mr. Bicher has been nominated as GEAM's Chief Risk Officer.
Mr. Bicher will be replaced by Dave Carlson (also currently the CIO of US Equities at GEAM) and Paul Reinhard, an existing co-manager of this fund.
The GE US Multi-Style Equity Fund is the underlying fund investment for Manulife's US Equity Fund (GE Asset Management). (April 2011)
Change in underlying investment vehicle for the Manulife U.S. Equity Fund (GEAM)
In February 2011, the underlying fund for the Manulife US Equity Fund (GEAM) will change from the GE US Equity Mutual Fund, class Y, to GE Institutional U.S. Equity Fund.
This change is a result of the sale of GEAM's retail mutual funds to Highland Asset Management.
The resulting switch to GEAM's institutional fund will not result in any change in investment process, investment team, investment guidelines nor increase in fees relative to the previously-held retail mutual fund.
Invesco
Invesco Trimark - Departure of CIO
Graham Anderson, presently Invesco Trimark team's CIO, will be leaving Invesco. This decision was mutually agreed to as Graham and Invesco both recognize that it followed the natural evolution of each of the investment teams within Canada.
In late 2010, Invesco defined the approach for evolving the leadership of the Trimark investment discipline. As a first step in this approach, management announced new leadership roles for several senior portfolio managers in April of this year:
- Rex Chong, Head of Fixed Income
- Ian Hardacre, Head of Canadian Equities
- Michael Hatcher, Director of Research
- Rob Mikalachki, Head of Small-Cap Equities
These veteran portfolio managers are now joined by Dana Love, who is taking on an additional role as Head of Global Equities. Dana has been a portfolio manager on Trimark Fund since 2004 and has served as its lead manager since 2008.
Invesco Trimark is the underlying investment manager for the Manulife Global Equity Fund (Invesco Trimark). (October 2011)
Fund restructuring - Invesco merges the Invesco U.S. Small Cap Value Fund with the Invesco Van Kampen Small Cap Value Fund
Invesco has announced that they have received the necessary votes to proceed with the proposed reorganization of several of their funds, including the US Small-Cap Value Fund, which is merging with the Invesco Van Kampen Small Cap Value Fund. The investment objective, investment policy, portfolio management team, and fees will not change for unitholders of the first fund. The Invesco U.S. Small Cap Value Fund (now under the name Invesco Van Kampen Small Cap Value Fund) is the underlying investment for the Manulife US Small Cap Equity fund (Invesco). (May 2011)
Changes to the Investment Team of the Global Equity Fund
Invesco Trimark has announced changes to the management team of the Trimark Fund. Following the departure of Heather Pierce as co-lead manager to the fund, three new co-portfolio managers will be replacing her. Jeff Feng, Michael Hatcher, and Darren McKiernan, previously each lead managers on other Foreign equity funds offered by Invesco Trimark in Canada, will be joining current lead manager Dana Love.
The Trimark Fund is the underlying fund investment for Manulife's Global Equity Fund (Invesco Trimark). (April 2011)
Jarislowsky Fraser Limited
Departure of Joe Sirdevan
Jarislowsky Fraser Limited announced the resignation of Joe Sirdevan, Lead Manager, US Equities, from the firm.
As a result of Mr. Sirdevan's departure, Charlie Ongking and Sami Hazboun will become Co-Lead Managers on U.S. equity mandates. Charlie Ongking has been with the firm for over eight years and has 15 years of investment experience. He was previously Co-Lead Manager, U.S. Equities, working with Mr. Sirdevan and is currently a member of the Jarislowsky Fraser Investment Strategy Committee. Mr. Ongking will continue to act as Co-Lead Manager, Global Equity. His responsibilities will remain the same, including research coverage of the Healthcare, Consumer Staples and Technology sectors.
Sami Hazboun has been with the firm for two years and has a total of 20 years of investment experience, including portfolio management. He will become a member of the Investment Strategy Committee and continue to provide analysis in the areas of Industrial and other light cyclical industries.
Joe Sirdevan was a member of Jarislowsky Fraser's Investment Strategy Committee. He was also previously head of North American equity research and the lead manager for Canadian Equities. Helen Beck, the current lead manager for Canadian equities, was recently hired by Jarislowsky Fraser in 2009 from CN Investments.
The Jarislowsky Fraser Canadian Equity Fund and Jarislowsky Fraser US Equity Fund are the respective underlying funds for the Manulife Canadian Equity Fund (Jarislowsky Fraser) and Manulife U.S. Equity Fund (Jarislowsky Fraser). (March 2011)
McLean Budden Limited
McLean Budden Update
McLean Budden has now become a fully owned subsidiary of MFS Investment Management. The nature of these changes are very significant and as a result the investment program team concluded a one day due diligence meeting with MFS Investment Management in order to assess the potential impact on all of the McLean Budden funds that are currently in the Quality & Choice Program. The conclusions from the investment program team are as follows:
- Canadian Equity Fund (McLean Budden) - Growth: The fund manager has made it clear that although the investment mandate and investment style will not change, there will be changes to the fund's investment process, which will be reflected in a revised investment policy. There will also be changes to the investment team. Although Bruce Murray remains at the helm he will now be joined by Nicole Zatlyn from MFS Investment Management as co-lead portfolio manager. The decision making process has changed from a four member committee consensus approach to a two member team approach. Due to these significant changes, the Quality & Choice governance committee has decided to place this fund on WATCH immediately.
- American and Global Equity (McLean Budden) - Core: The fund manager has confirmed that over the next six months the underlying pooled funds will be transitioned towards different investment mandates within MFS. Due to these significant changes, the Quality & Choice governance committee has decided to place this fund on WATCH immediately.
- Balanced Fund (McLean Budden) and Target Date Funds (McLean Budden): the Quality & Choice governance committee has decided to place these funds on WATCH immediately given that their components are made up of the above-mentioned equity funds.
- Fixed Income Fund (McLean Budden): The fund manager has confirmed that there will be no changes to this fund and therefore the Quality & Choice governance committee has decided to not change the current status of this fund.
In the interim the investment program team will evaluate the alternative investment mandates that MFS Investment Management will provide for the above-mentioned funds that have been placed on watch and subsequently they will provide their recommendations to the Quality & Choice governance committee.
GS&R Investment Program Team (November 2011)
Acquisition of McLean Budden
Sun Life Financial announces that McLean Budden will become a wholly-owned subsidiary of MFS Investment Management, its sister company in the Sun Life organization.
MFS is a U.S.-based global asset management company, with offices in 19 countries and a portfolio of US$223 billion in assets under management.
The 32.4% minority share, generally held by McLean Budden's investment professionals, is being purchased for $144 million. The transaction will be completed in November 2011, subject to regulatory approvals. Martin E. Beaulieu, a senior officer of MFS, will become Chairman and Chief Executive Officer of McLean Budden, succeeding Roger J. Beauchemin.
The Manulife GS&R Investment Program team will analyse the impact of this event on its funds managed by McLean Budden in a due diligence meeting with the investment firm in the next coming months. (September 2011)
Changes to the Investment Policy of the McLean Budden US Equity Fund
McLean Budden announced changes to the prospectus of its American Equity Fund. Effective immediately, the Fund's investment objective and allowable investments will be altered to define the investable universe of securities for the Fund as companies primarily domiciled in the United States or whose primary stock exchange listing is in the United States. This change has been implemented to include companies that have a domicile outside of the US, but have a significant US presence.
The McLean Budden American Equity Fund is the underlying fund investment for Manulife's American Equity Fund (McLean Budden). Consequently, the Manulife fund investment policy will be amended to reflect the underlying fund prospectus changes. (April 2011)
Russell Investments Canada Limited
Changes at Russell Investments Canada Limited
In November 2011, Dave Hintz, previously head of US equity manager research, assumed the role of portfolio manager at Frank Russell Company (FRC), sub-adviser to Russell Investments Canada Limited (RICL) in respect of the Russell US Equity Fund, which is also part of all the LifePoints Portfolios. Mr. Hintz became a member of the portfolio management teams for FRC’s US large cap multi-style funds at the end of 2002. He spent 13 years as a manager research analyst responsible for evaluation of large cap US equity managers and has been with Russell since 1988.
Steve Skatrud, previously portfolio manager at FRC, sub-adviser to RICL in respect of the Russell US Equity Fund, moved to head of US equity manager research. He will lead the US equity research team, which focuses on identifying investment managers who are expected to produce returns in excess of the relevant market indices over a full market cycle.
The Russell US Equity Fund is the underlying fund for the Manulife US Equity Fund (Russell).
The Russell LifePoints Balanced Income Portfolio is the underlying fund for the Manulife LifePoints Balanced Income Portfolio Fund (Russell), the Russell LifePoints Balanced Growth Portfolio is the underlying fund for the Manulife LifePoints Balanced Growth Portfolio Fund (Russell) and the Russell LifePoints Long-Term Growth Portfolio is the underlying fund for the Manulife LifePoints Long-Term Growth Portfolio Fund (Russell).
Russell Investments appoints new Chief Investment Officer
Russell Investments Canada Limited (Russell Investments) announced that Greg Nott has been appointed Chief Investment Officer ("CIO") replacing Mr. Sadiq S. Adatia, CIO and Portfolio Manager.
Mr. Nott, as CIO, will be responsible for all aspects of investment management, including leading the fixed income and equity investment teams. Moreover, he will take over the role of lead manager for the LifePoints group of funds.
Mr. Nott has been with Russell Investments since 1998. He joined initially as a Senior Research Analyst in 1998 and became Portfolio Manager in 2003.
Changes to the Investment Management Team of the US Equity Fund
Russell Investments Canada announced changes to the underlying managers composing their US Equity fund.
Aronson + Johnson + Ortiz LP, MFS Institutional Advisors, Suffolk Capital Management, Legg Mason Capital Management, and Russell Implementation have been removed from the fund. Levin Capital, possessing a Market-Oriented investment style, and Institutional Capital, possessing a Relative Value investment style, have been added with target weights of 20% and 26% respectively.
The Russell US Equity Fund is the underlying fund investment for Manulife's US Equity Fund (Russell). (April 2011)
Manulife Investments Inc.
Change in US Equity Fund management
Manulife Investments (SLI) recently announced a change in portfolio management within SLI for their US equity funds. As of December 15th, 2011, US equity funds will be managed by the Boston office of SLI, a team composed of 10 investment professionals.
The US equity component of SLI's balanced funds, however, will continue to be managed within the Montreal office. The Montreal equity team will leverage off of the Boston US equity team's research to build the US portion of the balanced funds.
Of the three investment professionals in Montreal previously involved in managing US equity portfolios for Canadian clients, Valerie Checchini, VP North American Equity, has decided to leave the firm.
The Manulife US Equity Fund (SLI) and the Manulife US Equity Non-Registered Fund (SLI) will be affected by this change in management. (December 2011)
Manulife Investments appoints new Vice-President
Manulife Investments Inc. is pleased to announce the appointment of Mr. Philippe Capelle to the position of Vice-President, Portfolio Management. He is responsible for portfolio management as well as investment research on the gold and fertilizer sectors.
Philippe has over 20 years of experience in the financial service industry including 15 years of investment experience.
Retirement of Senior Vice-President, Portfolio Management
Antonio Maturo, Senior Vice President, Portfolio Management for Manulife Investments, retired December 2010. Mr. Maturo headed up SLI's client servicing team. In addition, he was a member of the Asset mix strategy committee.
Change in the underlying fund of the Manulife Hedged US Equity Index Fund (SLI)
Effective January 31, 2011, the underlying fund of the Manulife Hedged US Equity Index Fund (SLI) was changed from the Manulife US Equity Index Fund (SLI) to the Manulife US Equity Direct Index Registered fund (SLI).
The new underlying fund accepts deposits only from registered retirement plans, and therefore it is not subject to U.S. withholding tax. The investment objective and strategy of the new underlying fund is similar to the previously used index fund.
Manulife Mutual Funds Ltd
Name change for SLMF
Effective December 1st, 2011 the Manulife High Yield Bond Fund (SLMF) will change its name to the Manulife Corporate Bond Fund (SLMF). This change reflects the underlying fund name change that was announced by SLMF, and communicated, earlier this year. The investment policy of the fund is not affected. (November 2011)
SLMF - Change in portfolio managers
Manulife Mutual Funds (SLMF) recently announced a change in portfolio manager for the Global Dividend Growth Fund managed by SLI. Kevin Troup has replaced Dominic Byrne as the lead portfolio manager for the fund. Kevin recently joined SLI in 2010.
Dominic remains a member of the Global Equity team and will remain lead portfolio manager of the SLI International Equity Fund.
The SLI Global Dividend Growth Fund (Series 2) is the underlying fund investment for Manulife's Global Dividend Fund (SLMF) (October 2011)
Manulife Mutual Funds Ltd. brings changes to its Canadian Dividend Growth Fund and its Corporate High Yield Bond Fund.
SLMF has sent notification that it has brought certain changes to their funds.
The Manulife Canadian Dividend Growth Fund will now allow for up to 30% in foreign equities within its portfolio, as well as equity securities that do not necessarily pay dividends.
Furthermore, SLMF will be changing the name of the Manulife Corporate High Yield Bond Fund to the Manulife Corporate Bond Fund.
These funds are the underlying funds for the Group Savings & Retirement (GS&R) Manulife Canadian Dividend Fund (SLMF) and Manulife High Yield Bond Fund (SLMF), respectively.
The changes brought to the Canadian Dividend Growth Fund will necessitate changes to the Group Savings & Retirement (GS&R) investment policy for this fund (the latter fund's policy is not affected).
The GS&R Investment Program team will be assessing the impact of these underlying fund changes on the GS&R fund profiles.
UBS Global Asset Management (Canada)
Fund Change to UBS Global
In November of 2011 UBS Global Asset Management announced that they will no longer be managing in house the UBS (Canada) Canadian Equity Fund, underlying fund for the Manulife Canadian Equity fund (UBS Global). Instead, they have decided to appoint CIBC Global Asset Management as the sub-advisor to manage this and all of their Canadian equity products, effective immediately.
Consequently, all their professional staff involved in the management of Canadian equities (located in Toronto) have been let go.
This announcement also impacts the UBS (Canada) Canada Plus Equity Fund, underlying fund for the Manulife Plus Equity Fund (UBS Global) and the UBS (Canada) Balanced Fund, underlying fund for the Manulife Diversified Fund (UBS Global), which invest in the above mentioned UBS Canadian equity fund.
Please note that the Canadian equity funds now under the management of CIBC Global Asset Management will retain the same names and investment policies.
(November 2011)
UBS appoints two new analysts
Greg Anderson has re-joined the USB team after a seven year break from the company, as an analyst in financials and joining him is Michael Levy, analyst for Insurance and REIT's following the departure of three investment analysts.
Amendments to the Investment Policies of the UBS (Canada) Pooled Funds
In tandem with the amendments planned for the investment policies of the UBS (Canada) Pooled Funds, the investment policies of Manulife's Bond Fund (UBS Global) and International Equity Fund (UBS Global) will be modified, effective March 1, 2011. Amendments to Manulife Pooled Funds are posted within the document "Statement of Pooled Fund Investment Policies", found within the Investment section of Manulife's VIP Room.
