Brompton Funds

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Objectives To provide holders of Preferred shares with fixed cumulative preferential quarterly cash distributions of $0.13125, representing a yield of 5.25% per annum based on issue price and to return the original issue price to Preferred Shareholders on November 30, 2014.

To provide holders of Class A shares with regular monthly cash distributions targeted to be $0.10, representing a yield of 8.0% on issue price and the opportunity for growth in net asset value per Class A share.

Distributions Click here to see the most recent distribution table.
Portfolio Equal weight investment in 20 large capitalization Canadian equities selected from those TSX listed equities with the highest dividend growth rate.
Low Fees Management fee of 0.60% of the net asset value per annum, which includes fees payable to Highstreet.

2007 annualized management expense ratio of 1.38%
Manager Brompton Funds Management Limited
Highstreet Asset Management Inc. Highstreet Asset Management invests the Fund's assets, rebalances its portfolio and selectively writes covered call options to generate additional income.
Rebalancing Criteria The portfolio will be rebalanced at least annually (i) to adjust for changes in market value of investments, (ii) to remove a company included in the portfolio that ceases to pay or suspends its dividends, (iii) to reflect the impact of a merger, acquisition or other significant corporate event of or affecting one or more of the companies in the portfolio, and (iv) in exceptional circumstances, the board may, in its discretion, remove from or purchase securities of a company for the portfolio, provided that the investment acquired complies with the Company's Investment Restrictions.
Service Fee 0.40% of NAV of the Class A shares per annum is paid quarterly to investment advisors whose clients hold Class A shares
Eligibility Eligible for RRSPs, DPSPs, RRIFs and RESPs as Canadian property.
Retraction Privileges Monthly:
Preferred shares [Click to expand]
may be retracted on a monthly basis by surrendering the Preferred shares at least 10 business days prior to the retraction date, which is the second last business day of the month. The retraction price per Preferred share will be equal to 96% of the lesser of (i) the NAV per unit determined as of the relevant retraction date less the cost to the Company of the purchase of a Class A share for cancellation, and (ii) $10.00.

Class A shares [Click to expand]

may be retracted on a monthly basis by surrendering the Class A shares at least 10 business days prior to the retraction date, which is the second last business day of the month. The retraction price per Class A share will equal 96% of the difference between (i) the NAV per unit determined as of the relevant retraction date, and (ii) the cost to the Company of the purchase of a Preferred share for cancellation, including commissions and such other costs to fund the purchase of the Preferred shares.

Quarterly:
A holder of Preferred and Class A shares may concurrently retract an equal number of Preferred and Class A shares on the quarterly retraction date, commencing in February, 2008, at a retraction price per unit equal to the NAV per unit on that date less any costs associated with the retraction, including commissions. The Preferred shares and Class A shares must both be surrendered for retraction at least 10 business days prior to the retraction date. Concurrent quarterly redemption is available in February, May, August and November of each year.

Redemption on Termination Preferred Shares:
On November 30, 2014, equal to the lesser value of (i) $10.00 plus any accrued and unpaid distributions and (ii) the NAV of the Company on that date divided by the number of Preferred shares then outstanding.

Class A Shares:
On November 30, 2014, equal to the greater of (i) the NAV per unit (consisting of one Preferred share and one Class A share) minus $10.00 plus any accrued and unpaid distribution on the Preferred shares and (ii) nil.

Termination November 30, 2014
Fair Investor Terms Strong corporate governance
Commitment to low management fees and overall cost containment
TSX Listing Preferred Shares - DGS.PR.A
Class A Shares - DGS
CUSIP Preferred Shares - 25537Y203
Class A Shares - 25537Y104