Sentry Select Principal-Protected Blue Chip Notes are a medium-term investment vehicle providing exposure to 45 blue-chip securities in three asset classes, while protecting 100 per cent of the investor’s capital.
The Notes are linked to the performance of 15 of the largest U.S. blue-chip equities, 15 of Canada’s largest blue-chip equities, and 15 of Canada’s largest blue-chip income trusts. Securities are selected for their stability and growth potential, and the portfolio is well diversified across all industry sectors.
Investors benefit in several key ways:
• If the Notes achieve a compound annual return of 8 per cent after four years, they may be called and investors would receive $136.05 per Note.
• If the Notes are not called, investors receive the full value of the portfolio appreciation after eight years.
• Should eight-year performance be negative, investors receive the full value of their original investment.
The Notes meet the needs of conservative investors who seek equity-level returns, but without risk. Investors will also be attracted by the large number of recognizable names in the blue-chip portfolio.
Portfolio holdings:
Canadian Income Trusts - 35% | Canadian Blue Chips - 30% | U.S. Blue Chips - 35% |
Yellow Pages Income Fund | Magna International Inc-CL A | |
Enerplus Resources Fund | Royal Bank of Canada | |
Inter Pipeline Fund LP-A | Transcanada Corp | |
Keyera Facilities Fncome Fund | Brookfield Asset Manage-CL A | Intl Business Machines Corp. |
Noranda Income Fund | Bank of Nova Scotia | |
Boardwalk Real Estate Invest | Enbridge Inc | |
Superior Plus Income Fund | Loblaw Companies Ltd | Verizon Communications Inc. |
Connors Brothers Income Fund | Manulife Financial Corp. | General Electric Co. |
Bell Aliant Regional Communi | Petro-Canada | |
BFI Canada Income Fund | Sun Life Financial Inc. | |
Riocan Real Estate Investment Trust | Teck Cominco Ltd-CL B | |
CML Healthcare Income Fund | Toronto-Dominion Bank | |
GAZ Metro LP | Thomson Corp. | |
Labrador Iron Ore Royalty Trust | Power Financial Corp. | |
H&R Real Estate Invstmnt-uts | TSX Group Inc | |
Portfolio allocation by sector: All securities within the portfolio, as chosen by the Sentry Select investment management team, will initially be weighted equally within each asset class. Apart from extraordinary events, the securities will not change. Asset class weightings may be adjusted quarterly by Sentry Select.
Sector | Allocation | Allowable Range |
Canadian Blue Chip Income Trusts | 35% | 30% to 50% |
Canadian Blue Chip Stocks | 30% | 25% to 40% |
U.S. Blue Chip Stocks | 35% | 25% to 40% |