Meritage Portfolios^®

Are Meritage Strategic Portfolios automatically rebalanced?

Meritage strategic portfolios are rebalanced on an ongoing basis to fit the initial selection and prevent overexposure in any specific asset category. If a specific fund market value deviates more than 2.5% from its original target or an asset class varies by more than 5%, we will proceed with a rebalancing of the portfolio.

What is a corporate class portfolio?

Your personal situation and financial needs will change over your lifetime. For this reason, some Meritage Portfolios are also offered in a corporate class. These portfolios are specifically designed to adapt to the various stages of your life and help you reach your investment goals.

The Meritage Corporate Class Portfolios are share classes of the same mutual fund corporation.

Who can benefit from this solution?

This solution is particularly beneficial to:

• Affluent investors who have maximized their RRSP and TFSA contributions, and who have additional liquidities to invest.
• Retired investors who wish to maximize their eligibility to government benefits by reducing their level of taxable investment income.
  

What are the benefits of corporate class portfolios?

Compound growth

Deferred taxation of portfolio conversions combined with tax-efficient distributions over many years allow you to get the most out of your investment.

Tax-efficient distribution

You can transition from the accumulation phase to the payout phase within the corporate class structure without triggering a tax event. In addition, the T Series provides tax-efficient monthly distributions, consisting mainly of return of capital.

How to benefit from a tax-efficient distribution?

Certain Meritage Portfolios are also offered as income portfolios to provide you with stable monthly distributions¹ made up, in part, of net income and return of capital (ROC), which are tax-efficient sources of income compared to others. For instance, ROC distributions² are not taxable for the year in which they are collected, due to the tax deferral.

• Simplified Prospectus dated May 14, 2019
• Fund facts
• Proxy voting policy
• Proxy voting disclosing records

Investor Profile Questionnaire and Investment Policy Statement (IPS)

Meritage Portfolios provide a wide range of solutions, based on various criteria and suited for all types of investors. Regardless of your objectives, investment horizon and risk tolerance, there is a Meritage Portfolio that is right for you.

*Also offered in corporate class

1. Distributions are said to be stable as they do not usually change from one to the next. However, the distribution amount per security is not guaranteed and may be adjusted if this is required by market conditions. For more information, please consult the simplified prospectus of the Meritage Portfolios.

2. Return of capital (ROC) distributions gradually reduce the adjusted cost base (ACB) and are considered tax free until the fund units are redeemed. The annual distribution rate of each portfolio is adjusted to avoid a precipitous decline in the ACB. When the ACB drops to zero, subsequent ROC distributions are treated as capital gains in the year they are received.

Meritage Portfolios® (the “Portfolios”) are managed by National Bank Investments Inc., a wholly owned subsidiary of National Bank of Canada. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus of the Portfolios before investing. The Portfolios’ securities are not insured by the Canada Deposit Insurance Corporation or by any other government deposit insurer. The Portfolios are not guaranteed, their values change frequently and past performance may not be repeated.

® MERITAGE PORTFOLIOS and the Meritage Portfolios logo are registered trademarks of National Bank of Canada, used under license by National Bank Investments Inc.