Introducing the Scotia Dividend Fund GIC, offering the security of a GIC and the performance of a mutual fund together in one investment.
Key Features:
- Guaranteed principal
- Participation in the upside potential of the Scotia Canadian Dividend Fund
- 3-year term
- Available exclusively for registered investments
Consider this GIC if:
- You are looking for an innovative registered investment solution for your 2007 RSP contribution
- Preservation of capital is your primary consideration but you still want to take advantage of the potential growth in the Scotia Canadian Dividend Fund
Good to Know:
- Principal is guaranteed and repaid at maturity
- You have the potential to earn income at maturity based on the performance of the Scotia Canadian Dividend Fund, a Scotia mutual fund offering the potential for solid returns over the long-term with low volatility. This fund invests primarily in dividend-paying Canadian companies.
| At a Glance |
| Minimum Investment: |
$1,000 |
| Term: |
- 3 years from issue date for registered investments
- Non-transferable and non-redeemable until maturity
|
| Participation Rate3: |
Set on the first day of sales for each new issue |
| Interim Interest Rate: |
- Our regular 3-year non-redeemable GIC posted rate at the time of purchase.
- On the Issue Date, the interim interest earned is added to the initial investment amount and becomes the issue amount, which is fully guaranteed.
|
| Reference Point (for calculating potential returns) |
- Scotia Canadian Dividend Fund |
| Dividends Payable |
- None |
| RSP/RIF Eligible |
- Yes |
| CDIC Eligible |
- Yes |
| Interest Payment Frequency: |
Potential return - paid at maturity |
| Issuers†: |
- The Bank of Nova Scotia*
- Montreal Trust Company of Canada*
- National Trust Company*
|
Further Information
To ensure you understand what you are buying and the associated risks, the summary and description of features of this product are set out in the following document:
Scotia Dividend Fund GICs
Changes in the value of the Scotia Canadian Dividend Fund will affect the amount of any potential return payable under the Scotia Dividend Fund GIC. If the difference between the final fund net asset value of the Scotia Canadian Dividend Fund is less than or equal to the opening fund net asset value, the return will be zero. Investing in a Scotia Dividend Fund GIC is different than investing directly in the fund or the securities in the fund. For example, when you invest in a Scotia Dividend Fund GIC you participate in the appreciation, if any, of the Scotia Canadian Dividend Fund. You are not entitled to receive any distributions paid by the fund.
Scotia Dividend Fund GICs are non-redeemable, nontransferable guaranteed investment certificates whose rates of return, if any, are based on participation in the performance of the Scotia Canadian Dividend Fund. Scotia Dividend Fund GICs are available for registered deposits only subject to the terms of the particular plan. You should read the following summary and the detailed description of features contained in the Fact Sheet.
The Bank of Nova Scotia, Montreal Trust Company of Canada and National Trust Company are each referred to as “the Issuer.”
Calculation of Your Rate of Return
The potential rate of return on your Scotia Dividend Fund GIC is calculated by multiplying the participation rate for your Scotia Dividend Fund GIC by the difference between the final fund net asset value of the Scotia Canadian Dividend Fund at the close of business two business days prior to your Scotia Dividend Fund GIC maturity date and the opening fund net asset value of the Scotia Canadian Dividend Fund two business days after your Scotia Dividend Fund GIC issue date divided by the opening fund net asset value. ScotiaFunds are offered by Scotia Securities Inc., a corporate entity separate from, although wholly-owned by, The Bank of Nova Scotia. Commissions, trailing commissions, management fees and expenses may be associated with mutual fund investments. Please read the prospectus before investing. Copies are available through all branches of The Bank of Nova Scotia, Scotiabank and Trust, ScotiaMcLeod and authorized dealers. Mutual funds are not guaranteed or insured, their values change frequently and past performance may not be repeated. ScotiaMcLeod is a division of Scotia Capital Inc., member CIPF. Principal (the amount you initially invest plus any interim interest earned until the issue date) and any return earned will be paid at maturity. If the final fund net asset value of the Scotia Canadian Dividend Fund two business days prior to your GIC maturity date is equal to or less than the opening fund net asset value of the Scotia Canadian Dividend Fund at the close of business two business days after your GIC issue date, your return will be 0%.
Your Risks
You must be aware of, and carefully consider, the following:
Suitability
Before purchasing a Scotia Dividend Fund GIC you should consider its suitability in relation to your investment objectives.
Rate of Return
The return payable, if any, is based on participation in the performance of the Scotia Canadian Dividend Fund, which is a mutual fund. Mutual Funds have, in the past experienced significant movements and it is impossible to know their future direction. Scotia Dividend Fund GICs will not yield any return if the final fund net asset value of the Scotia Canadian Dividend Fund at the close of business two business days prior to the GIC maturity date is less than or equal to the opening fund net asset value of the Scotia Canadian Dividend Fund at the close of business two business days after the GIC issue date. Since your principal is unconditionally guaranteed, you would receive only your principal in this event. There is no guaranteed rate of return.
†The Bank of Nova Scotia, Montreal Trust Company of Canada and National Trust Company reserve the right to withdraw this offer at any time.
*Members of CDIC
3 Varies by issue date.
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