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Tradex Global Equity Fund

Investment Objectives

To achieve long-term capital appreciation by investing primarily in closed-end fund companies whose investments are principally in a diversified portfolio of equity securities of issuers based in any country.

Investment Strategies

The Fund’s investment approach involves deciding which of the world’s stock markets and currencies have the best potential rate of return. Among the key economic and financial indicators studied are industrial production, short-term interest rates, the consumer price index, the balance of payments, and foreign exchange rates for each country.

Indirect investments in global stocks are made primarily through exchange traded closed-end fund companies managed by some of the world’s leading investment firms. The discounts at which most closed-end funds trade form a meaningful element in the portfolio strategy. Up to 25 percent of the book value of the portfolio may also be invested in shares of companies listed on exchanges other than Canadian exchanges. The Fund also invests in Index Participation Units (which mirror the performance of a particular exchange index).

Diversifying the portfolio across global markets allows gains in one country to be balanced by losses in another, thereby reducing risk. The Americas, Europe and Asia are all represented in the portfolio, with emerging markets not accounting for more than 20 percent of total investments. Funds representing a single country cannot account for more than 35 percent of the portfolio, with the exception of the United States.

The investment portfolio of most closed-end fund companies represents a cross-section of companies based in a country, geographic region or industry section further reducing risk through diversification.

Derivatives may be used for foreign currency hedging purposes only.

Should market conditions temporarily deteriorate, up to 50 percent of the portfolio could be converted to cash.

Portfolio Adviser

The portfolio is managed by City of London Investment Management Company Limited (CLIM), London, England (For more details on CLIM click here).

Minimum Purchase

$1,000 minimum initial purchase; minimum subsequent investment is $100. (The $1,000 minimum is waived in cases where the investor sets up a regular pre-authorized debit plan from his/her bank account and also in cases where parents or grandparents establish an in trust account for a minor.)

Performance Data: Period ending June 30, 2010

• To view rates of return click here.
• To view the Quarterly Reports on the Fund click here.

For More Information

• For more information on the Tradex Global Equity Fund see the prospectus and Other Regulatory Documents.
• For information on the other two Tradex funds click Tradex Bond Fund or Tradex Equity Fund.

Commissions, trailing commissions, management fees and expenses may all be associated with mutual fund investments. Please read the prospectus before investing. The rates of return include reinvestment of all distributions and do not take into account any sales, redemption, distribution or optional charges or income taxes payable by an investor that could have reduced returns. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.