Laurentian Bank: Laurentian Bank of Canada.
LBCFS: LBC Financial Services Inc.
GIC: Guaranteed Investment Certificate
Existing investment accounts are offered by Laurentian Bank of Canada or LBC Financial Services Inc. LBCFS is a wholly owned subsidiary of Laurentian Bank and a separate legal entity from Laurentian Bank, B2B Trustco and all other issuers or mutual fund companies whose products it distributes. Newly opened investment accounts will be offered by LBCFS. Every Laurentian Bank advisor is also a licensed LBCFS mutual fund representative. LBCFS’s liability is limited to the conduct of its representatives in the performance of their duties for LBCFS.
A return is not guaranteed and may be nil at maturity and if applicable, may be subject to either a minimum or maximum rate of return, which is determined and disclosed to you prior to the issuance. Your actual rate of return is contingent upon the performance of the reference index. As applicable, the rate of return is non-compounding over the term of the ActionGIC and calculated solely on the initial investment, which along with the applicable rate of return, is paid at maturity. The minimum and maximum rate of return may vary between issuances. The posted rate corresponds to the maximum rate AND MINIMUM RATE OF RETURN. The final rate of return of a Laurentian Bank ActionGIC is calculated based on the performance of the reference index between the issue date and the maturity date of the investment. If applicable, the rate of return is subject to the maximum and minimum rate of return. The value at maturity is obtained by calculating the average value of the index at closing, on the three dates for the calculation of the reference index as specified in the purchase agreement. The final return of the reference index is determined by calculating the sum of the return for each share in the reference index during the period divided by the number of shares making up the reference index. Since the rate of return of this investment depends on the performance of a reference index comprised of securities, any fluctuations in the reference index will affect the investment’s final rate of return and if applicable, will determine if a maximum or minimum rate of return will apply. Past performance is not an indicator of future performance. This investment is eligible for a non-registered or a registered plan such as an RRSP, RRIF or TFSA. A minimum investment of $500 is required. This product is eligible for deposit insurance from the Canadian Deposit Insurance Corporation (CDIC) up to the maximum limit for coverage from the CDIC and subject to applicable conditions. Laurentian Bank of Canada, Laurentian Trust of Canada Inc, LBC Trust are members of the CDIC. The terms and conditions of this product are available at the branch. Laurentian Bank of Canada reserves the right to modify, suspend or withdraw this offer at any time without notice. If applicable, since the ActionGIC is issued on a fixed date following an initial subscription period, any amount received before the issue date of this product will be invested in a short-term GIC (“Pending ActionGIC”) before the final issuance of the ActionGIC. The principal and any interest earned (annual fixed, simple interest, calculated daily) during this period will be automatically added at maturity of the Pending ActionGIC to the investment of the ActionGIC.
According to current tax laws that apply to Canadian residents, interest earned from the ActionGIC must be included in declared income of the year interest is paid. Laws governing accrued interest do not, as a rule, apply to investors of the ActionGIC. Consequently, the investor will not be required to add the theoretical earnings from an ActionGIC to their income. However, if a minimum guaranteed return is indicated this must be included annually in declared income. If applicable, the minimum rate of return is the rate used for tax purposes during the term of your investment. The minimum rate of return is divided into an equivalent compounded annual rate for the applicable term of the investment for tax purposes. As the full rate of return is only known at maturity, any interest earned above a minimum guaranteed return paid at maturity will need to be declared for the year in which it is paid out. If applicable, accrued interest on the Pending ActionGIC is added to the investor’s income for the year it was paid out. This information is general in nature and does not constitute legal or fiscal recommendations or opinions for investors. The investor must consult a legal or taxation advisor about their personal situation.
The investor has a right of cancellation of 2 days following the later of (i) the date of entry into Purchase Agreement and (ii) the date of deemed receipt of the Disclosure Notice. Investments are not redeemable before maturity. ActionGICs will not be listed on any securities exchange. No secondary market will be provided. ActionGICs are only redeemable before maturity in the event of your death or as otherwise permitted by law. In the event the ActionGIC is redeemed before maturity, your principal shall be reimbursed; however, no interest shall be paid. The Laurentian Bank ActionGIC is non-cashable prior to maturity under the Home Buyer’s Plan (HBP) or the Lifelong Learning Plan (LLP). The terms and conditions of this product are available at the branch. For more information, please contact an advisor or call 1-844-494-0076.