Tax-advantaged investment structure
CI Corporate Class is structured as a single corporation consisting of many share classes, each of which represents separate investment mandates. CI Corporate Class offers these tax benefits for non-registered accounts:
- The low dividend payout policy. Capital losses from some corporate class funds may offset gains in other funds in the structure.
- Tax-efficient income. Corporate class dividends are in the form of Canadian and capital gains dividends — currently the most tax-efficient sources of income. This is the case regardless of investment mandate.
- The ability to generate tax-efficient cash flow through T-Class funds. T-Class offers investors the ability to access cash flow from Corporate Class as a return of capital.
- The benefit to all Corporate Class investors of aggregating expenses for all investment mandates across one corporate structure. These expenses will effectively reduce interest income and foreign dividends within the structure.
Why taxes matter
For high net worth investors, the compound growth resulting from deferring tax within the CI Corporate Class structure can result in significantly higher after-tax returns.