Concerned about market volatility and its effect on your investments, but don't want to miss out on the opportunity to earn potentially stronger returns? Consider the National Bank Canadian Blue Chip III Note. The Note gives you access to a diversified basket of 20 Canadian companies and your principal is protected if you hold the note to maturity.

What is a principal-protected note?

A principal-protected note is a structured investment that guarantees capital preservation while providing the upside potential of stocks, bonds, commodities, mutual funds and other investment products. Notes are usually offered in series and sold in predetermined quantities. Similar to guaranteed investment certificates (GICs), notes must be held for a certain time period in order for gains to be realized.

Reference Portfolio

The securities included in the portfolio remain the same for the term of the note. The relative weight of each entity in the portfolio will vary based on changes in the value of the securities. For complete information, please see the brochure.

Benefits

The National Bank Canadian Blue Chip III Note offers several key benefits:

Unlimited potential return at maturity. Your potential return is unlimited at maturity if the Note is not redeemed by the issuer after four years
Principal is fully protected at maturity. Regardless of how markets perform over the eight-year term, your principal is protected if you hold the Note until maturity. The National Bank of Canada – Canada's sixth-largest bank – guarantees repayment of your principal at maturity
Access to 20 leading Canadian companies. Get returns based upon a reference portfolio of 20 Canadian companies without the fees associated with stock purchase or the need to perform time-consuming research

Is this right for me?	To top

The National Bank Canadian Blue Chip III Note might be a good investment if you have an investment horizon of eight years or more, are looking for principal protection and want to benefit from the growth potential of stock markets.

How is my return calculated?	To top

At the end of the eight-year term, return is based on the price appreciation of the reference portfolio of 20 Canadian companies. The return will not take into account dividends paid in respect of shares of companies in the reference portfolio.

Details you need to know

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Registration Eligibility	RRSP: 100%
	RESP: 100%
	RRIF: 100%
	DPSP: 100%
Selling period	Not available for sale at this time.
Issue date	December 7, 2007
Term	The Note has an eight-year term.and will mature on December 7, 2015. However, National Bank may redeem early after four years, at its option.
Price per Note	$100
Minimum investment	$1000 (10 Notes)
Issuer	National Bank of Canada
Guarantee	The National Bank of Canada – Canada's sixth-largest bank – guarantees repayment of the client's principal at maturity in eight years. The National Bank of Canada has an A credit rating from the S&P and an A (high) from DBRS (Dominion Bond Rating Service). The notes are not insured under the Canada Deposit Insurance Corporation Act or under any other insurance regime.
Tax treatment	No income taxes are payable before early redemption, sale or maturity, so the investment grows in a tax-sheltered environment. If an investor makes an early redemption, at his or her option, the gain (or loss) will normally be classified as a capital gain (loss). Otherwise, the excess return above the principal at maturity or early redemption by National Bank of Canada will be classified as interest.
Access to funds	Notes may be sold in a weekly secondary market intended to be maintained by National Bank Financial. There is an early redemption fee for notes sold within 24 months of purchase.
Availability for sale	Available to Canadian residents only.
Suitable for	Equity portion of investment portfolio.
Please refer to the Information Statement for complete details regarding the National Bank Canadian Blue Chip III Note. For the daily prices, please click here. For historical prices, please contact an Altamira Advisor at 1-888-ALTAMIRA.

Points to consider	To top

More earnings potential than a GIC No income taxes payable during the holding period. The interest earned on the notes is tax-deferred until maturity or mid-term redemption at National Bank's option The secondary market is intended to be maintained by National Bank Financial under normal market conditions. An early redemption fee will apply for the first 24 months. Approximately 10% annual compounded return if the Bank exercises its redemption right four years after the issue date

How do I sign up?

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It's simple...all you have to do is:

For new clients, download an application form, request one by telephone or pick one up at the Altamira Investment Centre nearest you. For existing clients, contact an Altamira Advisor.
Complete the application form and return to Altamira along with a cheque.

Need help? Contact an Altamira Advisor at 1-866-351-6925 or send us an e-mail.

Important

The Canadian Blue Chip III Note is being issued by the National Bank of Canada and is a principal-protected investment redeemable at maturity. National Bank will have the option to redeem the Note 4 years after issuance, in accordance with the conditions detailed in the Information Statement. Therefore, a Holder of the Notes may not be able to participate fully in the increase of the Reference Portfolio that may have occurred up to such date. The fluctuation of the Reference Portfolio will directly impact the return payable. It is possible that no return will be paid at maturity. The complete information related to this issue of the Notes is included in an Information Statement which will be sent to investors prior to the closing date.

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