Investment Objective

The primary objective of the strategy is to seek to preserve the value of the strategy’s investments with reduced portfolio volatility, while seeking to generate a moderate level of income with some potential for capital growth.

Investment Strategy

The strategy invests in securities of other investment funds managed by us, and may also invest in other securities, including exchange traded funds, to achieve its objectives. We use strategic and tactical asset allocation to create a portfolio diversified by asset class and markets, with an emphasis on moderate income generation and some growth of capital while seeking to reduce portfolio volatility. We seek to reduce losses from market declines, while recognizing that the strategy may not fully benefit from strong equity market growth. The portfolio generally includes exposure to global equities, U.S. equities, investment grade fixed-income securities and high yield bonds. Within its long-term asset mix, the strategy invests in a core portfolio and, from time to time, a satellite portfolio. The strategy’s core portfolio currently consists entirely of holdings in units of Guardian Directed Premium Yield Portfolio, Guardian Directed Equity Path Portfolio and any one or more of Guardian Canadian Bond Fund, Guardian High Yield Bond Fund, Guardian Investment Grade Corporate Bond Fund and Guardian Short Duration Bond Fund. On a tactical basis, the strategy may also invest from time to time in a satellite portfolio consisting of securities of other investment funds, exchange traded funds and other securities that are consistent with the strategy’s investment objectives. The strategy may be exposed to derivatives, used for hedging or non-hedging purposes, through its investments in underlying funds. The strategy may use derivatives to hedge against potential loss. The strategy may also use derivatives for non-hedging purposes, including options, futures and forward contracts, in order to gain exposure to certain securities without investing directly in such securities, to reduce the impact of currency fluctuations or volatility on the strategy or to provide protection for the strategy’s portfolio.

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Prospectus Series I