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Fundex Investments and Industrial Alliance Pursue their Growth Strategy by Signing a Strategic Alliance

Toronto,

News Release

FundEX Investments Inc., one of Canada’s fastest growing independent mutual fund dealers, and Industrial Alliance Insurance and Financial Services, one of Canada’s leading national financial services companies, are pleased to announce that they have reached an agreement whereby, upon regulatory approval, Industrial Alliance will have an ownership interest of 25% in FundEX. This transaction will allow FundEX to pursue the development of its original business model with Successful Independent Financial Planners.

"FundEX has experienced phenomenal growth over the past seven years," said Michael Brady, of the FundEX Board of Directors. "We see this new relationship with Industrial Alliance as an opportunity for our company to realize its full potential while maintaining the continued independence our Associates have come to expect."

"Industrial Alliance will not only bring us the additional resources necessary to focus on our growth and strategic initiatives, but will also give our Associates access to their leading expertise in the areas of individual and group insurance, tax and estate planning as well as portfolio management," said David Vowles, President and CEO of FundEX.

Normand Pépin, Executive Vice-President, Life Subsidiaries, of Industrial Alliance, states: "We are looking forward to working with current management of FundEX to improve the service that FundEX provides to its Associates. We believe that FundEX has an excellent and successful business model and we want to help Associates meet the challenges and cope as independents in this rapidly evolving market. Through its strong relationships with different independent distributors, Industrial Alliance was the #1 provider of individual insurance in Canada in 2001. This transaction fits in with Industrial Alliance’s strategy to develop the wealth management sector."

About FundEX Investments Inc.
Incorporated in 1995, FundEX Investments is a privately owned company. With over 500 licensees and more than $4 billion under administration, it remains one of Canada’s largest independent mutual fund dealerships. It is currently registered in all Canadian provinces.

About the Industrial Alliance Group
The Industrial Alliance Group is one of the most solid financial institutions in the country, where it is an industry leader in the field of insurance and financial services. The Group carries out its operations through Industrial Alliance (Quebec City), National Life (Toronto) and IAP Life (Vancouver). The sixth largest life and health insurance company in Canada, the Industrial Alliance Group insures over 1.5 million Canadians, employs more than 2,000 people and administers $16 billion in assets. Industrial Alliance has one of the largest independent broker distribution networks in Canada. Industrial Alliance stock is listed on the Toronto Stock Exchange, under the ticker symbol IAG. With a market capitalization of $1.6 billion, Industrial Alliance ranks among the 100 largest public companies in Canada.

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Information:
David Vowles
President and CEO
FundEX Investments Inc.
Office: (905) 305-1651
Cellular: (416) 984-0300

Jacques Carrière
Vice-President, Investor Relations
Industrial Alliance
Office: (418) 684-5275
Cellular: (418) 576-3624