Press Releases

First Asset Renewable Power Flow-Through LP II Completes Initial Closing

Toronto, March 31, 2005 - First Asset Funds Inc. is pleased to announce that First Asset Renewable Power Flow-Through LP II (the "Partnership") has completed an initial closing of its public offering. The Partnership sold 781,150 units for gross proceeds of $7,811,500. The Partnership is offering up to 5 million units ($50 million) and a second closing will be held on or before April 28, 2005.

The Partnership is First Asset's second in the series of partnerships focused on renewable power. The first partnership, First Asset Renewable Power Flow-Through Limited Partnership, closed in September, 2004 and was fully invested by the end of the calendar year.

The Partnership's investment objectives are: (i) to make investments in Canadian issuers engaged in renewable electric power generation, primarily those using wind and hydro resources, energy efficiency system development, energy distribution and related infrastructure development; (ii) to provide investors with monthly distributions of income (anticipated to occur by July, 2007); and (iii) to maximize tax benefits for investors through investments in flowthrough shares. The General Partner, First Asset Power Funds II Inc., currently anticipates that it will implement an exchange transaction pursuant to which the Partnership will transfer its assets on a tax deferred basis to a listed issuer with similar investment objectives and Limited Partners will receive publicly traded securities in exchange for their units.

First Asset has retained Quantum Leap Asset Management Limited to assist the Partnership with implementing its investment strategy by identifying, structuring and monitoring all investments of the Partnership. Quantum Leap is a private operating, financial and strategic advisory firm focused exclusively in the renewable energy and efficiency marketplace and, within that marketplace, is a leading Canadian private equity investor.

The syndicate of agents for this offering was led by CIBC World Markets Inc. and included BMO Nesbitt Burns Inc., National Bank Financial Inc., TD Securities Inc., Dundee Securities Corporation, First Associates Investments Inc., HSBC Securities (Canada) Inc., Canaccord Capital Corporation, Desjardins Securities Inc., Raymond James Ltd. and Wellington West Capital Inc.

For further information, please contact Tanya Carey, Investor Relations, First Asset Funds Inc. at 416-642-1289 or 1-877-642-1289, or visit www.firstassetfunds.com.