Communiqués de presse

First Asset Diversified Convertible Debenture Fund Announces Results of Unitholder Meeting

TORONTO, May 25, 2010 - First Asset Diversified Convertible Debenture Fund (TSX:DCD.UN) announces that at a special meeting of the Unitholders of the Fund held today, Unitholders approved a reorganization of the Fund to permit the Fund to gain exposure to its portfolio through a forward purchase and sale agreement with a Canadian chartered bank (or an affiliate thereof). The proposed use of the forward agreement will allow Unitholders to continue to have exposure to the portfolio of convertible debentures while facilitating tax efficient distributions to Unitholders (primarily returns of capital for income tax purposes until the Fund's capital loss carry-forwards have been used and, thereafter, returns of capital and capital gains for income tax purposes).

The manager of the Fund, First Asset Investment Management Inc., anticipates implementing the Reorganization shortly after June 30, 2010 but not later than July 31, 2010.

For further information, please contact Rob MacNiven, Investor Relations at 416-642-1289 or 1-877-642-1289 or visit www.firstasset.com.