TD U.S. Blue Chip Equity Fund

Transcription

1 (03/17) TD Mutual Funds for the period ended This contains financial highlights, but does not contain the complete annual financial statements of the investment fund. You can get a copy of the annual financial statements at your request, at no cost, by calling , by writing to us at TD Asset Management Inc., P.O. Box 100, 66 Wellington Street West, TD Bank Tower, Toronto-Dominion Centre, Toronto, Ontario, M5K 1G8, by to td.mutualfunds@td.com, or by visiting our website at tdassetmanagement.com or the SEDAR website at sedar.com Securityholders may also contact us or visit our website to get a copy of the investment fund s interim financial report, proxy voting policies and procedures, proxy voting disclosure record, or quarterly portfolio disclosure at no cost.

2 ntd U.S. Blue Chip Equity Fund Management Discussion of Fund Performance Investment Objectives and Strategies The investment objective of the TD U.S. Blue Chip Equity Fund ( Fund ) is to achieve long-term capital growth and provide current income by investing primarily in U.S. common stocks of large and medium-sized blue chip companies with the potential for aboveaverage growth. In seeking to achieve this objective, the Fund invests at least 65 percent of total assets in common stocks of large and medium-sized U.S. blue chip growth companies, which are well established in their industries and have the potential for above-average earnings. The Fund may also invest in foreign stocks, preferred stocks, convertible securities, warrants, investment-grade fixed income securities, hybrids, and private placements. Risk The risks of investing in the Fund remain as outlined in the simplified prospectus. Results of Operations The Investor Series units of the Fund returned negative 4.7 percent* for the year ended ( Reporting Period ), versus 3.4 percent for the Fund s product benchmark, the Russell 1000 Growth Total Return Index (C$) ( Russell 1000 Growth TR Index (C$) ). Returns for other series of the Fund may vary, largely due to differences in fees and expenses. Unlike the benchmark, the Fund s return is quoted after the deduction of fees and expenses. Market Update Despite a sharp decline at the beginning of the Reporting Period, U.S. stocks rose over the Reporting Period, with major indices reaching record highs near year-end. Small- and mid-capitalization stocks substantially outperformed large-cap stocks. Key Contributors/Detractors At the overall sector level, stock selection was largely responsible for the Fund s relative underperformance, but sector allocation was also negative. The health care sector was the largest relative detractor, mainly due to stock selection, but the Fund s substantial exposure to the sector also detracted from performance. Early in the Reporting Period, Alexion Pharmaceuticals, Inc. s share price declined along with other larger biotechnology stocks. The company issued a disappointing earnings forecast that fell below consensus analyst estimates, and its share price declined sharply in the second quarter after the announcement of disappointing results of a phase III clinical trial. The stock experienced further volatility later in the Reporting Period after the company delayed the filing of its quarterly financial statements and removed its CEO and CFO. Allergan PLC s share price declined earlier in the Reporting Period, when the company s proposed merger with Pfizer, Inc. was called off after the U.S. Treasury Department issued a notice aimed at curbing the benefits of tax inversions. The Sub-Adviser subsequently trimmed the Fund s position. The information technology sector underperformed due to stock selection. Information technology holding Salesforce.com, Inc. detracted from relative performance in the latter half of the Reporting Period, largely in response to a lack of clarity surrounding the company s acquisition strategy. Sentiment weighed on the stock based on its failed pursuit of acquiring LinkedIn Corporation and rumours of the CEO s interest in acquiring Twitter, Inc. The consumer discretionary sector underperformed due to stock selection. Travel and leisure companies Norwegian Cruise Line Holdings Ltd. and Royal Caribbean Cruises Ltd. weighed on relative performance during the Reporting Period due to heightened uncertainty about global travel trends. The financials sector was the leading relative contributor to performance, mainly on stock selection, although significant exposure to the sector also helped. Global investment bank Morgan Stanley s share price rose sharply in the second half of the Reporting Period along with the broader financials sector. The outcome of the U.S. presidential election led investors to view the outlook for financials in a positive light amid expectations for reduced regulations, lower corporate taxes and rising interest rates and inflation, which should benefit the sector. Real estate outperformed on stock selection, and the Fund s limited exposure to one of the worst-performing sectors also helped. Wireless tower operator American Tower Corporation contributed, particularly in the first half of the Reporting Period when defensive businesses that pay dividends were heavily in favour as investors searched for yield and stability amid low interest rates in fixed income. The company is structured as a real estate investment trust. Recent Developments On November 21, 2016, TD Asset Management Inc. announced the following changes to take effect on or about March 28, 2017: The maximum annual management fees of Investor Series and Advisor Series will be lowered from 2.00 percent to 1.85 percent. The maximum annual management fees of F-Series will be lowered from 1.00 percent to 0.95 percent. The maximum annual management fees of D-Series will be lowered from 1.25 percent to 1.20 percent. * This section compares the returns relative to the Fund s product benchmark. See the Past Performance section for a comparison of the Fund s performance relative to the general market index. 1

3 Large-cap growth stock valuations appear relatively attractive versus their value counterparts and compared with small- and mid-cap stocks, which recorded solid fourth-quarter and 12-month gains. The Sub-Adviser is not concerned that interest rates are rising, because moderately rising interest rates are a sign that the economy is growing. If the new U.S. President s agenda is pursued successfully, the Sub-Adviser anticipates that multinational companies should benefit from improving global growth. The Sub-Adviser also anticipates that large-cap growth stocks should benefit from a decrease in corporate tax rates and an increase in infrastructure spending in Related Party Transactions Affiliates of TD Asset Management Inc. ( TDAM ) may earn fees and spreads in connection with various services provided to, or transactions with, the Fund, such as in connection with banking, custody, brokerage and derivatives transactions. Manager, Trustee and Portfolio Adviser: TDAM, a wholly-owned subsidiary of The Toronto-Dominion Bank ( TD ), is the manager, trustee and portfolio adviser of the Fund. TDAM has retained T. Rowe Price Associates, Inc. as sub-adviser of the Fund in addition to TDAM. The Fund pays TDAM an annual management fee, which may vary for each series of Fund units, and an annual administration fee of 0.30 percent with respect to the Investor Series, Advisor Series and D-Series units of the Fund. Administration and Securityholder Services: TDW, in addition to acting as a dealer, also provides administration and securityholder services to the Private-EM Series units of the Fund for which such costs are reflected in the operating expenses for the Private-EM Series units of the Fund. These services include securityholder account maintenance and reporting. Buying and Selling Securities: TDAM has established an independent review committee ( IRC ) which acts as an impartial and independent committee to review and provide recommendations or, if appropriate, approvals respecting any conflict of interest matters referred to it by TDAM. The IRC prepares, at least annually, a report of its activities for securityholders of the Fund. The report is available on the TDAM website at tdassetmanagement.com or at the securityholder s request at no cost by contacting TDAM (see front cover). The Fund did not engage in any portfolio transactions requiring IRC approval during the Reporting Period. Distributor: For certain series of units of the Fund, TD Investment Services Inc., a wholly-owned subsidiary of TD, is the principal distributor for which it is paid a trailer commission by TDAM. Units of the Fund are also distributed through brokers and dealers including TD Waterhouse Canada Inc. ( TDW ), a wholly-owned subsidiary of TD. TDW, like other dealers, is paid a trailer commission by TDAM for distributing certain series of units of the Fund. Trailer commissions are paid by TDAM out of the management fees it receives from the Fund and are based on the average value of assets held by each dealer. Registrar and Transfer Agent: TD is the registrar and transfer agent of the Fund, and as such maintains all unitholder records, processes purchase, switch, conversion and redemption orders, issues investor statements and prepares annual tax reporting information on behalf of the Fund. TD earns a foreign exchange spread when unitholders switch between units of funds denominated in different currencies. The Fund also maintains bank accounts and overdraft provisions with TD for which TD earns a fee. 2

4 Financial Highlights The following tables show selected key financial information about the Fund and are intended to help you understand the Fund s financial performance for the past five fiscal years, as applicable. Net Assets per Unit ($) 1 INVESTOR SERIES Net Assets, Beginning of Year Total Revenue Total Expenses (excluding distributions) (0.82) (0.80) (0.62) (0.49) (0.38) Realized Gains (Losses) for the Period Unrealized Gains (Losses) for the Period (3.98) Total Increase (Decrease) from Operations 2 (1.79) From Net Investment Income (excluding dividends) From Dividends From Capital Gains Return of Capital Total Annual Distributions Net Assets at December INSTITUTIONAL SERIES Net Assets, Beginning of Year Total Revenue Total Expenses (excluding distributions) (0.46) (0.44) (0.33) (0.25) (0.18) Realized Gains (Losses) for the Period Unrealized Gains (Losses) for the Period (5.03) Total Increase (Decrease) from Operations 2 (1.62) From Net Investment Income (excluding dividends) From Dividends From Capital Gains Return of Capital Total Annual Distributions Net Assets at December ADVISOR SERIES Net Assets, Beginning of Year Total Revenue Total Expenses (excluding distributions) (0.37) (0.36) (0.28) (0.22) (0.16) Realized Gains (Losses) for the Period Unrealized Gains (Losses) for the Period (1.81) Total Increase (Decrease) from Operations 2 (0.83) From Net Investment Income (excluding dividends) From Dividends From Capital Gains Return of Capital Total Annual Distributions Net Assets at December Footnotes for the above table(s) can be found at the end of the Net Assets per Unit section. 3

5 Net Assets per Unit ($) 1 (continued) F-SERIES Net Assets, Beginning of Year Total Revenue Total Expenses (excluding distributions) (0.22) (0.20) (0.16) (0.12) (0.09) Realized Gains (Losses) for the Period Unrealized Gains (Losses) for the Period (2.27) Total Increase (Decrease) from Operations 2 (0.81) From Net Investment Income (excluding dividends) From Dividends From Capital Gains Return of Capital Total Annual Distributions Net Assets at December D-SERIES * Net Assets, Beginning of Year N/A N/A N/A Total Revenue N/A N/A N/A Total Expenses (excluding distributions) (0.19) (0.04) N/A N/A N/A Realized Gains (Losses) for the Period N/A N/A N/A Unrealized Gains (Losses) for the Period (0.98) 0.54 N/A N/A N/A Total Increase (Decrease) from Operations 2 (0.18) 0.63 N/A N/A N/A From Net Investment Income (excluding dividends) N/A N/A N/A From Dividends N/A N/A N/A From Capital Gains N/A N/A N/A Return of Capital N/A N/A N/A Total Annual Distributions N/A N/A N/A Net Assets at December N/A N/A N/A PRIVATE-EM SERIES 2016* Net Assets, Beginning of Year N/A N/A N/A N/A Total Revenue 0.08 N/A N/A N/A N/A Total Expenses (excluding distributions) (0.04) N/A N/A N/A N/A Realized Gains (Losses) for the Period 0.87 N/A N/A N/A N/A Unrealized Gains (Losses) for the Period 0.43 N/A N/A N/A N/A Total Increase (Decrease) from Operations N/A N/A N/A N/A From Net Investment Income (excluding dividends) 0.00 N/A N/A N/A N/A From Dividends 0.00 N/A N/A N/A N/A From Capital Gains 0.00 N/A N/A N/A N/A Return of Capital 0.00 N/A N/A N/A N/A Total Annual Distributions N/A N/A N/A N/A Net Assets at December N/A N/A N/A N/A Footnotes for the above table(s) can be found at the end of the Net Assets per Unit section. 4

6 Net Assets per Unit ($) 1 (continued) O-SERIES Net Assets, Beginning of Year Total Revenue Total Expenses (excluding distributions) (0.04) (0.04) (0.02) (0.02) 0.00 Realized Gains (Losses) for the Period Unrealized Gains (Losses) for the Period (4.49) Total Increase (Decrease) from Operations 2 (1.66) From Net Investment Income (excluding dividends) (0.06) 0.00 From Dividends From Capital Gains Return of Capital Total Annual Distributions (0.06) 0.00 Net Assets at December This information is derived from the Fund s audited annual financial statements. The Fund adopted International Financial Reporting Standards ( IFRS ) on January 1, 2014 and accordingly adjusted the immediately preceding financial year ended December 31, 2013 to reflect the amounts in accordance with IFRS. Previously, financial statements were prepared as per Canadian generally accepted accounting principles ( GAAP ) under which the Fund measured fair values of its investments based on bid prices for long positions and ask prices for short positions. As such, the net assets per unit presented in the financial statements may have differed from the net asset value ( NAV ) per unit calculated for fund pricing purposes. Under IFRS, the Fund measures fair values of its investments based on close market prices, where the close market price falls within the bid-ask spread or based on quotations from recognized dealers. As such, the Fund s accounting policies for measuring the fair value of investments in the financial statements are substantively consistent with those used in measuring the NAV for transactions with unitholders. All figures presented prior to January 1, 2013 were prepared in accordance with Canadian GAAP. 2 Net assets and distributions are based on the actual number of units outstanding at the relevant time. The increase (decrease) from operations presented in the Net Assets per Unit tables starting from fiscal year 2013 are based on the weighted average number of units outstanding over the financial periods. The increase (decrease) from operations prior to 2013 were calculated by aggregating each valuation day s increase (decrease) from operations divided by the number of units outstanding on that date. These tables are not intended to be a reconciliation of the net assets per unit. 3 Distributions were paid in cash or reinvested in additional units of the Fund, or both. * Data reported represents results from the commencement of operations to December 31 of the year indicated. Please refer to the Year-by-year returns charts in the Past Performance section for commencement date. Initial offering price. Ratios and Supplemental Data INVESTOR SERIES Total Net Asset Value ($000s) 1 441, , , , ,910 Number of Units Outstanding (000s) 1 13,763 15,354 13,728 12,830 9,645 Management Expense Ratio (%) Waivers or Absorptions (%) Trading Expense Ratio (%) Portfolio Turnover Rate (%) Net Asset Value per Unit ($) INSTITUTIONAL SERIES Total Net Asset Value ($000s) 1 5,848 7,193 7,912 10,185 11,627 Number of Units Outstanding (000s) Management Expense Ratio (%) Waivers or Absorptions (%) Trading Expense Ratio (%) Portfolio Turnover Rate (%) Net Asset Value per Unit ($) ADVISOR SERIES Total Net Asset Value ($000s) 1 138, , ,356 70,127 26,020 Number of Units Outstanding (000s) 1 9,609 11,049 8,712 7,110 3,893 Management Expense Ratio (%) Waivers or Absorptions (%) Trading Expense Ratio (%) Portfolio Turnover Rate (%) Net Asset Value per Unit ($) Footnotes for the above table(s) can be found at the end of the Ratios and Supplemental Data section. 5

7 Ratios and Supplemental Data (continued) F-SERIES Total Net Asset Value ($000s) 1 66,717 73,739 18,862 8,574 2,037 Number of Units Outstanding (000s) 1 3,667 3,920 1, Management Expense Ratio (%) Waivers or Absorptions (%) Trading Expense Ratio (%) Portfolio Turnover Rate (%) Net Asset Value per Unit ($) D-SERIES Total Net Asset Value ($000s) 1 4,357 3,097 N/A N/A N/A Number of Units Outstanding (000s) N/A N/A N/A Management Expense Ratio (%) N/A N/A N/A Waivers or Absorptions (%) N/A N/A N/A Trading Expense Ratio (%) N/A N/A N/A Portfolio Turnover Rate (%) N/A N/A N/A Net Asset Value per Unit ($) N/A N/A N/A PRIVATE-EM SERIES Total Net Asset Value ($000s) 1 197,983 N/A N/A N/A N/A Number of Units Outstanding (000s) 1 17,865 N/A N/A N/A N/A Management Expense Ratio (%) N/A N/A N/A N/A Waivers or Absorptions (%) 0.35 N/A N/A N/A N/A Trading Expense Ratio (%) N/A N/A N/A N/A Portfolio Turnover Rate (%) N/A N/A N/A N/A Net Asset Value per Unit ($) N/A N/A N/A N/A O-SERIES Total Net Asset Value ($000s) 1 1,376,056 1,733,836 1,386,607 1,050, ,415 Number of Units Outstanding (000s) 1 43,731 53,885 57,803 52,439 52,562 Management Expense Ratio (%) 2, Waivers or Absorptions (%) Trading Expense Ratio (%) Portfolio Turnover Rate (%) Net Asset Value per Unit ($) This information is provided as at December 31 of the past five fiscal years, as applicable. 2 Management expense ratio is based on total expenses (excluding distributions, commissions and other portfolio transaction costs) for the stated period and is expressed as an annualized percentage of daily average NAV during the period. It excludes any operating expenses waived or absorbed by TDAM, which may be discontinued at any time by TDAM at its discretion without notice. 3 The trading expense ratio represents total commissions and other portfolio transaction costs expressed as an annualized percentage of daily average NAV during the stated period. 4 The Fund s portfolio turnover rate ( PTR ) indicates how actively the Fund s portfolio adviser manages its investments. A PTR of 100% is equivalent to the Fund buying and selling all of the securities in its portfolio once in the course of the stated period. The higher a fund s PTR, the greater the trading costs payable by the fund in the period, and the greater the chance of an investor receiving taxable capital gains in the fiscal year. There is not necessarily a relationship between a high turnover rate and the performance of a fund. 5 No fees or expenses are paid by this series. 6

8 Management Fees As manager and trustee of the Fund, TDAM is responsible for the overall business and affairs of the Fund including activities related to making units of the Fund available to investors, and providing, or arranging for the provision of, investment advisory services and marketing services to the Fund. In consideration for the provision of such services, each series of the Fund, other than O-Series units, pays TDAM a management fee. Management fees are calculated and accrued as a percentage of the net asset value of each series of units of the Fund, as of the close of business on each business day for each series and are paid monthly to TDAM. The maximum management fee is the maximum fee that can be charged to each series of units of the Fund according to the simplified prospectus. TDAM may charge management fees that are less than the management fees TDAM is otherwise entitled to charge each series of units of the Fund. The actual manage ment fee is the annualized fee that was charged for the Reporting Period. TDAM may charge the maximum management fee without notice to unitholders. Management fees for the Reporting Period and a breakdown of the major services rendered for each series, as a percentage of the actual management fees, are as follows: Maximum Actual Dealer Waived (expressed as a %) Mgmt. Fee Mgmt. Fee Compensation Expenses Other Investor Series Institutional Series Advisor Series F-Series D-Series Private-EM Series O-Series N/A N/A N/A There are no management fees or expenses paid by the Fund in respect of O-Series units of the Fund. Unitholders in the O-Series pay a negotiated fee directly to TDAM. In addition to the management fee paid, unitholders in the Private-EM Series pay a negotiated fee directly to TDAM, their dealer or TD Waterhouse Private Investment Counsel Inc. Investment advisory, trustee, marketing services and other. The Fund will reduce the maximum management fee of certain series on or about March 28, Please refer to the Recent Developments section for further details. Past Performance The following charts show how the Fund has performed in the past, and can help you understand the risks of investing in the Fund. These returns include the reinvestment of all distributions and would be lower if an investor did not reinvest distributions. They do not include deduction of sales, switch, redemption, or other optional charges (which dealers may charge) or income taxes payable, and these returns would be lower if they did. The Fund s past performance does not necessarily indicate how it will perform in the future. Year-by-year returns The bar charts show how the Fund s performance has varied from year to year for each of the years shown. They show in percentage terms how an investment made on January 1 would have increased or decreased by December 31. 7

9 * From February 4, 2016 (commencement of operations) to Past 10 Past 5 Past 3 Past (expressed as a %) years years years year INVESTOR SERIES Product Benchmark S&P 500 TR Index (C$) INSTITUTIONAL SERIES Product Benchmark S&P 500 TR Index (C$) ADVISOR SERIES Product Benchmark S&P 500 TR Index (C$) F-SERIES Product Benchmark S&P 500 TR Index (C$) Since Past 5 Past 3 Past (expressed as a %) inception years years year (Start date October 20, 2015) D-SERIES 5.8 N/A N/A -3.9 Product Benchmark 10.4 N/A N/A 3.4 S&P 500 TR Index (C$) 14.2 N/A N/A 8.1 (Start date February 4, 2016) PRIVATE-EM SERIES 10.8 N/A N/A N/A Product Benchmark 12.5 N/A N/A N/A S&P 500 TR Index (C$) 16.8 N/A N/A N/A (Start date April 6, 2010) O-SERIES Product Benchmark S&P 500 TR Index (C$) Annual Compound Returns The following table shows the annual compound total returns for each series of units of the Fund for each of the periods indicated ended on, compared with the following benchmarks: Product Benchmark: Russell 1000 Growth TR Index (C$) This index measures the performance of those Russell 1000 companies with higher priceto-book ratios and higher forecasted growth values. Over the Reporting Period, units of the Investor Series and Advisor Series returned negative 4.7 percent, Institutional Series and F-Series returned negative 3.2 percent, D-Series returned negative 3.9 percent and O-Series returned negative 2.2 percent. This compares to a return of 8.1 percent for the broader S&P 500 TR Index (C$). Since its inception on February 4, 2016, the Private-EM Series retuned 10.8 percent versus 16.8 percent for the S&P 500 TR Index (C$) for the same period. Variations in the returns for the different series of the Fund are largely due to differences in fees and expenses. Unlike the index, the Fund s return is quoted after the deduction of fees and expenses. Relative to the broader index, the Fund s stock selection in the health care and information technology sectors was a lead detractor. General market indices: S&P 500 Total Return Index (C$) ( S&P 500 TR Index (C$) ) This index is comprised of 500 widely-held U.S. companies. 8

10 Summary of Investment Portfolio as at % of Net Asset Value as at % of Net Asset Value ASSET ALLOCATION U.S. Equities 91.6 International Equities 7.1 Canadian Equities 0.4 Cash 0.7 Other Net Assets (Liabilities) 0.2 PORTFOLIO DETAILS Information Technology 33.5 Consumer Discretionary 25.0 Health Care 18.3 Industrials 8.4 Financials 8.2 Consumer Staples 3.0 Real Estate 2.0 Materials 0.4 Utilities 0.3 Cash 0.7 Other Net Assets (Liabilities) 0.2 TOTAL NET ASSET VALUE (000s) $ 2,230,586 TOP 25 INVESTMENTS 1. Amazon.com Inc Alphabet Inc Facebook Inc The Priceline Group Inc Microsoft Corporation Visa Inc MasterCard Incorporated Danaher Corporation UnitedHealth Group Incorporated Morgan Stanley Alibaba Group Holding Limited American Airlines Group Inc American Tower Corporation Tencent Holdings Limited salesforce.com, inc Celgene Corporation Intercontinental Exchange Inc The Boeing Company Allergan PLC NXP Semiconductors NV Netflix Inc Walgreens Boots Alliance Inc Aetna Inc Stryker Corporation Thermo Fisher Scientific Inc. 1.2 Total % of Net Asset Value represented by these holdings 61.7 Note: Totals may not add due to rounding to one decimal place of individual figures. The Summary of Investment Portfolio may change due to ongoing portfolio transactions of the Fund. Updates are available quarterly. You may obtain the most current quarterly information by contacting TD Mutual Funds at , by writing to us at TD Asset Management Inc., P.O. Box 100, 66 Wellington Street West, TD Bank Tower, Toronto, Ontario, M5K 1G8, or by to td.mutualfunds@td.com 9

11 Caution regarding forward-looking statements Certain portions of this report, including, but not limited to, Results of Operations and Recent Developments, may contain forward-looking statements including, but not limited to, statements about the Fund, its strategy, risks, expected performance and condition. Forward-looking statements include statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as expects, anticipates, intends, plans, believes, estimates and similar forward-looking expressions or negative versions thereof. In addition, any statement that may be made concerning future performance, strategies or prospects, and possible future Fund action, is also a forward-looking statement. Forward-looking statements are based on current expectations and projections about future general economic, political and relevant market factors, such as interest rates, foreign exchange rates, equity and capital markets, and the general business environment, in each case assuming no changes to applicable tax or other laws or government regulation. Expectations and projections about future events are inherently subject to, among other things, risks and uncertainties, some of which may be unforeseeable. Accordingly, assumptions concerning future economic and other factors may prove to be incorrect at a future date. Forward-looking statements are not guarantees of future performance, and actual events could differ materially from those expressed or implied in any forward-looking statements made by the Fund. Any number of important factors could contribute to these digressions, including, but not limited to, general economic, political and relevant market factors in North America and internationally, interest and foreign exchange rates, equity and capital markets, business competition, technological change, changes in government relations, unexpected judicial or regulatory proceedings and catastrophic events. The above mentioned list of important factors is not exhaustive. You are encouraged to consider these and other factors carefully before making any investment decisions and you are urged to avoid placing any undue reliance on forward-looking statements. Further, there is no specific intention of updating any forward-looking statements contained herein whether as a result of new information, future events or otherwise. For Funds with references to FTSE TMX Canada indices: FTSE TMX Global Debt Capital Markets Inc 2017 FTSE is a trade mark of FTSE International Ltd and is used under licence. TMX is a trade mark of TSX Inc. and is used under licence. All rights in the FTSE TMX Global Debt Capital Markets Inc s indices and/or FTSE TMX Global Debt Capital Markets Inc s ratings vest in FTSE TMX Global Debt Capital Markets Inc and/or its licensors. Neither FTSE TMX Global Debt Capital Markets Inc nor its licensors accept any liability for any errors or omissions in such indices and/or ratings or underlying data. No further distribution of FTSE TMX Global Debt Capital Markets Inc s data is permitted without FTSE TMX Global Debt Capital Markets Inc s express written consent. TD Mutual Funds, TD Pools and the TD Managed Assets Program portfolios are managed by TD Asset Management Inc., a wholly-owned subsidiary of The Toronto-Dominion Bank and are available through authorized dealers. All trademarks are the property of their respective owners. The TD logo and other trade-marks are the property of The Toronto-Dominion Bank. 10