Globevest Capital Alternative Growth Fund Financial Position (unaudited)

Transcription

1 Semi-Annual Financial Statement as of June 30 th, 2016

2 Financial Position (unaudited) (in thousands of Canadian dollars, except number of units and per unit amounts) December 31, 2015 $ $ ASSETS Investments Cash Margin deposits on derivative financial instruments Interest receivable Subscription of units receivable Other receivables LIABILITIES Unrealized depreciation on derivative financial instruments Management fees payable Redemption of units payable Other accrued expenses Net assets attributable to holders of redeemable units Net assets attributable to holders of redeemable units per series Series A Series A Series F Series F Series F Units outstanding Series A Series A Series F Series F Series F Net assets attributable to holders of redeemable units per series, per unit Series A1 9,06 9,31 Series A2 8,90 9,14 Series F1 9,15 9,38 Series F2 9,15 9,38 Series F3 9,51 9,76 The accompanying notes are an integral part of the financial statements. On Behalf of the Board of Directors of Globevest Capital Ltée Director Director

3 Comprehensive Income (unaudited) Six months ended June $ $ Income Interest revenue Net realized gain on sale of investments and derivative financial instruments Net realized gain (loss) on foreign currency (107) 270 Net change in unrealized appreciation (depreciation) of investments and derivative financial instruments (9 735) (6 018) Expenses Management fees Recordkeeping Custodial fees Fund valuation fees Audit fees 9 9 Commissions and other portfolio transaction costs Harmonized sales tax Other expenses - (11) Increase (decrease) in net assets attributable to holders of redeemable units (8 168) Increase (decrease) in net assets attributable to holders of redeemable units per series Series A1 (99) 117 Series A2 (233) 345 Series F1 (1 776) Series F2 (4 959) Series F3 (1 101) (8 168) Increase (decrease) in net assets attributable to holders of redeemable units per series, per unit Series A1 (0,35) 0,27 Series A2 (0,36) 0,28 Series F1 (0,20) 0,33 Series F2 (0,28) 0,35 Series F3 (0,26) 0,35 The accompanying notes are an integral part of the financial statements.

4 Cash Flows (unaudited) Six months ended June 30 (in thousands of Canadian dollars) $ $ OPERATING ACTIVITIES Increase (decrease) in net assets attributable to holders of redeemable units (8 168) Change in operating assets and liabilities Net realized (gain) loss on foreign currency 107 (270) Net realized (gain) loss on sale of investments and derivative financial instruments (1 040) (7 514) Net change in unrealized (appreciation) depreciation of investments and derivative financial instruments (2 250) Investments purchased (85 621) ( ) Proceeds from sale of investments Proceeds from sale of derivative financial instruments (21 474) (10 268) Derivative financial instruments purchased (25 648) Change in non-cash items Increase (decrease) in margin deposit on derivative financial instruments (1 258) (2 904) Increase (decrease) in interest receivable 272 (49) Increase (decrease) in other receivables (114) (107) Increase (decrease) in management fees payable (123) (44) Increase (decrease) in other accrued expenses - 13 (1 223) (3 091) Cash flows from operating activities (17 930) FINANCING ACTIVITIES Proceeds from units issued for cash Reinvestment of distributions ( ) (43 181) Amounts paid on redemption of units (63) (107) Cash flows from financing activities (93 806) Net change in cash (2 524) (8 612) Foreign exchange gain (loss) on cash (107) 270 Cash, beginning of period Cash, end of period 521 (741) Interest received included in the operating activites The accompanying notes are an integral part of the financial statements.

5 Changes in Net Assets Attributable to Holders of Redeemable Units (unaudited Six months ended June 30 (in thousands of Canadian dollars, except number of units) Series A1 Series A2 Series F1 Series F2 Series F $ $ $ $ $ $ $ $ $ $ Balance, beginning of year Increase (decrease) in net assets attributable to holders of redeemable units (99) 117 (233) 345 (1 776) (4 959) (1 101) Capital unit transactions (a) Proceeds from units issued for cash Reinvestments of distributions Amounts paid on redemptions of units (1 860) (475) (4 091) (1 509) (14 694) (14 653) (96 858) (25 097) (9 883) (1 479) (1 083) 406 (2 301) (1 012) (3 066) (2 649) (81 467) (5 465) Distributions to unitholders Net investment income (130) (99) (542) (762) (176) (135) Net realized gains on investments - (82) - (218) - (1 661) - (3 800) - (638) Total distributions - (82) - (218) (130) (1 760) (542) (4 562) (176) (773) Increase (decrease) in net assets attributable to holders of redeemable units for the year (1 182) 441 (2 534) (885) (4 972) (1 582) (86 968) (6 742) Balance, end of year (a) Capital unit transactions (number of units) Units outstanding, beginning of year Units issued for cash Units issued on reinvestments of distributions Units redeemed ( ) (48 322) ( ) ( ) ( ) ( ) ( ) ( ) ( ) ( ) Units outstanding, end of year The accompanying notes are an integral part of the financial statements.

6 Schedule of Investment Portfolio As at (Unaudited) Coupon % of Rate Maturity Par Average Current Net Security (%) Date Value Cost Value Assets $ $ $ BONDS CANADIAN BONDS Federal Bond & Guarantee Drummondville CEGEP ,2% Provincial Government & Guaranteed City of Quebec 1,200% Hydro Quebec Hydro-Ontario Hydro-Quebec Hydro-Québec Hydro-Québec Montréal Québec Nova Scotia Power Holdings Inc Ontario Electricity Financial Corp Ontario Hydro Corp Ontario Hydro Corp Province of British Columbia Province of British Columbia Province of Manitoba Province of Manitoba Province of New Brunswick Province of New Brunswick Province of New Brunswick Province of Newfoundland and Labrador Province of Newfoundland Province of Nova Scotia Province of Ontario Province of Ontario Province of Ontario Province of Ontario Province of Prince Edward Island Province of Prince Edward Island Province of Prince Edward Island Province of Prince Edward Island Province of Quebec Province of Quebec Province of Quebec Province of Saskatchewan Province of Saskatchewan ,2% Municipal Government & Guaranteed Bois-des-Filion 1,550% City of Laval (The) 1,950% City of Montreal 1,600% City of Montreal 1,850% City of Montreal 1,500% City of Montreal 1,000% City of Montreal 1,500% City of Montreal 2,000% City of Montreal 1,850% City of Montreal 1,200% City of Montreal 1,800% City of Montreal 1,400% City of Quebec 1,500% City of Quebec 2,000% City of Quebec 1,100% City of Quebec 1,550% City of Quebec 1,550% City of Quebec 1,050% City of Quebec 1,900% City of Quebec 1,050% City of Quebec 1,200% City of Quebec 1,200% City of Quebec 1,800% City of Quebec 1,200% City of Quebec 1,550%

7 Schedule of Investment Portfolio As at (Unaudited) Coupon % of Rate Maturity Par Average Current Net Security (%) Date Value Cost Value Assets $ $ $ BONDS City of Quebec 2,300% City of Quebec 2,250% City of Quebec 1,350% City of Quebec 1,450% Municipal Finance Authority of British Columbia 1,750% Regional Municipality of Waterloo (The) 1,350% Saint-Georges Quebec 1,850% Ville de Laval 1,250% Ville de Laval 1,500% Ville de Laval 1,500% Ville de Laval 1,300% Ville de Laval 1,850% Ville de Laval 1,300% Ville de Laval 1,800% Ville de Laval 1,500% Ville de Longueuil 2,000% ,2% Corporate Agrium Inc. 3,150% Aimia Inc Alimentation Couche-Tard Inc. 2,860% Alimentation Couche-Tard Inc. 3,320% American Express Canada Credit Corp. 2,310% Artis REIT 3,750% Bank of Montreal Bank of Montreal 2,240% Bank of Montreal 1,450% Bank of Montreal Bank of Montreal Bank of Montreal Bank of Nova Scotia 2,050% Bank of Nova Scotia Bank of Nova Scotia BCE Inc BCE Inc Bell Canada 3,350% Brookfield Office Properties Inc. 4,000% Calloway REIT 3,750% Canadian Imperial Bank of Commerce Canadian Natural Resources Ltd. 2,600% Canadian Natural Resources Ltd. 3,050% Canadian Western Bank 2,100% Canadian Western Bank 3,463% City of Montreal Cogeco Cable Inc Cominar REIT 4,230% Cominar REIT 4,000% CREIT 3,680% Daimler Canada Finance Inc. 1,420% Dollarama Inc. 3,100% Dream Office REIT 3,420% Enbridge Income Fund 2,920% Enbridge Pipelines Inc EnerCare Solutions Inc. 4,300% EnerCare Solutions Inc. 4,600% Equitable Group Inc. 5,400% Fairfax Financial Holdings Ltd Fairfax Financial Holdings Ltd Fairfax Financial Holdings Ltd Ford Credit Canada Ltd. 2,940% Ford Credit Canada Ltd. 2,920% GE Capital Canada Funding Co GE Capital Canada Funding Co General Motors Financial of Canada Ltd. 3,080% Goldcorp Inc. 2,120% Home Trust Co. (The) 2,350% Industrial Alliance Insurance and Financial Services Inc. 4,750% Kellogg Canada Inc. 2,050%

8 Schedule of Investment Portfolio As at (Unaudited) Coupon % of Rate Maturity Par Average Current Net Security (%) Date Value Cost Value Assets $ $ $ BONDS Laurentian Bank of Canada 2,560% Leisureworld Senior Care L.P. 3,470% Manulife Financial Corp. 0,000% Morguard Corp. 4,100% National Bank of Canada 2,020% National Bank of Canada 2,400% Penske Truck Leasing Canada Inc. 3,650% Reliance L.P. 5,190% RioCan REIT 3,720% RioCan REIT 2,870% Saputo Inc. 2,650% Shaw Communications Inc Shoppers Drug Mart Corp. 2,360% SNC-Lavalin Group Inc Sobeys Inc. 3,520% Standard Life Assurance Co. of Canada (The) 3,940% Sun Life Financial Inc Sun Life Financial Inc Sun Life Financial Inc TELUS Corp Thomson Reuters Corp. 3,370% Tim Hortons Inc. 2,850% Toronto-Dominion Bank (The) 2,170% Toronto-Dominion Bank (The) TransAlta Corp TransAlta Corp TransAlta Corp TransCanada Corp TransCanada Pipelines Ltd. 1,620% TransCanada PipeLines Ltd Transcontinental Inc. 3,900% WestJet Airlines Ltd. 3,290% ,3% TOTAL CANADIAN BONDS ,1% INTERNATIONAL BONDS Australia Brookfield Infrastructure Partners L.P. 3,460% ,1% Bermuda Ingersoll-Rand Global Holding Co. Ltd. 2,880% ,3% Netherlands ING Bank NV 1,800% ,1% Guernsey Guernsey CI Credit Suisse Group Funding (Guernsey) Ltd. 3,120% ,1% Luxembourg Actavis Funding SCS 1,300% Schlumberger Investment SA 1,250% ,4% Panama Carnival Corp. 3,950% ,3% United Kingdom Vodafone Group PLC 1,500% ,4% United States AbbVie Inc. 2,000% Actavis Inc. 1,880% Aetna Inc. 2,200% Agilent Technologies Inc. 3,200% Airgas Inc. 2,380% Allergan Inc. 1,350% American Express Co. 1,550% AT&T Inc. 1,400% AT&T Inc. 3,820%

9 Schedule of Investment Portfolio As at (Unaudited) Coupon % of Rate Maturity Par Average Current Net Security (%) Date Value Cost Value Assets $ $ $ BONDS Autodesk Inc. 1,950% Bank of America Corp. 2,000% Baxter International Inc. 1,850% Beam Inc. 1,750% Brinker International Inc. 2,600% Capital One NA 1,500% CBS Corp. 2,300% Citigroup Inc. 1,750% Citigroup Inc. 4,650% ConAgra Foods Inc. 1,900% Costco Wholesale Corp. 1,700% Daimler Finance North America LLC 2,380% Dollar General Corp. 1,880% Domtar Corp. 4,400% Dow Chemical Co. (The) 3,000% Dow Chemical Company (The) 2,300% Dr Pepper Snapple Group Inc. 2,000% ebay Inc. 1,350% Ecolab Inc. 1,450% Eversource Energy 1,450% FMC Technologies Inc. 2,000% Ford Motor Credit Co. LLC 2,380% Goldman Sachs Group Inc. (The) 2,620% Goldman Sachs Group Inc. (The) 3,550% Goldman Sachs Group Inc. (The) 3,380% Goldman Sachs Group Inc. (The) 5,200% International Business Machine Corp. 1,620% John Deere Capital Corp. 1,700% JPMorgan Chase & Co. 2,920% JPMorgan Chase & Co. 3,190% Kraft Heinz Foods Co. 2,000% Mattel Inc. 1,700% McDonald's Corp. 1,880% McKesson Corp. 1,400% Merrill Lynch & Co. Inc. 5,290% Metropolitan Life Global Funding I 2,000% Molson Coors International L.P. 2,250% Morgan Stanley 2,120% Murphy Oil Corp. 2,500% Murphy Oil Corp. 4,000% Mylan Inc. 2,550% Newmont Mining Corp. 3,500% Oracle Corp. 2,500% Praxair Inc. 1,250% Quest Diagnostics Inc. 2,700% Roper Industries Inc. 1,850% Safeway Inc. 3,950% Staples Inc. 2,750% Teva Pharmaceutical Finance IV LLC 2,250% Texas Instruments Inc. 1,650% Thermo Fisher Scientific Inc. 1,850% Time Warner Cable Inc. 4,120%

10 Schedule of Investment Portfolio As at (Unaudited) Coupon % of Rate Maturity Par Average Current Net Security (%) Date Value Cost Value Assets $ $ $ BONDS Verizon Communications Inc. 1,100% Viacom Inc. 2,200% Waste Management Inc. 2,900% Western Union Co. (The) 3,350% Whirlpool Corp. 1,650% Whirlpool Corp. 2,400% Xerox Corp. 2,750% ,8% TOTAL INTERNATIONAL BONDS ,5% TOTAL BONDS ,6% TOTAL INVESTMENTS ,6% Less: Transaction costs included in average cost ( ) TOTAL INVESTMENTS Margin ,1% Unrealized depreciation on derivative financial instruments (Table 1) ,6% Other Assets, less Liabilities ,1% TOTAL NET ASSETS ATTRIBUTABLE TO HOLDERS OF REDEEMABLE UNITS ,0% The accompanying notes are an integral part of these financial statements.

11 Derivative Financial Instruments Table (Table 1) (Unaudited) As at OPTIONS % of Number of Net Security Expiry Date Strike Price Options Proceeds Current Value Assets $ $ $ Written Put Options USD$ Options AbbVie Inc ,50 (300) (71 327) (39 727) AbbVie Inc ,50 (120) (38 878) (43 410) Adobe Systems Inc ,50 (50) (22 989) (15 633) Aetna Inc ,00 (50) (69 605) (20 187) Agrium Inc ,50 (100) (31 708) (55 554) Agrium Inc ,50 (60) (22 021) (20 348) Alaska Air Group Inc ,00 (200) ( ) ( ) Alaska Air Group Inc ,00 (80) (58 019) ( ) Alcoa Inc ,00 (200) (29 009) (17 312) Amazon.com Inc ,00 (12) (94 055) (31 821) Amazon.com Inc ,00 (10) (80 318) (31 653) Amgen Inc ,00 (160) ( ) ( ) Apache Corp ,00 (160) (59 516) (51 885) Apache Corp ,50 (60) (19 981) (26 162) Apple Inc ,00 (325) ( ) ( ) Apple Inc ,00 (100) (88 220) (88 822) Apple Inc ,50 (40) (40 106) (42 247) Avago Technologies Ltd ,00 (35) (25 051) (31 427) Avago Technologies Ltd ,00 (40) (60 209) (16 537) Avago Technologies Ltd ,00 (150) ( ) ( ) Bank of America Corp ,00 (1 300) ( ) (89 015) Bank of America Corp ,00 (130) (13 583) (23 765) Bank of America Corp ,00 (140) (9 302) (16 007) Bank of New York Mellon Corp. (The) ,00 (200) (56 920) (46 639) Bank of New York Mellon Corp. (The) ,00 (120) (45 045) (37 363) Barrick Gold Corp ,00 (300) (19 197) (969) Barrick Gold Corp ,00 (500) (97 531) (63 952) Barrick Gold Corp ,00 (300) (53 365) (27 906) Barrick Gold Corp ,00 (400) (93 357) (83 977) Biogen Inc ,00 (40) (74 269) (17 829) Biogen Inc ,00 (45) ( ) ( ) Biogen Inc ,00 (42) ( ) ( ) Blackstone Group L.P. (The) ,00 (400) ( ) ( ) Blackstone Group L.P. (The) ,00 (350) ( ) (44 088) Boeing Co. (The) ,00 (30) (21 738) (14 050) Carnival Corp ,00 (100) (49 065) (37 790) Caterpillar Inc ,50 (50) (13 618) (13 016) Caterpillar Inc ,50 (100) (49 044) (52 647) Caterpillar Inc ,50 (160) (50 281) (51 058) Celgene Corp ,00 (35) (25 554) (12 209) Celgene Corp ,00 (35) (28 018) (3 504) Celgene Corp ,00 (30) (16 619) (19 282) Celgene Corp ,00 (106) ( ) ( ) Celgene Corp ,00 (70) (97 785) (67 827) CenturyLink Inc ,00 (100) (17 498) (24 224) CenturyLink Inc ,00 (860) ( ) ( ) CF Industries Holdings Inc ,00 (700) ( ) ( ) Charles Schwab Corp. (The) ,00 (350) (90 925) (72 349) Charles Schwab Corp. (The) ,00 (100) (31 056) (31 330) Chevron Corp ,00 (50) (53 782) (13 081) Cigna Corp ,00 (60) (83 188) (56 394) Citigroup Inc ,50 (150) (34 652) (15 988) Citigroup Inc ,50 (160) (43 719) (35 451) Citigroup Inc ,00 (300) ( ) (82 749) Citigroup Inc ,00 (92) (43 220) (48 732) Comerica Inc ,00 (263) (56 064) (55 385) Comerica Inc ,00 (100) (23 073) (35 012) Corning Inc ,00 (300) (39 442) (32 170) Corning Inc ,00 (300) (75 052) (21 705) CSX Corp ,00 (400) ( ) (52 970) Cummins Inc ,00 (30) (12 378) (13 178) CVS Health Corp ,00 (30) (24 310) (9 011) D.R. Horton Inc ,00 (250) (38 207) (8 559) D.R. Horton Inc ,00 (100) (12 080) (11 111) Deere & Co ,00 (170) (52 556) (36 898) Delta Air Lines Inc ,00 (400) ( ) ( ) Delta Air Lines Inc ,00 (165) (98 188) ( ) E*TRADE Financial Corp ,00 (300) (31 694) (17 441) E*TRADE Financial Corp ,00 (400) (29 964) (9 819) E*TRADE Financial Corp ,00 (600) ( ) (96 121) E*TRADE Financial Corp ,00 (150) (22 066) (18 410) Eli Lilly and Co ,00 (200) (92 341) (7 623) Expedia Inc ,00 (160) ( ) (83 718) F5 Network Inc ,00 (100) (59 005) (29 779) Facebook Inc ,00 (90) (61 098) (61 626) First Solar Inc ,00 (360) ( ) ( ) Foot Locker Inc ,50 (360) ( ) ( ) Foot Locker Inc ,00 (50) (41 316) (50 386) Ford Motor Co ,00 (680) (40 836) (65 011) Ford Motor Co ,00 (300) (30 838) (48 254) Freeport-McMoRan Inc., Class 'B' ,00 (200) (10 487) (4 780) General Motors Co ,00 (300) (45 490) (84 687) General Motors Co ,00 (800) ( ) ( ) General Motors Co ,00 (120) (43 411) (54 649) Gilead Sciences Inc ,00 (120) (73 741) (63 176) Gilead Sciences Inc ,00 (260) ( ) ( ) GlaxoSmithKline PLC, ADR ,00 (120) (25 417) (1 938) Global Payments Inc ,00 (50) (19 418) (29 715) Goldcorp Inc ,00 (200) (33 673) (17 312) Goldcorp Inc ,00 (400) (63 307) (14 211) Goldcorp Inc ,00 (1 200) ( ) ( ) HCA Holdings Inc ,00 (100) (35 206) (19 702) Helmerich & Payne Inc ,00 (100) (29 480) (29 392) Helmerich & Payne Inc ,00 (200) (96 006) ( ) Helmerich & Payne Inc ,00 (11) (8 989) (2 167) Hewlett Packard Enterprise Co ,00 (200) (21 162) (11 628) HollyFrontier Corp ,00 (500) ( ) ( ) HollyFrontier Corp ,00 (100) (18 763) (90 437) Humana Inc ,00 (100) ( ) ( ) Intel Corp ,00 (300) (32 448) (16 666) Intrexon Corp ,00 (150) ( ) ( ) Intuitive Surgical Inc ,00 (10) (22 619) (10 400)

12 Derivative Financial Instruments Table (Table 1) (Unaudited) As at OPTIONS % of Number of Net Security Expiry Date Strike Price Options Proceeds Current Value Assets $ $ $ Jazz Pharmaceuticals PLC ,00 (80) ( ) (85 785) Jazz Pharmaceuticals PLC ,00 (50) (98 408) (44 895) JetBlue Airways Corp ,00 (550) ( ) ( ) JPMorgan Chase & Co ,00 (200) ( ) (58 009) JPMorgan Chase & Co ,00 (110) (60 694) (54 714) JPMorgan Chase & Co ,50 (112) (55 199) (25 250) KeyCorp ,00 (400) (21 498) (32 040) KeyCorp ,00 (400) (29 436) (48 061) KeyCorp ,00 (400) (48 119) (30 490) KKR & Co. L.P ,00 (700) (86 051) (56 523) KKR & Co. L.P ,00 (260) (19 197) (41 988) KKR & Co. L.P ,00 (400) ( ) ( ) KKR & Co. L.P ,00 (300) (65 433) (66 858) Kohl's Corp ,50 (300) ( ) ( ) Kohl's Corp ,00 (290) ( ) ( ) Lam Research Corp ,50 (60) (23 464) (18 992) Lam Research Corp ,00 (285) ( ) (89 290) Level 3 Communications Inc ,00 (200) (57 594) (29 715) Lincoln National Corp ,00 (150) (38 770) (37 596) Lincoln National Corp ,50 (300) (70 854) (98 834) Lincoln National Corp ,00 (200) (55 173) ( ) Lululemon Athletica Inc ,50 (180) ( ) (35 580) Macy's Inc ,50 (231) ( ) (98 485) Macy's Inc ,00 (100) (41 279) (28 681) Mallinckrodt PLC ,00 (320) ( ) (12 403) Mallinckrodt PLC ,00 (90) ( ) ( ) Marathon Oil Corp ,00 (300) (39 411) (35 464) Marathon Petroleum Corp ,00 (410) ( ) ( ) Marathon Petroleum Corp ,50 (100) (35 425) (45 218) Marathon Petroleum Corp ,50 (140) (30 727) (29 392) MetLife Inc ,00 (400) (49 391) ( ) MetLife Inc ,00 (230) (46 927) ( ) Michael Kors Holdings Ltd ,50 (400) ( ) (71 057) Michael Kors Holdings Ltd ,00 (6) (2 649) (756) Micron Technology Inc ,00 (800) (33 149) (7 752) Micron Technology Inc ,00 (400) (37 633) (28 681) Micron Technology Inc ,00 (250) (27 871) (10 820) Micron Technology Inc ,00 (1 000) ( ) (80 747) Micron Technology Inc ,00 (250) (27 969) (21 317) Microsoft Corp ,00 (500) (75 130) (84 300) Microsoft Corp ,50 (100) (29 570) (44 895) Microsoft Corp ,00 (100) (20 406) (29 456) Monster Beverage Corp ,00 (60) (46 739) (44 572) Monster Beverage Corp ,00 (40) (53 430) (22 480) Morgan Stanley ,00 (300) (54 732) (24 418) Morgan Stanley ,00 (500) ( ) ( ) Morgan Stanley ,00 (300) (76 816) (77 323) Mosaic Co. (The) ,00 (160) (55 519) (59 843) Mosaic Co. (The) ,50 (160) (35 759) (39 069) Mylan NV ,00 (400) ( ) ( ) Mylan NV ,00 (210) ( ) ( ) National-Oilwell Varco Inc ,00 (500) ( ) ( ) National-Oilwell Varco Inc ,50 (415) ( ) (94 632) National-Oilwell Varco Inc ,00 (140) (52 964) (21 886) NetEase Inc., ADR ,00 (76) ( ) (46 639) Netflix Inc ,00 (140) ( ) ( ) Netflix Inc ,00 (60) (89 056) (52 324) Newmont Mining Corp. Holding Co ,00 (160) (35 119) (13 126) Newmont Mining Corp. Holding Co ,00 (270) (97 286) (76 742) Newmont Mining Corp. Holding Co ,00 (300) ( ) (62 014) Nike Inc., Class 'B' ,00 (100) (25 108) (36 239) Nike Inc., Class 'B' ,00 (300) ( ) ( ) Nike Inc., Class 'B' ,00 (200) ( ) (53 099) NVIDIA Corp ,00 (100) (19 894) (21 059) NVIDIA Corp ,00 (100) (31 934) (33 720) NXP Semiconductors NV ,50 (60) (27 398) (68 215) NXP Semiconductors NV ,00 (96) (55 471) (61 393) NXP Semiconductors NV ,50 (60) (40 381) (31 007) NXP Semiconductors NV ,00 (115) ( ) ( ) ONEOK Inc ,50 (100) (29 884) (27 777) ONEOK Inc ,00 (100) (45 224) (36 498) Palo Alto Networks Inc ,00 (20) (18 914) (26 873) Palo Alto Networks Inc ,00 (60) ( ) ( ) PayPal Holdings Inc ,00 (370) (92 251) ( ) PayPal Holdings Inc ,00 (150) (37 673) (30 038) PayPal Holdings Inc ,00 (100) (30 203) (34 883) PayPal Holdings Inc ,00 (200) (89 797) (31 007) Phillips ,50 (88) (76 136) (28 991) Pioneer Natural Resources Co ,00 (45) (25 953) (51 161) Potash Corp. of Saskatchewan Inc ,00 (500) ( ) ( ) Potash Corp. of Saskatchewan Inc ,00 (600) ( ) ( ) Priceline Group Inc. (The) ,00 (10) (58 146) (84 106) Prudential Financial Inc ,00 (50) (16 783) (22 286) Prudential Financial Inc ,50 (350) ( ) ( ) Prudential Financial Inc ,00 (160) ( ) (82 168) Qualcomm Inc ,50 (80) (42 719) (40 567) Ralph Lauren Corp ,00 (40) (48 208) (78 292) Regeneron Pharmaceuticals Inc ,00 (10) (36 249) (70 153) Regeneron Pharmaceuticals Inc ,00 (90) ( ) ( ) Rio Tinto PLC, ADR ,50 (100) (28 466) (29 069) Ross Stores Inc ,50 (80) (25 024) (21 705) Royal Caribbean Cruises Ltd ,50 (100) (49 621) (88 176) Royal Caribbean Cruises Ltd ,00 (100) ( ) ( ) Royal Caribbean Cruises Ltd ,00 (100) (75 075) (55 231) salesforce.com Inc ,00 (120) (52 457) (66 277) Seagate Technology ,00 (180) (32 878) (32 673) Seagate Technology ,00 (300) (81 242) (78 874) ServiceNow Inc ,00 (100) (59 782) (33 268) Skechers U.S.A. Inc., Class 'A' ,00 (600) ( ) ( ) Skechers U.S.A. Inc., Class 'A' ,00 (290) ( ) ( ) Skyworks Solutions Inc ,50 (100) (59 358) (85 915) Southwest Airlines Inc ,00 (200) (33 955) ( ) Southwestern Energy Co ,00 (800) ( ) ( ) State Street Corp ,50 (100) (54 204) (90 759)

13 Derivative Financial Instruments Table (Table 1) (Unaudited) As at OPTIONS % of Number of Net Security Expiry Date Strike Price Options Proceeds Current Value Assets $ $ $ Suncor Energy Inc ,00 (500) (94 900) ( ) Suncor Energy Inc ,00 (300) (34 458) (36 821) Suncor Energy Inc ,00 (100) (31 099) (11 498) Tata Motors Ltd., ADR ,00 (500) ( ) (33 914) Tata Motors Ltd., ADR ,00 (300) (70 041) (18 410) Tesla Motors Inc ,00 (13) (28 753) (42 912) Tesla Motors Inc ,00 (12) (28 553) (22 790) Tesla Motors Inc ,00 (95) ( ) ( ) Tesla Motors Inc ,00 (20) (78 739) (53 745) Tesoro Corp ,00 (50) (48 834) ( ) Tesoro Corp ,00 (160) (79 489) ( ) Textron Inc ,00 (200) (77 774) (61 368) TripAdvisor Inc ,50 (150) ( ) (61 529) Twitter Inc ,00 (300) (51 398) (31 007) Tyson Foods Inc., Class 'A' ,00 (100) (17 527) (2 261) Ulta Salon, Cosmetics & Fragrance Inc ,00 (30) (23 523) (16 279) Ulta Salon, Cosmetics & Fragrance Inc ,00 (50) (63 914) (59 753) Ulta Salon, Cosmetics & Fragrance Inc ,00 (30) (44 214) (20 542) Ultimate Software Group Inc. (The) ,00 (50) (35 285) (30 038) United Continental Holdings Inc ,50 (200) ( ) ( ) United Continental Holdings Inc ,00 (80) (49 419) (72 349) United Rentals Inc ,00 (300) ( ) (54 262) United Therapeutics Corp ,00 (40) (77 595) (94 054) United Therapeutics Corp ,00 (25) (50 691) (93 020) Valero Energy Corp ,50 (100) (32 302) (43 280) Valero Energy Corp ,00 (305) ( ) ( ) Valero Energy Corp ,50 (285) ( ) ( ) Vertex Pharmaceuticals Inc ,00 (60) (97 985) ( ) Viacom Inc., Class 'B' ,00 (200) (38 530) (64 598) Viacom Inc., Class 'B' ,00 (220) (60 013) (28 423) Viacom Inc., Class 'B' ,00 (50) (16 532) (24 870) Viacom Inc., Class 'B' ,00 (250) ( ) (73 480) Vipshop Holdings Ltd ,00 (400) (47 287) (77 517) Vipshop Holdings Ltd ,00 (600) ( ) (71 703) Vipshop Holdings Ltd ,50 (500) ( ) ( ) Visa Inc., Class 'A' ,50 (100) (19 410) (32 880) Walgreens Boots Alliance Inc ,00 (100) (89 480) (65 243) Walt Disney Co. (The) ,00 (30) (31 745) (8 876) Western Digital Corp ,50 (120) (72 823) (47 285) Western Digital Corp ,00 (100) (47 836) (28 488) Western Digital Corp ,50 (100) (42 426) (20 154) Western Digital Corp ,50 (300) ( ) ( ) Whirlpool Corp ,00 (20) (14 625) (28 294) Whirlpool Corp ,00 (40) (37 446) (24 676) Whole Foods Market Inc ,00 (300) (30 466) (26 743) Whole Foods Market Inc ,00 (400) (69 478) (66 406) Whole Foods Market Inc ,00 (100) (41 581) (25 968) Xerox Corp ,00 (400) (39 005) (17 571) Zoetis Inc ,00 (10) (3 560) (1 906) Hertz Global ,00 (400) (49 493) (64 598) ( ) ( ) -8,7% TOTAL OF PUT OPTIONS - SHORT POSITION AND UNREALIZED DEPRECIATION OF DERIVATIVE FINANCIAL INSTRUMENTS ( ) ( ) -8,7% The accompanying notes are an integral part of these financial statements.

14 1 - THE FUND The Globevest Capital Alternative Growth Fund (the "Fund") is an open-ended mutual fund trust established under the laws of Ontario by Declaration of Trust on December 6, Globevest Capital Lteé (the Manager ) manages the Fund and is responsible for the investment management of the Fund. CIBC Mellon Trust Company (the Trustee ) is the trustee of the Fund. CIBC Mellon Global Securities Services Company (the Custodian ) is the custodian of the Fund. The address of the Fund's registered office and its principal place of business is 645 Saint-Maurice Street, Montréal, Quebec H3C 1L3, Canada. The Fund consists solely of put option writing secured by a bond portfolio. The Fund s secured put option writing strategy is to commit to buy a stock if it falls a certain percentage below its current market value (typically between 10% and 30%) in exchange for a premium. This approach reduces equity risk and generates an optimal risk-return ratio in a volatile or stagnant market. These interim financial statements were approved and authorized for publication by the Board of Directors of the Manager on August 29, SIGNIFICANT ACCOUNTING POLICIES Basis of presentation These financial statements are presented in Canadian dollars and have been prepared in compliance with International Financial Reporting Standards (IFRS), including IAS 34 Interim Financial Reporting, as well as the standards governed byregulation respecting Investment Fund Continuous Disclosure. Valuation of investments The Fund recognizes financial instruments at fair value upon initial recognition, plus transaction costs in the case of financial instruments measured at amortized cost. Derivative financial instruments are measured at fair value through profit or loss (FVTPL). Investments have been designated at FVTPL. A financial instrument can be designated at FVTPL if it is managed and if its yield is valued under the fair value method. All other financial assets and liabilities are measured at amortized cost. Fair value of investments and derivative financial instruments are measured using the same accounting policies as those used to measure the net asset value (NAV) transactions with unitholders. The change in appreciation of the fair value of investments and derivative financial instruments (including unrealized gains and losses on foreign exchange) and the average cost are included in the net assets attributable to holders of redeemable units and in the statements of comprehensive income under the caption Net change in unrealized appreciation (depreciation) of investments and derivative financial instruments.

15 2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) Fair value measurement Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value of financial assets and liabilities traded in active markets (such as publicly traded derivatives and marketable securities) are based on quoted market prices at the close of trading on the reporting date. The Fund uses the last traded market price for both financial assets and financial liabilities where the last traded price falls within that day s bid-ask spread. In circumstances where the last traded price is not within the bid-ask spread, the Manager determines the point within the bid-ask spread that is most representative of fair value based on the specific facts and circumstances. Furthermore, the Manager exercises its judgment in selecting the appropriate valuation technique for financial instruments that are not listed on an active market. The valuation techniques used are those that are currently applied by market participants. These methods and procedures may include, but are not limited to, performing comparisons with prices of comparable or similar securities, discounted cash flow analysis, obtaining valuation related information from issuers and/or other analytical data relating to the investment and using other available indicators of value. These values are independently assessed internally to ensure that they are reasonable. However, because of the inherent uncertainty of valuation, the estimated fair value of the aforementioned securities and interests may be materially different from the values that would have been used had a ready market for the investment existed. The fair values of such securities are affected by the perceived credit risks of the issuer, predictability of cash flows and the length of time to maturity. Derivative financial instruments Derivative financial instruments are deemed to be held for trading and therefore are recorded at fair value. Derivative financial instruments consist of option contracts, which are valued at their last traded market price where the last traded market price falls within the day s bid ask spread. Option contracts that are not traded in an active market are valued based on the results of valuation techniques using observable market inputs where possible, on such basis and in such manner established by the Manager. The premium received or paid on options written or purchased is recorded at cost. The unrealized gain or loss is reflected in the statements of comprehensive income as part of net change in unrealized appreciation or depreciation of investments and derivative financial instruments. The gain or loss on sale or expiry of options is reflected in the statements of comprehensive income as part of the net realized gain (loss) on sale of investments and derivative financial instruments. Investment transactions, transaction costs, and incomes and expenses Investment transactions are accounted for as of the trade date the date on which the Fund commits to purchase or sell the investment. The cost of investments represents the amount paid for each security and is determined as per the average cost basis. Realized gain (loss) on investment transactions and unrealized appreciation (depreciation) on investments are computed as per the average cost basis which excludes transaction costs. Income and expenses are recorded using the accrual basis of accounting. The interest income

16 2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) for distribution purposes presented in the statements of comprehensive income is the nominal interest amount received by the Fund. Except for zero coupon bonds which are amortized on a straight-line basis, the Fund does not amortize the premiums paid or discounts received upon the purchase of fixed income securities. Commission costs incurred in the purchase and sale of securities by the Fund and the other portfolio transaction costs are recognized in the statements of comprehensive income of the initial year. Other financial assets and liabilities Cash, margin deposits on derivative financial instruments, interest receivable and subscription of units receivable are classified as loans and receivable and recorded at amortized cost. Similarly, management fees payable and redemption of units payable are classified as other financial liabilities and are recorded at amortized cost. Cost or amortized cost approximates fair value for these assets and liabilities due to their short-term maturity. Units outstanding are classified as financial liabilities since they meet criteria for that classification. Derecognition Financial assets are derecognised when the contractual rights to the cash flows from the investments have expired or when the Fund has significantly transferred the risk and financial reward of their participation (ownership). Financial liabilities are derecognized when the obligation specified in the contract is discharged, cancelled or expired. Realized gains and losses are recognized based on the average cost method and included in the statements of comprehensive income of the year in which they occur. Impairment of financial assets At each reporting date, the Fund assesses whether there is objective evidence that financial assets at amortized cost are impaired. If such evidence exists, the Fund recognizes an impairment loss as the difference between the amortized cost of the financial asset and the present value of the estimated future cash flows, discounted using the instrument s original effective interest rate. Impairment losses on financial assets at amortized cost are reversed in subsequent years if the amount of the loss decreases and the decrease can be related objectively to an event occurring after the impairment was recognized. Foreign currency translation The reporting currency of the Fund is the Canadian dollar. The fair value of investments and other assets and liabilities denominated in a foreign currency is translated into Canadian dollars at the rate of exchange prevailing on each valuation date.

17 2 - SIGNIFICANT ACCOUNTING POLICIES (Continued) The Fund s investment portfolio may consist of securities that are traded in foreign markets. The proceeds on the sale of such securities will be realized in the respective currency. Unhedged foreign currency positions are subject to gains and losses due to fluctuations in the respective exchange rates. Foreign currency purchases and sales of investments and foreign currency interest income are translated into the reporting currency at the rate of exchange prevailing on the respective date of the transaction. Foreign exchange gains and losses on the sale of investments are included in the statements of comprehensive income. Unrealized foreign exchange gains and losses on investments are included in Net change in unrealized appreciation (depreciation) of investments and derivative financial instruments in the statements of comprehensive income. Valuation of redeemable units The NAV per unit is calculated at 4 p.m. (Eastern Time) on each valuation date by dividing net asset value attributable to each class by the number of units outstanding for the corresponding class. The valuation date means (i) the last business day in each calendar month; (ii) such other business days on which the Manager calculates or causes to be calculated the NAV; (iii) such other business days on which the Manager determines that NAV is required to be calculated for any purpose; and (iv) December 31 of each year. Increase (decrease) in net assets attributable to holders of redeemable units per unit per class The increase in net assets attributable to holders of redeemable units per series per unit reported in the statements of comprehensive income is calculated as the increase in net assets attributable to holders of redeemable units divided by the weighted average number of units outstanding during the year. Taxation Under the Income Tax Act (Canada), the Fund is defined as unit trust. All of the Fund s net asset for tax purposes and a sufficient portion of the net capital gains realized in any period must be distributed to holders of redeemable units to ensure no income tax is payable by the Fund. The Fund does not record income taxes. Hence, the tax benefit of capital and non-capital losses have not been reflected in the statements of financial position as a deferred income tax asset. The Fund currently incurs withholding taxes imposed by certain countries on investment income and capital gains. Such income and gains are recorded on a gross basis, and the related withholding taxes, if any, are shown as a separated expense in the statements of comprehensive income.