Management Report of Fund Performance for the period ended June 3, 218 This semi-annual management report of fund performance contains financial highlights but does not contain the complete semi-annual or annual financial statements of the investment fund. You can get a copy of the semi-annual or annual financial statements at your request, and at no cost, by calling 1-888-664-4784, by writing to us at United Financial, 2 Queen Street East, Twentieth Floor, Toronto, ON, M5C 3G7 or by visiting our website at www.assante.com or SEDAR at www.sedar.com. Securityholders may also contact us using one of these methods to request a copy of the investment fund s proxy voting policies and procedures, proxy voting disclosure record, or quarterly portfolio disclosure. RESULTS OF OPERATIONS The net asset value of the Fund increased by $6.2 million to $257.9 million from December 31, 217 to June 3, 218. The Fund had net redemptions of $.5 million for the period. The portfolio s performance increased assets by $6.7 million. Class W units returned 2.7%, after fees and expenses for the six-month period ended June 3, 218. Over the same time period, the Fund s benchmark returned 1.9%. The benchmark is the S&P/TSX Composite Total Return Index. The performance of the Fund s other classes is substantially similar to that of Class W units, except for differences in the structure of fees and expenses. For the returns of the Fund s other classes, please refer to the Past performance section. It was a similar picture at home, producing a flat year curve. The two-year Government of Canada bond yield rose about 2 basis points, while the -year issue rose about 13 basis points to 2.16%. The 3-year issue, meantime, went against the trend and declined about 6 basis points. The Bank of Canada has held rates steady through most of the period after raising rates 25 basis points to 1.25% in January. The Fund outperformed the benchmark, due in part to its overweight exposure to the industrials sector. Its energy holdings detracted from relative performance. The portfolio also had overweight positions in the consumer sectors and information technology, and was underweight in financials and energy. The year began with a positive backdrop of strong, synchronized worldwide economic growth, accelerating corporate earnings and passage of U.S. tax-reform legislation. While the economic backdrop was constructive, we encountered difficulty finding attractive risk-return investment opportunities where expectations were not already very bullish. This combination of excessive expectations and elevated valuations caused us to enter 218 with abovenormal cash positions in our portfolio. The market climate changed quickly as investor focus shifted to risks based on inflation pressures, difficult trade negotiations and rising short-term interest rates. This led to increased volatility early in the first quarter, which, in turn, created opportunities for us to deploy cash into both new and existing positions that met our investment process criteria and had reached our buy targets. In Canada, the benchmark S&P/TSX Composite Index finished the first half of the year about 2% higher, while the broad S&P 5 Index in the United States gained nearly 3% in Canadian-dollar terms. This was supported by an extremely strong January that saw the U.S. benchmark rise about 6%, its best start to a year since 23, before leveling off for the remainder of the period. The U.S. dollar appreciated about 4% against its Canadian counterpart, and rose against most major currencies. Global markets also ended the first half of the year mixed as the MSCI World Index was down marginally, while the MSCI EAFE Index shed about 3%. North American short-term interest rates rose, particularly in the U.S., where the yield on two-year Treasury bonds rose more than.6% to 2.53%. This compares with yields on -year treasuries rising about 4 basis points to finish at 2.86% and resulting in a flattening yield curve. The U.S. Federal Reserve raised rates twice during the period, as policymakers reacted to a strong economy and firming inflation data. Apart from a slight increase in financials and a decrease in energy, there were no substantive changes in sector positioning during the period. Industrials, energy and consumer staples remained the largest sectors at period-end. The cash position dropped to 8.7% from 14.6% at the beginning of 218. Among individual securities, Keyera Corp. was the largest holding at the end of the period. Tesco PLC and TFI International Inc. made the largest contribution to relative performance, while Symantec Corp. was the biggest detractor. RECENT DEVELOPMENTS We continue to focus on finding high quality companies with identifiable competitive advantages at attractive prices. With financial conditions tightening as short-term interest rates rise, the investment team will monitor leading indicators for signs the global economy may be softening. This may be somewhat offset by the benefits of U.S. tax reform, which should stimulate capital spending and support economic growth in the back half of 218 and beyond. In Canada, the focus is on the housing market and consumer debt levels, which could make the domestic economy vulnerable to a slowdown. The Fund s strategy will remain disciplined to our bottom-up fundamental investment process that targets attractive risk-reward opportunities. When evaluating the investment merits of a business, a broad range of scenarios are considered to determine the potential upside as well as possible downside. This evaluation is an integral part of the firm s investment process and helps prepare for potential volatility. We will continue to monitor these developments and be ready to act if compelling risk-adjusted return opportunities arise. Effective April 3, 218, Karen Fisher became a member of the CI Board of Governors ( BOG ) and the Independent Review Committee ( IRC ) of the Fund. Meanwhile, Christopher Hopper resigned from the role as a member of the BOG and IRC. CIG - 968
Management Report of Fund Performance for the period ended June 3, 218 RELATED PARTY TRANSACTIONS Manager, Trustee and Portfolio Adviser CI Investments Inc. is the Manager, Trustee and Portfolio Adviser of the Fund. CI Investments Inc. is a subsidiary of CI Financial Corp. The Manager, in consideration of management fees, provided management services required in the day-to-day operations of the Fund. The Manager bears all of the operating expenses of the Fund (other than taxes, borrowing costs and new governmental fees) in return for a fixed administration fee. Management fee and fixed administration fee rates as at June 3, 218, for each of the classes are shown below: Annual management fee rate (%) Annual fixed administration fee rate (%) Class A 2.5.2 Class E 1.9.2 Class E3 1.88.19 Class E4 1.8.15 Class E5 1.72. Class F.9.2 Class F3.88.19 Class F4.8.15 Class F5.72. Class I Paid directly by investor - Class OF 1.5.2 Class W Paid directly by investor.2 Assante Capital Management Ltd. Assante Financial Management Ltd. Independent Review Committee The Fund received standing instructions from the Fund s Independent Review Committee with respect to the following related party transactions: a) trades in securities of CI Financial Corp.; b) purchases or sales of securities of an issuer from or to another investment fund managed by the Manager; c) purchases or sales of other investment funds managed by the Manager or their affiliates; and d) mergers involving the Fund and another fund managed by the Manager that is subject to National Instrument 81-2 - Investment Funds. The applicable standing instructions require that related party transactions be conducted in accordance with the Manager s policies and procedures and that the Manager advise the IRC of any material breach of a condition of the standing instructions. The standing instructions require, among other things, that investment decisions in respect of related party transactions (a) are free from any influence by an entity related to the Manager and without taking into account any consideration relevant to an entity related to the Manager; (b) represent the business judgment of the Manager uninfluenced by considerations other than the best interests of the Fund; (c) are made in compliance with the Manager s policies and procedures; and (d) achieve a fair and reasonable result for the Fund. Transactions made by the Manager under the standing instructions are subsequently reviewed by the IRC on a quarterly basis to monitor compliance. The Fund relied on the IRC s standing instructions regarding Related Party Transactions during this reporting period. The Manager received $.2 million in management fees and $.2 million in fixed administration fees for the period. Management Fees Approximately 15% of total management fees were used to pay for sales and trailing commissions and other services required. The remaining 85% of management fees were used to pay for investment management and other general administration. Inter-Fund Trading Inter-fund trading occurs when a Fund purchases or sells a security of any issuer from or to another Fund managed by the Manager. These transactions are executed through market intermediaries and under prevailing market terms and conditions. The Independent Review Committee reviews such transactions during scheduled meetings. During the period ended June 3, 218 the Fund executed inter-fund trades. Principal Distributor The Manager has the exclusive right to arrange for the distribution of units of the Fund. Pursuant to a series of agreements, the right to distribute such units has been granted, on a collective basis, to the following dealers, each of which is an affiliate of the Manager.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS The following tables show selected key financial information about the Fund and are intended to help you understand the Fund s financial performance for the past six periods, as applicable. Net Assets per Unit ($) (1) (2) (4) * Increase (decrease) from operations: Distributions: Total Realized Unrealized Total increase From net investment Net assets Net assets at the beginning Total expenses (excluding gains (losses) for gains (losses) for (decrease) from income (excluding From From capital Total at the end of the period of period (2) revenue distributions) the period the period operations (2) dividends) dividends (2, 3) gains Return of capital distributions shown (2) $ $ $ $ $ $ $ $ $ $ $ $ Class A Commencement of operations December 28, 26 Jun. 3, 218 22.85.15 (.33).31.13.26 - - - - - 23.16 Dec. 31, 217 22.43.21 (.65) 1.62 (.81).37 - - - - - 22.85 Dec. 31, 216 18.23.24 (.57) 1.89 2.53 4.9 - - - - - 22.43 Dec. 31, 215 19.5.28 (.56) 2.23 (2.63) (.68) - - - - - 18.23 Dec. 31, 214 16.24.2 (.51) 2.36.73 2.78 - - - - - 19.5 Dec. 31, 213 11.23.14 (.4) 4.7 1.33 5.14 - - - - - 16.24 Class E Commencement of operations October 16, 28 Jun. 3, 218 32.54.21 (.38).44.25.52 - - - - - 33.8 Dec. 31, 217 31.77.29 (.74) 2.32 (1.1).86 - - - - - 32.54 Dec. 31, 216 25.66.33 (.64) 2.72 3.48 5.89 - - - - - 31.77 Dec. 31, 215 26.64.4 (.62) 2.89 (3.82) (1.15) - - - - - 25.66 Dec. 31, 214 22.58.28 (.57) 3.37.87 3.95 - - - - - 26.64 Dec. 31, 213 15.52.21 (.46) 5.36 1.9 7.1 - - - - - 22.58 Class E3 Jun. 3, 218.9.6 (.12).13.7.14 - - - - -.26 Dec. 31, 217..7 (.15).46 (.39) (.1) - - - - -.9 Class E4 Jun. 3, 218..7 (.11).14.14.24 - - - - -.28 Dec. 31, 217..7 (.14).44 (.39) (.2) - - - - -. Class E5 Jun. 3, 218.11.7 (.).12.16.25 - - - - -.29 Dec. 31, 217..7 (.13).47 (.35).6 - - - - -.11 Class F Jun. 3, 218.16.7 (.6).13.11.25 - - - - -.39 Dec. 31, 217..7 (.8).45.2.64 - - - - -.16 *Footnotes for the tables are found at the end of the Net Assets per Unit section of the Financial Highlights.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS (cont d) Net Assets per Unit ($) (1) (2) (4) * Increase (decrease) from operations: Distributions: Total Realized Unrealized Total increase From net investment Net assets Net assets at the beginning Total expenses (excluding gains (losses) for gains (losses) for (decrease) from income (excluding From From capital Total at the end of the period of period (2) revenue distributions) the period the period operations (2) dividends) dividends (2, 3) gains Return of capital distributions shown (2) $ $ $ $ $ $ $ $ $ $ $ $ Class F3 Jun. 3, 218.17.7 (.6).13.6.2 - - - - -.4 Dec. 31, 217..7 (.8).5.45.94 - - - - -.17 Class F4 Jun. 3, 218.18.7 (.6).16.22.39 - - - - -.41 Dec. 31, 217..8 (.7).43.26.7 - - - - -.18 Class F5 Jun. 3, 218.18.7 (.5).14.9.25 - - - - -.43 Dec. 31, 217..7 (.6).55 (.37).19 - - - - -.18 Class I Commencement of operations March 2, 29 Jun. 3, 218 38.98.26 -.52.4 1.18 - - - - - 4.9 Dec. 31, 217 37.18.36-2.71 (1.16) 1.91 - - - - - 38.98 Dec. 31, 216 29.34.38-3.28 4.32 7.98 - - - - - 37.18 Dec. 31, 215 29.77.45-3.49 (6.14) (2.2) - - - - - 29.34 Dec. 31, 214 24.65.3-3.11.5 3.46 - - - - - 29.77 Dec. 31, 213 16.55.23-5.74 2.23 8.2 - - - - - 24.65 Class OF Commencement of operations December 12, 27 Jun. 3, 218 23.13.15 (.22).34.12.39 - - - - - 23.56 Dec. 31, 217 22.48.21 (.43) 1.62 (.72).68 - - - - - 23.13 Dec. 31, 216 18.9.23 (.38) 1.99 2.58 4.42 - - - - - 22.48 Dec. 31, 215 18.71.28 (.36) 1.83 (3.13) (1.38) - - - - - 18.9 Dec. 31, 214 15.79.2 (.31) 2.64.8 3.33 - - - - - 18.71 Dec. 31, 213.8.15 (.26) 3.75 1.26 4.9 - - - - - 15.79 Class W Commencement of operations May 1, 2 Jun. 3, 218 49.99.32 (.6).68.4 1.34 - - - - - 51.36 Dec. 31, 217 47.78.46 (.11) 3.49 (1.59) 2.25 - - - - - 49.99 Dec. 31, 216 37.78.5 (.9) 4.17 5.72.3 - - - - - 47.78 Dec. 31, 215 38.42.59 (.9) 3.98 (5.32) (.84) - - - - - 37.78 Dec. 31, 214 31.89.4 (.8) 4.8 1.33 6.45 - - - - - 38.42 Dec. 31, 213 21.46.29 (.6) 7.65 2.6.48 - - - - - 31.89 *Footnotes for the tables are found at the end of the Net Assets per Unit section of the Financial Highlights.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS (cont d) (1) This information is derived from the Fund s semi-annual and annual financial statements. (2) Net assets per unit and distributions per unit are based on the actual number of units outstanding for the relevant class at the relevant time. The increase (decrease) in net assets from operations per unit is based on the weighted average number of units outstanding for the relevant class over the fiscal period. (3) Distributions are automatically reinvested in additional units of the Fund. (4) This information is provided for the period ended June 3, 218 and the years ended December 31.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS (cont d) Ratios and Supplemental Data (1) (5) * Total net assets (5) Number of units outstanding (5) Management expense ratio before taxes (2) Management expense ratio after taxes (2) Effective HST rate for the period (2) Harmonized Trading Portfolio sales tax (2) expense ratio (3) turnover rate (4) $ s s % % % % % % Class A Commencement of operations December 28, 26 Jun. 3, 218 2,822 122 2.7.22 2.92 8.3.14 27.45 Dec. 31, 217 3,24 14 2.7.22 2.92 8.11.8 44. Dec. 31, 216 3,986 178 2.7.22 2.92 8.13.13 85.23 Dec. 31, 215 4,39 241 2.7.22 2.92 8.29.16 124.53 Dec. 31, 214 5,94 312 2.7.23 2.93 8.65.19 113.64 Dec. 31, 213 6,983 43 2.7.26 2.96 9.42.6 211.28 Class E Commencement of operations October 16, 28 Jun. 3, 218 9,577 29 2..23 2.33 11.5.14 27.45 Dec. 31, 217,363 319 2..23 2.33 11.2.8 44. Dec. 31, 216 14,127 445 2..22 2.32.71.13 85.23 Dec. 31, 215 13,544 528 2..2 2.3 9.65.16 124.53 Dec. 31, 214 12,31 462 2..21 2.31.15.19 113.64 Dec. 31, 213 8,14 361 2..25 2.35 12.17.6 211.28 Class E3 Jun. 3, 218 1,997 195 2.7.24 2.31 11.65.14 27.45 Dec. 31, 217 2,4 238 2.7.25 2.32 11.96.8 44. Class E4 Jun. 3, 218 287 28 1.95.23 2.18 11.87.14 27.45 Dec. 31, 217 27 27 1.95.23 2.18 11.9.8 44. Class E5 Jun. 3, 218 7 7 1.82.24 2.6 13.28.14 27.45 Dec. 31, 217 58 6 1.82.24 2.6 13.15.8 44. Class F Jun. 3, 218 338 33 1..16 1.26 14.84.14 27.45 Dec. 31, 217 239 24 1.9.16 1.25 14.53.8 44. *Footnotes for the tables are found at the end of the Financial Highlights section.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS (cont d) Ratios and Supplemental Data (1) (5) * Total net assets (5) Number of units outstanding (5) Management expense ratio before taxes (2) Harmonized sales tax (2) Management expense ratio after taxes (2) Effective HST rate for the period (2) Trading expense ratio (3) Portfolio turnover rate (4) $ s s % % % % % % Class F3 Jun. 3, 218 248 24 1.7.16 1.23 14.74.14 27.45 Dec. 31, 217 141 14 1.7.14 1.21 13.35.8 44. Class F4 Jun. 3, 218 137 13.94.13 1.7 14.31.14 27.45 Dec. 31, 217 138 14.95.12 1.7 13..8 44. Class F5 Jun. 3, 218 1.82.11.93 13..14 27.45 Dec. 31, 217 1.83..93 13..8 44. Class I Commencement of operations March 2, 29 Jun. 3, 218 18,296 456 - - - -.14 27.45 Dec. 31, 217 15,47 397 - - - -.8 44. Dec. 31, 216 9,99 245 - - - -.13 85.23 Dec. 31, 215 6,559 224 - - - -.16 124.53 Dec. 31, 214 3,995 134 - - - -.19 113.64 Dec. 31, 213 2,3 94 - - - -.6 211.28 Class OF Commencement of operations December 12, 27 Jun. 3, 218 195 8 1.7.21 1.91 12.29.14 27.45 Dec. 31, 217 179 8 1.7.21 1.91 12.56.8 44. Dec. 31, 216 164 7 1.7.22 1.92 13..13 85.23 Dec. 31, 215 122 7 1.7.22 1.92 13..16 124.53 Dec. 31, 214 127 7 1.7.13 1.83 7.45.19 113.64 Dec. 31, 213 363 23 1.7.19 1.89 11.6.6 211.28 Class W Commencement of operations May 1, 2 Jun. 3, 218 223,946 4,361.2.2.22 11.85.14 27.45 Dec. 31, 217 219,213 4,385.2.2.22 11.7.8 44. Dec. 31, 216 183,369 3,838.2.2.22 11.2.13 85.23 Dec. 31, 215 116,64 3,86.2.2.22.66.16 124.53 Dec. 31, 214 93,886 2,444.2.2.22.8.19 113.64 Dec. 31, 213 75,512 2,368.2.2.22 11..6 211.28 *Footnotes for the tables are found at the end of the Financial Highlights section.
Management Report of Fund Performance for the period ended June 3, 218 FINANCIAL HIGHLIGHTS (cont d) (1) This information is derived from the Fund s semi-annual and annual financial statements. (2) Management expense ratio is calculated based on expenses charged to the Fund (excluding commissions and other portfolio transaction costs) and is expressed as an annualized percentage of daily average net assets for the period, including the Fund s proportionate share of any underlying fund(s) expenses, if applicable. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. (3) The trading expense ratio represents total commissions and other portfolio transaction costs expressed as an annualized percentage of daily average net assets during the period, including the Fund s proportionate share of such expenses of any underlying fund(s), if applicable. (4) The Fund s portfolio turnover rate indicates how actively the Fund s portfolio advisor manages its portfolio investments. A portfolio turnover rate of % is equivalent to the Fund buying and selling all of the securities in its portfolio once in the course of the fiscal period. The higher a Fund s portfolio turnover rate in a period, 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 period. There is not necessarily a relationship between a higher turnover rate and the performance of a Fund. Portfolio turnover rate is calculated by dividing the lesser of the cost of purchases and the proceeds of sales of portfolio securities for the period, and excluding cash and short-term investments maturing in less than one year, and before assets acquired from a merger, if applicable, by the average of the monthly fair value of investments during the period. (5) This information is provided for the period ended June 3, 218 and the years ended December 31.
Management Report of Fund Performance for the period ended June 3, 218 PAST PERFORMANCE This section describes how the Fund has performed in the past. Remember, past returns do not indicate how the Fund will perform in the future. The information shown assumes that distributions made by the Fund in the periods shown were reinvested in additional units of the relevant classes of the Fund. In addition, the information does not take into account sales, redemption, distribution or other optional charges that would have reduced returns or performance. Year-by-Year Returns The following charts show the Fund s semi-annual and annual performance for each of the periods shown and illustrate how the Fund s performance has changed from period to period. In percentage terms, the charts show how much an investment made on the first day of each financial period would have grown or decreased by the last day of each financial period, except where noted. Class A Class E Class E3 Class E4 6 5 4 3 2 - -2-3 -4-5 -35.3 2.4 18.5 11.3-1.7 44.6 17.3-4.3 23. 1.9 1.4 6 5 4 3 2 - -2-3 -4-5 -3.2 1 21.4 11.9-1.1 19.3 45.5 18. -3.7 23.8 2.4 1.7 6 5 4 3 2 - -2-3 -4-5 -.9 2 1.7 6 5 4 3 2 - -2-3 -4-5 -.9 2 1.7 Dec. 28 Dec. 29 Dec. 2 Dec. 211 Dec. 212 Dec. 213 Dec. 214 Dec. 215 Dec. 216 Dec. 217 Jun. 218 Dec. 28 Dec. 29 Dec. 2 Dec. 211 Dec. 212 Dec. 213 Dec. 214 Dec. 215 Dec. 216 Dec. 217 Jun. 218 Dec. 217 Jun. 218 Dec. 217 Jun. 218 Class E5 Class F Class F3 Class F4 6 5 4 3 2 - -2-3 -4-5 -.8 2 1.8 6 5 4 3 2 - -2-3 -4-5 -.7 2 2.3 6 5 4 3 2 - -2-3 -4-5 -.7 2 2.2 6 5 4 3 2 - -2-3 -4-5 -.7 2 2.3 Dec. 217 Jun. 218 Dec. 217 Jun. 218 Dec. 217 Jun. 218 Dec. 217 Jun. 218 Class F5 Class I Class OF Class W 6 5 4 3 2 - -2-3 -4-5 -.7 2 2.4 6 5 4 3 2 - -2-3 -4-5 31.2 3 14.6 1.3 22.1 48.9 2.8-1.4 26.7 4.8 2.9 6 5 4 3 2 - -2-3 -4-5 -34.6 21.8 12.4 -.6 19.7 46.2 18.5-3.3 24.3 2.9 1.9 6 5 4 3 2 - -2-3 -4-5 -33.6 23.7 9.3 48.6 26.5 21.8 2.5 1.1 4.6-1.7 2.7 Dec. 217 Jun. 218 Dec. 29 Dec. 2 Dec. 211 Dec. 212 Dec. 213 Dec. 214 Dec. 215 Dec. 216 Dec. 217 Jun. 218 Dec. 28 Dec. 29 Dec. 2 Dec. 211 Dec. 212 Dec. 213 Dec. 214 Dec. 215 Dec. 216 Dec. 217 Jun. 218 Dec. 28 Dec. 29 Dec. 2 Dec. 211 Dec. 212 Dec. 213 Dec. 214 Dec. 215 Dec. 216 Dec. 217 Jun. 218 1 28 return is for the period from October 16, 28 to December 31, 28. 2 217 return is for the period from May 1, 217 to December 31, 217. 3 29 return is for the period from March 2, 29 to December 31, 29.
Management Report of Fund Performance for the period ended June 3, 218 SUMMARY OF INVESTMENT PORTFOLIO as at June 3, 218 Category % of Net Assets Category % of Net Assets Top 25 Holdings % of Net Assets Country allocation Canada... 6.6 U.S.A.... 13.1 Cash & Equivalents... 8.9 Bermuda... 7.1 U.K.... 6.7 Israel... 1.9 Luxembourg... 1.9 Other Net Assets (Liabilities).... Foreign Currency Forward Contracts... (.2) Sector allocation Industrials... 2.1 Energy... 14.9 Consumer Staples... 12.6 Financials... 12.5 Consumer Discretionary... 11. Information Technology... 9.7 Cash & Equivalents... 8.9 Materials... 7.3 Utilities... 1.9 Health Care... 1.3 Other Net Assets (Liabilities).... Foreign Currency Forward Contracts... (.2) Cash & Equivalents... 8.9 Keyera Corp.... 4.8 TFI International Inc.... 4. Tourmaline Oil Corp.... 3.9 Middleby Corp.... 3.5 Alimentation Couche-Tard Inc., Class B... 3.3 George Weston Ltd.... 3.3 CSX Corp.... 3.2 Boyd Group Income Fund Trust... 3.2 CCL Industries Inc., Class B... 3. Restaurant Brands International Inc.... 2.8 Sleep Country Canada Holdings Inc.... 2.8 Auto Trader Group PLC... 2.8 Kinaxis Inc.... 2.7 Brookfield Business Partners L.P., Units... 2.6 Athene Holding Ltd.... 2.5 Intact Financial Corp.... 2.5 Kelt Exploration Ltd.... 2.5 Great Canadian Gaming Corp.... 2.4 Signature Bank... 2.3 Symantec Corp.... 2.3 ECN Capital Corp.... 2.2 Premium Brands Holdings Corp.... 2.2 Tesco PLC... 2.1 Kinder Morgan Canada Ltd.... 2. Total Net Assets (in $ s) $257,923 The summary of investment portfolio may change due to ongoing portfolio transactions of the Fund and updates will be available on a quarterly basis. A NOTE ON FORWARD-LOOKING STATEMENTS This report may contain forward-looking statements about the Fund, its future performance, strategies or prospects, and possible future Fund action. The words may, could, should, would, suspect, outlook, believe, plan, anticipate, estimate, expect, intend, forecast, objective, and similar expressions are intended to identify forward-looking statements. Forward-looking statements are not guarantees of future performance. Forward-looking statements involve inherent risks and uncertainties, both about the Fund and general economic factors, so it is possible that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution you not to place undue reliance on these statements as a number of important factors could cause actual events or results to differ materially from those expressed or implied in any forward-looking statement made by the Fund. These factors include, but are not limited to, general economic, political and market factors in Canada, the United States and internationally, interest and foreign exchanges rates, global equity and capital markets, business competition, technological changes, changes in laws and regulations, judicial or regulatory judgments, legal proceedings and catastrophic events. The above list of important factors that may affect future results is not exhaustive. Before making any investment decisions, we encourage you to consider these and other factors carefully. All opinions contained in forward-looking statements are subject to change without notice and are provided in good faith but without legal responsibility.