Canadian Focused Equity Class Fund

Formerly Canadian Prosperity Class Fund

>>> DOWNLOAD THE ALPHADELTA FAMILY OF FUNDS SUMMARY PDF

>>> DOWNLOAD FUND FACTS PDF FOR THIS FUND

Investment Objectives

AlphaDelta Canadian Focused Equity Class Fund is actively managed by Laurus Investment Counsel and offers exposure to mid- to large-cap North American equities. The Fund will invest 50% to 90% of its portfolio into Canadian equities. The balance of the Fund’s portfolio will generally be invested in U.S. securities. It may invest in companies domiciled in other countries from time to time. The Fund has the ability to invest in short term debt or cash in anticipation of unfavourable market conditions or for liquidity purposes. The Fund is part of the Canadian Focused Equity category of funds.

Series Closing price* $ daily change % daily change
A $11.00 $0.01 0.11%
F $11.31 $0.01 0.11%
G $12.47 $0.01 0.11%

* As of October 17, 2017.  Note: Calculated and posted by Qwest Investment Fund Management Ltd.

Series Inception date 12-Mth Dist’n Yield** YTD 1-Month 3-Months 6-Months 1-year Since Inception Standard Deviation Active Share***
A 28-Feb-15 1.5% 10.2% 2.1% 2.1% 5.0% 15.2% 4.2% 9.3% 91.7%
F 28-Feb-15 1.5% 11.1% 2.2% 2.4% 5.6% 16.5% 5.4% 9.3% 91.7%

*As of September 30, 2017.

Series Income Capital gains Total
A $0.0000 $0.0000 $0.0000
F $0.0000 $0.0000 $0.0000
I $0.0000 $0.0000 $0.0000

AlphaDelta Funds™

DISCOVERING GREAT INVESTORS™

AlphaDelta Canadian Focused Equity Class Fund is actively managed by Laurus Investment Counsel and offers exposure to mid- to large-cap North American equities. The Fund will invest 50% to 90% of its portfolio into Canadian equities. The balance of the Fund’s portfolio will generally be invested in U.S. securities. It may invest in companies domiciled in other countries from time to time. The Fund has the ability to invest in short term debt or cash in anticipation of unfavourable market conditions or for liquidity purposes. The Fund is part of the Canadian Focused Equity category of funds.

INVESTOR SUITABILITY

  • Seeking long-term capital growth;
  • not concerned with short term price fluctuations;
  • able to take a long-term investment horizon; and
  • willing to accept medium risk

INVESTMENT STRATEGY

The Fund seeks companies with strong management, good growth prospects and a solid financial position. Emphasis is placed on paying reasonable prices for cash flow growth. The Fund will generally hold between 20 and 40 equity positions, diversified across economic sectors.

  • Long-term owners – We view our investments as part ownership stakes in businesses that will compensate us over long time periods. Track record of creating wealth for shareholders
  • Wealth-creating companies – Businesses that generate cash returns on their owners’invested capital greater than the cost of that capital, thus creating wealth.
    Improving business fundamentals
  • Intrinsic value – The sum of future estimated free cash flows generated by the company, discounted at a conservative rate based on cost of capital
  • Optimal amount – The appropriate weighting of a particular investment in the portfolio based on the differential between its current market value and our expected intrinsic value

“[Investing in] small cap companies is very different than large caps: They are very driven by management, very driven by business plan. You have to understand the company more, as opposed to looking at PE ratios.”
BNN Money Talks 05-30-2011

Portfolio Manager

LAURUS INVESTMENT COUNSEL

Toronto-based Laurus Investment Counsel is the adviser to the Fund. Laurus is a specialty North American asset manager with over $400 million in assets under management.

Laurus strives to invest in the great companies of tomorrow: those that will continue to be successful in their efforts to gain, and maintain, a competitive advantage.

Beyond the detailed financial models Laurus creates for each investment, the team at Laurus endeavors to understand the companies extremely well: what drives management, critical success factors, competitive advantages, and the focus on value creation.

Once a company is fully vetted and added to the portfolio, Laurus expects to own the position for a very long time.

Laurus was founded by Chris Page in 2014. The Laurus Portfolio Team also includes LInda LeBrun and Raymond Lam and in 2016 were joined by 40-year industry veteran Dennis Starritt after he merged his firm, Bluewater Investment Management Inc., with Laurus.

The Laurus philosophy can best be summed up in three words: Protect. Perform. Repeat.

managers

WHAT DOES THE FUND INVEST IN?

The Fund will invest in securities of companies up to a $3 billion market cap. To control risk any one industry is limited to 25% of the portfolio. The maximum number of holdings will be 50. The maximum exposure to any one security will be 7%, unless market capitalization is below $100 million, then exposure is limited to 1%. The Laurus Investment Committee meets daily to consider
target weights and new ideas.

1 Series F funds are intended for Dealer Fee Based Account Investors only
2 Series G funds are intended for for portfolio managers. Contact AlphaDelta for details.
** FE = Front End    NL = No Load (also used for Fee Based class funds)

1. Formerly Canadian Prosperity Class1 Fund. Qwest Investment Fund Management Ltd. is registered as a portfolio manager and investment fund manager and is the
manager of the fund.

2. The rate of return is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of the investment fund or returns on investment in the investment fund. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all [dividends or distributions] and does not take into account sales, redemption, distribution or optional charges or income taxes payable by any security holder that would have reduced returns. Mutual funds are not guaranteed, their values change frequently and past disclose that management fees and operating expenses are paid by the mutual fund; Dividends or distributions by the investment fund are reinvested in the investment fund at the net asset value per security of the investment fund on the reinvestment dates during the performance measurement period.

Qwest Investment Fund Management Ltd. is registered as a portfolio manager and investment fund manager and is the Manager of the Fund.

The rate of return is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of the investment fund or returns on investment in the investment fund. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all [dividends or distributions] and does not take into account sales, redemption, distribution or optional charges or income taxes payable by any security holder that would have reduced returns. Mutual funds are not guaranteed, their values change frequently and past disclose that management fees and operating expenses are paid by the mutual fund; Dividends or distributions by the investment fund are reinvested in the investment fund at the net asset value per security of the investment fund on the reinvestment dates during the performance measurement period.

** The “12-Mth Dist’n Yield” is the sum of the trailing 12 months of distributions paid to the shareholders of each series of the fund divided by the most recent net asset value per share (“NAVPS”) of the series of the fund.

*** Active share is measured using the each fund’s equity holdings against the fund’s equity benchmark as at the date of this table. The active share calculation ignores cash within each fund’s portfolio. Tracking error, also know as active risk, is the annualized standard deviation of the differences between the monthly return of the fund versus the month return of the benchmark. The AlphaDelta Growth of Dividend Income Class Fund’s benchmark is MSCI All Country World Index (Total Return), the AlphaDelta Canadian Prosperity Class Fund’s benchmark is the S&P/TSX SmallCap Index and the AlphaDelta Tactical Growth Class Fund’s benchmark is 50% the Russell 1000 Index (converted to Canadian dollars) plus 50% the S&P/TSX Composite Index.

DISCLOSURES

The contents of this document are intended for information purposes only and should be not be considered as an advertisement or offer to sell, or solicitation to buy, any securities in any jurisdiction. Commissions, management fees and expenses all may be associated with mutual fund investments. Please read the simplified prospectus before investing. Mutual Funds are not guaranteed, their values change frequently and past performance may not be repeated.

Every effort has been made to ensure that the information contained herein is accurate, complete and up-to-date. However, no guarantee, either expressed or implied, is made that the information in this document is accurate, complete or up-to-date. The contents of this document are for informational purposes only and are not intended to provide financial, legal, accounting or tax advice and should not be relied upon in that regard. Investors should consult with their financial advisor prior to investing.