Investment Objective
To generate interest income while minimizing the effects of interest-rate fluctuations. The fund invests in a portfolio composed mainly of fixed-rate Canadian bonds (either corporate, governmental or municipal) and/or preferred shares issued by North-American companies and enters into derivatives transactions to generate a floating rate of income. Floating-rate income can therefore be obtained by swapping, through the use of derivatives, the rate of a fixed-income security for the short-term floating rate in effect at the time of the swap less the fees payable to the counterparty in relation to the derivative transactions. The short-term floating rate used will correspond, depending on the securities covered, to the 3-month Canadian Dealer Offered Rate (CDOR) or the 3-month London Interbank Offered Rate (LIBOR). The derivatives will be entered into with counterparties having a designated rating. It is expected that investments in foreign securities will not exceed approximately 40% of the Fund's net assets.
Fund Details
Investment horizon
Fund volatility
Minimum Initial Investment:
$500
Subsequent Investment:
$50
Systematic Investment:
$25
Distribution Frequency:
Monthly
Assets Under Management ($M):
$138.4
Price per Unit:
$9.84
Inception Date:
January 8, 2014
Value of $10,000 over 10 years:
$13,193
Benchmark Index:
FTSE Can T-91
Management Fee:
1.05%
MER:
1.31%
Portfolio Manager:
National Bank Investments Inc.
Sub-Advisor:
Fiera Capital Corporation
Management Fee Reduction Plan¹
For High Net Worth investors
Amount Applicable
| Level | to the level* | Reduction |
|---|---|---|
| 1 | First $250,000 | 0.050% |
| 2 | Next $250,000 | 0.100% |
| 3 | In excess of $500,000 | 0.150% |
¹ Subject to satisfying one of the Plan admissibility criteria.
* The levels apply according to the market value of the
assets.
Available Fund Codes:
| Advisor Series | |
|---|---|
| Initial Sales Charge | NBC429 |
| Deferred Sales Charge | NBC529 |
| Low Sales Charge | NBC629 |
| Advisor_2 Series | |
| Deferred Sales Charge | NBC6529 |
| Low Sales Charge | NBC6629 |
| F Series | NBC729 |
| Investor_2 Series | |
| Low Sales Charge | NBC6829 |
| O Series | NBC329 |
| T Series | |
| Initial Sales Charge | NBC5429 |
| Deferred Sales Charge | NBC5529 |
| Low Sales Charge | NBC5629 |
| T_2 Series | |
| Initial Sales Charge | NBC6429 |
Portfolio Asset Mix
(% of Net Assets)
| Cdn Corp Bonds - Invest Grade | 50.58% |
| Cdn Corp Bonds - Other | 22.12% |
| Cash and Equivalents | 10.93% |
| Canadian Preferred Shares | 10.90% |
| Canadian high yield bonds | 3.61% |
| Bonds - Other | 1.20% |
| Foreign Corp Bonds - Invest Gr | 0.66% |
| Average Duration (Years) | 1.54 |
| Average Maturity (Years) | 1.65 |
| Gross Yield to Maturity (%)† | 3.85 |
| Gross Current Yield (%)‡ | 4.48 |
| Top Holdings | % |
|---|---|
| Rogers Communications Inc 3.65% 31-Jan-2027 | 1.64 |
| Bank of America Corp 3.62% 16-Mar-2027 | 1.54 |
| Bank of Nova Scotia 4.68% 01-Feb-2029 | 1.50 |
| iA Financial Corp Inc 3.07% 24-Sep-2031 | 1.20 |
| Wells Fargo & Co 2.98% 19-May-2026 | 1.15 |
| Toronto-Dominion Bank 2.26% 07-Jan-2027 | 1.14 |
| Transcanada Pipelines Ltd 3.80% 05-Feb-2027 | 1.13 |
| Bell Canada 3.80% 21-May-2028 | 1.12 |
| Bank of Montreal 7.06% 31-Dec-2099 | 0.97 |
| iA Financial Corp Inc | 0.97 |
| Total of Top Holdings of the Fund (% of Net Assets): |
12.36 |
| Total Number of Securities Held: | 278 |
| Allocation by Maturity | % |
|---|---|
| Short Term | 71.77 |
| Mid Term | 22.73 |
| Long Term | 5.50 |
Calendar Returns (%)
| YTD | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 |
|---|---|---|---|---|---|---|
| 3.05 | 9.89 | 6.79 | -4.92 | 4.53 | 2.43 | 3.74 |
Annualized Returns (%)
| 1 M | 3 M | 6 M | 1 Y | 3 Y | 5 Y | 10 Y | Incp. |
|---|---|---|---|---|---|---|---|
| 0.78 | 2.79 | 2.46 | 6.44 | 6.32 | 4.65 | 2.81 | 2.40 |
The FundGrade A+® rating is used with permission from Fundata Canada Inc., all rights reserved. Fundata is a leading provider of market and investment funds data to the Canadian financial services industry and business media. The Fund-Grade A+® rating identifies funds that have consistently demonstrated the best risk-adjusted returns throughout an entire calendar year. For more information on the rating system, please visit www.Fundata.com/ProductsServices/FundGrade.aspx.
†The rate of return anticipated on a bond if it is held until the maturity date expressed as an annual rate. It is assumed that all coupons are reinvested at the same rate.
‡Annual income paid by a bond or a stock, expressed as a percentage of its current market price. It does not include any capital gains or losses that may be realized upon maturity.
Disclosure
NBI Mutual Funds (the “Funds”) are offered by National Bank Investments Inc. an indirect wholly owned subsidiary of National Bank of Canada and sold by authorized dealers. Commissions, trailing commissions, management fees and expenses all may be associated with investments in the Funds. Please read the prospectus of the Funds before investing. The indicated rates of return are the historical annual compounded total returns which include changes in the value of securities and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns. The Funds’ securities are not insured by the Canada Deposit Insurance Corporation or by any other government deposit insurer. For money market funds, there can be no assurances that a fund will be able to maintain its net asset value per security at a constant amount or that the full amount of the investment in a fund will be returned. The Funds are not guaranteed, their values change frequently and past performance may not be repeated.