Fund Facts Lysander Funds Limited

Lysander-Canso U.S. Short Term and Floating Rate Fund - Series A

December 22, 2022

This document contains key information you should know about Series A Units of Lysander-Canso U.S. Short Term and Floating Rate Fund (the “Fund”). You can find more details in the Fund’s simplified prospectus. Ask your representative for a copy, contact Lysander Funds Limited at 1-877-308-6979 or manager@lysanderfunds.com, or visit www.lysanderfunds.com.

Before you invest in any fund, consider how the fund would work with your other investments and your tolerance for risk.

Quick Facts
Fund Code:LYZ815AFund Manager:Lysander Funds Limited
Date Series Started:May 12, 2021Portfolio Manager:Canso Investment Counsel Ltd.
Total Value of the Fund on October 31, 2022:U.S. $13,652,882Distributions:Quarterly (March, June, September and December)
Management Expense Ratio (MER):1.36%Minimum Investment:U.S.$500 initial, U.S.$100 additional

What does the fund invest in?

This Fund is a fixed income fund that invests primarily in a diversified portfolio of U.S. dollar denominated short term fixed income and floating rate debt securities. The Fund may purchase securities of foreign issuers.

The charts below give you a snapshot of the Fund’s investments on October 31, 2022. The Fund’s investments will change.

Top 10 investments (as of October 31, 2022)
US Treasury 0.125% Apr 30, 2023 (USD) 24.0%
Honda Canada Finance Inc. FRN Sep 27, 2024 (Q CDOR+20) 5.2%
Pacific Life Global Funding II FRN Feb 1, 2027 (Q CDOR+38) 4.8%
Peoples Trust NHA MBS FRN (98004248) Nov 1, 2025 (M CDOR+0) 4.8%
GE Capital Corp FRN May 5, 2026 (Q LIBOR+38)(USD) 4.4%
New York Life Global FDG FRN Apr 26, 2024 (SOFR+31)(USD) 3.9%
Morgan Stanley FRN May 8, 2023/2024 (Q LIBOR+122)(USD) 3.8%
WTH Car Rental ULC (AVIS) 3.279% Jul 20, 2023 3.6%
TransCanada Pipelines FRN Jun 9, 2024 (Q CDOR+29) 3.4%
Verizon Communications Inc. FRN May 15, 2025(Q LIB+110)(USD) 3.3%
Total percentage of top 10 investments 61.2%
Total number of investments 49
Investment mix (as of October 31, 2022)
Canadian Fixed Income 41.6%
Foreign Fixed Income 55.4%
Cash and Cash Equivalents 3.0%
Fund Facts Lysander Funds Limited

Lysander-Canso U.S. Short Term and Floating Rate Fund - Series A

December 22, 2022

How risky is it?

The value of the Fund can go down as well as up. You could lose money.

One way to gauge risk is to look at how much a fund’s returns change over time. This is called “volatility”.

In general, funds with higher volatility will have returns that change more over time. They typically have a greater chance of losing money and may have a greater chance of higher returns. Funds with lower volatility tend to have returns that change less over time. They typically have lower returns and may have a lower chance of losing money.

Risk rating

Lysander Funds Limited has rated the volatility of this Fund as Low.

This rating is based on how much the Fund’s returns have changed from year to year. It doesn’t tell you how volatile the Fund will be in the future. The rating can change over time. A fund with a low risk rating can still lose money.

For more information about the risk rating and specific risks that can affect the Fund’s returns, see the Risk section of the Fund’s simplified prospectus.

No guarantees

Like most mutual funds, this Fund doesn’t have any guarantees. You may not get back the amount of money you invest.

How has the fund performed?

This section tells you how the Series A Units of the Fund have performed. Returns are after fund expenses have been deducted. These expenses reduce the Series’ returns.

Year-by-year returns

This section tells you how Series A Units of the Fund have performed in past calendar years. However, this information is not available because the Series has not yet completed a calendar year.

Best and worst 3-month returns

This section shows the best and worst returns for this Series of the Fund in a 3-month period. However, this information is not available because the Series has not yet completed a calendar year.

Fund Facts Lysander Funds Limited

Lysander-Canso U.S. Short Term and Floating Rate Fund - Series A

December 22, 2022

Average return

The annual compounded return of Series A was -3.34% since its start date. If you had invested U.S. $1,000 in the Series A Units of the Fund on its start date of May 12, 2021 your investment would have been worth U.S. $951.25 on October 31, 2022.

Who is the fund for?

Investors who:

  • plan to hold this investment for the medium term and wish to invest in a fund that is primarily denominated in U.S. dollars; and
  • want to primarily receive interest income and can handle the currency volatility associated with fixed income investments denominated in U.S. dollars.

A word about tax

In general, you’ll have to pay income tax on your share of the Fund’s earnings and on taxable capital gains you realize from redeeming your investment. How much you pay depends on the tax rates that apply to you, and whether or not you hold the fund in a registered plan such as a Registered Retirement Savings Plan or a Tax-Free Savings Account.

Keep in mind that if you hold your fund in a non-registered account, fund distributions of income and taxable capital gains are included in your taxable income, whether you get them in cash or have them reinvested.

How much does it cost?

The following tables show the fees and expenses you could pay to buy, own and sell Series A Units of the Fund. The fees and expenses – including any commissions – can vary among series of a fund and among funds. Higher commissions can influence representatives to recommend one investment over another. Ask about other funds and investments that may be suitable for you at a lower cost.

Sales charges

There is only one sales charge option when you buy Series A Units.

Sales charge option What you pay How it works
in per cent (%) in dollars ($)
Initial Sales Charge Option 0% to 5% of the amount you buy U.S. $0 to U.S. $50 on every U.S. $1,000 you buy You and your representative decide on the rate of commission that you pay when you buy Units. The initial sales charge is deducted from the amount paid at the time of purchase. It goes to your representative’s firm as a commission.

Fund expenses

You do not pay these expenses directly. They affect you because they reduce the Fund’s returns.

As at June 30, 2022, the expenses of the Series were 1.36% of its average value. This equates to U.S. $13.60 for every U.S. $1,000 invested.

Annual rate (as a % of the Fund’s value)
Management expense ratio (MER) – This is the total of the Series’ management fee (including the trailing commission) and operating expenses.1.36%
Trading expense ratio (TER) – These are the Fund’s trading costs.0.00%
Fund expenses1.36%
Fund Facts Lysander Funds Limited

Lysander-Canso U.S. Short Term and Floating Rate Fund - Series A

December 22, 2022

More about the trailing commission

The trailing commission is an ongoing commission. Lysander Funds Limited pays your representative a trailing commission for as long as you own Units of this Series of the Fund. It is for the services and advice your representative and their firm provide to you. Lysander Funds Limited pays the trailing commission to your representative’s firm. It is paid by Lysander Funds Limited out of the management fee and is based on the value of your investment. The maximum annual trailing commission rate for Series A Units of the Fund is 0.50%, which equals U.S. $5.00 for every U.S. $1,000 invested.

Other fees

You may have to pay other fees when you buy, hold, sell or switch Units of this Series of the Fund.

FeeWhat you pay
Short-term Trading Fee Up to 2% of the amount redeemed or switched if you redeem or switch within 30 days of purchase. This fee goes to the Fund.
Switch Fees Your representative’s firm may charge you up to 2% of the net asset value of the switched Units, as negotiated between you and your representative’s firm.

What if I change my mind?

Under securities law in some provinces and territories, you have the right to:

  • withdraw from an agreement to buy mutual fund securities within 2 business days after you receive a simplified prospectus or Fund Facts document, or
  • cancel your purchase within 48 hours after you receive confirmation of the purchase.

In some provinces and territories, you also have the right to cancel a purchase, or in some jurisdictions, claim damages, if the simplified prospectus, Fund Facts document or financial statements contain a misrepresentation. You must act within the time limit set by the securities law in your province or territory.

For more information, see the securities law of your province or territory or ask a lawyer.

For more information

Contact Lysander Funds Limited or your representative for the Fund’s simplified prospectus and other disclosure documents. These documents and the Fund Facts make up the Fund’s legal documents.

To learn more about investing in mutual funds, see the brochure Understanding mutual funds, which is available on the website of the Canadian Securities Administrators at www.securities-administrators.ca.

Lysander Funds Limited
3080 Yonge Street, Suite 3037
Toronto, ON M4N 3N1
Phone: 1 416-640-4275
Toll-free: 1 877-308-6979
manager@lysanderfunds.com
www.lysanderfunds.com