Overview
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Asset ClassFixed Income
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CategoryCanadian Corporate Fixed Income
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Risk RatingLow
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Holdings174
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Yield to Maturity5.5%
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Current Yield3.7%
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Average Duration4.4 Years
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Average Credit QualityA+
Objectives
The Fund seeks to achieve a total return greater than the return achieved by a representative Canadian fixed income index, such as the FTSE Canada Corporate Bond Index.
Investment Focus
Established in 1997 by John Carswell, Canso currently manages over $36 billion in assets. Canso is a investment management firm that has demonstrated independent research expertise in fundamental analysis.
Fund Facts
October 31, 2022| Inception Date | June 30, 2004 |
| Currency | CAD |
| Fund AUM | $870.4 Million |
| Management Fee | 0.55% |
| MER as of December 31, 2021 | 0.70% |
| Minimum Initial Investment | $25,000 (accredited investor) |
| RRSP Eligible | Yes |
Portfolio Characteristics
| Holdings | 174 |
| Average Term to Maturity (Years) | 7.4 |
| Average Duration (Years) | 4.4 |
| Yield to Maturity (%) | 5.5% |
| Current Yield (%) | 3.7% |
| Average Credit Quality1 | A+ |
Credit Quality Breakdown
| AA & Higher | 41.6% |
| A | 29.2% |
| BBB | 29.1% |
Sector
| Canso Private Debt Fund | 10.0% |
| Communication | 5.7% |
| Energy | 7.8% |
| Federal | 24.3% |
| Financial | 24.1% |
| Industrial | 13.9% |
| Infrastructure | 10.5% |
| Real Estate | 1.0% |
| Provincial | 2.8% |
| Other | -0.1% |
Portfolio
Top 10 Holdings
Canso Corporate Bond Fund
| Security | % of Fund | Rating |
|---|---|---|
| Canso Private Debt Fund | 10.0% | A- |
| Nestle Holdings Inc. 2.192% Jan 26, 2029 | 7.4% | AA- |
| Canada 0.25% Apr 1, 2024 | 6.4% | AAA |
| MetLife Global Funding l 1.95% Mar 20, 2028 | 3.4% | AA- |
| Canada 0.25% May 1, 2023 | 3.3% | AAA |
| Bank of America Corp FRN Sep 15, 2027 (Q CDOR+60) | 3.1% | A |
| Heathrow Funding Limited 3.661% Jan 13, 2031/33 REGS | 2.9% | BBB+ |
| Manulife Financial Corp (AT1) 3.375% Jun 19, 2026/2081 | 2.7% | BBB+ |
| Great West Life Co Inc. (AT1) 3.6% Dec 31, 2026/2081 | 2.6% | A- |
| New York Life Global FDG 2% Apr 17, 2028 | 2.6% | AAA |
| Total | 44.4% |
Top 10 Holdings
Canso Private Debt Fund
| Security | % of Fund | Rating |
|---|---|---|
| Arrow Lakes Power Corp (amort) 5.516% Apr 5, 2041 Series B | 6.4% | A+ |
| Plenary Properties LTAP LP -CSEC (amort) 6.288% Jan 31, 2044 | 4.6% | A |
| North Battleford Power L.P (amort) 4.958% Dec 31, 2032 | 4.5% | A- |
| Green Timbers LP (amort) 6.838% Jun 30, 2037 | 4.4% | A- |
| N.B. Highway (amort) 6.47% Nov 30, 2027 | 4.2% | A+ |
| Inpower BC GP (amort) 4.471% Mar 31, 2033 | 4.2% | BBB+ |
| Hydro Quebec FRN Perpetual (S/A US LIBOR +6.25) (USD) | 3.9% | AA- |
| University Ont Institute of Tech (amort) 6.351% Oct 15, 2034 | 3.5% | A- |
| Pembina Pipeline Corp 4.75% Mar 26, 2048 | 3.4% | BBB |
| FSCC (amort) 6.915% Jul 31, 2042 | 3.2% | A- |
| Total | 42.3% |
Performance
Inception Date
June 30, 2004
As of Date
October 31, 2022
Compound Returns - Series C
| 1 Month | 3 Months | YTD | 1 Year | 3 Year (Annualized) |
5 Year (Annualized) |
10 Year (Annualized) |
15 Year (Annualized) |
Since Inception (Annualized) |
| -0.7% | -3.1% | -11.7% | -10.2% | -0.1% | 1.6% | 2.9% | 4.6% | 4.7% |
Calendar Year Returns - Series C
Distributions
Quarterly Distributions
| Record Date | Distribution Date |
|---|---|
| March 24, 2022 | March 25, 2022 |
| June 23, 2022 | June 24, 2022 |
| September 29, 2022 | September 30, 2022 |
| December 29, 2022 | December 30, 2022 |
Documents
Fund Profile
Subscription Agreements
Offering Memorandum
Final Tax Year End Distributions
Final Tax Factors
Resources
Lysander Announces Cash Distributions for the Lysander‐Canso ActivETFs
TORONTO, October 24, 2022 /CNW/ ‐ Lysander Funds Limited (“Lysander”) announces the October 2022 cash distributions for each of Lysander‐Canso Corporate Treasury ActivETF and Lysander‐Canso Floating Rate ActivETF (TSX Symbols: LYCT and LYFR, respectively) (each, an…
Canso Corporate Bond Newsletter – October 2022
Are We Clear? Crystal. If less is more, then Jerome Powell nailed it in his August 26th speech to the few souls gathered in Jackson Hole, Wyoming, and the millions more virtually eavesdropping around the world.…
W(h)ither Inflation and Bond Yields – September 2022
Whither inflation and bond yields? Will they wane and wither, as many expect, or will they show underlying strength and stay higher for much longer than the market consensus predicts? Don’t Worry, Be Inflation Unhappy?? Inflation…
Lysander Funds Announces Listing of Lysander-Canso Corporate Treasury ActivETF and Lysander-Canso Floating Rate ActivETF
TORONTO, September 1, 2022 – Lysander Funds Limited (“Lysander”) and Canso Investment Counsel Ltd. (“Canso”) are excited to announce the launch of Lysander-Canso Corporate Treasury ActivETF and Lysander-Canso Floating Rate ActivETF. These ETFs are exchange-traded mutual…
Canso Corporate Bond Newsletter – July 2022
Everything Except My Mortgage Blown Away From Auckland, to London, to Ottawa, central banks raised overnight rates in a race to restore price stability and their own credibility. Stocks, bonds, crypto, real estate – if you…
Canso Market Observer – July 2022
Once it looked like inflation was not a “temporary supply side” phenomenon, central banks rushed to correct their now very obvious mistake. They had created far too much money than was necessary for actual economic activity…