Fund Profiles

Lysander-Fulcra Corporate Securities Fund

LYZ935 A/F

Objective

The Fund’s objective is to provide income and capital growth by investing in fixed income, floating rate, convertible, preferred equity, and common equity securities of corporations anywhere in the world.

About Fulcra Asset Management Inc.

Fulcra Asset Management is an independent investment management firm with credit investing expertise in North American companies. Based in Vancouver, Canada, Fulcra was founded by Matt Shandro in 2009. At Fulcra, we are dedicated to preserving capital and generating consistent absolute returns for our clients.

Investment Philosophy

  • Risk Control: Fluctuating between above-average returns in good times and below-average returns in bad times is not, in our view, a strategy for long-term success. To achieve superior performance, it is critically important to prevent losses and to outperform in bad times. To control risk in our investment portfolio, Fulcra employs fundamental value and diligent research principles to find attractive investment opportunities, preferring debt and senior securities within a company capital structure.
  • Fundamental Value: Fulcra employs a fundamental value investing approach to identify under-priced corporate securities. By understanding a company’s business drivers and asset values, we can capitalize on the inherent market volatility in that company’s securities. We generally prefer debt and senior securities because of their priority claims, credit protections and attractive valuation multiples. But our capital structure lens also allows us to find attractive opportunities that may arise in the junior and equity securities of companies that we follow.
  • Research: In our opinion, many fixed income investors place too much reliance on credit rating agencies, which can drive the inefficient pricing of corporate bonds and loans. We are agnostic to credit ratings and rely instead on skill and hard work to create the incremental knowledge advantage required to drive long-term superior performance. At Fulcra, we devote much of our thinking to misunderstood investment situations, to find under-appreciated and high-yielding securities.