Closed-End FundsCanoe EIT Income Fund

Key Dates

Distribution
Record Date Dec22
Ex-Distribution Date Dec18
Payment Date Jan15


Investment Highlight and Strategy

Canoe EIT Income Fund (TSX: EIT.UN) is one of Canada's largest closed-end investment funds, designed to maximize monthly distributions and the potential for capital appreciation by investing in a broadly diversified portfolio of high quality securities.

Fund Manager

Rob Taylor, CA, CFA, is an award winning portfolio manager with more than 15 years of investment management experience. Prior to joining Canoe Financial, Rob was responsible for managing over $4B in his position as Vice President and Portfolio Manager, at BMO Global Asset Management. Rob was also an integral member of the team responsible for asset allocation in institutional and retail mandates.

Rob also manages the Canoe Equity Class, Canoe Canadian Asset Allocation Class and Canoe Canadian Monthly Income Class.

Investment Approach

  • Actively managed portfolio focused on quality franchises, stable businesses and long-term sustainable growth
  • Diversified across sector and market capitalization
  • Managed risk - ensure best risk reward ideas and conviction levels are appropriately reflected in position weights

Fund Highlights

  • One of the largest, most liquid closed-end funds in Canada
  • Income-oriented, actively managed total return fund
  • Growth potential – trades at an approximate 15% discount to NAV
  • Low management fee of 1.1% per annum
  • Monthly distribution of $0.10 per unit/current 10% yield
  • Premium DRIP and DRIP*
  • Annual redemption feature -  up to 10% of outstanding units at 95% of NAV

Performance Review

Performance *                  
As of 11/30/2014 YTD 1mo 3mo 6mo 1yr 3yr 5yr 10yr Incep.
EIT.UN 13.0% 0.7% -1.4% 2.3% 16.1% 9.1% 10.7% 7.5% 9.0%
S&P/TSX Composite 11.0% 1.1% -5.0% 2.4% 13.2% 9.7% 8.5% 7.9% -

*Based on NAV

Portfolio Review

Top 25 Holdings (as of October 31, 2014)

Wells Fargo & Co.  
Toronto Dominion Bank  
Proctor & Gamble Co.
Microsoft Corp.    
Fortis Inc.  
Manulife Financial Corp.  
JPMorgan Chase & Co.  
American International Group I  
Verizon Communications Inc  
T Rowe Price Group Inc.  
Coca-Cola Co.  
Telus Corp.  
Cisco Systems Inc.  
JB  Hunt Transportation Services Inc.  
Suncor Energy Inc.  
Bank of Nova Scotia  
Parkland Fuel Corp.  
Union Pacific Corp.  
Canadian National Railway Co.  
Dollarama Inc.  
Intact Financial Corp.  
Medtronic Inc.  
Secure Energy Services Inc.  
Prairie Sky Royalty Ltd.  
Storm Resources Ltd.  
The top 25 investments make up 60% of the fund.

Equity Sector Breakdown (as of October 31, 2014)

Financials 37.5%
Energy 18.0%
Industrials 9.9%
Information Technology 9.0%
Consumer Discretionary 7.5%
Telecommunication Services 6.6%
Utilities  3.8%
Consumer Services 3.3%
Health Care 3.3%
Materials 1.0%

 

Fund Facts  
TSX Symbol EIT.UN-T
Total Assets (Oct 31, 2014) $1,462.0 million
Inception Date August 7, 1997

 

Asset Mix as of October 31, 2014
Canadian Equity 47.1%
US Equity 38.1%
Fixed Income 2.9%
Cash 12%

* Premium DRIP and DRIP Plan available to Canadian investors only

Canoe
EIT Income
Fund

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    *Total distributions since inception.
    Market data provided by GlobeFund.
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    © 2014 Canoe Financial For Canoe EIT Income Fund (EIT.UN), ‘current cash yield’ means the annual cash distribution for the fund (currently $1.20 per unit) divided by its market price. Annual cash distributions may be made up in whole or in part by interest, dividends or return of capital. You should not draw any conclusions about the fund’s investment performance from the amount or percentage of this distribution. Approximately seventy percent of total distributions are reinvested in the fund. Commissions, trailing commissions, management fees and expenses all may be associated with investment funds. Please read the fund’s prospectus or the information filed about the fund on www.sedar.com before investing. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated. Our communications, websites and tweets are not to be construed as a public offering to sell, or a solicitation of an offer to buy securities. Information is for review purposes only, and investors should consult their registered Investment Advisor for complete details and risk factors on specific strategies and various investment products, prior to making any investment decision.