In accordance with Part 15, an investment fund may disclose its management fee ratio only if the management expense ratio is calculated for the financial year or interim period of the investment fund, and it is calculated by dividing (i) the aggregate of (A) total expenses of the investment fund, excluding distributions if recognized as an expense, commissions and other portfolio transaction costs, before income taxes, for the financial year or interim period, as shown on the statement of comprehensive income, and (B) any other fee, charge or expense of the investment fund that has the effect of reducing the investment fund's net asset value, by (ii) the average net asset value of the investment fund for the financial year or interim period.
Standard period returns††
- A multi-asset income solution with a neutral mix of 60% fixed income and 40% equities.
- Designed for conservative investors.
- Employs active asset allocation across multiple dimensions of the portfolio to take advantage of market opportunities and mitigate risk.
Risk measures are based on 3-year net returns (series B). (All returns are calculated in Canadian currency.)
|Annualized standard deviation
Statistical measure of how much a return varies over an extended period of time. The more variable the returns, the larger the standard deviation. Investors may examine historical standard deviation in conjunction with historical returns to decide whether an investment's volatility would have been acceptable given the returns it would have produced. A higher standard deviation indicates a wider dispersion of past returns and thus greater historical volatility. Standard deviation does not indicate how an investment actually performed, but it does indicate the volatility of its returns over time. Standard deviation is annualized. The returns used for this calculation are not load-adjusted. Standard deviation does not predict the future volatility of a fund.
A measure of a portfolio's sensitivity to market movements (as represented by a benchmark index). The benchmark index has a beta of 1.0. A beta of more (less) than 1.0 indicates that a fund's historical returns have fluctuated more (less) than the benchmark index. Beta is a more reliable measure of volatility when used in combination with a high R², which indicates a high correlation between the movements in a fund's returns and movements in a benchmark index
A measurement of how closely the portfolio's performance correlates with the performance of the fund's primary benchmark index or equivalent. R² is a proportion which ranges between 0.00 and 1.00. An R² of 1.00 indicates perfect correlation to the benchmark index, that is, all of the portfolio's fluctuations are explained by performance fluctuations of the index, while an R² of 0.00 indicates no correlation. Therefore, the lower the R², the more the fund's performance is affected by factors other than the market as measured by that benchmark index. An R² value of less than 0.5 indicates that the annualized alpha and beta are not reliable performance statistics. Standard deviation does not predict the future volatility of a fund.
The investment risk level indicated is required to be determined in accordance with the Canadian Securities Administrators standardized risk classification methodology, which is based on the historical volatility of a fund, as measured by the ten-year annualized standard deviation of the returns of the fund. Standard deviation is used to quantify the historical dispersion of returns around the average returns over a recent ten-year period. (See definition of standard deviation.)
Allocation to underlying funds (%)
Quarterly commentary with a Canadian perspective