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TerraTundra Equity Income Mutual Fund

The Terra 2012 Foundation Flow-Through LP will transfer (i.e. rollover) its assets into the TerraTundra Equity Income Mutual Fund. This mutual fund invests in a diversified portfolio of 50 to 75 stocks selected from the S&P/TSX Equity Income Index - an index focused on dividend income. The investments are in blue chip companies paying quality dividends for long term growth.

This mutual fund invests in a broadly diversified portfolio of high yielding securities comprising the S&P/TSX Equity Income Index (the "Index"). The index is a capitalization-weighted index of 50 to 75 of Canada's highest yielding liquid equities paying dividends and is rebalanced quarterly. This fund will passively follow the Index and the fund may actively write covered call options on up to 25% of total assets. If the covered call strategy is employed, the fund expects to provide for increased cash flow for a targeted 7.00% cash distribution as well as retain upside exposure on at least 75% of total assets; any excess yield will be reinvested in securities.

Fund Profile
TerraTundra Equity Income Fund

Key characteristics

1.   Investment in a diversified portfolio of "blue chip" companies with sustainable dividends & high cash flows
2.   Downside protection & lower overall portfolio volatility may be enhanced through active covered call writing
3.   Targeted 7.00% cash distributions
4.   Capital appreciation potential - Allow the assets to grow so additional dollars for charitable grants are available over the longer term
5.   Highly experienced professional investment management team
 
 
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