The fund is managed by
Cambridge Global Asset Management, a division of CI Investments.
Brandon Snow manages the equity sleeve of the portfolio, while
Bob Swanson oversees the macro positioning.
The fund’s neutral asset mix is 60% equity and 40% bonds. At the end of
April, it held 6% in cash, with 52% in equities and 42% bonds.
Equities are managed using Cambridge’s disciplined investment process that
looks for companies that offer strong long-term growth potential and that
are trading at attractive valuation levels. The equity sleeve is structured
into two segments: a core, which invests longer-term, quality-focused
investments they are likely to hold for several months to several years;
and a more opportunistic segment, which invests in shorter-term, more
tactical plays. These could be more macro-driven, or company-specific
Top equity holdings as of April 30 included
Franco-Nevada Corp. (TSX: FNV),
Athene Holding Ltd. (NYSE: ATH),
Tourmaline Oil Corp. (TSX: TOU),
Canadian Pacific Railway Ltd. (TSX: CP),
Symantec Corp. (NASDAQ: SYMC).
Fixed-income exposure is predominantly obtained through holding units in
other Cambridge managed bond funds.
Positioning is currently overweight to bonds, with bond holdings as of
April 30 consisting of three other Cambridge mutual funds:
Cambridge Bond Fund Class I;
Cambridge Canadian Short-Term Bond Pool Class I; and
Cambridge Premium Yield Pool Class I units.
Longer-term performance, particularly on a risk-adjusted basis, has been
excellent. The 10-year average annual compounded rate of return to April 30
was 4.9%, placing the fund in the top quartile of performance. With a
3-year average standard deviation of 4.4%, volatility has been lower than
both the index and peer group, and fund performance has held up better than
average in down markets.
With equity valuation levels remaining at the higher end of historic
ranges, and yields poised to rise, it is expected the portfolio will remain
defensively positioned. Given the team and process in place, this remains
an excellent balanced offering.
CI Cambridge Asset Allocation Corporate Class A
Cambridge Global Asset Management
FundGrade A+ Awards:
2014, 2015, 2016
Low to Medium
Brandon Snow since June 2011; Bob Swanson since June 2011
CIG2322 (Front-end load)
Dave Paterson, CFA, is the Director of Research, Investment Funds for
D.A. Paterson & Associates Inc., a consulting firm specializing in providing research and due
diligence on a variety of investment products. He is also the publisher
Dave Paterson’s Top Funds Report,
offering regular commentary and in-depth analysis of Canada’s top
investment funds. He uses a unique analytical approach to identify
funds with strong, risk-adjusted returns, and regularly publishes his
insights and analyses in Fund Library.
Notes and Disclaimer
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associated with fund investments. Please read the simplified prospectus
before investing. Mutual funds are not guaranteed and are not covered by
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insurer. There can be no assurances that the fund will be able to maintain
its net asset value per security at a constant amount or that the full
amount of your investment in the fund will be returned to you. Fund values
change frequently and past performance may not be repeated. No guarantee of
performance is made or implied. This article is for information purposes
only and is not intended as personalized investment advice.