Blue Ribbon Income Fund | Brompton Funds (2024)

Why Invest?

  • The Investment Manager believes that high-income common equities in Canada will continue to outperform non-dividend paying common equities
  • 20+ year strategy focused on undervalued investments in the Canadian high income equity market
  • Investment Manager, Bloom Investment Counsel, Inc. focuses on high income equity investments with over 35 years of experience

Investment Objectives

To achieve a high level of monthly cash distributions and the opportunity for capital appreciation by investing in a high income equity portfolio, consisting primarily of dividend paying Canadian equities.

This Fund is for Investors who are:

  • Seeking capital appreciation
  • Seeking income
  • Comfortable with equity risk

FUND FACTS

  • Ticker
    RBN.UN
  • CUSIP
    095819108
  • Outstanding (Jan 28, 2024)
    8,515,572
  • Inception Date (CAD Hedged)
    September 17, 1997
  • Manager/Portfolio Manager
    Brompton Funds Limited
  • Auditor
    PricewaterhouseCoopers LLP
  • Currency
    CAD
  • Custodian
    CIBC Mellon Trust Company
  • Transfer Agent
    TSX Trust Company
  • Eligibility
    All registered and non-registered accounts
  • Annual Redemption Date
    2nd last business day of November
  • Annual Redemption Notice Deadline
    Last business day of October
  • Investment Manager
    Bloom Investment Counsel, Inc.

Portfolio Manager

Bloom Investment Counsel, Inc. (“Bloom”) was established in 1985 and specializes in the management of segregated investment portfolios for wealthy individuals, corporations, foundations, institutions and trusts. In addition to its conventional investment management business, Bloom currently manages specialty high-yield equity portfolios comprised of dividend-paying common equity securities, income trusts, and real estate investment trusts. Bloom currently provides investment management services to four TSX-listed, closed-end portfolios.

Market Data provided by TMX, and powered by QuoteMedia

Blue Ribbon Income Fund

Summary of Investment Portfolio as at December 31, 2023

Total Net Asset Value$66,666,000

Top 25 Holdings

% of Portfolio% of Net Asset Value
Goeasy Ltd.6.2%
Ag Growth International Inc.6.1%
Premium Brands Holdings Corp.5.9%
Parkland Corporation5.7%
Manulife Financial Corporation5.5%
Sun Life Financial Inc.5.0%
Chemtrade Logistics Income Fund4.9%
Transcontinental Inc.4.6%
Toronto-Dominion Bank4.5%
Enbridge Inc.4.4%
Keyera Corp.4.4%
Canadian Tire Corp.4.2%
TFI International Inc.3.8%
Bank of Nova Scotia3.8%
Gibson Energy Inc.3.7%
Superior Plus Corp.3.6%
Boralex Inc.3.4%
Park Lawn Corporation3.4%
Propel Holdings Inc.3.1%
Northland Power Inc.2.9%
Cash2.8%
Altus Group Limited2.6%
Telus Corporation1.9%
Allied Properties REIT1.9%
Rogers Communications Inc.1.9%
Total0%100.2%

1)The investment portfolio may change due to ongoing portfolio transactions of the investment fund. Quarterly updates are available on the Fund's website at www.bromptongroup.com within 60 days of each quarter end.

Performance NAV History

Growth of $10,000(1)

Annual Compound Returns(1)

YTD 1-Year 3-Year 5-Year 10-Year Since Inception(2)
Blue Ribbon Income Fund 9.2% 9.2% 6.6% 7.0% 2.8% 8.6%

Year-by-Year Returns

2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012
Blue Ribbon Income Fund 9.2% (7.1%) 19.3% (5.1%) 22.3% (16.6%) 2.6% 30.0% (13.3%) (2.6%) 14.9% 4.1%

(1) Returns are for the periods ended December 31, 2023.The table above shows the past performance of the Fund. Past performance does not necessarily indicate how the Fund will perform in the future. The information shown is based on Net Asset Value per unit and assumes that cash distributions made by the Fund and deemed distributions based on the intrinsic value of the rights/warrants at approximately the exercise date of the rights/warrants in the periods shown were reinvested at Net Asset Value per unit in additional units of the Fund. The tables above show the Fund’s year-by-year and compound returns for each period indicated.

(2) Period from September 16, 1997 (commencement of operations) to December 31, 2022.

Returns for Blue Ribbon Income Fund (“RBN.UN”)are unaudited. Certain returns for RBN.UN were calculated based on publicly available information and accounting records in each case prepared by a prior administrator of RBN.UN.

You will usually pay brokerage fees to your dealer if you purchase or sell units of the investment fund on the Toronto Stock Exchange or other alternative Canadian trading system (an “exchange”). If the units are purchased or sold on an exchange, investors may pay more than the current net asset value when buying units of the investment fund and may receive less than the current net asset value when selling them.

There are ongoing fees and expenses associated with owning units of an investment fund. An investment fund must prepare disclosure documents that contain key information about the fund. You can find more detailed information about the fund in the public filings available at www.sedar.com. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and does not take into account certain fees such as redemption costs or income taxes payable by any securityholder that would have reduced returns. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated.

Distributions

The actual breakdown of distributions for tax purposes will be provided to unitholders annually in March as soon as possible following receipt of the information from the Fund’s individual holdings. This information will also be posted on the website as soon as it is available.

This information is of a general nature only and does not constitute legal or tax advice to any particular investor. Accordingly, prospective investors are advised to consult their own tax advisors with respect to their individual circumstances.

DRIP

Investors may elect to automatically reinvest their distributions in additional units of the Fund and realize the benefits of compound growth. Any units acquired pursuant to the distribution reinvestment program qualify for the service fee. DRIP Plan

Tax Allocation

The following information is applicable to holders who, for the purposes of the Income Tax Act (Canada), are resident in Canada and hold trust units as capital property. If this is not the case, a tax advisor should be consulted.

Holders of trust units outside of a RRSP, DPSP, RRIF, RESP or TFSA should expect to receive a T3 slip from their investment dealer. T3 supplementary slips will indicate Other Income (Investment Income and Non-Investment Income) in Box 26, Foreign Business Income in Box 24, Foreign Non-Business Income in Box 25, Capital Gains in Box 21 and Eligible Dividend Income in Box 49. Dividend income is subject to the standard gross up and federal dividend tax credit rules.

The return of capital component is a non-taxable amount that serves to reduce the adjusted cost base of the Fund units and is reported in Box 42.

Select a year

Record Date Payment Date Capital Gains Eligible Dividend Foreign Non- Business Income Tax Paid Other Income Return of Capital Total Distribution
Mar 28, 2024 Apr 12, 2024 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Feb 29, 2024 Mar 14, 2024 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Jan 31, 2024 Feb 14, 2024 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Dec 29, 2023 Jan 15, 2024 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Nov 30, 2023 Dec 14, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Oct 31, 2023 Nov 14, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Sep 30, 2023 Oct 16, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Aug 31, 2023 Sep 15, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Jul 31, 2023 Aug 15, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Jun 30, 2023 Jul 17, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
May 31, 2023 Jun 14, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Apr 28, 2023 May 12, 2023 0.00000 0.00000 0.00000 0.00000 0.00000 0.04000
Total 0.00000 0.00000 0.00000 0.00000 0.00000 0.48000

As an expert in the field of investment management and finance, I have a comprehensive understanding of the concepts and information provided in the article. My expertise allows me to delve into the details and provide a thorough analysis of the key elements mentioned.

  1. Investment Manager and Strategy:

    • The investment manager, Bloom Investment Counsel, Inc., brings over 35 years of experience to the table.
    • The investment strategy focuses on high-income common equities in Canada, with an emphasis on dividend-paying equities. The manager anticipates continued outperformance of high-income common equities over non-dividend paying ones.
    • The strategy has a long-term perspective, spanning over 20 years, and is centered on identifying undervalued investments in the Canadian high-income equity market.
  2. Fund Information:

    • The Blue Ribbon Income Fund, identified by the ticker RBN.UN, was launched on September 17, 1997, and is managed by Brompton Funds Limited.
    • As of January 28, 2024, the fund has an outstanding unit count of 8,515,572 and a net asset value of $66,666,000.
    • The fund's primary currency is CAD (Canadian Dollar), and its custodian is CIBC Mellon Trust Company.
    • Investors can expect high monthly cash distributions and the potential for capital appreciation by investing in a portfolio primarily composed of dividend-paying Canadian equities.
  3. Portfolio Holdings:

    • The top 25 holdings of the Blue Ribbon Income Fund, as of December 31, 2023, include prominent Canadian companies such as Goeasy Ltd., Ag Growth International Inc., Premium Brands Holdings Corp., and others.
  4. Performance Metrics:

    • The fund's performance is tracked through various metrics, including annual compound returns. As of December 31, 2023, the fund has delivered a YTD return of 9.2% and a 10-year annual compound return of 2.8%.
    • Year-by-year returns showcase the fund's historical performance, with variations in returns over different years.
  5. Distributions and DRIP:

    • The fund provides cash distributions to investors, and the breakdown of distributions for tax purposes is made available annually in March.
    • Investors have the option to participate in the Distribution Reinvestment Program (DRIP), allowing for the automatic reinvestment of distributions to benefit from compound growth.
  6. Tax Allocation:

    • Information on tax allocation is provided for holders who are resident in Canada and hold trust units as capital property.
    • The breakdown includes eligible dividends, foreign business income, foreign non-business income, capital gains, and return of capital.
  7. Performance History:

    • The fund's performance history, represented by growth of $10,000, and annual compound returns are provided, offering investors insights into how the fund has performed over time.
  8. Important Dates and Fees:

    • Annual redemption date, redemption notice deadline, and other important dates are specified.
    • Investors are reminded of potential brokerage fees and ongoing expenses associated with owning units of the investment fund.

In conclusion, the Blue Ribbon Income Fund, managed by Bloom Investment Counsel, Inc., presents itself as a vehicle for investors seeking both capital appreciation and monthly income through a well-established strategy in the Canadian high-income equity market. The fund's performance history and transparent information aim to guide investors in making informed decisions.

Blue Ribbon Income Fund | Brompton Funds (2024)
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