OVERVIEW

CORE HOLDINGS

Financial 15 Split Corporation is a high quality portfolio consisting of 15 financial services companies made up of Canadian and U.S. issuers. The portfolio shares have demonstrated a record of above-average long-term share performance and dividend growth. Financial Services companies are expected to benefit from a growing economic and capital markets recovery, earnings growth momentum and continued consolidation trends within the industry.

 

The corporation offers two types of shares, a Class A (FTN) and a Preferred (FTN.PR.A).

 

 

To view a Split Share Fund overview please click here.

Canadian Issuers

 

Bank of Montreal

Bank of Nova Scotia

Canadian Imperial Bank of Commerce

National Bank of Canada

Royal Bank of Canada

Toronto-Dominion Bank

Manulife Financial

Sunlife Financial

Great-West Lifeco

CI Financial Corp.

 

 

U.S. Issuers

 

Bank of America

Citigroup Inc.

Goldman Sachs

JP Morgan Chase & Co.

Wells Fargo & Co.

 

 

Shares held within the Portfolio are expected to range between 4-8% in weight but may vary from time to time. Top holdings by weight may include holdings other than the core holdings as 15% of the net asset value may be invested in equity securities other than the core holdings (as per the Prospectus).

OBJECTIVES

SHARE HIGHLIGHTS

Preferred Shares:

 

(i) to provide holders of Preferred Shares with cumulative preferential monthly cash dividends currently in the amount of 6.75% annually, to be set by the Board of Directors annually and subject to a minimum of 5.5% until 2025; and
(ii) on or about the termination date of December 1, 2025 (subject to further 5 year extensions thereafter), to pay the holders of the Preferred Shares $10 per Preferred Share.

Class A Shares:

(i) to provide holders of Class A Shares with regular monthly cash distributions in an amount to be determined by the Board of Directors; and
(ii) to permit holders to participate in all growth in the net asset value of the Company above $10 per Unit, by paying holders on or about the termination date of December 1, 2025 (subject to further 5 year extensions thereafter) such amounts as remain in the Company after paying $10 per Preferred Share.

​Preferred Shares:

 

  • Fixed cumulative monthly dividends*

  • Potential for higher monthly dividends annually/5 year minimum

  • Quality investments and diversification

  • Strong downside protection and asset coverage

  • Pfd-3 (low) DBRS Rating - Mar 9/21

  • Competitive Yield

  • Eligible for registered accounts

 

Class A Shares:

 

  • Monthly cash dividends*

  • Quality investments and diversification

  • Leverage to performance of high quality stocks

  • Capital appreciation potential

  • Attractive alternative to other income vehicles

  • Eligible for registered accounts

    *For the purposes of the Income Tax Act (Canada) and any similar provincial legislation, the Company designates any and all dividends paid on both its Class A and Preferred shares as “eligible dividends” unless the Company indicates otherwise.

TOP HOLDINGS

VALUATION

Holdings Sorted by weight as at August 31, 2021:
 

Goldman Sachs Group Inc
Bank of America Corp
JPMorgan Chase & Co
Royal Bank of Canada
National Bank of Canada
Wells Fargo & Co
Toronto-Dominion Bank
Canadian Imperial Bank of Commerce
Citigroup Inc
Sun Life Financial Inc
Bank of Nova Scotia
Bank of Montreal
Manulife Financial Corp
Great-West Lifeco Inc
CI Financial Corp

September 15, 2021    
   

NAV Pre-Distribution:    $21.56
   
Distribution:    $0.00
   
NAV Net of Distribution:    $21.56
   
NAV + Total Distributions Paid to Date:    $52.63