An opportunistic, short-term commercial financing strategy focused on core U.S. markets.  Trez Capital Yield Trust US participates primarily in large scale residential lot development projects in major urban centres of Texas.  In addition to its commercial loan portfolio, up to 20% of net assets may be invested in equity positions and 10% may be invested in mezzanine loans.  Investors can purchase U.S. dollar units or Canadian dollar hedged units.  The investment objective is to preserve invested capital, while generating an attractive rate of income in U.S. dollars for distribution to unitholders.

Fund Summary

Fund Type Open-Ended pooled mortgage fund
Inception January 1, 2013
Eligibility RRSP, RRIF, DPSP, RDSP, RESP, TFSA, IPP
Unit Value $10
Purchase T + 2
Redemption T + 20, subject to 1% retraction penalty if redeemed within 1st year.
Management Fee 1.15%
Incentive Fee 10% of Net Operating Income
Distribution Frequency Monthly
Target Return 8.85% per annum

Manager Summary

Manager Trez Capital Fund Management Limited Partnership
Manager AUM CAD $3.5 billion
Fund AUM $167,429,204 USD

Portfolio Metrics

Number of Loans 79
Weighted Average LTV 66.6%
Weighted Average Term-to-Maturity (Months) 12.2

Geographic Region

Dallas/Ft.Worth
49.7%
Florida
17.4%
North Carolina
7.8%
Houston
7.6%
Georgia
4.3%
Texas - Other
9.5%
United States - Other
3.7%

Asset Class

Residential
90.9%
Office
6.9%
Retail
2.2%

Security Rank

First Mortgages
82.6%
Second Mortgages
15.7%
Third Mortgages
1.7%

Historical Performance

  2019 YTD 1 Year 3 Year 5 Year Since Inception
Trez Capital Yield Trust US
Series I1
4.0% 9.5% 9.2% 9.8% 9.8%

1 I Series returns are reported as F Series returns, plus 35bps to account for the reduction in management fee. To discuss eligibility, please contact Trez Capital Fund Management Limited Partnership.

2 Due to the inception of the fund in January 2013, the return for 2013 is an annualized return.

Growth of $10,000

 

Trez Capital Yield Trust US distributes 100% of its net income annually. Unitholders receive quarterly distributions at a rate of 2.0% on Series I units, payable fifteen days following each calendar quarter end. Distributions are paid in the currency of the units denomination. All residual income attribuable to each unit series is distributed by way of an annual top-up distribution, which is paid in mid-March following the conclusion of the annual audit of the Trust.

Distribution History

In 2019, Trez Capital moved from quarterly to monthly distributions.

Year Series Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Top-up1 YTD Distribution Annualized DRIP Return3
2019 I2 $0.065 $0.065 $0.065 $0.065 $0.065 $0.065 $0.065 $0.065 $0.065         $0.390  

 

Year Series Q1 Q2 Q3 Q4 Total Quarterly Distribution Top-up1 Annual Distribution Annualized DRIP Return3
2018 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.120 $0.920 9.5%
2017 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.035 $0.835 8.6%
2016 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.133 $0.933 9.6%
2015 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.709 $1.509 10.1%
2014 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.303 $1.103 11.4%
2013 I2 $0.200 $0.200 $0.200 $0.200 $0.800 $0.235 $1.035 10.6%

1 Based on a weighted average return to Unitholders, this amount is an estimate of the average top up distribution paid. Those invested for less than a full one year period will receive a prorated allocation, and those invested in the dividend reinvestment plan will receive a slightly higher top up due to the effects of compounding.

2  I Series returns are reported as F Series returns, plus 35bps to account for the reduction in management fee. To discuss eligibility, please contact Trez Capital Fund Management Limited Partnership.

3 This return is based on all distributions throughout the year being re-invested into the fund. This is a compounded return from the distribution re-investment program.

 

 

DISTRIBUTION SCHEDULE

  Record Date Expected Pay Date
January January 31 February 7
February February 28 March 8
March March 31 April 9
April April 30 May 9
May May 31 June 7
June June 30 July 9
July July 31 August 9
August August 31 September 9
September September 30 October 8
October October 31 November 8
November November 30 December 9
December December 31 January 8
Annual Top Up December 31 March 17

Note: Distributions are taxed in the year that they are earned. T3 slips are distributed to all unitholders in March of each year following completion of the year end audit and payment of the annual top-up distribution.

Fees

Management Fee Percentage negotiated by the Manager and the Unitholder of the Average Annual Gross Assets of the I Series units.
Incentive Fee 10% of the Net Income for each unit series after deduction of the Management fee.

Minimum Investment

To discuss minimum investment amounts and eligibility, please contact Trez Capital Fund Management L.P.

How To Invest

Institutional Investors form a core part of our investor base.  As investors seek ways to diversify away from equities and traditional fixed income to both enhance income while mitigating risks, alternative investments such as private mortgage pools provide for an attractive solution.

To learn more about our private mortgage pools for institutional clients please contact:

Daniel Marchand 
Senior Vice President, Head of Investor Global Sales
P: 647.778.1780
E: DanielM@trezcapital.com

 

Fund Fact Sheets

  • Fiche d’information sur le fonds - Série I

    Fiche d’information sur le fonds -  Série I
    juin 2019 - Trez Capital Yield Trust US (USD) Fiche d’information sur le fonds - Série I
    View/Download »
  • Fund Fact Sheet (I Series)

    Fund Fact Sheet (I Series)
    June 2019 - Trez Capital Yield Trust US (USD) Fund Fact Sheet (I Series)
    View/Download »

Subscription/Redemption Documents

  • Institutional Investor Application Form

    June 2019 - Fund Application form for Institutional, Pension Plan, or Investment Fund
    View/Download »

Financial Statements

  • Audited Financial Statements

    December 2018 - Trez Capital Yield US (USD) Trust Audited Financial Statements
    View/Download »

Investments