A diversified, balanced short-term commercial mortgage strategy.  Trez Capital Yield Trust invests across the capital stack, including first position and second position mortgages, sub-tranches of mortgages, and blanket mortgages secured by multiple properties.  Loans may be secured by property located in Canada or the United States.  The investment objective is to preserve capital, while generating an attractive, stable rate of interest income for distribution to unitholders.

Fund Summary

Fund Type Open-Ended pooled mortgage fund
Inception June 1, 2009
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 6.85% per annum

Manager Summary

Manager Trez Capital Fund Management Limited Partnership
Manager AUM CAD $3.5 billion
Fund AUM $1,157,068,032

Portfolio Metrics

Number of Loans 181
Weighted Average LTV 71.7%
Weighted Average Term-to-Maturity (Months) 14.1

Geographic Region

Alberta
33.2%
British Columbia
23.5%
Texas
11.8%
Ontario
9.3%
Florida
6.5%
Arizona
3.5%
Colorado
2.0%
United States - Other
7.2%
Canada - Other
1.4%

Security Rank

First Mortgages
70.9%
Second Mortgages
26.8%
Third Mortgages
0.5%
Blanket Mortgages
1.8%

Historical Performance

  2019 YTD 1 Year 3 Year 5 Year Since Inception
Trez Capital Yield Trust
Series I
3.0% 7.1% 7.7% 7.7% 8.3%

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 June 2009, the return for 2009 is an annualized return.

Growth of $10,000

 

Trez Capital Yield Trust distributes 100% of its net income annually. Unitholders receive quarterly distributions at a rate of 1.5% on Series I units, payable fifteen days following each calendar quarter end. All residual income 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 $0.050 $0.050 $0.050 $0.050 $0.050 $0.050               $0.300  

 

Year Series Q1 Q2 Q3 Q4 Total Quarterly Distribution Top-up1 Annual Distribution Annualized DRIP Return3
2018 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.095 $0.695 7.1%
2017 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.195 $0.795 8.0%
2016 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.155 $0.755 7.7%
2015 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.160 $0.760 7.8%
2014 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.142 $0.742 7.6%
2013 I2 $0.150 $0.150 $0.150 $0.150 $0.600 $0.194 $0.794 8.2%

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

  • Fund Fact Sheet (I Series)

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

    Fiche d’information sur le fonds -  Série I
    juin 2019 - Trez Capital Yield Trust Fiche d'Information (Série I)
    View/Download »

Subscription/Redemption Documents

  • Institutional Investor Application Form

    June 2019 - Institutional Investor Application Form
    View/Download »

Financial Statements

  • Audited Financial Statements

    December 2018 - Trez Capital Yield Trust Audited Financial
    View/Download »

Offering Documents

  • Offering Memorandum

    May 2019 - Trez Capital Yield Trust Offering Memorandum
    View/Download »
  • TCYT- notice d'offre

    mai 2019 - TCYT- notice d'offre
    View/Download »

Investments