January 31, 2026
A credit-driven, value-oriented income fund that can benefit from higher interest rates.
Is this fund right for you?
- You want to protect your money from inflation while also protecting it from large swings in the market.
- You want to invest in floating-rate debt obligations and other floating-rate debt instruments from issuers located anywhere in the world.
- You're comfortable with a low to moderate level of risk.
RISK RATING
How is the fund invested? (as of November 30, 2025)
| Name | Percent |
|---|---|
| Foreign Bonds | 94.1 |
| Cash and Equivalents | 3.7 |
| Domestic Bonds | 1.5 |
| Canadian Equity | 0.4 |
| US Equity | 0.3 |
| Name | Percent |
|---|---|
| United States | 89.2 |
| Canada | 5.0 |
| Europe | 0.9 |
| France | 0.1 |
| Other | 4.8 |
| Name | Percent |
|---|---|
| Fixed Income | 95.6 |
| Cash and Cash Equivalent | 3.7 |
| Consumer Goods | 0.3 |
| Utilities | 0.2 |
| Financial Services | 0.1 |
| Other | 0.1 |
Growth of $10,000 (since inception)
For the period 07/09/2018 through 01/31/2026 tr.with $10,000 CAD investment, The value of the investment would be $12,051
Fund details (as of November 30, 2025)
| Top holdings | Percent (%) |
|---|---|
| Cash and Cash Equivalents | 3.7 |
| Flynn Restaurant Group LP Term Loan B 1st Lien Senior | 1.3 |
| Natgasoline LLC Term Loan B 1st Lien F/R 24-Mar-2030 | 1.2 |
| Jane Street Group LLC Term Loan B 1st Lien Senior | 1.1 |
| Boots Group Finco LP Term Loan B 1st Lien Senior F/R | 1.1 |
| MH Sub I LLC Term Loan B 1st Lien Sr F/R 11-Dec-2031 | 1.1 |
| Infobip Inc. Term Loan 1st Lien F/R 17-Sep-2026 | 1.0 |
| X Corp. Term Loan B1 1st Lien F/R 26-Oct-2029 | 1.0 |
| TMC Buyer Inc. Term Loan 1st Lien Sr F/R 22-Oct-2031 | 1.0 |
| Travel + Leisure Co. Term Loan B 1st Lien Sr F/R 14-Dec-2029 | 1.0 |
| Total allocation in top holdings | 13.5 |
| Portfolio characteristics | Value |
|---|---|
| Standard deviation | 2.21% |
| Dividend yield | 2.66% |
| Yield to maturity | - |
| Duration (years) | - |
| Coupon | - |
| Average credit rating | Not rated |
| Average market cap (million) | $37,938.5 |
Understanding returns
Annual compound returns (%)
| 1 MO | 3 MO | YTD | 1 YR |
|---|---|---|---|
| -0.03 | -0.22 | -0.03 | 0.53 |
| 3 YR | 5 YR | 10 YR | INCEPTION |
|---|---|---|---|
| 5.51 | 3.25 | - | 2.50 |
Calendar year returns (%)
| 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|
| 1.05 | 8.52 | 10.35 | -5.71 |
| 2021 | 2020 | 2019 | 2018 |
|---|---|---|---|
| 4.06 | -1.39 | 4.61 | - |
Range of returns over five years (August 01, 2018 - January 31, 2026)
| Best return | Best period end date | Worst return | Worst period end date |
|---|---|---|---|
| 6.04% | Mar 2025 | 1.14% | Jul 2023 |
| Average return | % of periods with positive returns | Number of positive periods | Number of negative periods |
|---|---|---|---|
| 3.02% | 100 | 31 | 0 |
Q4 2025 Fund Commentary
Commentary and opinions are provided by Mackenzie Investments.
Market commentary
The global economy remained resilient in the fourth quarter despite policy uncertainty and the effects of the prolonged U.S. government shutdown. Investor sentiment improved as inflation eased across major regions and expectations grew for continued monetary and fiscal policy support into 2026. Non?U.S. markets benefited from a weaker U.S. dollar and improving valuations, while Asia and Europe saw stronger earnings momentum.
Central banks maintained or extended easing cycles. The U.S. Federal Reserve Board delivered additional rate cuts in October and December, while other major policymakers signaled that accommodative policy conditions will persist. These measures helped sustain risk appetite even as global manufacturing remained soft.
Global fixed income markets delivered modest gains in the fourth quarter as easing inflation and renewed policy support in major economies improved the backdrop for high?quality bonds. Government bonds in developed markets were supported by easing policies. Investment?grade corporate bonds outperformed government bonds in several regions as credit spreads tightened and earnings remained resilient. High?yield bonds also advanced. Credit spreads remained tight across most global markets, consistent with low default expectations and a gradually improving macroeconomic outlook.
Performance
Relative exposure to Frontera Generation Holdings LLC contributed to the Fund’s performance. The company benefited from wholesale power prices that were driven by rising electricity demand from data centres, cryptocurrency mining and industrial electrification. Exposure to Kleopatra Finco SARL (4.25%, 2026/03/01) detracted from performance. The bonds declined as the company experienced soft end-market demand, withdrawal of expected equity sponsor support and a liability management exercise.
At a sector level, exposure to the utilities sector contributed to the Fund’s performance. Security selection within industrials sector bonds detracted from performance.
Portfolio activity
Holding in a term loan issued by Celsius Holdings Inc. (2032/04/01) was added to the Fund as the company repriced an existing term loan. Holding in a term loan issued by Jane Street Group LLC (2031/12/15) was increased as the company sees growth and market share capture within its trading franchise.
The Fund’s holding in a term loan issued by Arc Falcon I Inc. (2029/09/30) was sold because of competition from Chinese players, dependence on mergers and acquisition-driven growth, and higher debt levels. A holding in CoreWeave Inc. (9%, 2031/02/01) was reduced because of the sub-advisor’s more cautious near?term outlook for the company as the company balances growth ambitions with execution discipline.
Summary
For the period 07/09/2018 through 01/31/2026 with $10,000 CAD investment
Total returns performance
20.51%
Last price
$12.05 CAD
as of market close 01/31/2026
Value of $10,000 investment
$12,051.12 CAD
