Institutional Investing
 

Institutional Funds

TD Emerald Long Bond Overlay Pooled Fund Trust

Investment Strategy
The Fund seeks to gain exposure to Long-term government bonds approximately equal to 3 times the cash value of the Fund in order to provide a hedge against liabilities of an investor that are sensitive to changes in long-term interest rates. The composition of the Fund will generally be $1 of direct investment in physical bonds and $2 of synthetic bond exposure. The characteristics of the Fund are managed holistically, irrespective of physical or synthetic exposures, to help ensure that the overall Fund’s sensitivity to interest rate and provincial spread changes mirror that of the underlying benchmark. TD Asset Management Inc. considers general liquidity, administration, and cost when deciding whether any particular position will be held physically or synthetically, and what instruments to use within the synthetic portion.
Investment Objective

The investment objective of the Fund is to provide exposure to long-term provincial bonds approximately equal to 3 times the cash value of the Fund in order to provide a hedge against liabilities of an investor that are sensitive to changes in long-term interest rates.

Who Should Invest
The Fund is designed for Canadian pension funds seeking to better match the interest rate exposure associated with their pension liabilities by increasing their fixed income exposure.
Fund Facts
Asset ClassLong Fixed Income
Management PhilosophyActive
Inception DateJanuary 26, 2010
Benchmark3x FTSE Canada Long Term Provincial Bond Index minus 2x one-month CDOR
Details
NAV($) / Yield (%)9.3955 (As of January 26, 2021)
Distribution DateDecember 31, 2020
Income Distribution2.0175
Capital Distribution0.0000
Total Distribution2.0175
AUM (in millions)1,097.22 (As of December 31, 2020)
Distribution FrequencyAnnual

*Rates of return are time-weighted, reflecting income during the period but do not include any deduction for management fees.

Performance
1 M3 MYTD1 Y2 Y3 Y4 Y5 Y10 YSince Inception
Fund0.961.9332.8232.8235.1019.6119.9516.5117.4218.52
Benchmark0.971.9133.2133.2135.1319.5919.8216.3517.2518.42

*Performance as of December 31, 2020. Year To Date - performance based on most recent month-end data.

*Benchmark is 3x FTSE Canada Long Term Provincial Bond Index minus 2x one-month CDOR

Note: Fund performance is before fees but after expenses

Yearly Performance
20192018201720162015
Fund37.42-6.2420.983.727.98
Benchmark37.06-6.3320.503.457.80
January 27, 2021