Matco Canadian Equity Income Fund (Series F)
Fund Documents [LINK]    Fund Codes [LINK]     As at December 31, 2020 

Investment Profile
The Fund invests in mid to large-cap leading Canadian dividend-paying companies and is diversified across sectors. The Fund seeks to generate regular dividend income plus long term capital appreciation.

Fund Inception Date


Fund Net Asset Value

$71.2 Million

Portfolio Manager

Anil Tahiliani, MBA, CFA

Dividend Yield


Is this fund for you?

You typically have a 5+ year investment horizon

You can tolerate medium risk on your investment

You are looking for an investment that is well diversified and pays a dividend



Geographic Profile

The Fund is primarily focused on Canadian equities maintaining a minimum of 70% in Canadian securities. It may also invest from time to time in U.S. and foreign securities based upon Matco's assessment of market conditions.


The fund invests in a focused portfolio of 30-35 highest conviction companies.

The fund focuses on companies that meet Matco’s strict investment criteria which include:

  • Quality

  • Income

  • Growth

  • Value

  • Risk

Investor Education

  • Ensure you have an investment time horizon of 5+ years

  • Understand that at times the fund’s performance may be out of sync with the market

  • The companies’ earnings growth cycle may fluctuate over time

  • Learn about Matco and our investment philosophy

  • Assess the fund’s performance over a 5-year period in order to recognize the fund’s true value

  • Understand this Fund is not intended to be a complete investment program for all investors

Performance (Series F)

As at December 31, 2020      
Net of Fees   3M YTD 1Y 3Y 5Y 7Y 10Y Incep.
Series F   6.0% -1.2% -1.2% 0.4% 4.8% 4.0% 4.5% 3.9%

Growth of $10,000 since inception

Cumulative Returns

    3M YTD 1Y 3Y 5Y 7Y 10Y Incep.
Series F   6.0% -1.2% -1.2% 1.1% 26.7% 31.9% 54.8% 65.7%


  • Calendar Year Returns

      2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007
    Series F -1.2% 18.4% -13.7% 9.4% 14.6% -2.5% 6.7% 18.1% 7.2% -7.3% 16.6% 31.1% -31.6% 2.4%
  • Rolling 5-Year Returns

      From 2015 
    to 2020
    From 2014
    to 2019
    From 2013
    to 2018
    From 2012 
    to 2017
    From 2011
    to 2016
    From 2010
    to 2015
    From 2009 
    to 2014
    From 2008 
    to 2013
    From 2007 
    to 2012
    Series F 4.8% 4.6% 2.4% 9.0% 8.6% 4.1% 7.9% 12.4% 0.8%
  • Annual Distribution per Unit ($/unit)

      2020 2019 2018 2017 2016 2015
    Income TBA 0.59 0.40 0.34 0.28 0.29
    Capital Gains TBA 0.30 - 0.24 - -
    Total Distributions: TBA 0.89 0.40 0.58 0.28 0.29

Sector Allocation 

Asset Mix

Top Holdings

Northland Power Inc. 4.8%
Cargojet Inc. 4.5%
Canadian National Railway Co. 4.3%
Constellation Software Inc. 4.1%
Dollarama Inc. 4.1%
Canadian Tire Corp Ltd. 4.1%
TFI International Inc. 4.0%
First National Financial Corp. 4.0%
Bank of Montreal 3.9%
Rogers Communications Inc. 3.7%
  • 4.8% - Northland Power Inc.

    A global developer, owner and operator of solar, wind, thermal and electricity infrastructure.

  • 4.5% - Cargojet Inc.

    The largest provider of overnight cargo delivery services in Canada.

  • 4.3% - Canadian National Railway Ltd.

    Offers transportation and supply chain expertise across North America.

  • 4.1% - Constellation Software Inc.

    Acquires, manages and builds industry specific software businesses that provide specialized solutions to address the particular needs of their customers.

  • 4.1% - Dollarama Inc.

    A value price retailer with 1,314 locations across Canada selling general products.

  • 4.1% - Canadian Tire Corp Ltd.

    A diversified retailer with key brands; Mark's, PartSource, SportChek, Atmosphere and Helly Hansen.

  • 4.0% - TFI International Inc.

    Provides trucking, logistics and packaging services across North America.

  • 4.0% - First National Financial Corp.

    Canada's largest non-bank mortgage provider for the residential and commercial markets.

  • 3.9% - Bank of Montreal

    A diversified banking company operating across North America in the lending, wealth management and investment banking segments.

  • 3.7% - Rogers Communications Inc.

    Provides internet, wireless, cable and security services and owns the Toronto Blue Jays and other media assets.


We remain bullish for 2021, given the combination of a low interest rate environment for the next 2 to 3 years, the vaccine rollout and further government fiscal stimulus in Canada and the U.S. 

In addition, we believe the high savings rates in Canada and U.S. and the eventual release from COVID restrictions will lead to further consumer spending in 2021-22, as consumers look forward to a ‘back to normal lifestyle’. Although the stock market index valuations are stretched in the short term, we would view any potential market pullback as a buying opportunity, given the earnings growth potential and dividend yields of our portfolio companies. The Fund remains well positioned to benefit from higher corporate earnings in 2021 and has a current dividend yield of 2.9%. 

Performance returns for the Matco Mutual Funds are calculated by Matco Financial Inc. These returns are calculated and reported in Canadian dollars and are historical simple returns for the 3 month, YTD and 1 year periods and annualized compounded total returns for periods after 1 year. They include changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any security holder that would have reduced returns. A cumulative return on an investment is the aggregate amount that the investment has gained or lost over time, independent of the amount of time involved, expressed as a percentage. Calendar year return reflects the compound rate of return over the specified calendar year (January 1st to December 31st). Matco Fund returns are calculated after management fees and operating expenses have been deducted.