Matco Small Cap Fund (Series F)
Fund Documents [LINK] Fund Codes [LINK] As at December 31, 2020
Investment Profile
The Fund invests in small to mid-sized dividend-paying Canadian companies that are typically growing faster than the economy. The Fund seeks to generate regular dividend income plus long term capital appreciation.
2010
$51.7 Million
Anil Tahiliani, MBA, CFA
4.4%
Canadian-focused
The Fund has the flexibility to look for the best small-cap companies in North America. This includes up to 30% in U.S Small Cap companies.
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:
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
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
| As at December 31, 2020 |
Annualized
|
||||||||
|---|---|---|---|---|---|---|---|---|---|
| Net of Fees | 3M | YTD | 1Y | 3Y | 5Y | 7Y | 10Y | Incep. | |
| Series F | 14.5% | 0.2% | 0.2% | -1.0% | 4.2% | 4.0% | 4.9% | 7.0% | |
| 3M | YTD | 1Y | 3Y | 5Y | 7Y | 10Y | Incep. | ||
|---|---|---|---|---|---|---|---|---|---|
| Series F | 14.5% | 0.2% | 0.2% | -2.9% | 22.6% | 31.5% | 60.9% | 108.7% |
| Calendar Year Performance | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Series F | 0.2% | 10.5% | -12.3% | 9.6% | 15.1% | 5.9% | 1.4% | 25.1% | 12.1% | -12.7% | 29.7% |
| From 2015 to 2020 |
From 2014 to 2019 |
From 2013 to 2018 |
From 2012 to 2017 |
From 2011 to 2016 |
From 2010 to 2015 |
|
|---|---|---|---|---|---|---|
| Series F | 4.2% | 5.3% | 3.5% | 11.1% | 11.6% | 5.6% |
| 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | |
|---|---|---|---|---|---|---|
| Income | TBA | 0.63 | 0.66 | 0.42 | 0.28 | 0.26 |
| Capital Gains | TBA | 2.10 | - | 0.50 | - | - |
| Total Distributions: | TBA | 2.73 | 0.66 | 0.92 | 0.28 | 0.26 |
| Richards Packaging Income Fund. | 4.1% |
|---|---|
| Calian Group Ltd. | 4.0% |
| Bridgemarq Real Estate Services Inc. | 3.9% |
| Cash | 3.8% |
| Leon's Furniture Ltd. | 3.8% |
| Yellow Pages Ltd. | 3.7% |
|---|---|
| PFB Corporation | 3.6% |
| goeasy Ltd. | 3.6% |
| Corus Entertainment Inc. | 3.5% |
| Intertape Polymer Group Inc. | 3.4% |
The third largest packaging distributor in North America targeting small to medium sized businesses.
A diversified company that services to the healthcare, training, information technology, engineering and contract manufacturing sectors in Canada and the U.S.
Provides services to real estate brokers and their agents under the Royal LePage, Via Capitale Real Estate Network and Johnston & Daniel banners.
Canada's largest retailer of furniture, appliances and electronics and owns The Brick brand.
A Canadian digital media and marketing company that operates online properties such as YP.ca, Canada411 and 411.ca.
A vertically integrated manufacturer of polystyrene foams used in residential and commercial buildings.
A financial services company that provides non-prime and lending services across Canada.
Provides media and content development for television, radio and digital properties globally.
Develops and manufactures a variety of pressure-sensitive papers, films and protective packaging for industrial and retail use.
The company receives a royalty and per tonnage commission on all iron ore products produced, sold and shipped by Iron Ore Company of Canada.
In November, we saw a significant rotation of funds into the small cap sector in the U.S. and Canada by professional investors. This rotation was driven by the combination of positive vaccine news and the outcome of the U.S. Presidential election. With further U.S. fiscal stimulus coming through the Biden administration’s agenda, both U.S and Canadian economies should benefit.
As a result, we expect small cap companies to outperform their large cap peers in 2021 since small cap companies have more leverage to a domestic economy and have more ability to grow their earnings. In addition, valuations of small cap companies are reasonable and very attractive compared to the stretched valuations of the large tech companies and related COVID-19 winners.
