The investment objective is to generate long-term capital growth, predominantly through the ownership of a concentrated portfolio of North American equity securities. Specifically, the goal of the Fund is to outperform the equity benchmark over a full market cycle. Volatility is expected to be commensurate with an undiversified equity portfolio. The Fund selects securities that specifically meet a fundamentally-driven, security-specific approach.
What is the investment objective of the KJH Founders Fund?
What does the KJH Founders Fund invest in?
The KJH Founders Fund is structured as a concentrated portfolio of selected securities that are reflective of the portfolio managers’ best ideas. Although the portfolio is concentrated within select securities, all selected positions use a disciplined approach to identify undervalued securities that are forecasted to rise over time.
Why this asset mix?
The KJH Founders Fund focuses on a concentration of specific equities split into an actively managed and core and satellite classification. The Fund is sector agnostic and actively engages in options and short positions to generate positive alpha. The active share of the portfolio relies on the portfolio managers’ ability to select undervalued securities.
What is the role of the KJH Founders Fund in a portfolio?
This KJH Founders Fund is intended to add value as a complementary piece to a well structured, diversified portfolio. The Fund seeks to generate alpha for the overall portfolio by actively managing a concentrated basket of equities. Due to the concentrated aspect of the Fund, it is best served in conjunction with a broader portfolio.
The Fund is available to clients of Harbourfront Wealth Management Inc. (“Harbourfront”), as outlined in the fund regulation documents. Harbourfront is an affiliate of Willoughby Asset Management Inc. (the “Fund Manager”), the principal selling agent of The Fund and receives fees for its advisory services as detailed in the Fund Regulation document. Investors may purchase The Fund through Harbourfront or other third-party selling agents retained by the Fund Manager. The Fund Manager is responsible for the KJH Founders Fund (“The Fund”) regulatory compliance, fund operations, business and administrative matters. The Portfolio Managers (“The PMs”) for The Fund, are part of a wealth management team at Harbourfront called KJH Investors. The PMs are responsible for investment decisions for The Fund, including but not limited to, investment strategy, portfolio construction, security selection, asset allocation, performance reporting and benchmark selection.
This information transmitted is intended to provide general guidance on matters of interest for the personal use of the reader who accepts full responsibility for its use, and is not to be considered a definitive analysis of the law and factual situation of any particular individual or entity. As such, it should not be used as a substitute for consultation with a professional accounting, tax, legal or other professional advisor. Laws and regulations are continually changing and their application and impact can vary widely based on the specific facts involved and will vary based on the particular situation of an individual or entity. Prior to making any decision or taking any action, you should consult with a professional advisor. The comments and information pertaining to The Fund are not to be construed as a public offering of securities in any jurisdiction of Canada. The offering of units of The Fund is made pursuant to the Fund Regulation document and only to investors who qualify as accredited investors as defined under National Instrument 45-106. Important information about The Fund is contained in the Fund Regulation document available through the Fund Manager. Management fees, performance fees and expenses all may be associated with investments in The Fund. Investments in The Fund are not guaranteed, the values change frequently and past performance may not be repeated. Unit values and investment returns will fluctuate and there is no assurance that The Fund can maintain a specific net asset value. Harbourfront has relationships with related and /or connected issuers, which may include the securities or funds discussed in this document and are disclosed in the Harbourfront Relationship Disclosure document and the Statement of Policies Regarding Related and Connected Issuers, which can be accessed at harbourfrontwealth.com.