Over 40 years, 10,000 customers and
10 billion in assets under administration.
A dedication to Customer Forward.


Why the CMLS Mortgage Fund

Risk Before Returns
Our risk management strategy centers on a three-pronged approach focusing on: credit risk, interest rate risk and liquidity risk.

Credit Risk The Fund seeks to mitigate loan losses by: (1) focusing on urban areas where properties are more liquid and highly marketable; (2) focusing on asset classes that are less correlated to the business cycle; (3) diversifying loan specific risk by investing in a broad selection of mortgages. In its 8 years of existence, the Fund has had no losses.

Interest Rate Risk The Fund invests primarily in shorter-term and variable rate mortgages to mitigate any rise in interest rates meaning that as rates rise, mortgages roll off allowing the fund to re-invest capital at higher rates.

Liquidity Risk The Fund mitigates liquidity risk by limiting individual investments to under 10% of the total assets under management and by maintaining access to a line of credit to smooth redemptions.

Strong Performance
The CMLS Mortgage Fund has an 8-year track record of strong returns. As of June 30, 2017, the Fund's cumulative net total return of 80% on Class I units since inception in May 2008 has outperformed the S&P Canada Short-Term Investment Grade Bond Index of 20% and the S&P/TSX Total Return Index of 40%.

Low Fees
Management fees are competitive relative to other funds, and there are no performance fees associated with the Fund reducing any conflicts of interest between the Manager and the Unitholders. Borrower-paid fees are split between the Fund and the originator, CMLS Financial Ltd. The Manager does not participate in borrower-paid fees.

Investors can take comfort in the fact that CMLS Asset Management Ltd. is a regulated Exempt Market Dealer, Investment Fund Manager, and Restricted Portfolio Manager with the British Columbia Securities Commission. CMLS Asset Management Ltd. is managed by securities professionals and is accountable for acting in good faith and the best interests of investors.

In addition, compliance rules are in place to ensure that a strict code of conduct and proper client processes are followed to ensure fair and transparent service. We are also obligated to file audited financial statements, and maintain minimum levels of capital and insurance.