2011 Report - Fortress Mutual Fund Ltd

More documents

Recommendations

Info

Fortress Mutual Fund LimitedConsolidated Statement of Cash FlowsFor the year ended September 30, 2011(expressed in Barbados dollars)2011$2010$Cash flows from operating activitiesTotal comprehensive income 782,432 5,874,667Adjustments for:Net fair value loss/(gain) investments 285,526 (6,361,592)Dividend income (6,897,641) (4,339,354)Interest income (591,122) (1,740,073)Gain on sale of property (1,240,000) –Impairment on property 543,008 –Operating loss before working capital changes (7,117,797) (6,566,352)Decrease/(increase) in accounts receivable 154,316 (343,350)Decrease/(increase) in due from brokers 2,702,611 (1,154,980)(Decrease)/increase in due to brokers (1,006,340) 1,006,788Increase in accounts payable and accrued expenses 407,444 45,778Purchase of investments (108,098,578) (222,812,433)Proceeds on sale of investments 103,388,026 203,923,375Additions to real estate available for re-sale – (10,434)Proceeds from sale of property 7,900,000 –Cash used in operations (1,670,318) (25,911,608)Interest received 866,218 1,552,552Dividends received 6,653,106 4,278,593Cash from/(used in) operating activities 5,849,006 (20,080,463)Cash flows from investing activitiesIssue of mutual fund shares 33,241,520 30,349,535Redemption of mutual fund shares (16,008,800) (13,207,536)Cash from financing activities 17,232,720 17,141,999Net increase/(decrease) in cash and cash equivalents 23,081,726 (2,938,464)Cash and cash equivalents – beginning of year 31,791,477 34,729,941Cash and cash equivalents – end of year 54,873,203 31,791,477The accompanying notes form an integral part of these consolidated financial statements.
Fortress Mutual Fund LimitedNotes to Consolidated Financial StatementsSeptember 30, 2011(expressed in Barbados dollars)1 Incorporation and principal activityFortress Mutual Fund Limited (“the Fund”) was incorporated in Barbados on December 4, 1996, is registeredunder the Companies Act of Barbados and is licensed under the Mutual Funds Act 2002-22 as an authorisedMutual Fund. The Fund maintains its registered office at 1 st Floor, Carlisle House, Hincks Street, Bridgetown,Barbados. The Fund’s primary objective is capital growth over the long term. The Investment Manager uses avalue approach to invest primarily in Caribbean and international equities.The Fund’s investment and administration activities are managed by Fortress Fund Managers Limited (theInvestment Manager).2 Summary of significant accounting policiesThe principal accounting policies applied in the preparation of these consolidated financial statements are setout below. These policies have been consistently applied to all years presented, unless otherwise stated.a) Basis of preparationThe financial statements have been prepared in accordance with International Financial ReportingStandards (“IFRS”). The financial statements have been prepared in accordance with the historical costconvention, as modified by the revaluation of certain financial assets and financial liabilities held at fairvalue through profit or loss.The preparation of financial statements in conformity with IFRS requires the use of certain criticalaccounting estimates. It also requires management to exercise its judgement in the process of applying theFund’s accounting policies. Although these estimates are based on management’s best knowledge ofcurrent events and conditions, actual results could differ from these estimates.Estimates and judgements are continually evaluated and are based on historical experience and otherfactors, including expectations of future events that are believed to be reasonable under the circumstances.Standards, amendments and interpretations that are issued but not yet effective which may be relevantfor the Fund’s operationsIFRS 10, ‘Consolidated financial statements’ builds on existing principles by identifying the conceptof control as the determining factor in whether an entity should be included within the consolidatedfinancial statements of the parent company. The standard provides additional guidance to assist in thedetermination of control where this is difficult to assess. The Fund is yet to assess IFRS 10’s fullimpact and intends to adopt IFRS 10 no later than the accounting period beginning on or after 1January 2015.(1)
Page 1 and 2: 2011 Annual ReportFortress Mutual F
Page 3 and 4: FORTRESS MUTUAL FUND LIMITEDCaribbe
Page 5 and 6: Directors & AdministratorsDIRECTORS
Page 7: Portfolio PositioningThe Fund is po
Page 10 and 11: Directors’ ReportThe Fund’s net
Page 12 and 13: Directors’ Report Cont.Caribbean
Page 14 and 15: Directors’ Report Cont.The OAM fu
Page 17: Financial Statements15
Page 22 and 23: Fortress Mutual Fund LimitedConsoli
Page 26 and 27: Fortress Mutual Fund LimitedNotes t
Page 48: Fortress Mutual Fund LimitedNotes t

2011 Report - Fortress Mutual Fund Ltd

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?