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<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong><br />

<strong>November</strong> 2023


Why Invest in <strong>Private</strong> <strong>Markets</strong><br />

1. Differentiated and enhanced returns<br />

By investing in differentiated companies, securities and assets, private market investments have the potential to deliver higher returns<br />

relative to public markets.<br />

2. Differentiated and smoother volatility<br />

By not trading publicly on a daily basis, private investments enjoy the ability to avoid the “noise” of day-to-day trading in markets,<br />

which can often lead to inefficiencies, where non-economic factors like investor sentiment or trends can dominate public market<br />

pricing. <strong>Private</strong> investments enjoy a smoother volatility profile relative to public investments.<br />

3. Low correlations to public markets improve portfolio outcomes<br />

By delivering uncorrelated returns relative to public markets, private market investments can enhance portfolios by lowering overall<br />

volatility and improving risk adjusted returns.<br />

4. Seeking long-term growth, pensions increasing allocations<br />

Many pension plans have dramatically increased allocations to private market investments, as the long-term growth potential and<br />

illiquid nature matches pensions long-term investment horizon. For example, renowned pension plan CPP Investment Board (CPPIB) has<br />

dramatically increased their exposure to private equity, from $16B (13%) in 2010, to $188B (33%) in 2023¹. Invest for long-term growth,<br />

invest with private investments.<br />

5. <strong>Private</strong> investments increasing in importance<br />

<strong>Private</strong> investments – including private equity, venture capital, private credit, private infrastructure and private real estate, among<br />

others – are becoming an increasingly important asset class for investors. According to Preqin, AUM is expected to climb by close to $10<br />

trillion to $18.4 trillion by 2026.<br />

Source: CPPIB 2023 Annual Report<br />

2


<strong>Private</strong> markets represent an increasingly large and<br />

attractive investment opportunity set<br />

<strong>Private</strong> Equity Venture Capital <strong>Private</strong> Credit<br />

<strong>Private</strong><br />

Infrastructure<br />

<strong>Private</strong> Real Estate<br />

Overview: Direct<br />

investments typically<br />

made to medium to large<br />

private companies that<br />

are not publicly listed<br />

Types: Buyout, growth<br />

equity, liquidity solutions<br />

(preferred share),<br />

secondaries<br />

AUM: $5.1T (2021)<br />

Overview: A form of<br />

private equity that<br />

focuses on investments in<br />

early-stage or startup<br />

companies with high<br />

growth potential<br />

Types: Typically, early or<br />

seed round funding<br />

AUM: $2.0T (Sept. 2021)¹<br />

Overview: Investors<br />

provide financing directly<br />

to private companies,<br />

who may not have easy<br />

access to traditional<br />

sources of financing<br />

Types: Direct, mezzanine,<br />

distressed, real estate<br />

AUM: $4.7T<br />

Overview: A form of<br />

private equity that<br />

focuses on infrastructure<br />

assets with stable,<br />

contracted cash flows<br />

Types: Energy,<br />

transportation, utilities,<br />

logistics,<br />

telecommunications<br />

AUM: $1.2T<br />

Overview: A form of<br />

private equity that<br />

focuses on private real<br />

estate opportunities<br />

Types: Commercial,<br />

industrial, residential<br />

AUM: $1.3T<br />

Source: Preqin, ¹Venture Capital AUM.<br />

3


An efficient solution providing diversified access to leading<br />

investment themes while streamlining the investment process<br />

Single Product<br />

Single Manager Investments<br />

<strong>CI</strong> <strong>Private</strong> Market Solutions<br />

Single<br />

Product<br />

<strong>Private</strong> <strong>Fund</strong> C<br />

<strong>Private</strong> <strong>Fund</strong> B<br />

<strong>Private</strong> <strong>Fund</strong> D<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong>/<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong><br />

<strong>Private</strong> <strong>Fund</strong> A<br />

Cash<br />

Cash<br />

Cash<br />

Equities<br />

Equities<br />

Equities<br />

Fixed<br />

<strong>Income</strong><br />

Fixed<br />

<strong>Income</strong><br />

Fixed<br />

<strong>Income</strong><br />

• Simple administration<br />

• Undiversified<br />

• Typically high fees<br />

• Diversified but closed architecture<br />

• Can access leading managers<br />

• Institutional pricing power<br />

• Open architecture<br />

• Diversification across leading mgrs.<br />

• Streamlined administration process<br />

4


Total Commitment<br />

Net Cashflow<br />

Net Cashflow<br />

<strong>Private</strong> investment cash flow profile<br />

Typical <strong>Private</strong> Asset <strong>Fund</strong><br />

<strong>Private</strong> <strong>Fund</strong>-of-<strong>Fund</strong> Solution<br />

• The investor only controls the size of commitment<br />

• Cash flow parameters are controlled by GP<br />

• <strong>Fund</strong>s/Assets typically have different cash flow<br />

patterns<br />

Cash fully at work<br />

By building diversification not only by asset class but also by<br />

cashflow pattern, we can provide a smoother overall exposure<br />

5


The funds are led by dedicated and experienced Portfolio<br />

Management, Manager Sourcing and Due Diligence teams<br />

Seattle, Washington<br />

Name Designation Title Experience (yrs) Function<br />

Darren Troy<br />

Newport Beach, California<br />

Name Designation Title<br />

Nic Cristea<br />

Ryan Rosen<br />

MBA, MA,<br />

CFA, CQF<br />

MBA, CFA,<br />

CQF<br />

Partner, U.S.<br />

Alternatives<br />

Strategy<br />

Director,<br />

Investments<br />

Experience<br />

(yrs)<br />

Madeline Parker CAIA Associate 4<br />

Dallas, Texas<br />

18<br />

16<br />

Function<br />

Manager<br />

Sourcing<br />

Manager<br />

Sourcing<br />

Manager<br />

Sourcing<br />

Name Designation Title Experience (yrs) Function<br />

Mary Liz<br />

Guidry<br />

CFA<br />

MBA, CFA<br />

Director,<br />

Investments<br />

Director,<br />

Investments<br />

12<br />

13<br />

Due<br />

Diligence<br />

Due<br />

Diligence<br />

Toronto, Ontario<br />

Name Designation Title<br />

Marc-André<br />

Lewis<br />

Geofrey Marshall<br />

Andrey Vasilyev<br />

New York City, New York<br />

Name Designation Title Experience (yrs) Function<br />

Dillan Kluge<br />

Peter Watson<br />

Miami, Florida<br />

CFA<br />

PhD<br />

Name Designation Title<br />

Paul Platkin MBA, CFA<br />

Director,<br />

Alternatives<br />

Partner, Head of<br />

Alternatives<br />

Partner, Alternatives<br />

Due Diligence<br />

Experience<br />

(yrs)<br />

PhD EVP, <strong>CI</strong>O 22<br />

CFA<br />

SVP, Head of<br />

High Yield Credit<br />

& Lead – <strong>Private</strong><br />

<strong>Markets</strong><br />

Investment<br />

Analyst<br />

26<br />

12<br />

7<br />

10<br />

Experience<br />

(yrs)<br />

29<br />

Function<br />

Portfolio<br />

Management<br />

Portfolio<br />

Management<br />

Portfolio<br />

Management<br />

Due<br />

Diligence<br />

Manager<br />

Sourcing<br />

Function<br />

Due<br />

Diligence<br />

Source: <strong>CI</strong> GAM, as of August 2023<br />

6


Investment Process – roles and responsibilities<br />

6. Allocation<br />

decisions<br />

5. Manager Due<br />

Diligence<br />

1. Portfolio<br />

Monitoring and cash<br />

flow management<br />

4. Manager Sourcing<br />

2. Target Allocation<br />

Revision<br />

3. Investment Needs<br />

Portfolio Management<br />

• Marc-André Lewis<br />

• Geof Marshall<br />

• Andrey Vasilyev (Quantitative support)<br />

Due Diligence<br />

• Marc-André Lewis<br />

• Geof Marshall<br />

• Paul Platkin, Mary Liz Guidry, Dilan Kluge,<br />

Darren Troy<br />

Manager Sourcing<br />

• Peter Watson<br />

• Nic Cristea<br />

7


Deep Dive: Institutional approach to manager selection<br />

Investment needs<br />

Manager sourcing<br />

Manager diligence<br />

Allocation decision<br />

Approach<br />

• Team identifies initial and ongoing<br />

needs for the funds across a range of<br />

different characteristics (e.g., asset<br />

classes, geography, cash flow profile)<br />

• PM team includes expected timing<br />

and sizing of needs<br />

• Sourcing team conducts bottom-up<br />

search for managers in the space,<br />

sending RFIs to shortlisted managers<br />

• Sourcing team negotiates marketlevel<br />

economic concessions with top<br />

3-4 finalists to improve client pricing<br />

• Third party consultant shares<br />

extensive investment DD and<br />

operational DD memos<br />

• Internal team conducts further due<br />

diligence, including client and deal<br />

references, background checks, and<br />

team interviews<br />

• Diligence findings summarized in<br />

internal Investment Memo<br />

• <strong>CI</strong> GAM PMs make investment decision<br />

based on due diligence findings and fit<br />

with needs of the fund<br />

• Complete discretion to request<br />

additional research, or decline<br />

investments that do not meet the<br />

needs/standards of the fund,<br />

irrespective of economic arrangements<br />

Primary<br />

accountability<br />

• Marc-André Lewis, Geof Marshall<br />

• Peter Watson, Nic Cristea<br />

• Geof Marshall, Paul Platkin<br />

• Marc-André Lewis<br />

• Geof Marshall<br />

Additional<br />

resources<br />

• Systems and investment tools utilized<br />

• Mercer to provide starting universe<br />

for search<br />

• Mercer to share existing IDD and ODD,<br />

conduct additional research as needed<br />

• Peter to provide relationship continuity<br />

• Peter Watson to facilitate additional<br />

diligence needs<br />

Rationale<br />

• Investment team responsible for<br />

overall investment performance and<br />

fund management are responsible for<br />

determining needs for the fund<br />

• Dedicated, U.S.-based team actively<br />

engages with leading in-market<br />

managers<br />

• Institutional quality due diligence,<br />

leveraging best-in-class third-party<br />

consultant and supplemental in-house<br />

team<br />

• Allocation decisions are made based<br />

on investment merit and the needs<br />

of the fund


With dedicated team, we have built an extensive funnel<br />

of managers (1/2)<br />

Total Alternatives funds<br />

Mercer starting universe<br />

Actionable opportunities<br />

<strong>Fund</strong>s reviewed<br />

(additional detail follows)<br />

Extensive diligence<br />

Approved funds<br />

11,056<br />

~750<br />

117<br />

34<br />

11<br />

• Review potentially actionable managers based on<br />

geography, fund timing, capacity, and access<br />

• Mercer provides qualitative and quantitative screens<br />

to identify high-potential opportunities<br />

• Management meetings to review investment strategy<br />

and operating background<br />

• In-depth due diligence: on-site interviews, VDR review<br />

background & reference checks, third party research,<br />

operational due diligence, and legal review<br />

9


With dedicated team, we have built an extensive funnel<br />

of managers (2/2)<br />

Meetings with senior management of >100 leading funds<br />

Examples<br />

15<br />

Venture Capital<br />

T.Rx Capital<br />

20<br />

Secondaries<br />

16<br />

Real Estate<br />

20<br />

<strong>Private</strong> Equity<br />

22<br />

<strong>Private</strong> Credit<br />

11<br />

Infrastructure<br />

10


<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong><br />

A one-ticket, open architecture solution providing institutional-grade exposure to a diversified set of private market<br />

investment opportunities, focusing on income generating assets<br />

Overview<br />

Portfolio Management<br />

• Access <strong>Private</strong> <strong>Markets</strong>: A complex asset class previously only available<br />

to pensions and ultra-high net worth investors, <strong>CI</strong> GAM has simplified<br />

access to privates with this one-ticket, open-ended, low minimum fund<br />

that provides diversified exposure to private market investments.<br />

• Improve Portfolio Outcomes: By delivering uncorrelated returns relative<br />

to public markets, private market investments can help lower volatility<br />

and enhance risk adjusted returns when added to a portfolio.<br />

• Holistic Management: Dedicated and experienced teams in Canada and<br />

the U.S. manage the portfolio from start to finish. We source the private<br />

investment managers, perform due diligence, optimize allocations,<br />

actively shift portfolio makeup based on opportunity set and outlook<br />

and manage liquidity needs<br />

• Open Architecture: We continually source new private managers for<br />

inclusion in the fund, ensuring diversity of investment philosophy, style,<br />

sector focus and exposures<br />

• Scaled, Institutional-Grade Solution: Diversification across a combination<br />

of leading and emerging managers. <strong>CI</strong> GAM’s scale provides access to<br />

managers and preferential fee structures that would be difficult for<br />

individual investors to achieve.<br />

• Managed Liquidity: A streamlined and managed liquidity sleeve is used<br />

to effectively manage redemption and capital calls, minimizing their<br />

impact to the rest of the portfolio.<br />

Strategic Allocation<br />

Royalties:<br />

10%<br />

Liquidity<br />

Sleeve: 10%<br />

<strong>Private</strong> Real<br />

Estate: 20%<br />

<strong>Private</strong><br />

Infrastructure:<br />

15%<br />

Marc-André Lewis, CFA<br />

Executive Vice-President,<br />

Chief Investment Officer<br />

<strong>CI</strong> Global Asset Management<br />

<strong>Private</strong> Equity: 10%<br />

<strong>Private</strong><br />

Credit:<br />

35%<br />

Key Facts<br />

Investor and <strong>Fund</strong> Type<br />

Investment Minimum<br />

Lockup<br />

Valuation<br />

Redemption Limits<br />

Early Redemption<br />

Geof Marshall, CFA<br />

Senior Vice-President, Portfolio<br />

Manager – Fixed <strong>Income</strong> and<br />

Lead – <strong>Private</strong> <strong>Markets</strong><br />

<strong>CI</strong> Global Asset Management<br />

Accredited | Open ended<br />

Series F: $25,000 (USD)<br />

3-years<br />

Quarterly<br />

Q1-Q3: T+120; Q4: T+180<br />

5% of NAV quarterly<br />

10% of NAV in prior 12-months<br />

Yes, however 3% fee within 3-year<br />

lockup period<br />

Management fee Series F: 0.65%<br />

Source: <strong>CI</strong> GAM, as of August 2023<br />

11


<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong> – strategic and target<br />

allocations<br />

Strategic Allocation Tactical Shifts Target Allocation<br />

Royalties:<br />

10% Liquidity<br />

Sleeve:<br />

10%<br />

<strong>Private</strong> Equity: 10%<br />

<strong>Private</strong> Equity<br />

<strong>Private</strong> Credit<br />

5%<br />

10%<br />

<strong>Private</strong> Real<br />

Estate: 10%<br />

Liquidity Sleeve: 10%<br />

<strong>Private</strong><br />

Equity: 20%<br />

<strong>Private</strong> Real<br />

Estate: 20%<br />

<strong>Private</strong><br />

Infrastructure:<br />

15%<br />

<strong>Private</strong><br />

Credit: 35%<br />

Optimized Portfolio Construction: In designing the<br />

fund, we have optimized the return, volatility, income,<br />

and liquidity profile of each private investment to<br />

match the needs of a one-ticket, income-oriented<br />

solution that is diversified by asset class and manager.<br />

We aim to deliver higher or similar returns of public<br />

markets but with much lower volatility.<br />

<strong>Private</strong> Infrastructure<br />

<strong>Private</strong> Real Estate<br />

Royalties<br />

Liquidity Sleeve<br />

-10%<br />

-10%<br />

Incorporating Tactical Market Opportunities:<br />

Based on our analysis of the differing<br />

investment opportunities in private markets, we<br />

have shifted allocations to managers and asset<br />

classes with better outlooks<br />

0%<br />

5%<br />

-15% -10% -5% 0% 5% 10% 15%<br />

<strong>Private</strong><br />

Infrastructure:<br />

20%<br />

<strong>Private</strong><br />

Credit: 40%<br />

Combined bottom-up and top-down solution: Our<br />

target portfolio allocation represents an optimized<br />

and actively managed portfolio in which the<br />

underlying managers are carefully vetted and<br />

chosen, while seeking to be positioned based on<br />

our outlook in each private market asset<br />

Source: <strong>CI</strong> GAM, as of September 2023<br />

12


<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong> – target managers<br />

Liquidity Sleeve: 10%<br />

Investment<br />

Liquidity Sleeve<br />

<strong>Private</strong> Real Estate: 10%<br />

<strong>Fund</strong><br />

Apollo Realty <strong>Income</strong><br />

Solutions (ARIS)<br />

<strong>Private</strong> Infrastructure: 20%<br />

<strong>Fund</strong><br />

HarbourVest Infrastructure <strong>Income</strong><br />

<strong>Fund</strong><br />

Focus<br />

Investing in public credit<br />

and government bonds<br />

Focus<br />

Substantially stabilized, well-leased,<br />

income-oriented commercial real<br />

estate assets throughout the U.S.<br />

Debt-tilt to start strategy.<br />

Focus<br />

Core and core+<br />

infrastructure assets in<br />

OECD markets<br />

20%<br />

10%<br />

10%<br />

20%<br />

40%<br />

<strong>Private</strong> Equity: 20%<br />

<strong>Fund</strong><br />

<strong>Private</strong> Equity Manager 1<br />

(due diligence phase)<br />

<strong>Private</strong> Credit: 40%<br />

<strong>Fund</strong><br />

Avenue Europe Special Situations <strong>Fund</strong><br />

V (U.S.)<br />

<strong>Private</strong> Credit Manager 2<br />

(due diligence phase)<br />

<strong>Private</strong> Credit Manager 3<br />

(due diligence phase)<br />

Focus<br />

Industrial, turnaround<br />

Focus<br />

Europe focused<br />

Distressed<br />

Opportunistic<br />

Source: <strong>CI</strong> GAM, as of September 2023<br />

13


<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong> details: Series F, I and W<br />

Series F Series I Series W¹<br />

Investor Type<br />

Accredited investors only²<br />

Investment Minimum<br />

$25,000 USD $2,000,000 USD $25,000 USD<br />

All fund minimums must be met in a single account<br />

Structure<br />

Open-ended fund, via Offering Memorandum (OM)<br />

Lockup<br />

3-years from time of subscription³<br />

<strong>Fund</strong> Capital Call Frequency<br />

Quarterly from money market, to be invested in public securities until underlying funds call top fund capital<br />

Quarterly<br />

<strong>Fund</strong> Valuation<br />

Q1-Q3: Up to T+120 days after quarter-end<br />

Q4: Up to T+180 days after quarter-end<br />

Underlying <strong>Fund</strong> Valuations<br />

Audited, quarterly<br />

Only invest in managers who use 3rd party valuations<br />

Redemption Limits<br />

After 3-year lockup, 5% of NAV quarterly<br />

10% of NAV in prior 12-months<br />

Early Redemptions<br />

Yes, but subject to 3% fee if within the 3-year lockup period<br />

Management Fee 0.65% Negotiable 0.10% (Management Fee Premium)⁴<br />

Management Fee Policy Embedded in NAV Invoiced to investors monthly<br />

Quarterly: redeemed from investors assets, in line<br />

with existing <strong>Private</strong> Client billing process<br />

Operational Expense and Policy<br />

Variable, embedded in NAV<br />

Incentive Fee<br />

None, however the underlying funds may charge an incentive fee based on performance<br />

Distribution Policy<br />

Net income: Quarterly, variable. Composed of cash and/or notional amounts<br />

Capital gains: Annually, if any<br />

Time Horizon<br />

Medium-to-long term<br />

Risk Rating<br />

High<br />

Eligible Accounts<br />

Non-registered accounts⁵<br />

How to Purchase<br />

Subscription agreement⁶<br />

Purchase Codes (<strong>CI</strong>G) 6252 6250 6251<br />

¹Available to clients of <strong>CI</strong> Assante <strong>Private</strong> Client and <strong>CI</strong> <strong>Private</strong> Wealth. ²Please refer to your Dealership for individual or corporate requirements to be considered an accredited investor. ³The date of the the switch from <strong>CI</strong> U.S.<br />

Money Market (<strong>CI</strong>PMG Tracker) to the <strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong>. ⁴In addition to normal <strong>Private</strong> Client billing. Series W management fees are included and calculated in the <strong>Private</strong> Client quarterly billing process at the<br />

posted billing rates. Additionally, assets of <strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong> will be subject to a Management Fee Premium of 0.10%. ⁵For Series W units held in <strong>CI</strong> Assante <strong>Private</strong> Client or <strong>CI</strong> <strong>Private</strong> Wealth must be held in<br />

Separately Managed (“SMA”) USD accounts. ⁶Please refer to the <strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong> Advisor FAQ for further details and timing requirements on the subscription agreement. <strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong> is only<br />

available in USD and not available in CAD.<br />

14


How to purchase a <strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Solution<br />

At least 15<br />

business days<br />

prior to last day<br />

of a calendar<br />

quarter<br />

Interest accrues<br />

on <strong>CI</strong> U.S.<br />

Money Market<br />

<strong>Fund</strong><br />

Subscription<br />

Date (last day<br />

of calendar<br />

quarter)<br />

Within 120- 180¹<br />

days following<br />

quarter end<br />

Unit price for<br />

quarter end is<br />

established<br />

Submit subscription<br />

agreement to <strong>CI</strong><br />

Purchase into the <strong>CI</strong> U.S.<br />

Money Market <strong>Fund</strong><br />

(<strong>CI</strong>PMG or <strong>CI</strong>PMI Tracker)<br />

Assets move to the respective<br />

<strong>Fund</strong>’s Installment <strong>Fund</strong> code<br />

(subscription receipts are<br />

issued)<br />

Assets move from Installment<br />

<strong>Fund</strong> code to the <strong>Fund</strong><br />

(subscription receipts are<br />

exchanged for units of the<br />

<strong>Fund</strong>)<br />

1<br />

It is anticipated that the NAV per unit for the first three calendar quarter ends will be available on or<br />

about the 120 th day following the quarter end, and on or about the 180 th day following year-end. Please<br />

refer to the <strong>CI</strong> <strong>Private</strong> Market Solutions Advisor FAQ for full details on how to purchase the funds, and<br />

any considerations as a result of this process. Source: <strong>CI</strong> GAM, as of August 2023.<br />

15


<strong>Fund</strong> Codes<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong><br />

<strong>CI</strong> U.S. Money Market <strong>Fund</strong><br />

(<strong>CI</strong>PMI Tracker)<br />

Series F: 6252<br />

Series I: 6250<br />

Series W: 6251<br />

Installment <strong>Fund</strong> Code<br />

Series F: 6222<br />

Series I: 6220<br />

Series W: 6229<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> <strong>Income</strong> <strong>Fund</strong><br />

Series F: 6202<br />

Series I: 6200<br />

Series W: 6219<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong><br />

<strong>CI</strong> U.S. Money Market <strong>Fund</strong><br />

(<strong>CI</strong>PMG Tracker)<br />

Series F: 6253<br />

Series I: 6255<br />

Series W: 6254<br />

Installment <strong>Fund</strong><br />

Series F: 6223<br />

Series I: 6225<br />

Series W: 6224<br />

<strong>Fund</strong><br />

Series F: 6203<br />

Series I: 6205<br />

Series W: 6204<br />

16


Thank you


Glossary of Terms<br />

Alpha: A measure of performance often considered the active return on an investment. It gauges the performance of an investment against a market index or benchmark which is considered to represent<br />

the market’s movement as a whole. The excess return of an investment relative to the return of a benchmark index is the investment’s alpha.<br />

Correlation: A statistical measure of how two securities move in relation to one another. Positive correlation indicates similar movements, up or down, while negative correlation indicates opposite<br />

movements (when one rises, the other falls).<br />

Drawdown: Measures the peak-to-trough decline of an investment or, in other words, the difference between the highest and lowest price over a given timeframe<br />

Leverage: An investment strategy of using borrowed money - specifically, the use of various financial instruments or borrowed capital - to increase the potential return of an investment.<br />

Liquidity: The degree to which an asset or security can be quickly bought or sold in the market without affecting the asset’s price. Cash is considered to be the most liquid asset, while things like fine art or<br />

rare books would be relatively illiquid.<br />

Return (absolute): The measure of what an investment returned over a given time period. An investment that rose from $1,000 to $1,100 would have an absolute return of 10%.<br />

Return (relative): The performance of one investment versus another. The most commonly reported relative returns are mutual fund returns relative to their benchmark indexes.<br />

Return (risk-adjusted): A measure of investment performance taking into consideration how much risk/volatility was assumed to generate it. Consider two investments, both of which return 10% over a given<br />

time period. The investment with the greater risk-adjusted return would be the one that experienced less price fluctuation. Two of the most commonly used measures of risk adjusted returns are Sharpe and<br />

Sortino ratios.<br />

Standard Deviation: A measure of risk in terms of the volatility of returns. It represents the historical level of volatility in returns over set periods. A lower standard deviation means the returns have<br />

historically been less volatile and vice-versa. Historical volatility may not be indicative of future volatility.<br />

Volatility: Measures how much the price of a security, derivative, or index fluctuates. The most commonly used measure of volatility when it comes to investment funds is standard deviation.<br />

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Disclaimers<br />

<strong>CI</strong> <strong>Private</strong> <strong>Markets</strong> Growth <strong>Fund</strong> and <strong>CI</strong> <strong>Private</strong> Market <strong>Income</strong> <strong>Fund</strong> (the “<strong>Fund</strong>s”) are not mutual funds under Canadian securities laws, and rather are considered to be “non-redeemable investment funds”<br />

under Canadian securities laws. The <strong>Fund</strong>s are not subject to rules and regulations that apply to mutual funds and/or non-redeemable investment funds that are reporting issuers, including National<br />

Instrument 81-102 – Investment <strong>Fund</strong>s and National Instrument 81-106 – Investment <strong>Fund</strong> Continuous Disclosure, and, as a result, restrictions intended to create diversification and liquidity in the <strong>Fund</strong>s’<br />

portfolio, do not apply to the <strong>Fund</strong>s. The <strong>Fund</strong>s will not invest, or provide continuous disclosure to unitholders, in a manner similar to mutual funds or investments funds that are reporting issuers regulated<br />

under Canadian securities laws.<br />

Potential purchasers should carefully review the section entitled “Risk Factors” in each <strong>Fund</strong>s’ Offering Memorandum before making any decision to subscribe for units, including risk factors related to<br />

unitholders’ limited ability to liquidate their investment in the <strong>Fund</strong>s and lack of control over the Alternative Vehicles (as defined in the Offering Memorandum) and other underlying investments of the<br />

<strong>Fund</strong>s (together with Alternative Vehicles, the “underlying investments”) by <strong>CI</strong> Global Asset Management, as manager of the <strong>Fund</strong>s, and the unitholders of the <strong>Fund</strong>s, including with respect to changes to the<br />

investment strategies of the underlying investments.<br />

The <strong>Fund</strong>s have not been marketed, and are not available, to retail investors. The <strong>Fund</strong>s, and this document, are only being made available to “accredited investors” (as such term is defined in the Securities<br />

Act (Ontario) or National Instrument 45-106 – Prospectus Exemptions, as applicable) resident in, or otherwise subject to the securities laws of, any province or territory of Canada, or pursuant to such other<br />

exemptions from the prospectus requirements under applicable securities legislation, as well as institutional investors such as financial institutions, pension plans, group retirement plans, endowments,<br />

foundations.<br />

The contents of this piece are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security discussed. Certain statements contained in this<br />

communication are based in whole or in part on information provided by third parties, and <strong>CI</strong> Global Asset Management has taken reasonable steps to ensure their accuracy.<br />

This document is intended only as a general overview and is for information purposes only. It has been prepared solely for the use of the person(s) to whom it has been delivered and may not be reproduced<br />

or used for any other purpose. It is intended only for accredited investors, institutional investment consultants or institutional investors. It is not meant for the general public.<br />

The performance of the mandates is not guaranteed, the values change frequently, and past performance may not be repeated. Past performance is not a reliable indicator of future performance. You<br />

should not rely on past performance to make investment decisions and are encouraged to consult your professional advisers on the tax and legal consequences of investing in the <strong>Fund</strong>s.<br />

© 2023 Morningstar Research Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not<br />

warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no<br />

guarantee of future results.<br />

19


Disclaimers<br />

The opinions expressed in the communication are solely those of the author(s) and are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security<br />

discussed.<br />

Certain names, words, titles, phrases, logos, icons, graphics, or designs in this document may constitute trade names, registered or unregistered trademarks or service marks of <strong>CI</strong> Investments Inc., its<br />

subsidiaries, or affiliates, used with permission. All other marks are the property of their respective owners and are used with permission.<br />

Certain statements contained in this communication are based in whole or in part on information provided by third parties and <strong>CI</strong> Global Asset Management has taken reasonable steps to ensure their<br />

accuracy. Market conditions may change which may impact the information contained in this document.<br />

<strong>CI</strong> Global Asset Management is a registered business name of <strong>CI</strong> Investments Inc., a wholly-owned subsidiary of <strong>CI</strong> Financial Corp. (TSX: <strong>CI</strong>X).<br />

©<strong>CI</strong> Investments Inc. 2023. All rights reserved.<br />

Published October 2, 2023.<br />

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