Brompton Split Banc Corp. has released its Annual Report to December 31, 2011.
SBC / SBC.PR.A Performance | |||
Instrument | One Year |
Three Years |
Five Years |
Whole Unit | +1.5% | +21.3% | +4.9% |
SBC | -2.20% | +49.0% | -2.0% |
SBC.PR.A | +5.4% | +5.4% | +5.4% |
S&P/TSX Capped Financial Index | -3.8% | +15.0% | -0.6% |
I suggest the reported outperformance probably has more to do with the poor performance of insurers over the past five years than with any manifestation of investment skill; on the other hand, the fund has handsomely outperformed BK / BK.PR.A for the past five years, even allowing for the one month difference in period end.
Figures of interest are:
MER: 0.98% of the whole unit value, “excluding the cost of leverage and the issuance costs.”
Average Net Assets: We need this to calculate portfolio yield. The Total Assets of the fund at year end was $119.9-million, compared to $128.1-million a year prior, so call it an average of $124-million.
Underlying Portfolio Yield: Investment income of $5.188-million received divided by average net assets of $124-million is 4.18%.
Income Coverage: Net investment income of $5.188-million less expenses of $1.253-million is $3.934-million, to cover preferred dividends of 3.149-million is about 125%.
SBC.PR.A was last mentioned on PrefBlog when a term extension of up to five years was approved last March.