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Closed End Funds

Australian Banc Income FundMarch 31, 2017

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Australian Banc Income Fund (the “Fund”) was created to invest in a portfolio of common shares of the five largest Australian banks: Australia and New Zealand Banking Group, Commonwealth Bank of Australia, Macquarie Group Limited, National Australia Bank and Westpac Banking Corporation.

The Fund’s investment objectives are to (i) provide Unitholders with quarterly distributions; (ii) provide the opportunity for capital appreciation; and (iii) lower overall volatility of portfolio returns than would be experienced by owning common shares of the banks directly.

The Manager may sell call options on approximately, and not more than, 25% of the common shares of each bank held in the Portfolio. The Fund does not have a fixed distribution, but intends to set periodic distribution targets based on dividends received in the portfolio, option premiums from covered call writing and the Fund’s estimated expenses.

For weekly prices, click here.

Performance Review

Performance (%) – Class A

As OfCurrent QuarterYTD1 Yr2 Yr3 Yr4 Yr5 yrIncep.
03/31/201710.710.732.15.17.29.513.912.5

Portfolio Review

Top Holdings

 % of Portfolio
Australia and New Zealand Banking Group22.2
Westpac Banking Corporation20.5
Macquarie Group19.3
Commonwealth Bank of Australia17.0
National Australia Bank16.9

Sector Breakdown

 % of NAV
Australian Banks83.8
Cash & Cash Equivalents17.9
Net Other Assets*-1.8
*Net Other Assets includes shares of CYBG PLC, the holding company for UK-based Clydesdale Bank. Clydesdale was demerged from NAB during the quarter. The holding makes up 0.7% of the portfolio.

Australian Banks

 Price
(AUD)
Market Cap. (AUD $B)Price/
Earnings
Dividend Yield (net)Price/
Book
Return on Equity% of Portfolio
Commonwealth Bank of Australia$85.49$147.8915.94.9%2.3816.5%17.0
Westpac Banking Corporation$34.45$115.6415.85.5%1.9713.4%20.5
Australia and New Zealand Banking Group$31.70$93.0716.75.1%1.579.9%22.2
National Australia Bank$32.68$ 87.4314.06.1%1.6811.8%16.9
Macquarie Group$88.70$ 30.1914.94.9%1.8913.4%19.3

Fund Facts

Class A Units (March 31, 2017)

NAV:$12.04
Market Price:$11.40
Quarterly Distribution:$0.1875
Cumulative Distributions:$4.87
Current Yield:6.58%
Market Capitalization:$76.7 million
TSX Symbol:AUI.UN
Inception Date:Mar. 18, 2011
Termination Date:Mar. 31, 2021

Class F Units (March 31, 2016)

NAV:$13.07
Quarterly Distribution:$0.1875
Cumulative Distributions:$4.87
Current Yield:5.74%
Inception Date:Mar. 18, 2011
Termination Date:Mar. 31, 2021

This webpage and any related documents may make forward-looking statements and there are risks that actual results could differ materially from forecasts, projections or conclusions in the forward-looking statements. Certain material factors and assumptions were applied in drawing the conclusions or making the forecasts or projections in the forward-looking statements and you may find additional information about such material factors and assumptions and the material factors that could cause actual results to so differ in the prospectus for Australian Banc Income Fund (the “Fund”) and on an ongoing basis in the Fund's management reports of fund performance. The above information should be considered as background information only and should not be construed as investment or financial advice. Further, it should not be construed as an offer or solicitation to buy or sell securities. Investors should read the Fund’s prospectus and continuous disclosure documents available at www.astonhill.ca or www.sedar.com, which further describe the risks and fees and expenses associated with an investment in the securities of the Fund and should consult with professional advisors before making investments decisions.

Please correct the following errors:

Minimum Investment Requirements

The AHF Credit Opportunities Fund is generally available to investors that can meet a certain minimum amount of money to invest. The minimum initial investment for residents in any province or territory in accordance with applicable securities laws is set out below:

All provinces and territories $125,000 or $25,000(1)
BC, NB, NS and NL Only: $5,000(2)

Notes:

(1) A minimum purchase of $25,000 is available to residents who meet certain requirements.
(2) A minimum purchase of $5,000 is available to residents who meet certain requirements and reside in BC, NB, NS and NL by way of the prescribed OM.
Investors should contact their investment dealer or Financial Advisor for more information.

If you can comfortably invest the minimum dollar amount required in your province or territory, please accept the disclaimer below to learn more about the AHF Credit Opportunities Fund.


Disclaimer: Information pertaining to AHF Credit Opportunities Fund is not to be construed as a public offering of securities in any jurisdiction of Canada. The offering of units in the AHF Credit Opportunities Fund is made pursuant to its offering memorandum only to those investors in jurisdictions of Canada who meet certain eligibility requirements. Please read the offering memorandum carefully before investing.

Minimum Investment Requirements

The Aston Hill Opportunities Fund is generally available to investors that can meet a certain minimum amount of money to invest. The minimum initial investment for residents in any province or territory in accordance with applicable securities laws is set out below:

All provinces and territories $150,000 or $5,000(1)
BC, NB, NS and NL Only: $5,000(2)

Notes:

(1) A minimum purchase of $5,000 is available to residents who meet certain requirements.
(2) A minimum purchase of $5,000 is available to residents who meet certain requirements and reside in BC, NB, NS and NL by way of the prescribed OM.
Investors should contact their investment dealer or Financial Advisor for more information.

If you can comfortably invest the minimum dollar amount required in your province or territory, please accept the disclaimer below to learn more about the Aston Hill Opportunities Fund.


Disclaimer: Information pertaining to Aston Hill Opportunities Fund is not to be construed as a public offering of securities in any jurisdiction of Canada. The offering of units in the Aston Hill Opportunities Fund is made pursuant to its offering memorandum only to those investors in jurisdictions of Canada who meet certain eligibility requirements. Please read the offering memorandum carefully before investing.

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