Sustainable Income 100 Fund
Series
Overview
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KEY REASONS TO INVEST
- Responsible investing principles
The Fund seeks to achieve objective sustainability standards, including direct exposure to ESG investment options, and aims to maintain an ‘above-average’ or ‘high’ sustainability rating from one of Morningstar Sustainalytics, MSCI or another similar organization. - Institutional-quality portfolio management
The Fund’s strategic asset allocation is driven by the insights of Guardian’s Asset Mix Committee and is actively managed using sophisticated techniques to help deliver optimal investment outcomes. - Diversification in a simple, convenient package
The Fund provides broadly diversified investment exposure through a wide variety of fixed income securities in an effort to best capitalize on opportunities and manage volatility, all within a single investment solution chosen to align with your risk tolerance.
YTD | 2023 | 2022 |
---|---|---|
4.39 | 5.04 | -9.10 |
Performance during the Fund’s first year is from its Inception Date to Dec 31 of that same calendar year.
1M | 3M | 6M | YTD | 1Y | 3Y | 5Y | 10Y | S.I. |
---|---|---|---|---|---|---|---|---|
1.72 | 4.45 | 5.03 | 4.39 | 12.11 | - | - | - | 0.00 |
S.I. (Since Inception) is the performance since Inception Date.
Information as of 09/30/2024
Growth of $10,000
Information as of 09/30/2024
Growth of $10,000
Disclaimer:
The Morningstar® Sustainability Rating™ is intended to measure how well the issuing companies of the securities within a fund’s portfolio are managing their environmental, social, and governance (“ESG”) risks and opportunities relative to the fund’s Morningstar category peers, and is updated monthly. The Morningstar Sustainability Rating is depicted by globe icons where 5 globes equals High ranking (lowest ESG Risk) and 1 globe equals Low ranking (highest ESG Risk) compared to category peers, based off each fund’s Morningstar® Portfolio Sustainability Score™. A Sustainability Rating is assigned to any fund that has more than half of its underlying assets receiving an ESG Risk Rating from Sustainalytics, and is within a Morningstar Category with at least 10 scored funds; therefore, the rating it is not limited to funds with explicit sustainable or responsible investment mandates. Please refer to http://corporate1.morningstar.com/SustainableInvesting/ for more detailed information about the Morningstar Sustainability Rating and its calculation. Sustainalytics is an ESG and corporate governance research, ratings, and analysis company affiliated with Morningstar, Inc.
© 2022 Morningstar®. 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 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 guarantee of future results. Morningstar is an independent organization that groups investment funds with generally similar investment objectives for comparison purposes and ranks them on a historical basis. Ratings and/or ranking information is portfolio-based, not performance-based and is subject to change monthly. They do not reflect a fund’s performance on either an absolute or risk-adjusted basis, nor are they a qualitative Morningstar evaluation of a fund’s merits. They should not be the sole basis for an investment decision.
The Inception Date is the start date of investment performance and may not coincide with the date the fund or series was first offered for sale under a prospectus or its legal date of creation.
The Risk Classification of a fund has been determined in accordance with a standardized risk classification methodology in National Instrument 81-102, that is based on the fund’s historical volatility as measured by the 10-year standard deviation of the fund’s returns. Where a fund has offered securities to the public for less than 10 years, the standardized methodology requires that the standard deviation of a reference mutual fund or index that reasonably approximates the fund’s standard deviation be used to determine the fund’s risk rating. Please note that historical performance may not be indicative of future returns and a fund’s historical volatility may not be indicative of future volatility.
The indicated rates of return in the charts above are used only to illustrate the effects of the compound growth rate and are not intended to reflect the future value of the fund or returns on investment in the fund
The Growth of $10,000 chart shows the final value of a hypothetical $10,000 investment in securities of this series of the fund as at the end of the investment period indicated and is not intended to reflect future values or returns on investment in such securities.
For major events that may affect the performance of a fund in the last 10 years, including, where applicable, its participation in an amalgamation or merger with another fund or a change in its investment objectives or portfolio advisor, please refer to the "History of the Fund" section in the fund's most recently-filed Annual Information Form. The performance of a fund may have been different had events such as these not taken place.
The information contained on this fund page is designed to provide you with general information related to the mutual fund and is not intended to be comprehensive investment advice applicable to the circumstances of the individual. We strongly recommend you to consult with a financial advisor prior to making any investment decisions.
Disclaimer: The information contained on this Fund page is designed to provide you with general information related to the mutual fund or ETF (the “Fund”) and is not intended to be comprehensive investment advice applicable to the circumstances of the individual. We strongly recommend you to consult with a financial advisor prior to making any investment decisions.
The Inception Date is the start date of investment performance for the Fund and may not coincide with the date the Fund or series was first offered for sale under a prospectus or its legal date of creation.
The Historical NAV (net asset value) chart above does not represent the performance of the Fund. It is shown to illustrate the daily movement of the NAV per Unit, which includes certain fees and expenses of the Fund but does not include reinvested distributions. FOR ETFs ONLY: Please note that an ETF’s Units trade on the TSX, where investors will generally buy and sell the ETF’s Units at Market Price, which may be more or less than the value of the daily NAV. The NAV and the Market Price do not include any brokerage commissions or other trading fees, which may be incurred by an investor for buying or selling Units of the ETF.
The Risk Rating classification of the Fund has been determined in accordance with a standardized risk classification methodology in National Instrument 81-102, which is based on the Fund’s historical volatility as measured by the 10-year standard deviation of the Fund’s returns. Where a fund has offered securities to the public for less than 10 years, the standardized methodology requires that the standard deviation of a reference mutual fund or index that reasonably approximates the fund’s standard deviation be used to determine the fund’s risk rating. Please note that historical performance may not be indicative of future returns and the Fund’s historical volatility may not be indicative of future volatility.
The Management Fee is the fee paid to the Fund’s Manager for managing the investment portfolio and for the day-to-day operations of the Fund.
The Management Expense Ratio ("MER") represents the trailing 12-month management expense ratio, which reflects the cost of running the Fund, inclusive of applicable taxes including HST, GST and QST (excluding certain portfolio transaction costs) as a percentage of daily average net asset value the period, including the Fund’s proportionate share of any underlying fund(s) expenses, if applicable. The MER reported herein is from the Fund’s most recent Management Report of Fund Performance ("MRFP").
The Rate of Return indicated in the charts above are used only to illustrate the effects of the compound growth rate and are not intended to reflect the future value of the Fund or returns on investment in the Fund.
The Growth of $10,000 chart shows the final value of a hypothetical $10,000 investment in securities of this series of the Fund as at the end of the investment period indicated and is not intended to reflect future values or returns on investment in such securities.
Material Events: For any major events that may affect the performance of a Fund in the last 10 years, including, where applicable, its participation in an amalgamation or merger with another fund or a change in its investment objectives or portfolio advisor, please refer to the Fund’s most recent prospectus in the section entitled "Name, Formation and History of the Funds". The performance of a Fund may have been different had events such as these not taken place.
Responsible Investing: Guardian Capital LP is a signatory of the United Nations-supported Principles of Responsible Investment (UN PRI). The UN PRI does not prescribe the exclusion of any particular type of company or industry; rather it requires that, as the Manager, we are informed on the ESG issues, and that we are comfortable with the activities and practices of the companies that we invest in. Guardian’s approach to responsible investing is consistent with the framework provided by the UN PRI. Our Responsible Investing policies are publicly available on our website at https://www.guardiancapital.com/investmentsolutions/responsible-investing/
Responsible investing is an approach to investing that incorporates ESG considerations into investment decisions. This approach may incorporate considerations beyond traditional financial information into the investment selection process, which could result in investment performance deviating from other products with comparable objectives or from broad market benchmarks.
Guardian’s Sustainable Funds and GEM Pools have ESG-related investment objectives, while other Guardian Mutual Funds and ETFs do not have ESG-related investment objectives. All Guardian Funds integrate ESG considerations into the investment analysis of all holdings within their respective portfolio. A Fund’s ESG characteristics and performance may change from time to time. Please review the Fund’s prospectus for details on how the Fund’s investment strategy incorporates responsible investing considerations and the associated risks, and consult your financial professional prior to investing.
Glossary of Financial Terms: For more information on the financial terms used in this section, please refer to the Glossary of Financial Terms on our website at: https://www.guardiancapital.com/glossary-of-terms/
Historic disclosure documents for the Fund may be found on the SEDAR+ website at www.SEDARPLUS.ca or may also be obtained, free of charge, by contacting us at 1 (866) 383-6546 or insights@guardiancapital.com.
Top HoldingsAs of 09/30/2024
Ranks | Holdings | % Asset Mix |
---|---|---|
1 | GUARDIAN CDN BOND FUND - ETF UNITS | 44.28 |
2 | BMO LONG PROVINCIAL BOND INDEX ETF | 9.68 |
3 | GUARDBONDSTM 2026 INVESTMENT GRADE BOND FUND | 9.02 |
4 | ISHARES ESG ADVANCED TOTAL USD BOND MARKET ETF | 8.90 |
5 | ISHARES GLOBAL GOVERNMENT BOND | 7.73 |
6 | BMO MID FEDERAL BOND INDEX ETF | 6.88 |
7 | GUARDIAN STRATEGIC INCOME FUND SERIES X | 4.02 |
8 | GUARDIAN ULTRA SHORT CANADIAN T BILL FUND/ETF | 3.56 |
9 | ISHARES ESG ADVANCED CANADIAN CORPORATE BOND INDEX | 3.04 |
10 | SPDR BARCLAYS EMERGING MARKETS LOCAL BOND ETF | 2.05 |
As of 09/30/2024
Morningstar® Sustainability Rating™
Global Fixed Income
# of Funds in Category:2463
Morningstar®
Low Carbon Designation™
No designation for the current month
As of 2024-07-31
Not rated for the current month
Source: Morningstar® Essentials™. The Sustainability Rating is based on the Portfolio Corporate and Sovereign Sustainability Scores listed below, while the Low Carbon Designation is based on the Carbon Risk Score and Fossil Fuel Involvement listed below. Please click here to read the Definitions of the Morningstar® Ratings, Scores and their methodologies below , which includes information about when a rating may not be received.
Responsible investing for a sustainable world
Guardian Capital LP is a signatory of the United Nations-supported Principles for Responsible Investment (UN PRI) and as such we are obligated to incorporate ESG issues into our investment analysis and decision-making processes. The UN PRI does not prescribe the exclusion of any particular type of company or industry; rather it requires that we are informed on the ESG issues, and that we are comfortable with the activities and practices of the companies that we invest in.
Click here to learn more
Sustainability Score as of 2020-07-31. Sustainability Rating as of 2020-06-30. Sustainalytics provides company-level analysis used in the calculation of Morningstar’s Sustainability Score. Sustainability Mandate information is derived from the fund prospectus.
Morningstar® Portfolio Sustainability Score™
This score between 0-100, measures the degree to which the underlying portfolio of companies are exposed to material ESG factors that can negatively impact economic value. A lower score represents a lower degree of sustainability risk.
Fund | Category Average | |
---|---|---|
Portfolio Corporate Sustainability Score™ | 19.94 | 19.81 |
Portfolio Sovereign Sustainability Score™ | 12.76 | 14.64 |
Source: Morningstar® Essentials™ based on long positions only as at 2024-07-31. Sustainalytics provides company level analysis used in the calculation of Morningstar’s Sustainability Score. The proportional relative contribution to the overall Morningstar Sustainability Rating from the Fund’s Corporate and Sovereign positions is 0% and 0%, respectively. These scores are based on the percent of Eligible Portfolio Covered, which is 96.25% of Corporate positions and is 99.57% of Sovereign positions. For a description of the Morningstar Portfolio Sustainability Scores, please see the disclaimer below by clicking here
Source: Morningstar® Essentials™ based on long positions only as at 2024-07-31. Sustainalytics provides company level analysis used in the calculation of Morningstar’s Sustainability Score. The proportional relative contribution to the overall Corporate Sustainability Score from the Fund’s ESG allocation is 16.63% Environmental, 33.96% Social, 22.62% Governance and 26.79% Unallocated Risk, respectively. For a description of the Morningstar Sustainability Pillar Scores, please see the disclaimer below by clicking here.
Source: Morningstar® Essentials™ based on long positions only as at 2024-07-31. These scores are based on the percent of Eligible Portfolio Covered, which is 66.64% for Carbon Risk and is 66.22% for Fossil Fuel Involvement. For a description of the Morningstar Portfolio Carbon Risk Scores and Fossil Fuel Involvement, please see the disclaimer below by clicking here.
Source: Morningstar® Essentials™ based on long positions only as at 2024-07-31. Sustainalytics provides company level analysis used in the calculation of Morningstar’s Sustainability Score. *Percentages represent the contribution to overall Carbon Risk Score. For a description of the Fund’s Distribution of Carbon Risk, please see the disclaimer below by clicking here.
*Please note that the Morningstar® Sustainability Rating and the Morningstar® Low Carbon Designation, and any other rankings and scores, are updated monthly, typically 45 days after each month-end. The Fund’s ESG data presented may not be as recent as the Fund’s performance or holdings data.
A Fund will not be assigned a fund-level ESG rating, ranking or score by Morningstar® if it is new or does not have a sufficient enough portion of its assets under management qualified for rating according to Morningstar®'s Sustainability Rating for Fund Methodology and/or the Morningstar® Low Carbon Designation Methodology, as applicable (see below for each methodology). Excluded from qualified holdings are short positions, cash and currency, derivatives and synthetic holdings; similarly, municipal bonds, commodities, real estate, and alternative investment types are not considered corporate or sovereign and are not currently eligible to contribute toward the overall rating. The Morningstar® Sustainability Rating a Fund receives is determined relative to other funds in the same Morningstar® Global Category, and a Fund could have similar ESG risk to another fund yet still receive a different rating if those funds are in different Global Categories The Morningstar® Global Category assignments help investors search for investments domiciled across the globe which have similar attributes, as described in Morningstar’s Global Category Classifications found here: https://www.morningstar.com/content/dam/marketing/shared/research/methodology/860250-GlobalCategoryClassifications.pdf.
The Fund’s Morningstar® Sustainability and Carbon ratings, rankings and scores evaluate the ESG aspects of the Fund’s portfolio holdings and do not evaluate the efficacy of the Fund’s ESG investment strategies and are not indicative of how well ESG considerations are integrated by the Fund. The full rating methodology employed by Morningstar® can be found on their website or by clicking on the following links: Morningstar® Sustainability Rating for Fund Methodology or the Morningstar® Low Carbon Designation Methodology A copy of the Morningstar® Sustainability Rating Methodology or Morningstar® Low Carbon Designation Methodology documents may also be obtained, free of charge, by contacting us at 1 (866) 383-6546 or insights@guardiancapital.com Other providers may also prepare ESG ratings and rankings of mutual funds and ETFs based on their own methodologies, which may differ from the methodology employed by Morningstar®.
Guardian Capital LP is a signatory of the United Nations-supported Principles of Responsible Investment (UN PRI). The UN PRI does not prescribe the exclusion of any particular type of company or industry; rather it requires that, as the Manager, we are informed on the ESG issues, and that we are comfortable with the activities and practices of the companies that we invest in. Guardian’s approach to responsible investing is consistent with the framework provided by the UN PRI. Our Responsible Investing policies are publicly available on our website at https://www.guardiancapital.com/investmentsolutions/responsible-investing/
Responsible investing is an approach to investing that incorporates ESG considerations into investment decisions. This approach may incorporate considerations beyond traditional financial information into the investment selection process, which could result in investment performance deviating from other products with comparable objectives or from broad market benchmarks.
Guardian’s Sustainable Funds have ESG-related investment objectives, while other Guardian Mutual Funds and ETFs do not have ESG-related investment objectives. All Guardian Funds integrate ESG considerations into the investment analysis of all securities within their respective portfolio. A Fund’s ESG characteristics and performance may change from time to time. Please review the Fund’s prospectus for details on how the Fund’s investment strategy incorporates responsible investing considerations and the associated risks, and consult your financial professional prior to investing.
Definitions and Summaries of the Morningstar® Ratings and Methodologies:
The Morningstar® Sustainability Rating™ is a ranking of a fund’s ESG risks relative to that fund’s Morningstar® Global Category peers, and is updated monthly. It provides a measure of how well the issuing companies of the securities within a fund’s portfolio are managing their financially material ESG risks. The Morningstar® Sustainability Rating is depicted by globe icons where 5 globes equals High ranking (lower ESG risk) and 1 globe equals Low ranking (higher ESG risk) compared to category peers. A higher Sustainability Rating represents lower ESG risk relative to a fund's peer group.
The Morningstar® Sustainability Rating is calculated from the combined proportional Portfolio Corporate Sustainability Rating and Portfolio Sovereign Sustainability Rating, for the trailing 12 months on long-only positions. A Morningstar® Sustainability Rating is assigned to any fund that has either or both a Corporate and Sovereign Portfolio Sustainability Score™, and which requires i) that at least 67.00% of the fund's underlying assets are Qualified Holdings that are eligible to be rated and ii) is within a Morningstar® Global Category with at least 30 scored funds; therefore, the rating is not limited to funds with explicit sustainable or responsible investment mandates. Excluded from Qualified Holdings are short positions, cash and currency, derivatives and synthetic holdings; similarly, municipal bonds, commodities, real estate, and alternative investment types are not considered corporate or sovereign and are not currently eligible to contribute toward the overall rating.
Morningstar® Portfolio Sustainability Scores The Morningstar® Sustainability Rating framework, which was historically based on a single sustainability score, is now a modular approach, based on multiple sustainability sleeve scores to provide a more comprehensive assessment of ESG risk through multiple lenses. Morningstar® determines whether a fund’s eligible portfolio holdings can be classified under a Corporate or Sovereign framework, and each holding can only contribute to one, not both. In some cases, only one of the corporate and sovereign scores is calculated because the fund’s portfolio does not have sufficient sovereign or corporate exposure within its holdings.
The Morningstar® Portfolio Corporate Sustainability ScoreTM is an asset-weighted average of Sustainalytics’ ESG Risk Ratings* for corporate issuers in a fund’s portfolio, based on 12-month historical holdings, updated monthly. The Sustainalytics' ESG Risk Rating measures the degree to which a company's economic value may be at risk driven by ESG factors. To receive a Portfolio Corporate Sustainability Score, at least 67.00% of a fund’s corporate issuer holdings (long positions only) must have an ESG Risk Rating. The Portfolio Corporate Sustainability Score ranges between 0 to 100, with a higher score indicating that a fund has, on average, more of its assets invested in companies with high ESG risk. A fund with a lower score indicates lower ESG risk.
The Morningstar® Portfolio Sovereign Sustainability ScoreTM is an asset-weighted average of Sustainalytics’ Country Risk Ratings* for sovereign issuers in a fund’s portfolio, based on 12-month historical holdings, updated monthly. The Sustainalytics' Country Risk Rating measures the risk to a country's long-term prosperity and economic development by assessing its wealth and its ability to managing its wealth sustainably. To receive a Portfolio Sovereign Sustainability Score, at least 67.00% of a fund's sovereign issuer holdings (long only) must have a Country Risk Rating. The Portfolio Sovereign Sustainability Score ranges between 0 to 100, with a higher score indicating that a fund has, on average, more of its assets invested in sovereign issuers with high ESG risk. A fund with a lower score indicates lower ESG risk.
The Morningstar® Sustainability Pillar Scores™ are provided to help investors understand the contribution of each to a fund’s overall ESG risk, as it breaks out the Portfolio Corporate Sustainability Score for a fund into separate Environmental, Social, Governance and Unallocated ESG Risk pillars. It is based on Sustainalytics’ ESG Risk Ratings for corporate issuer securities, shown as a percentage of total, and is updated monthly.
* The rating methodology employed by Sustainalytics can be found on their website or by clicking on the following links: ESG Risk Ratings Methodology Abstract https://connect.sustainalytics.com/hubfs/INV/Methodology/Sustainalytics_ESG%20Ratings_Methodology%20Abstract.pdf or Country Risk Rating https://connect.sustainalytics.com/hubfs/INV%20-%20Reports%20and%20Brochure/Product%20Brochures/Country%20Risk%20Rating.pdf
The Morningstar® Low Carbon Designation™ is intended to allow investors to easily identify low-carbon funds across the global universe, and is calculated monthly. The designation is an indicator that the companies held in a fund’s portfolio are in general alignment with the transition to a low-carbon economy, and have low carbon risk scores and low levels of fossil fuel exposure.
The Low Carbon Designation is assigned to funds with a Historical Carbon Risk Score below 10 and a Historical Fossil Fuel Percentage of Covered Portfolio Involved of less than 7.00%. For a fund to receive a Historical Carbon Risk Score and the Historical Fossil Fuel Percentage of Covered Portfolio Involved, the percentage of eligible portfolio covered must meet or exceed 67.00%, respectively.
To determine Carbon Risk Scores and Fossil Fuel Involvement, Morningstar® uses Sustainalytics’ company-level data, based on the 12-month historical weighted averages. The Historical Carbon Risk Score measures the degree of material financial risk within a fund’s portfolio, calculated based on the underlying companies’ exposure to and management of material carbon issues. The Historical Fossil Fuel Involvement measures the percentage of a fund’s covered portfolio that is exposed to corporations that generate any revenue from involvement in fossil fuels.
Portfolio Carbon Risk Score measures of the degree of material financial risk posed by the transition to a low carbon economy, and was designed to support investors in evaluating the degree of carbon-related risk within the fund. It is an asset-weighted score based on Sustainalytics’ Carbon Risk Rating* of the companies held in the fund’s portfolio, calculated monthly, based on the most recent 12-month trailing average. The Sustainalytics’ Carbon Risk Rating measures the degree to which a company’s enterprise value is at risk, driven by factors related to the transition to a low carbon economy, or more technically speaking, the magnitude of a company’s unmanaged carbon risks. A company’s ability to reduce emissions and mitigate carbon risk using various management strategies is deducted from their overall carbon risk exposure score. A lower overall Portfolio Carbon Risk Score means lower carbon risk. The Portfolio Carbon Risk Score is ranked from 0 (Low) to 50+ (Severe).
Portfolio Fossil Fuel Involvement measures a portfolio’s exposure to companies involved in high-impact and conventional fossil fuels and is designed to highlight the percentage to which a fund’s portfolio is exposed to this most significant carbon risk, calculated monthly, based on the most recent 12-month trailing average. The Sustainalytics’ Fossil Fuels Involvement* examines a company’s involvement in conventional fossil fuels, such as thermal coal and oil & gas, as well as high-impact fossil fuels including oil sands, oil shale and arctic oil and gas. The Portfolio Fossil Fuel Involvement is shown as a percentage out of 100.00%, based on a rescaled, adjusted eligible portfolio of long positions less short positions.
Fund’s Distribution of Carbon Risk shows the percent of the fund’s portfolio holdings with negligible, low, medium, high, or severe Carbon Risk Score as calculated by Sustainalytics, shown as a percentage of the fund’s total Portfolio Carbon Risk Score, calculated monthly, based on the most recent 12-month trailing average.
*The rating methodology employed by Sustainalytics can be found on their website or by clicking on the following links: Carbon Risk Ratings and Research https://connect.sustainalytics.com/hubfs/INV/Climate%20Solutions/Carbon%20Ratings%20and%20Research/Carbon%20Ratings%20and%20Research%20(Climate%20Solutions)%20Brochure.pdf
© 2023 Morningstar®. 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 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 guarantee of future results. Sustainalytics is an ESG and corporate governance research, ratings, and analysis company affiliated with Morningstar®, Inc.
SI | $0.612646 |
2024 | $0.212272 |
Sep-30 | $.066422 |
Jun-28 | $.090579 |
Mar-28 | $.055271 |
2023 | $0.25244 |
Dec-29 | $.043820 |
Sep-29 | $.079305 |
Jun-30 | $.063946 |
Mar-31 | $.065369 |
2022 | $0.147934 |
Dec-30 | $.039004 |
Sep-30 | $.108930 |
For press releases on distributions please click here.
Disclaimer: This distribution data is for informational purposes only and should not be construed to be tax advice. Your own tax advisor must be consulted for advice. Distributions are paid in Canadian dollars unless otherwise stated. Each ETF makes distributions in accordance with the distribution policy stated in its Prospectus. Each of the ETFs has the ability to make distributions as returns of capital. The payment of distributions should not be confused with an ETF's performance, rate of return or yield. If distributions paid by the ETF are greater than the performance of the ETF, distributions paid may include a return of capital and an investor's original investment will decrease. A return of capital is not taxable to the investor, but will generally reduce the adjusted cost base of the securities held for tax purposes. If the adjusted cost base falls below zero, investors will realize capital gains equal to the amount below zero. Future distribution dates may be amended at any time. Reinvested distributions are not paid in cash but instead remain invested in the ETF. To recognize that reinvested distributions have been allocated to investors for tax purposes the amounts of these distributions should be added to the adjusted cost base of the units held. The characterization of distributions for tax purposes (such as dividends/other income/capital gains etc.) will not be known for certain until after the ETF's tax year end. Therefore investors will be informed of the tax characterization after year-end and not with each distribution. For tax purposes these amounts will be reported annually on official tax statements.