MAPF Portfolio Composition : January 31, 2008

There was a good level of trading in January, most of it intra-sector.

MAPF Sectoral Analysis 2008-1-31
HIMI Indices Sector Weighting YTW ModDur
Ratchet 0% N/A N/A
FixFloat 0% N/A N/A
Floater 0% N/A N/A
OpRet 0% N/A N/A
SplitShare 25.8% (-3.2) 7.03% 5.37
Interest Rearing 0% N/A N/A
PerpetualPremium 12.8% (+12.8) 5.61% 14.20
PerpetualDiscount 61.4% (-2.6) 5.50% 14.69
Scraps 0% N/A N/A
Cash -0.1% (-5.9) 0.00% 0.00
Total 100% 5.92% 12.23
Totals and changes will not add precisely due to rounding.
Bracketted figures represent change from December month-end.

The “total” reflects the un-leveraged total portfolio (i.e., cash is included in the portfolio calculations and is deemed to have a duration and yield of 0.00.). MAPF will often have relatively large cash balances, both credit and debit, to facilitate trading. Figures presented in the table have been rounded to the indicated precision.
Credit distribution is:

MAPF Credit Analysis 2008-1-31
DBRS Rating Weighting
Pfd-1 61.2% (+16.7)
Pfd-1(low) 0.3% (-12.7)
Pfd-2(high) 13.4% (+5.6)
Pfd-2 12.6% (-1.1)
Pfd-2(low) 12.6% (-2.5)
Cash -0.1% (-5.9)
Totals will not add precisely due to rounding.
Bracketted figures represent change from December month-end.

The fund does not set any targets for overall credit quality; trades are executed one by one. Variances in overall credit will be constant as opportunistic trades are executed.

Liquidity Distribution is:

MAPF Liquidity Analysis 2008-1-31
Average Daily Trading Weighting
<$50,000 0.6% (-0.3)
$50,000 – $100,000 13.7% (+13.2)
$100,000 – $200,000 27.8% (+20.0)
$200,000 – $300,000 17.0% (-11.3)
>$300,000 41.0% (-15.6)
Cash -0.1% (-5.9)
Totals will not add precisely due to rounding.
Bracketted figures represent change from December month-end.

MAPF is, of course, Malachite Aggressive Preferred Fund, a “unit trust” managed by Hymas Investment Management Inc. Further information and links to performance, audited financials and subscription information are available the fund’s web page. A “unit trust” is like a regular mutual fund, but is sold by offering memorandum rather than prospectus. This is cheaper, but means subscription is restricted to “accredited investors” (as defined by the Ontario Securities Commission) and those who subscribe for $150,000+. Fund past performances are not a guarantee of future performance. You can lose money investing in MAPF or any other fund.

The fund’s performance in January and the performance of the indices has already been discussed.

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