April 30, 2026
An equity fund that seeks long-term growth among small- and medium-sized Canadian companies.
Is this fund right for you?
- You want your money to grow over the longer term.
- You want to invest in small- to mid-sized Canadian and U.S. companies from various industries.
- You're comfortable with a moderate to high level of risk.
RISK RATING
How is the fund invested? (as of December 31, 2025)
| Name | Percent |
|---|---|
| Canadian Equity | 93.1 |
| Income Trust Units | 4.9 |
| International Equity | 1.1 |
| Cash and Equivalents | 0.9 |
| Name | Percent |
|---|---|
| Canada | 98.2 |
| Bermuda | 1.1 |
| Other | 0.7 |
| Name | Percent |
|---|---|
| Basic Materials | 25.2 |
| Energy | 20.3 |
| Consumer Services | 9.9 |
| Real Estate | 8.1 |
| Financial Services | 7.7 |
| Consumer Goods | 7.5 |
| Technology | 7.2 |
| Utilities | 4.8 |
| Industrial Services | 4.8 |
| Other | 4.5 |
Growth of $10,000 (since inception)
For the period 05/14/2012 through 04/30/2026 tr.with $10,000 CAD investment, The value of the investment would be $18,651
Fund details (as of December 31, 2025)
| Top holdings | Percent (%) |
|---|---|
| Capstone Copper Corp | 4.4 |
| Hudbay Minerals Inc | 4.3 |
| OR Royalties Inc | 4.3 |
| Headwater Exploration Inc | 4.2 |
| Enerflex Ltd | 3.9 |
| EQB Inc | 3.9 |
| Triple Flag Precious Metals Corp | 3.6 |
| Kelt Exploration Ltd | 3.4 |
| Lundin Mining Corp | 3.4 |
| Propel Holdings Inc | 3.0 |
| Total allocation in top holdings | 38.4 |
| Portfolio characteristics | Value |
|---|---|
| Standard deviation | 11.69% |
| Dividend yield | 1.93% |
| Yield to maturity | - |
| Duration (years) | - |
| Coupon | - |
| Average credit rating | Not rated |
| Average market cap (million) | $5,744.9 |
Understanding returns
Annual compound returns (%)
| 1 MO | 3 MO | YTD | 1 YR |
|---|---|---|---|
| 2.68 | 14.72 | 8.94 | 35.57 |
| 3 YR | 5 YR | 10 YR | INCEPTION |
|---|---|---|---|
| 18.56 | 11.73 | 4.15 | 4.57 |
Calendar year returns (%)
| 2025 | 2024 | 2023 | 2022 |
|---|---|---|---|
| 16.29 | 19.13 | 14.04 | -8.05 |
| 2021 | 2020 | 2019 | 2018 |
|---|---|---|---|
| 25.14 | -0.16 | -3.55 | -29.06 |
Range of returns over five years (June 01, 2012 - April 30, 2026)
| Best return | Best period end date | Worst return | Worst period end date |
|---|---|---|---|
| 18.36% | Mar 2025 | -14.64% | Mar 2020 |
| Average return | % of periods with positive returns | Number of positive periods | Number of negative periods |
|---|---|---|---|
| 0.52% | 43 | 46 | 62 |
Q1 2026 Fund Commentary
Commentary and opinions are provided by ClearBridge Investments.
Market commentary
Commodity volatility was the primary driver of Canadian small-capitalization equity performance during the first quarter. January and February were strong, with gold, silver and copper prices rising. The conflict in the Middle East in late February pushed energy prices sharply higher. By March, interest-rate expectations shifted and gold prices pulled back. The energy sector gained roughly 34.8% during the quarter, while the materials sector experienced notable volatility. Defensive areas held up, while cyclical and long-duration segments were pressured by rising rates and geopolitical uncertainty.
The Bank of Canada (BoC) met twice during the quarter and left rates unchanged at 2.25%. At the March meeting, the BoC highlighted it would be monitoring the geopolitical situation closely and stands ready to respond as required. Inflation had been moderating through February, although March inflation details may reflect the impacts of higher oil prices and associated price pressures.
Performance
An underweight allocation and selection within the health care sector, an underweight allocation to the materials sector and an overweight allocation to the utilities sector contributed to performance during the quarter.
Overweight exposures to PHX Energy Services Corp., Headwater Exploration Inc. and Enerflex Ltd. contributed to performance.
An overweight allocation and selection within the information technology sector, selection within the industrials sector and selection within the materials sector detracted from performance during the quarter.
Capstone Copper Corp., an off-benchmark allocation, detracted from performance. An overweight exposure to Propel Holdings Inc. detracted from performance. Boyd Group Services Inc., an off-benchmark allocation, also detracted from performance during the quarter.
Portfolio activity
The sub-advisor added North West Co. Inc. because of its distribution network serving remote communities with government-backed spending. Skeena Resources Ltd. was added because the mining project is permitted, financed and offers de-risking potential. Paramount Resources Ltd. was added because the company is a proven operator with a new Montney natural gas development.
The sub-advisor increased Colliers International Group Inc. because the sub-advisor views the company as a high-quality compounder. The sub-advisor sold Empire Company Ltd. and Sylogist Ltd. because of execution and leadership concerns. The sub-advisor reduced Parex Resources Inc., Headwater Exploration Inc., PHX Energy Services Corp. and Enerflex Ltd. after strong performance.
Outlook
The sub-advisor's bottom-up, long-term investment approach remains unchanged. The sub-advisor continues to monitor trade negotiations, the durability of artificial intelligence-related themes and the Middle East conflict. Energy positioning remains focused on companies with cost and resource advantages. The sub-advisor remains constructive on copper and precious metals royalties. The domestic backdrop remains supportive for the energy, industrials, utilities and consumer staples sectors.
In the sub-advisor's view, the commodity environment may continue to support Canadian small-cap companies with direct exposure to energy and materials production. The sub-advisor believes that disciplined stock selection and a focus on quality businesses with strong balance sheets remain essential in the current environment of elevated volatility and macroeconomic uncertainty.
Summary
For the period 05/14/2012 through 04/30/2026 with $10,000 CAD investment
Total returns performance
86.51%
Last price
$18.65 CAD
as of market close 04/30/2026
Value of $10,000 investment
$18,650.90 CAD
