Investments

Under Canon 39, the Investment Committee of Synod is responsible for managing the Consolidated Trust Fund (CTF) and the Cemetery Fund. It meets four times a year to review the results of the funds and to set policy directions.

See the Investment Policy Statement to learn more.

For more information, contact Lilian Qian, Treasurer and Director of Finance, at 416-363-6021, ext. 238 (1-800-668-8932).

Consolidated Trust Fund

Churches are free to set their own investment policies and make their own decisions. Many choose to use the diocesan Consolidate Trust Fund (CTF). It provides a convenient and low-cost investment vehicle for the investment, endowment and trust funds of the Diocese and its parishes.

How it’s managed

The Consolidated Trust fund is managed by the Investment Committee of Synod, which meets four times a year to review the results of the funds and to set policy direction.

The fund is managed based on investment principles and guidelines contained in the Investment Policy Statement established by the committee and approved by Diocesan Council. The investment policy for the fund is governed by the Ontario Trustee Act.

The fund uses a number of managers:

Balanced fund Letko Brosseau
Equity fund Foyston Gordon and Payne, 1832 Asset Management
Fixed income Mercer Global Investments Canada Limited, Manulife Investment Management
Infrastructure Northleaf Capital Partners
Custodian RBC Investor & Treasury services

As of Sept. 30, 2019, the investment portfolio mix is as follows:

Letko Brosseau 27.87%
Foyston Gordon and Payne 35.40%
1832 Asset Management 18.76%
Manulife Investment Management  7.28%
Mercer Global Investments Canada Limited  4.67%
Northleaf Capital Partners  6.02%

How is the CTF performing?

The five-year performance is as follows:

Year Unit value Yield % of return
2014 218.07 4.50% 9.07%
2015 216.42 4.50% 3.74%
2016 228.39 4.25% 9.78%
2017 239.30 4.25% 9.03%
2018 222.17 4.25% -2.91%

The 2020 CTF dividend rate is at 4.25% (4.25% in 2019).

How it works

  1. Open an account: If your parish wants to open an investment account in the CTF fund, send a cheque (or arrange an ETF) along with a description of the funds with any restrictions (e.g. if it’s restricted/non restricted/endowment fund).
  2. Receive dividend: On a quarterly basis, you will receive a dividend based on the number of units you hold. The annual dividend rate is recommended by the Investment Committee and approved by Diocesan Council. You will receive a quarterly dividend the quarter after funds are invested.
  3. Withdraw funds: You can make a request to withdraw funds from your investment account, as long as any restrictions on the fund are satisfied. The process will take 5-10 business days. There is no transaction fee.
  4. Close the account: If you want to close the account and withdraw the entire investment, there is a 20% withhold policy in place. That means 80% of the funds will be available immediately once the request is processed, and the remaining 20% will be leased after the unitization process is complete.

Consolidated Cemetery Fund

The Consolidated Cemetery Fund is managed by Scotia Asset Management, which invests on the behalf of the parishes with cemeteries. It includes Care & Maintenance Funds, Monument Funds and Pre-need Funds.

Funeral, Burial and Cremation Services Act, 2002, S.O. 2002, c.33 (the FBCSA) requires that the funds be managed by a trustee. The trustee for the Consolidated Cemetery Fund is Scotia Wealth Management.

The fund will distribute income earned in the form of interest and dividend. In 2019, the dividend rate is 2.8%, unit rate of $4.28, subject to adjustment at the end of the year for market value adjustment. For following years, the dividend rate will be in a range of 0-3%, as recommended by the Investment Committee.