In today's economic turmoil, TIMC's holistic approach to geographically diversifying your family assets and citizenship around the world simultaneously is an unavoidable strategy for preserving your family's future.

We are happy to announce that we are now offering a diversified income fund, which provides an 8% target preferred return plus potential profit sharing, as part of your preservation strategy.

We have conducted an exclusive interview with Ms. Allison M. Taylor, CEO and Portfolio Manager at Invico Capital, our new and renowned partner for making the diversified income fund available to you.

Ms. Monique Copti, Copywriter at TIMC:
Dear Ms. Taylor, thank you for answering these few questions that will give an overview of Invico to our distinguished clientele. Could you please introduce us to Invico Capital and its vision?

Ms. Allison M. Taylor, CEO and Portfolio Manager at Invico Capital:

Invico Capital Corporation is an alternative investment fund management firm providing alternative investing and financing solutions.  With respect to investors, our vision is to provide investment opportunities outside of the traditional choices such as publicly traded stocks, bonds and mutual funds.  At Invico, we believe that investors should consider allocating a portion of their portfolio to the alternative asset class. 

Ms. Copti:
What inspired you to start Invico and who are the founders of the company?

Ms. Taylor: 
Invico was founded by both myself and Jason Brooks in 2005 in response to a need in the market.  We were both working at Ernst & Young in their corporate finance group and saw a lot of niche opportunities in the private markets that we helped to identify and structure but without access to capital, we could not participate directly in the opportunities. Invico was founded to facilitate a way to participate in these unique private transactions.

Ms. Copti:
In 2013, you have launched a new exempt martket product called Invico Diversified Income Fund which provides an 8% target preferred return. Why have you decided to create this product?

Ms. Taylor:
The Invico Diversified Income Fund was established because of investor demand. Prior to the global downturn in 2008 and 2009, investors were looking for large equity like returns in the 15 to 25% range per annum and were willing to accept the volatility, longer time horizons and risk associated with these type of equity investments. After the downturn, investors became less accepting of volatility in the public markets, and were more willing to accept single digit returns, in return for preferred target returns that pay out to investors monthly.

Ms. Copti:
As you know, there are endless options to invest in the exempt market world. Why should our clients, high-net worth investors, invest in your product? 

Ms. Taylor:
Investors should consider investing in our product as Invico Capital Corporation has developed a diversified product which provides access to unique opportunities that investors would not otherwise be able to invest in.  The product is actively managed by an experienced team comprised of professional portfolio managers along with experienced team of due diligence specialists, energy technical experts, accounting and marketing professionals.  The other important item for investors to consider is that Invico Capital Corporation is registered with all the applicable securities commissions across Canada along with being audited annually by PwC.

Ms. Copti:
Could you give us a breakdown of your strategies to reach the 8% target preferred return?

Ms. Taylor:
The product has two core strategies to generate income – lending strategies and energy working interests.

The lending strategies are comprised of bridge lending, receivables factoring and mortgages.  Loans are secured via company assets and typically repaid from internal cash flows, traditional bank refinancing, the sale of a company/assets, IPO or the collection of government tax credits. 

Energy working interests are comprised of working interest ownership and royalties. With respect to working interest ownership interest, a percentage of the land mineral rights are acquired which gives us the right to participate in the oil and gas production opportunities on these lands in joint venture partnership with the other working interest owners.  With respect to royalty interests, a one-time acquisition entitles us to the ownership of a percentage of the gross production revenue from any current or future oil and gas well within the section of land. 

Ms. Copti:
Could you share with us the historical returns of this product?

Ms. Taylor:
The historical returns for the product are as follows:

• 2013* = 8.8%,
• 2014 = 9.8% and
• 2015 = 9.6%.  

We are still in the process of finalizing our 2016 audit with PwC so I cannot provide any further guidance on this at the current moment.

*annualized return.

Ms. Copti:
What are the growth prospects for this product over the next few years?

Ms. Taylor:
2016 was a record year for Invico in raising capital. Currently our AUM in the product is approx. $108 million dollars. We would like to build off our momentum from 2016. We see the ability to double the current offering size over the next 12 to 24 months.

Ms. Copti:
How do you see Invico fit in TIMC's holistic approach to preserving the future of our high net-worth clients?

Ms. Taylor:
Alternative investments are a growing asset class that provide investors with an alternative to the volatility of public market investments.  Over the past 10 years, pensions, institutions and endowments have increased their allocations substantially to alternative investments and now companies like Invico are bringing those strategies to the retail investor. Invico has structured the Invico Diversified Income Fund to target capital preservation and reduce risk through asset collateralization, direct ownership of the underlying assets as well as a diversification strategy.

Ms. Copti:
Thank you, Ms. Taylor, for taking the time to respond to these interview questions and for all the information you have provided about this financial product, which promises to be very interesting to our clients.