Financial 15 Split Corp T.FTN

Alternate Symbol(s): T.FTN.PR.A | FNNCF

Financial 15 Split Corp. is a mutual fund, which invests in a portfolio consisting of over 15 financial services companies. The Company offers two types of shares, such as Preferred Shares and Class A Shares. Its investment objectives with respect to Preferred Shares are to provide holders of Preferred Shares with cumulative preferential monthly cash dividends in an amount of over 6.75% annually and to pay the holders of the Preferred Shares approximately $10 per Preferred Share on or about the termination date. Its investment objectives with respect to Class A Shares are to provide holders of Class A Shares with regular monthly cash distributions and to permit holders to participate in all growth in the net asset value of the Company over $15 per unit, by paying holders on or about the termination date such amounts as remain in the Company after paying over $10 per Preferred Share. The Company’s investment manager is Quadravest Capital Management Inc.

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Financial 15 Split Corp

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Comment by JohnWalkeron Mar 25, 2020 3:38am

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Post# 30844439

RE:RE:RE:RE:Quadravest announces no distributions to commons of FTN

boyjohn wrote:
In the original perspectus it says that the preferred shareholders will recieve the lesser of these two:

The NAV of the fund if it is below $10.00 per share.
or
$10.00 per share if the NAV of fund is $10.00 or higher.
In the coming months, the NAV of the fund could fall below $10.00, so at what point would the company decide to terminate the fund? Seems as though one is still at risk of losing all in the preferreds.

The fund has FIXED termination dates (currently Dec 1 2025) and are subject to extensions for a further 5 years to be announced several months in advance of the upcoming termination date. FTN expiry date has been extended several times in the past.

No guarantees but by Dec 1 2025 (or some future termination date) the NAV is almost certain to recover to at least $10.

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