CRESCENT SCHOOL INVESTMENT TEAM
The Update The Update is a bi-weekly publication (once every two weeks) summarizing the performance of the portfolio of the Crescent School Investment Team (CSIT). The Update measures the portfolio against two specially-designed benchmarks - Crescent TSX 60 Benchmark (BM), taking into account the performance of the TSX 60 as a whole and a Crescent Alternative Benchmark (XIU) composed of iShares S&P/TSX 60 Index Funds in place of our holdings. Additionally, it will include commentary from certain members of the Executive Team regarding the state of the portfolio, the markets and our outlook on the future. For any questions regarding The Update, please do not hesitate to contact any member of the Executive Team.
Executive Team: Jordan Abramsky, Chief Executive Officer • jordanabramsky@crescentschool.org Ryan Boyd, Chief Operating Officer • ryanboyd@crescentschool.org Ronald Chow, Chief Marketing and Strategy Officer • ronaldchow@crescentschool.org Jake Erdman, Portfolio Manager (Financial Sector) • jakeerdman@crescentschool.org Josh Limpert, Portfolio Manager (Energy Sector) • joshlimpert@crescentschool.org Ryley Mehta, Portfolio Manager (Industrial Sector) • ryleymehta@crescentschool.org Christian Metivier, Portfolio Manager (Diversified Sector) • christianmetivier@crescentschool.org Mr. Gavin Muranaka • gmuranaka@crescentschool.org Mr. Michael Stephens • mstephens@crescentschool.org Ms. Mita Bhattacharrya • mbhattacharyya@crescentschool.org
Current Holdings Stock Name
Purchase Price
# of Shares
Total Cost
CASH BALANCE
Current Price
Total Market Value $22,482.11
$ Change
% Change
-$250.80
-1.10%
TOTAL
$22,732.91
$22,482.11
Recent Activity The Investment Team’s portfolio remains 100% cash since the last reporting two weeks ago. We have received approval from the Investment Committee to purchase shares of Toronto-Dominion (TD), Brookfield Asset Management (BAM.A) and iShares Canadian Short Term Bond Index ETF (XSB). We intend to complete the paperwork in the next week, and then starting looking for good entry points into the market. - Ronald Chow, Chief Marketing and Strategy Officer CRESCENT SCHOOL INVESTMENT TEAM
FEBRUARY 7, 2016
CRESCENT SCHOOL INVESTMENT TEAM
The Update Portfolio Performance % Change – Past Week % Change – Past Month % Change – Past Three Months % Change – Since Inception
CSIT Portfolio *Blue Line* +0.00% -0.68% -1.10% -1.10%
Crescent TSX 60 Benchmark *Red Line* +1.41% +0.47% -4.34% -0.70%
Crescent Alternative Benchmark *Orange Line* +0.00% -0.60% -0.73% -0.73%
Comments: We currently have no holdings, but we have approved investments in Toronto Dominion Bank (TD), Brookfield Asset Management (BAM.A) and Canadian Short Term Bond Index ETF (XSB). The Canadian unemployment rate ticked up slightly to 7.2%, and the U.S. unemployment rate dropped to 4.9%. Moreover, the volatility of the global economy has led many analysts to suggest that the Federal Reserve will hold rates steady in March. - Ryan Boyd, Chief Operating Officer Our portfolio currently sits below both of our benchmarks, after a strong close to the week resulted in the BM finishing higher on Friday. Regardless, the last 18 months for stocks has been basically flat thanks to (i) falling oil prices, (ii) relentless slowing of the Chinese economy, and (iii) change in Federal Reserve policy; it has been the most difficult period since the financial crisis. Furthermore, profit margins are near record highs. All this could be spelling another huge crash; but with the continued assistance from the Fed, it is likely stocks will be sent higher for a little while before falling. With the rather short-term sight of our portfolio (we will be out of the markets by end-of-April), we are confident that we will reap the benefits of a forecasted bull market. - Ronald Chow, Chief Marketing and Strategy Officer CRESCENT SCHOOL INVESTMENT TEAM
FEBRUARY 7, 2016