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Global investments
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Index Corporate data
6
Junior Accounts 16
Board of Directors
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Golden Age Savings Accounts
16
Chairman’s report
10
Investment Accounts
16
Director’s Report
12
Loan Facilities 16
Auditor’s Report
14
Facts and Figures:
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New Services Offered:
16
Portfolio of Investments
20
Super Fast Service
16
Profit and Loss Account
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Customer Banking Services 16
Statement of Cash Flows
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Current Accounts
16
Balance Sheet 24
Adult Savings Accounts
16
Mission Statement
Fixed Deposit Accounts
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Green ideas
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E CORPORATE DATA Registrar: Scottybank Canada Trust & Merchant Bank Limited, 30 Non Street, Victoria BC V8V 1LO.
Auditors: Pryce Dryhouse, Scotty Centre, Non Street, Victoria BC V8V 1LO.
Secretary: Chief Corporation, Scotty Centre, Non Street, Victoria BC V8V 1LO.
Bankers: Scottybank Canada Limited, Supersuperior Bank Canada Limited, Companies Bank Limited Attorneys-At-Law: Dum, Cow, Ferrit and Oldenham, 11 Any Street, Victoria BC V8V 1LO
Real Estate Appraisers A.R. Alexis & Company Limited
Grinmost Advertising Limited, 80 Hunting Road, Victoria BC V8V 1LO.
Stockbrokers: BRT Investments Limited, 14 St. Hilda’s Road, Victoria BC V8V 1LO.
Bronco Investments Limited, 30 Micro Close,
Victoria BC V8V 1LO.
Second Landmark Canada Stockbrokers Limited, 50 Dice Drive, Dice Court, Suite Z, Victoria BC V8V 1LO.
Maybe Investments Limited 123/4 Knotts Circle, Victoria BC V8V 1LO.
DTR Stockbrokers Limited 20 Knotts Circle, Victoria BC V8V 1LO.
Denture Stockbrokers Limited, 67 Maddaxe Drive, Victoria BC V8V 1LO.
Ritzy Stockbrokers Limited 2 Hobourne Road, Victoria BC V8V 1LO.
1 Sea Street, Victoria BC V8V 1LO.
C.D. Variance & Tinsel Company Ltd. 2 Ding Dong Road, Victoria BC V8V 1LO.
Mickey, Masonary & Company Limited, 43 Lord Mess Road, Victoria BC V8V 1LO.
Advertising Agents:
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LEADING EDGE
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E Board of Directors Appointed in March 1998,is comprised of
Lady Katherine Anil, Chairperson, Holme & Giffe Funds Limited
Sin Gin James, General Manager, Ginnal Investments Limited
Marian Dons, Group Finance Director, ACWO Group
James Doe, Vice President, Life Insurance Company
Hon. Marie Ruth, President, Resource Services International Lim-
JaneSmith, Chairman, National Security Bank Limited
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Alternative Energy
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E Chairman’s Report Ethical Wave is a new and innovative bank which has given 150 years of profitable service as an investment bank to select companies. In March of 1998 the bank was acquired by Seam Investments Limited and a new Board of Directors and Management Team appointed. In keeping with Seam’s people-oriented policy EW opened its doors to the general public and placed at their disposal years of investment and banking knowledge. We offer friendly service and investment advice through new and varied account options, and look forward to expanding our customer base through 2000 to the new millennium. In the year under review, the Trust Funds that invest in stocks and shares were affected by the continued fluctuations in the values of Stocks at home and abroad. On 4th November 1998, EW introduced daily pricing of Unit Trust Funds, a major change from the weekly pricing which had been in effect since 1966. During the year, sales of new units amounted to $2,250 million. Encashments totalled $1,700 million. In the year under review, the economy continued through a period of change. Features of business activity during this period were concerns about the value of the dollar, high interest rates and high levels of inflation. The Canadian dollar remained stable during the period at C$ 1.66 to
US$1.00. Interest rates have continued to be high; deposit rates are in the 2% per annum range and lending rates are at 6% and above. The Canadian Stock Market experienced a period of fluctuating activity as values and volumes rose and declined. The Stock Exchange Index moved from 13,100 points at the start of the period under review to 15,300 points at the end of April 1998. In January 1999 the Index was at 19,600 points. Activity on the Stock Market has continued in a declining mode. At the date of this Report, the Index was at 14,500 points. At the end of February 1999 Dr J. Nite, Mrs. V. Audit and Mr. M. Mighty resigned from the Board of Directors. I must record our deep appreciation of the contributions made by the former Board over a period of many years. Our present Board was elected on 1st March 1999, and we look forward to a long and profitable relationship with them. I wish to record our thanks and appreciation to our Unit holders for their support. I must express my thanks to the Directors for their support and to the Management and Staff for their hard work and dedication.
John Smith, Chairman, 20th March, 1999.
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On the leading edge
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E Director’s Report The Directors of Ethical Wave Limited submit herewith their report for the year ended 30 April 1999 together with the Audited Accounts for the year ended on that date.
Accounts Profit for the year
The Directors do not recommend that a Dividend be declared for the year ended 30th April, 1999.
Directors $59,000,167
Add. Balance brought forward 203,666,234 262,666,401 Bonus Share Issue (55,200,000) 212,466,401 ----------------
Bonus Share Issue
Dividends
On 28th March, 1998, the Authorized Share Capital of the Company was increased by 100,000,000 Shares of 50 cents each. Shares totalling 90,750,000 were issued to existing shareholders as Bonus Shares by capitalization of $51,750,000 from retained earnings. The Bonus issue was in the proportion of eighteen Ordinary Shares for every on Share held at 28th March, 1998.
In accordance with the Company’s Articles of Association, Dr J. Nite, Mrs. V. Audit and Mr. M. Mighty resigned from the Board of Directors. The present Directors of the Company are Lady Katherine Anil, the Hon. Marie Ruth, Messrs.John Smith, James Doe, Martin Dons, and Sin Gin James.
Auditors
Pryce Dryhouse, the retiring Auditors, have signified that they are willing to continue office in accordance with the provisions of Section 153 of the Companies Act. ON BEHALF OF THE BOARD OF DIRECTORS John Smith, Chairman Dated this 20th day of March 1999.
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A new wave of excellence 12
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E Auditor’s Report Pryce Dryhouse 18 March 1996 To the members of Ethical Wave Bank Limited Victoria
Auditors’ Report We have examined the financial statements of Ethical Wave Limited and have obtained all the information and explanations which we required. Our examination was made in accordance with generally accepted auditing standards and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary. In our opinion proper accounting records have been maintained and the financial statements, which are in agreement therewith and have been prepared under the historical cost convention, comply with the provisions of the Companies Act and give a true and fair view of the state of the company’s affairs at 30 April 1999 and of the results of operations and cash flows for the year then ended.
Chartered Accountants
MISSION STATEMENT Our purpose is to provide Canadian investors with a safe and innovative investment company. We want to encourage investing in green and ethical funds so that investors can feel good about where their money goes.
ON BEHALF OF CANADA INVESTMENT TRUST SERVICES LIMITED JOHN SMITH JAMES DOE
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Innovative new companies 14
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E New Services Offered Super Fast Service EW offers a numbered service system and plenty of
comfortable seating while you wait. A Special Care Teller is available for Golden Agers, expectant Mums and the injured.
CUSTOMER BANKING SERVICES Current Accounts
Free cheque books and 1.25% interest per annum come with accounts with balances over $2,000. Overdraft facilities are available on an individually-negotiated basis. You receive monthly balance sheets, a complimentary cash withdrawal card, and a chance to win an all expenses paid trip for two to Martinique!
Adult Savings Accounts
We offer 6.5% interest per annum on accounts which maintain an annual balance of over $50,000.00, and 7% interest on accounts which maintain an annual average of over $100,000.00 per annum.
Fixed Deposit Accounts
At present we offer Fixed Deposit Accounts for amounts over $1,000.00 with interest rates of 5%-6%.
Junior Accounts
We offer special Junior Accounts geared towards saving towards further education; young people with a consistent monthly savings record will be eligible for student loans at .25% below the average interest rate at the time of application.
Golden Age Savings Accounts
Golden Age Savings Accounts are available to our senior citizens over the age of 60. All Golden Age Savings Accounts will receive a minimum of 5.5% annual interest - and are automatically Tax Free!
Investment Accounts
We can arrange individual investment accounts for amounts over $10,000.00. Our knowledge of local and Foreign stock markets a helps us to advise you on the most profitable investment decisions to be implemented in any one of 5 international stock exchanges within minutes. We also offer mixed portfolio packages and a range of Blue Chip shares.
Loan Facilities
We offer excellent rates of interest on a variety of loans, with special consideration and easy payback facilities to students and cases of emergency.
Our staff
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Nurturing young companies
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E Facts and Figures
18% over the previous year. Earnings from overseas investments continued to be the primary source of income, contributing 14% to total revenue; substantial contributions came from local investments, earnings from loans, and investment and service charges.
Why should you invest with us? If our long term records of successful growth are not convincing enough, have a look at the facts and figures over the past 5 years. The bank recorded revenue of $15.8 million in the 1997-98 financial year, reflecting a growth of
EW Limited income categories 1993 -1998 Financial Loans Local Local Foreign Year Investments Stocks & Stocks & Shares Shares 1994 1995 1996 1997 1998
1.00 billion 1.50 billion 2.80 billion 3.50 billion 7 00 billion 15.80 billion _________
1.50 billion 1.80 billion 2.20 billion 3.20 billion 3.50 billion 12.20 billion _________ _
0.50 billion 0.75 billion 1.00 billion 1.50 billion 1.10 billion 4.85 billion _ _________
1.2 billion 1.15 billion 2.70 billion 4.00 billion 4.40 billion 13.45 billion ___________
Total Income
4.2 billion 5.5 billion 8.7 billion 11.2 16 billion 46.3
20 15
Billions 10 $ 5 0
1994
1995
1996
1997
1998
Financial Income Year
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Seeing the complete picture 18
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E Portfolio of Investments: Holdings Equities
Valuation at asking price
% of Fund
800,000
Scotty Bank Canada Limited
13,600.400
1,000,002
Cappy Finance Group
2,000,000
1,400,000
Tropicana Cement Company Limited
5,000,000
3,800,002
Careers Group Limited
12,600,000
500,400
COTS Limited
7,500,000
30,000
COTS Carib Limited
630,000
205,400
Peoples Bank Limited
1,250,500
900,000
Dail Group Limited
9,500,000
1,400,000
Cleaner Company Limited
6,420,000
3,500,000
Goodys Canada Limited
3,200,500
3,080
Boilers Group limited
21,600
612,700
Flower Power Limited
5,200,200
113,200
Mercury Limited
4,500,555
1,300,200
Jamhappy Limited
4,800,200
3,500,000
NSB Limited
2,500,200
10,000
Radio Uplift Canada Limited
47,000
2,500
Prods Limited
24,500
780,900
Photocomms USA
5,700,000
810,000
Pymco Development Bank Limited
4,200,000
12,000
111/2% Government Stock 2001
7,755
6,000
12% Registered Stock 2010
Fixed Interest
46,800 Carried forward
110,700,003
39,000
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0.03 100.55
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VALUATION OF ASKING PRICE Brought forward
110,700,003 100%
CORPORATE DEBENTURES AND PREFERENCE SHARES 1 00,000 - 71/2% 135,053 - 113/5% 350 - 5% 11,7500 - 5% 44,700 - 6% 13,700 - 7% 200 - 51/2% 300 - 6% 63,500 - 25% 27,000 - 20%
The Canada Sleeperstock Association Limited, cumulative preference shares National Investments Company Limited, variable rate, 1997 Canada Light Limited Canada Light Limited, preference “D”shares Canada Light Limited, preference “E”shares Canada Light Limited, preference “B”shares Canada Phones Limited, cumulative preference shares Canada Phones Limited, cumulative preference shares People’s Bank Limited, cumulative preference shares People’s Bank Limited, cumulative preference shares
300,000 137,000 130 5,000 17,900 5,500 75 115 63,500 32,000 _ ____
580,000 0.54 111,190,500 101.14
CASH AND SUNDRIES Deposits, receivables and other assets less income available for distribution, payables and other liabilities (1,296,058) TOTAL VALUE OF DEPOSITED PROPERTY 109,900,500 100.0
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E PROFIT AND LOSS Year ended 30 April, 1999
GROSS INCOME EXPENSES
116,000,200
45,870
50,281,500 30,670,050
PROFIT BEFORE TAXATION
607,500,600
Taxation
900,500,400 4,600,800
NET PROFIT retained earnings at beginning of
45,000,200
15,000,600
9,600,400
102,800,500 98,000,900 150,600,234 107,800,000
APPROPRIATIONS Bonus issue Dividend - gross
44,900,000 4,998,200
44,900,000
4,998,200
RETAINED EARNINGS 104,700,778 100,888,546 Statement of Cash Flows Year ended 30 April 1999
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Balance Sheet 30 April ,1998 1998
1997
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INVESTMENT OF CAPITAL INVESTMENTS (cost $70.300,500:
1997 $,200,000)
110,200,000
CURRENT ASSETS: Receivables
6,300,100
6,600,150
Deposits
53,000,303
25,500,450
Cash
32,900.800
89,250
85,000,280
33,200,800
CURRENT LIABILITIES Ethical Wave Investment Trust Services Limited
59,100,200
51,700,400
Payables 215,200
194,100
Dividend payable
26,350,010
19,100,900
NET CURRENT LIABILITIES
84,002,343
70,900,517
( 1,250,000)
( 38,700,600)
110,920,580
65,200,900
CAPITAL INVESTED CAPITAL ACCOUNT
75,300,600
59,450,000
The number of units in issue at 30 April 1995 was:
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(a) Income 41,999,800 (1997 - 20,470,900 (b) Accumulation 31,500,135 (1997 - 29,700,000)
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FINANCIAL RESOURCE WERE PROVIDED BY. USED IN OPERATING INSTRUCTIONS Net profit
47,700,150
9,500,600
1,700,250
1,106,500
Items not affecting cash resources -
Depreciation Gain on sale of fixed investment
____-___ 50,500,250
( 380,800) 10,350,000
Changes in non-cash working capital components Taxation Other receivables
8,095,400 ( 7,600,200)
400,100
Payables Canada Investment Fund
3,900,800
( 5,048,100)
15,300,200
30,400,500
70,200,100
37,700,600
1,500,800
INVESTMENT ACTIVITIES ACQUISITION OF FIXED ASSETS
( 190,500)
Proceeds from sale of investments
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(4,000,000) 490,000
Purchase of investments
(3,200,900)
( 200,000)
Cash used in investments activities
(3,500,700)
(3,800,250)
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