Moderate growth
The Fund aims to generate absolute returns over the long term with the goal of preserving an investor’s initial capital investment.

Access to Commodities & Hard Assets
The fund provides access to the Salida Investment Teams’ expertise in commodities and hard assets but at a lower risk/reward objective.

Decreased Volatility
The fund aims to have a level of standard deviation lower than the S&P/TSX. This strategy is the most conservative of Salida’s funds and is reled at investors who are willing to sacrifice some performance to achieve decreased risk.

 The Salida Wealth Preservation (Listed) Fund’s investment objectives are to:

(i) generate attractive levels of capital appreciation with lower levels of volatility than the S&P/TSX Composite index; and
(ii) preserve capital.

The Fund will seek to achieve its investment objectives by obtaining economic exposure to the Salida Wealth Preservation Portfolio, which invests primarily in equity securities of natural resources focused issuers, specifically those involved in energy, precious metals and base metals.

Salida believes that the natural resources industry remains attractive and expects continued price appreciation in commodities. Salida attributes this price appreciation to three primary factors:

1. continued high levels of demand from China and other emerging economies;
2. supply constraints forcing producers to seek out such resources in increasingly cost-intensive locations (such as deeper deposits, more remote locations or unfavourable geopolitical environments); and
3. continuous expansion of the supply of money by major central banks and fractional reserve banking systems worldwide.

Salida intends to invest the Portfolio’s assets in small, mid and large capitalization companies that Salida believes are undervalued in the context of its macroeconomic outlook, with assets or business models positioned to benefit from emerging or anticipated market trends.

Salida intends to manage volatility and reduce risk in the Portfolio primarily by:

1. taking short positions in commodity, sector and broad market exchange traded funds (“ETFs”); and
2. employing pairs trading strategies in certain highly correlated securities.

The Fund does not intend to borrow money or employ other forms of leverage; however the Fund will have exposure to the Portfolio which employs leverage.