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TABLE OF CONTENTS
Fund Performance
Norrep Market Neutral Income Fund
Norrep Canadian Enhanced Equity Fund
Norrep Enhanced Credit Fund
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4
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By combining cutting-edge techniques to reduce risk, increasing investable cash and driving outperformance with Norrep’s proven methodology, our experienced Portfolio Mangers have expanded the scope of what an investment can do, creating an opportunity to add a valuable form of diversity to your portfolio
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FUND PERFORMANCE SUMMARIES
Fund YTD 1Y 3Y 5Y 10Y 15YSince
Inception Inception Date
FundYield
Target1
ALTERNATIVE STRATEGIES
Norrep Market Neutral Income Fund -3.2% -5.2% 2.0% 3.8% - - 5.2% Dec 31, 2010 4.0%
Norrep Canadian EnhancedEquity Fund 16.8% 13.9% - - - - 9.4% Jan 31, 2015 3.0%
Norrep Enhanced Credit Fund2 6.9% 4.0% 4.9% 8.0% - - 7.5% April 22, 20153 6.0%
as at September 30, 2016
All performance F Series as of September 30, 2016, net of fees, annualized, unless otherwise stated. Commissions, trailing commissions, management fees and expens-es all may be associated with investments. Please read the offering memorandum before investing. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any securityholder that would have reduced returns. Investment funds are not guaranteed, their values change frequently and past performance may not be repeated. The rate of return is used only to illustrate the effects of the compound growth rate and is not intended to reflect the future values or returns in any Fund. These funds are available for sale to Accredited Investors, BC residents by Offering Memorandum or with a minimum purchase of $150,000 by a non-individual, and are subject to resale restrictions under applicable securities laws.
NOTES
1. Target yields for all funds are reviewed annually and set on December 31st of each year.
2. I Series
3. A and F Series launched April 22, 2015. I series performance starts on June 30, 2011. See fund summary.
PERFORMANCE
1 month 3 month 6 month YTD 1 year 3 year 5 year Inception
F -1.3% -1.9% -1.2% -3.2% -5.2% 2.0% 3.8% 5.2%
A -1.4% -2.1% -1.8% -4.0% -6.2% 0.9% 2.8% 4.2%
VALUE OF $10,000 INVESTED AT INCEPTION
$8,000
$9,000
$10,000
$11,000
$12,000
$13,000
$14,000
$15,000
$16,000
201620152014201320122011
$13,417
UNCORRELATED RETURNSPercentage of Positive Months Number of Positive Months Average Monthly Return
Up Markets1 56.1% 23/41 0.2%
Down Markets1 57.1% 16/28 0.8%
Overall1 56.5% 39/69 0.4%1. Based on the S&P TSX Composite Total Return Index
2016 Paid Distributions $0.363
2015 Paid Distributions $0.516
2014 Paid Distributions $0.523
2013 Paid Distributions $0.4632
DISTRIBUTIONS
NORREP MARKET NEUTRALINCOME FUND
MONTHLY SUMMARY AS AT September 30, 2016
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total
2011 -0.8% 2.6% 1.8% -2.0% 1.9% -0.1% 0.9% 4.8% 1.7% -1.2% 2.6% -0.2% 12.3%
2012 -1.8% 1.2% 2.3% 3.3% 1.7% 1.9% 3.3% -0.8% -1.9% 1.9% -0.8% -1.9% 8.5%
2013 0.3% 1.0% 2.6% -0.1% 1.7% -0.5% 1.1% -1.3% -0.9% 3.5% 1.2% -0.7% 8.4%
2014 0.7% 2.0% 0.8% 0.2% 0.7% 0.8% 0.3% -0.8% -1.3% 2.0% -1.3% -3.4% 0.7%
2015 4.1% -2.3% 1.8% -1.9% 1.9% -0.2% 2.3% -0.6% 1.7% -2.0% 0.5% -0.6% 4.7%
2016 -1.2% -2.7% 2.0% 1.8% -1.9% 0.8% 1.0% -1.6% -1.3% - - - -3.2%
MONTHLY PERFORMANCE
Who don’t want large-scale movements in markets to affect their investments and who want to receive a quarterly distributionFOR INVESTORS
Paid Quarterly
NAV/Share F Series: $10.56 A Series: $9.92
A Canadian absolute return fund designed to achieve positive returns regardless of market direction, providing low volatility and a targeted annual distribution of 4.0% to help with downside protection.
Aggregate of eligible and capital gains dividends paid. Complete list and breakdown available at norrep.com.
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SECTOR EXPOSURE
Trailing P/E Trailing ROE Earnings Surprise QEM Dividend Yield
Longs 15.5x 14.6% 3.6% 4.8% 3.4%
Shorts 26.3x 6.1% -2.9% -8.1% 3.2%
Number of Longs 51
Number of Shorts 61
Number of Bonds 19
Percent Long 100%
Percent Short 100%
Percent Bond 100%
Modified Duration (years) 2.3
S&P/TSX TRI
Norrep Market Neutral Income Fund
Average Monthly Return Since Inception 0.4% 0.4%Average Monthly Return In Up Markets 2.2% 0.2%
Average Monthly Return In Down Markets -2.1% 0.8%
Maximum Drawdown2 -16.5% -5.9%
Standard Deviation3 9.4% 6.2%
Correlation3 - -0.09
Beta3 - -0.062. Based on monthly performance 3. Since Inception
Except where indicated otherwise, F Series data as of September 30, 2016, net of fees, annualized. Norrep Market Neutral Income Fund is available for sale to Accredited Investors, BC residents by Offering Memorandum or with a minimum purchase of $150,000 by a non-individual, and is subject to resale restrictions under applicable securities laws. The fund is not guaranteed, unit values changes frequently and past performance may not be repeated. Commissions, trailing commissions, management fees and expenses all may be associated with this investment. Indicated rates of return are the historical annual compound total returns including changes in unit value and reinvestment of all dividends and distributions and do not take into account sales, redemption, distribution or optional charges or income tax payable by any security holder, if any, that would have reduced returns. The rate of return is used to illustrate the effects of the compound growth rate and is not intended to reflect future sales of the fund or returns on investment in the fund.
Fund Codes NRP3100 (F)NRP3101 (A)
Net Assets $106.2 Million
Inception December 31, 2010
CIFSCCategory
AlternativeStrategies
Risk Rating Low to Medium
Management FeeF SeriesA Series
0.90%1.90%
Capped MERF SeriesA Series
1.25%*2.25%*
Portfolio Manager
Norrep Capital Management Ltd.
Auditor KPMG LLP
Custodian CIBC Mellon Trust Company
Transfer Agentand Registrar
CIBC Mellon Global Securities ServicesCompany
*Does not include performance bonus.
Source: CPMS
Keith Leslie, CFAChief Risk Officer and Portfolio Manager
PORTFOLIO MANAGER
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1.877.431.1407 | www.norrep.com
*Does not include performance bonus or taxes.
Canadian absolute return fund targeting positive returns in both up and down markets
Provides low volatility with returns uncorrelated to the market
Pays a targeted annual distribution of 4.0% to help with downside protection
PERFORMANCE
1 month 3 month 6 month YTD 1 year Inception
F 0.5% 6.0% 10.8% 16.8% 13.9% 9.4%
A 0.4% 5.7% 10.2% 15.9% 12.7% 8.3%
2015
F -0.6% 1
A -1.5%1
1. 2015 return begins with January 31 inception
NORREP CANADIANENHANCEDEQUITY FUND
MONTHLY SUMMARY AS AT September 30, 2016
Who want exposure to Canadian equities in a fund that has additional choices for downside protectionFOR INVESTORS
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2016 Paid Distributions $0.228
2015 Paid Distributions $0.303
Aggregate of eligible and capital gains dividends paid. Complete list and breakdown available at norrep.com.
DISTRIBUTIONS
VALUE OF $10,000 INVESTED AT INCEPTION
$9,000
$9,500
$10,000
$10,500
$11,000
$11,500
$12,000
20162015
$11,610
Paid Monthly
Beta represents the tendency of the fund’s return to respond to market swings. <1 means the fund has less volatile returns than the index. Correlation measures how two instruments (fund and index) move in relation to each other: +1 is perfect positive cor-relation. R-Squared is a number 0 to 100 representing the percentage of a fund’s movements explained by movements in its index. A high number indicates a more useful beta figure. Standard Deviation is a measurement of investment volatility (up and down) that illustrates how much dispersion there is from the mean. The lower the standard deviation the closer the data points are to the mean (average).
THREE YEAR METRICSBeta Correlation R-squared Standard Deviation
0.96 0.93 87.0 9.6%
NAV/Share F Series: $11.03 MF Series: $10.84
A ‘130/30’ fund that uses both long and short positions to reduce risk, while also paying a targeted annual distribution of 3.0%. The Fund is ideal for experienced investors looking for innovative means to enhance returns.
Fund Codes NRP 5100 (F)NRP 5101 (A)
Net Assets $6.8 Million
Inception January 31, 2015
CIFSC Category
AlternativeStrategies
Risk Rating Medium
Management Fee F SeriesA Series
1.00%*2.00%*
Benchmark Index S&P/TSX Composite Total Return Index
Portfolio Manager
Norrep Capital Management Ltd.
Auditor KPMG LLP
Custodian CIBC Mellon Trust Company
Transfer Agent and Registrar
CIBC Mellon Global Securities Services Company
*Does not include performance bonus.PORTFOLIO WEIGHTS
Bank of Montreal Inter Pipeline Ltd.
BCE Inc. National Bank of Canada
Canadian Imperial Bank of Commerce OneREIT
Canadian National Railway Company Royal Bank of Canada
Enbridge Inc. Sun Life Financial Inc.
TOP TEN HOLDINGS LISTED ALPHABETICALLY
Except where indicated otherwise, F Series data as of September 30, 2016, net of fees, annualized. Norrep Canadian Enhanced Equity Fund is available for sale to Accredited Investors, BC residents by Offering Memorandum or with a minimum purchase of $150,000 by a non-individual, and is subject to resale restrictions under applicable securities laws. The fund is not guaranteed, unit values changes frequently and past performance may not be repeated. Commissions, trailing commissions, management fees and expenses all may be associated with this investment. Indicated rates of return are the historical annual compound total returns including changes in unit value and reinvestment of all dividends and distributions and do not take into account sales, redemption, distribution or optional charges or income tax payable by any security holder, if any, that would have reduced returns. The rate of return is used to illustrate the effects of the compound growth rate and is not intended to reflect future sales of the fund or returns on investment in the fund. All opinions expressed and data provided herein are subject to change without notice.
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Keith Leslie, CFAChief Risk Officer and Portfolio Manager
PORTFOLIO MANAGER19+13+6+8+5+0+30+1+4+6+0+8+0+0+G <Energy (18.7%) <Basic Materials (12.5%) <Industrials (6.4%) <Consumer Discretionary (8.3%) <Consumer Staples (4.9%) <Financials (29.9%) <Information Technology (1.5%) <Telecommunications (3.9%) <Utilities (5.8%) <Cash (8.0%)
1.877.431.1407 | www.norrep.com
Canadian Equity Fund with more choices than a standard long-only mutual fund through its use of long and short positions to provide enhanced portfolio returns with additional downside protection
In normal times, the fund will invest 130% of its assets in long positions and 30% of its assets in short positions for 100% net market exposure
Pays a targeted annual distribution of 3.0%
Long Positions S&P/TSX Composite Index Short Positions
Trailing P/E 14.2x 20.2x 19.2x
Trailing ROE 16.0% 11.8% 7.6%
Earnings Surprise 2.5% 0.8% -2.2%
Earnings Momentum (QEM) 1.2% -2.7% -4.9%
Dividend Yield 3.2% 2.8% 3.6%
Cash Flow / Debt 0.35 0.29 0.19
Source: CPMS
PORTFOLIO ATTRIBUTES
PERFORMANCE
NORREP ENHANCEDCREDIT FUND
MONTHLY SUMMARY AS AT September 30, 2016
Who want a versatile fund with a flexible approach to investing in the North American high yield credit marketFOR INVESTORS
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2016 Paid Distributions $0.417
2015 Paid Distributions $0.66
2014 Paid Distributions $2.4516
2013 Paid Distributions $0.50
Aggregate of eligible and capital gains dividends paid. Complete list and breakdown available at norrep.com.
DISTRIBUTIONS
VALUE OF $10,000 INVESTED AT INCEPTION
$8,000
$9,000
$10,000
$11,000
$12,000
$13,000
$14,000
$15,000
201620152014201320122011
$14,618
Paid Monthly
Beta represents the tendency of the fund’s return to respond to market swings. <1 means the fund has less volatile returns than the index. Correlation measures how two instruments (fund and index) move in relation to each other: +1 is perfect positive corre-lation. R-Squared is a number 0 to 100 representing the percentage of a fund’s movements explained by movements in its index. A high number indicates a more useful beta figure. Standard Deviation is a measurement of investment volatility (up and down) that illustrates how much dispersion there is from the mean. The lower the standard deviation the closer the data points are to the mean (average).
THREE YEAR METRICSBeta Correlation R-squared Standard Deviation
1.05 0.83 69.6 4.9%
1 month 3 month 6 month YTD 1 year 3 year 5 year Inception
F 0.5% 3.0% 5.7% 6.1% 2.9% - - -0.5%
A 0.5% 2.7% 5.0% 5.2% 1.7% - - -1.6%
I 0.6% 3.2% 6.2% 6.9% 4.0% 4.9% 8.0% 7.5%
2011 2012 2013 2014 2015
F - - - - -6.5%1
A - - - - -7.2%1
I 2.7%2 14.0% 11.9% 4.6% -0.3%
NAV/Share I Series: $9.42 A Series: $9.13 F Series: $9.28
A Credit Fund that invests principally in corporate bonds and senior secured loans. To enhance the Fund’s risk-adjusted return profile, the Fund has the ability to dynamically adjust/hedge its interest rate and credit exposure through short positions in government bonds or in select high yield corporate bonds.
1. 2015 return begins with April 22 inception 2. 2011 return begins with June 30 inception
Except where indicated otherwise, I Series data as of September 30, 2016, net of fees, annualized. Norrep Enhanced Credit Fund (Fund) continues the investment strategy of Centurion Credit Class (Centurion), which was a separate share class of Norrep Opportunities Corp (NOC). Centurion was established on June 30, 2011 and distributed securities to investors by private placement. Prior to offering Units of the Fund, Norrep Capital Management Ltd. (Norrep), on behalf of the Fund, arranged for the transfer of all of the assets held by Centurion to the Fund at fair market value in exchange for Series I Units. The management fee paid to Norrep in respect of Series I Units is paid directly to Norrep pursuant to a Series I agreement between each holder and Norrep, as was the management fee paid in respect of Series I shares of Centurion. In both cases, if the management fee was charged directly by Centurion or the Fund, the returns disclosed would be reduced to that extent. The performance of A Series and F Series Units will be reduced by the management fees charged by the Fund. Refer to the Offering Memorandum and financial statements of the Fund for further details. The Fund is available for sale to Accredited Investors, BC residents by Offering Memorandum or with a minimum purchase of $150,000 by a non-individual, and is subject to resale restrictions under applicable securities laws. Series I minimum investment requirement is $500,000. The Fund is subject to a performance fee. The Fund is not guaranteed, unit values changes frequently and past performance may not be repeated. Commissions, trailing commissions, management fees and expenses all may be associated with this investment. Indicated rates of return are the historical annual compound total returns including changes in unit value and reinvestment of all dividends and distributions and do not take into account sales, redemption, distribution or optional charges or income tax payable by any security holder, if any, that would have reduced returns. The rate of return is used to illustrate the effects of the compound growth rate and is not intended to reflect future sales of the fund or returns on investment in the fund. Performance of Series I shown discloses the performance of Series I shares of Centurion from June 30, 2011 until April 22, 2015. Performance after April 22, 2015 is performance of Series I Units of the Fund. All opinions expressed and data provided herein are subject to change without notice.
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Government Bonds 0.0%
Investment Grade Bonds 0.0%
High Yield Bonds 96.6%
Senior Loans 23.1%
Asset Backed Securities 0.0%
Net Cash 1.9%
Short Positions -21.6%
Total 100%
PORTFOLIO COMPOSITION
Internal Yield 8.9%
Yield to Maturity 8.9%
Modified Duration (years) 2.4
Holdings 42
PORTFOLIO ATTRIBUTES
PORTFOLIO WEIGHTSAAA -21.6%
AA 0.0%
BB 41.3%
B 60.0%
CCC 8.5%
NR 10.0%
Net cash 1.9%
Total 100.0%
24+69+2+0+0+0+0+3+0+0+0+2+0+0+H<Canada (23.8%) <United States (69.1%) <Europe (1.8%) <Other (3.4%) <Cash (1.9%)
Fund Codes NRP6100 (F)NRP6101 (A)NRP6105 (I)
Net Assets $17.9 Million
InceptionSeries A, FSeries I
April 22, 2015June 30, 2011
CIFSCCategory
Alternative Strategies
Risk Rating Medium
Management Fee F SeriesA SeriesI Series
1.00%*2.00%*See disclaimer
Benchmark Index 25% Merrill Lynch Canada High Yield Canadian Issuers Index 25% Merrill Lynch U.S. High Yield Master II 50% Credit Suisse Leveraged Loan Index
Portfolio Manager
Norrep Capital Management Ltd.
Auditor KPMG LLP
Custodian CIBC Mellon Trust Company
Transfer Agent and Registrar
CIBC Mellon Global Securities Services Company
*Does not include performance bonus.
Bill Holy, MBA, CFAVice President and Portfolio Manager
Owen Morgan, MBA, CFAPortfolio Manager
MANAGEMENT TEAM
1.877.431.1407 | www.norrep.com
Credit Fund with more choices than a standard long-only mutual fund through its use of long and short positions to provide enhanced portfolio returns
Unique strategy of overweighting floating rate senior secured loans and/or high yield corporate bonds, depending on market conditions, helps manage credit and interest rate risk
In normal times the fund will invest up to 130% of its assets in US and Canadian high yield bonds and senior secured loans and up to 30% of its assets in short positions (typically US Treasuries) for 100% net market exposure
To be a leading global investment manager, providing unrivalled investment solutions, delivering exceptional long-term performance and being a trusted partner to our clients.
NORREP’S VISION
CONTACT US
Calgary Barclay CentreSuite 1100, 606 - 4 Street SWCalgary, Alberta T2P 1T1
Toronto TD North TowerSuite 4330, 77 King Street WestToronto, Ontario M5K 1H6
403.531.2650 phone1.877.531.9355 client services1.877.431.1407 sales & generalinfo@norrep.com
www.norrep.com
MAKING ACTIVE MANAGEMENT COUNT™
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