Highlights of the fiscal year ended May 31, 2024
- Share value of $16.15, up
$0.91 from the value established
following the 6-month period ended November
30, 2023, and up $1.05 from
the fiscal year ended May 31,
2023.
- Annual shareholder rate of return of 7.0%, compared with a
shareholder rate of return of 6.0% for the 6-month period ended
May 31, 2024.
- Annual compound shareholder returns: 7.0% over 1 year, 1.5%
over 3 years, 5.9% over 5 years and 5.1% over 10 years, excluding
tax credits
- Comprehensive income of $246
M for the fiscal year ended May 31,
2024
- Net assets reached $3.77B on
May 31, 2024, up $433M or 13.0% from $3.34B as at May 31,
2023
- 221,512 shareholders, an increase of 3.1% compared with
May 31, 2023
- The carbon footprint of listed investments on the financial
markets ("Other investments" category) is estimated at 19.4 tonnes
CO2 eq/$M invested, which is 56% less than the benchmark
index as at April 30, 2024.
MONTRÉAL, June 21,
2024 /CNW/ - Fondaction announces that as of
today, its share value is set at $16.15. This represents an annual shareholder
rate of return of 7.0%, compared with a shareholder rate of return
of 6.0% for the 6-month period ended May 31,
2024.
__________________________________________________________________________________________________________
"Year after year, our results confirm that
it's possible to make
investments that have a positive social and environmental
impact
without compromising on returns. This is all the more
important at a
time when the economy must change – and it will
change – to meet
people's needs while respecting the planet's limits," says
Geneviève
Morin, CEO of Fondaction.
_______________________________________________________
Fondaction's annual compound shareholder returns are 7.0% over
1 year, 1.5% over 3 years, 5.9% over 5 years and
5.1% over 10 years, calculated based on the variation of the
share value between its value at the start of each indicated period
and the value of $16.15 as at
May 31, 2024. These returns do not take into account tax
credits that could be granted to taxpayers when subscribing to
Fondaction shares, subject to their eligibility.
The gross return generated by development capital investments
was 7.0% and the gross return generated by other investments was
12.5% for the 12-month period ended May 31, 2024.
Total operating expense ratio was at 2.19% for the 12-month
period ended May 31, 2024, compared to 2.35% for the 12-month
period ended May 31, 2023.
Net assets increased by 13.0% during the fiscal year to
$3.77B as at
May 31, 2024.
The number of shareholders was 221,512 on May 31, 2024,
3.1% more than on May 31, 2023.
Share issuance during the fiscal year totalled $389.6M, compared with $368.7M for the 2023 fiscal year. Redemptions and
purchases by agreement of shares totalled $202.5M during the fiscal year, compared with
$158.5M for the 2023 fiscal year.
A long-term investor, Fondaction made the choice in 2016 to
exclude the shares of companies that own fossil fuel reserves,and
is maintaining this choice today. Moreover, Fondaction requires its
external investment advisers to incorporate the environmental,
social and governance factors into their investment processes. This
explains why this portfolio's carbon footprint is estimated at
19.4 tonnes CO2eq/$M invested compared to
44.5 tonnes CO2eq/$M invested for the index
selected by Fondaction, which is 56% lower than that of the
securities of a benchmark portfolio as at April 30, 2024.
These values are based on data available on
April 30, 2024, and were calculated using the PCAF
methodology, in tonnes of GHG emissions CO2
equivalent per million dollars of enterprise value. The benchmark
portfolio is composed of 40% MSCI ACWI, 40% FTSE Canada Universe
Bond and 20% TSX Composite.
Each rate of return indicated represents the historical annual
compounded total rate of return, which takes into account changes
in share value and the reinvestment of all dividends, as
applicable, but not account income taxes payable by any shareholder
that would have reduced the return. The rate of return serves only
to illustrate the effects of the historic growth rate and is not
intended to reflect any future share values or the return on an
investment in the shares. There are ongoing costs associated with
owning shares in an investment fund. Fondaction shares are not
guaranteed. They are an investment whose value and performance will
fluctuate, and past performance should not be taken as an
indication of future performance. Before investing, please read the
prospectus at fondaction.com/prospectus.php.
About Fondaction
A forerunner for over 25 years,
Fondaction is the investment fund for individuals and companies
that are mobilizing for the positive transformation of Quebec's economy, making it more equitable,
inclusive, green and successful. As a labour-sponsored fund created
at the initiative of the CSN, Fondaction represents tens of
thousands of savers and hundreds of companies committed to helping
Quebec progress. It manages more
than $3.77B in net assets, as at
May 31, 2024, invested in hundreds of businesses and on the
financial markets, prioritizing investments that generate positive
economic, social and environmental spinoffs in addition to a
financial return. Fondaction helps maintain and create jobs, reduce
inequalities and combat climate change. For more information, visit
fondaction.com or our LinkedIn page.
SOURCE Fondaction