Ann: Dividend/Distribution - QRI, page-4

This should not trade at NTA - the fees are way too high.

For a fixed income product, shareholders are being charged the following:
- 1.53% management fees
- 0.30% expense recevery
- 0.25% fees assosciated with keeping it listed
- 20% performance fee over an 8% hurdle

They are lending at roughly 8.0% p.a on the loans they write.

So straight up, you are getting charged 2% p.a for ongoing fees which chews up 25% !! of the interest investors should receive.

Then, in a higher interest rate environment, the 20% performance fee will kick in and they'll grab more fees.

I do not understand how managers get away with taking 25% of investor returns on a fixed income product....