TORONTO, Oct. 21 /CNW/ - The Northwater Top 75 Income Trusts PLUS (the "Trust") announced today that the final net asset value of the Trust per unit, as at September 30, 2009, is $2.69. The return of the Trust for the month of September is 3.35%. The rolling 12-month return for the Trust is -51.95%.
The Trust generally holds an income trust portfolio comprised of an equally weighted portfolio of the largest 75 income trusts by market capitalization listed on The Toronto Stock Exchange. For the month of September, the S&P/TSX Capped Income Trust Index posted a return inclusive of reinvested distributions of 9.28%.
The Trust also has exposure to a portfolio of market-neutral hedge funds held by Enhancement Fund Limited (the "Fund") through a forward purchase and sale agreement. For the month of September, nine of the Fund's eleven managers posted positive returns while all six strategies included within the Fund's portfolio contributed positively to the bottom line. Specifically, the Fund's convertible arbitrage strategy was the largest positive contributor to the estimated return of the Trust for the month.
The Fund relies on estimates provided by administrators or managers of each of the Fund's underlying hedge funds. These estimates may be revised and the Fund will be required to capture these revisions in subsequent net asset value calculations. The net asset value of the Fund is also affected by the finalization of the net asset value by the administrators of the underlying hedge funds. Ultimately, the net asset value of the Fund impacts the reported net asset value of the Trust and, accordingly, the Trust indirectly relies on the estimates provided by administrators or managers of each of the Fund's underlying hedge funds.
Subject to limits set out in the Trust's prospectus, the Trust is required to purchase its units in the market in the event that the market price of a unit of the Trust falls below 95% of the net asset value of the Trust per unit. For the month of September, the Trust purchased 3,500 units under this program.
The Trust has provided investors with periodic updates on the scheduled termination of the Trust on December 31, 2009, and on the Net Asset Value of the Trust. Investors are advised to refer to the press releases containing these updates.
The Northwater Top 75 Income Trusts Plus is a fund of income trusts and hedge funds. Units are listed on the Toronto Stock Exchange under the symbol NTP.UN.
SOURCE NORTHWATER TOP 75 INCOME TRUSTS PLUS
For further information: For further information: Mohamed Khaki at Northwater Capital Management Inc. at (416) 360-5435