The Fund returned 0.64% over the month of December, delivered 1.80% for the previous three months and 9.04% over the past 12 months. The Net Asset Value (NAV) of the Fund, as at 31 December 2014, was $53.2 m2 and the ex-redemption price was 1.3454063.
The Fund paid a distribution for the December quarter of 2.5 cents per unit for a total distribution for the calendar year of 12.27 cents per unit. The ex-redemption unit price of the Fund at the start of 2014 was 1.350376 which was marginally above where it ended. Unit holder returns are derived from either distributions or unit price appreciation. Given that the unit price was steady during 2014, the 9.04% annual return for the year was all achieved through the four quarterly distributions.
The portfolio composition of the Fund did see some change over the year. Although the allocation to residential mortgage backed securities (RMBS) was roughly the same, falling from 67% to 65%, the allocation to short dated loans increased from 10% to 19%. Laminar will continue to focus on short dated assets in 2015. These assets are a major contributor to the low credit duration of the Fund (2.2 years as at 31 December) and have provided stability to the unit price when market volatility increased in late 2014 and other assets experienced some negative returns.
