The Fund

 

Click here to learn more about why you should invest in a Labour Sponsored Investment Fund.

VentureLink Innovation Fund

The Fund’s objective is to realize long-term capital appreciation by making debt and equity investments in a diversified portfolio of securities in eligible Canadian businesses and by investing its reserves, including debt instruments whose returns are linked to the performance of the TSX or the financial services sub-index of the TSX.

The VentureLink Innovation Fund offers Canadian investors access to a well diversified portfolio of established Canadian companies operating in many different industries such as financial services, manufacturing, telecommunications, information technology, biotechnology, alternative energy industrial, retail, healthcare, transportation, service industries as well as water and waste treatment. In addition, the Fund offers the tax benefits of a labour-sponsored fund and an experienced, professional management team.

The key benefits of the Innovation Fund include:

Diversified Portfolio
The investment focus of the Fund will be on mature Canadian companies operating in traditional business industries. Investors can take advantage of a well diversified portfolio of investments focused on growing specialized sectors plus take advantage of the performance of a carefully selected Index (i.e. S&P 500 Index, Nasdaq 100 Index and S&P/TSX Canadian Financials Index). Portfolio diversification is an important part of every successful portfolio.

Significant Tax Benefits
Investors who invest up to $7,500 receive a 15% Federal Tax Credit and a 5% Provincial Tax Credit. Up to $750 of the Federal Tax Credit may be claimed per year and up to $375 of the Provincial Tax Credit may be claimed per year. The Fund is available to Ontario residents only.

Additional Income
The Fund will invest a portion of its portfolio in Notes which generate returns linked to a TSX/S&P Indices. This will provide additional diversification across a wide range of industries and generate additional return for the Fund.

Experienced Investment Management
The portfolio management team has more than 40 years of combined experience working with and successfully investing in and building early stage companies as well as expertise to provide significant upside potential.

Regarding Tax Credits
Some limitations apply please refer to the prospectus for details. A redemption fee may apply. New shares must be held for eight years to avoid repaying tax credits. Tax credits are non-refundable. Income tax is payable on all amounts withdrawn from an RRSP. ˆtop

Reasons to Invest

A labour sponsored investment fund is ideal for investors seeking long-term capital growth, in addition to attractive tax benefits. Here are a few specific reasons why you should consider investing in a laboured sponsored investment fund and, in particular, the VentureLink Innovation Fund Inc.

Venture Capital
LSIFs provide investors with the ability to invest in early stage companies while providing tax credit for the increased risk and illiquid nature of these investments. Venture capital, as an asset class, has low correlation to public equities. Venture capital plays an important economic role in job creation through the provision of start-up and follow-on financing for promising new companies. As an investor you receive the benefits of the LSIF tax credit, while your investment plays a key role in the Canadian economy

Registered Plan Switches
If you have little room available for RRSP contributions but have an existing RRSP or LIRA, the $1,500 credit can be generated within your account by switching $7,500 from a current investment holding to a LSIF.ˆtop

Companies in this Fund

Company	Location
SCI (formerly Strategic Connections Inc.)	Markham, ON
Wellington Financial LP Funds II & III	Toronto, ON
Ecosynthetix Inc.	Milton, ON
Clubb Finance Corp.	Toronto, ON
Coventree Inc. (NXE:COF.H)	Toronto, ON
Mavrix Fund Management Inc.	Toronto, ON
PerformINS Canada Inc.	Concord, ON
N-Brook Mortgage Group	Mississauga, ON
Cytochroma Inc.	Markham, ON
Kensington Captial Partners Ltd.	Toronto, ON

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RESOURCES

• Semi-Annual Report – June 2011
• Annual Report – December 2010


VentureLink Innovation Fund Inc. Profile –December 2011
VentureLink Innovation Fund Inc. Top 10 Holdings – December 2011

• Prospectus: VentureLink Innovation Fund Inc. – October 2011
  
• Semi-Annual MRFP: Innovation Fund – June 2011
• MRFP: Innovation Fund – December 2010

*Note: The 2008 Ontario budget has been passed with the $7,500 annual limit increase, which is retroactively available for FY2007 tax filings.

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Legal Documents

• Management Information Circular – July 2011
• Consent to Commissions – March 2011
• Auditor Letter to Board – March 2011
• Compliance Report – March 2011
• Custodian Report – March 2011
• Report to Securityholders – December 2010
• Merger Information Circular – June 2010
• VentureLink Proxy Voting Record – period July 1, 2010 - June 30, 2011

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VentureLink Innovation Fund Inc. was formed under the Canadian Business Corporation Act by articles of amalgamation dated September 10, 2010 amalgamating VentureLink Brighter Future Fund Inc., VentureLink Balanced Fund Inc., VentureLink Diversified Income Fund Inc., and VentureLink Financial Services Innovation Fund Inc. VentureLink Innovation Fund Inc. provides a 15% Federal Tax Credit on a purchase of up to $5,000 per annum and a 5% Provincial Tax Credit on a purchase of up to $7,500 per annum to investors in Ontario.

Important information is contained in the prospectus, please read it before investing. Commissions, trailing comissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. VentureLink, VentureLink Funds, and VentureLink Innovation Fund are trademarks of VentureLink LP.

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