Funds & Strategy

The Vision Opportunity Funds (“Vision”) are primarily real estate focused with a principal emphasis on the Canadian market. Vision strives to seek out undervalued or overvalued Corporations and/or REITs both absolutely and relative to their peers. The Funds target investments that are expected to outperform on a medium term, risk adjusted basis.

The Vision Opportunity Funds:

The Vision Opportunity Funds are structured to provide investors with liquidity flexibility as well as the option to receive recurring income from quarterly cash distributions.

Funds Open for Investment:

Vision Opportunity Fund Limited Partnership (Canadian Investors)

Vision Opportunity Non-Resident Fund Limited Partnership (Non-Canadian Investors)

Vision Opportunity Fund Trust (Canadian RRSPs / RRIFs / TFSAs / LIRAs / RESPs)

Investment Strategy:

In assessing and evaluating target investments, the Manager’s approach considers:

  • Balance sheet strength and near term liquidity
  • The identification of corporations’/REITs’ Net Asset Value (“NAV”) by valuing the underlying real estate and attendant liabilities as compared to the pricing of their equity (or debt) securities.
    • Avoids myopic focus on near term earnings and cash flow
    • Assesses impact from assets which do not have current earnings or liabilities which may not be sufficiently understood
  • Combination of “Top Down” and “Bottom Up” strategies to pinpoint opportunities
    • Top down for assessing asset sectors or regions
    • Bottom up to select specific investments based on merits of the entity
  • Vision will consider investments in debt, convertible debt, and preferred shares
    • Particularly when equity-like returns are available with a lower level of risk

Where appropriate, Vision seeks to be an active investor by utilizing the combination of our real estate experience together with our capital market knowledge and relationships to benefit our investments. The Funds benefit from making concentrated investments in Vision’s best ideas and strategies.

Vision endeavors to capitalize on opportunities that emanate from the fact that Canadian publicly traded real estate securities are often not efficiently priced, particularly as compared to U.S. markets. The Funds can be long or short, although the Manager has historically had a long bias to harvest opportunities that emanate from systemic inefficiencies in the market for Canadian publicly-traded real estate securities (i.e. buying real estate cheaper in the stock market than in the property market). Vision employs minimal financial leverage in its funds, preferring to harvest returns from leveraging its investment ideas, not its capital.

 

 Click here to view a downloadable PDF of a two-page “Snapshot” profile of the Vision Opportunity Funds and their Fund Managers.