Frequently Asked Questions
- What is the difference between King & Victoria Fund L.P. and the King & Victoria RSP Fund?
Qualified Investors can currently invest only in the RSP Fund. The RSP Fund is a mutual fund trust whose sole purpose is to hold units in the King & Victoria Fund L.P. Effectively, all funds end up in the L.P. Fund, which is managed by Equilibrium Capital Management Inc.
- In what type of account can I purchase the King & Victoria RSP Fund?
As the name implies, the RSP Fund can be held in registered accounts (TFSAs, RSPs, RRIFs) but can also be held in margin and cash accounts.
- Am I eligible to invest in the Fund?
Investors of the Fund must be Canadian citizens or hold Canadian Permanent Resident status and must qualify for an available prospectus exemption, such as Accredited Investors.
- Who is an Accredited Investor?
An Accredited Investor includes an individual who satisfies a net worth test and/or an income test. An investor is considered accredited if that investor:
- Earns an individual net income before taxes of more than $200,000 per year in each of the last two years or, with a spouse, earns a joint net income before taxes of $300,000, in each of the last two years or,
- Alone or together with a spouse, owns net financial assets worth more than $1 million (excluding real estate) or, alone or together with a spouse, has net assets of at least $5 million.
For more information on Accredited Investors, please review our Subscription Agreement.
- How do I buy the Fund?
Equilibrium Capital does not sell the Fund directly. The Fund is available through most full service and/or discount brokers. To purchase units, a Subscription Agreement form is required. Please submit your completed and signed Subscription Agreement form to your financial advisor who should then forward a copy to our fundSERV provider (SGGG Fund Services, Inc.) through their back office. Your financial advisor should also place the order for units on fundSERV on your behalf. The Fund is available on fundSERV using codes ECM100 and ECM200.
- What is the difference between ECM100 and ECM200?
ECM100 pays no trailer to the financial advisor and has a $200,000 maximum purchase per account per month. ECM200 pays a 1% trailer to the financial advisor and has a $100,000 maximum purchase per account per month. Both ECM100 and ECM200 have the same Net Asset Value due to the fact that Equilibrium Capital Management Inc. pays the trailer. Both fundSERV codes have an investment minimum of $1,000.
- When should I submit my order to purchase the Fund?
Your fundSERV order and Subscription Agreement form can be submitted at any time throughout the month but must be submitted no later than 4:00pm on the last business day of the month (Valuation Date). Orders submitted after this time will not be accepted until the next Valuation Date in the following month.
- What is the purchase price?
The per unit price of your order is equal to the Net Asset Value (N.A.V.) as calculated on the last business day of the month in which you place your order.
- What are the management and performance fees?
Please see Term Sheet.
- How many times can I purchase units in the Fund?
You may purchase units an unlimited number of times, however, you may only invest a maximum of $200,000 per account per month (ECM100) or $100,000 per account per month (ECM200). Additionally, each purchase requires a new Subscription Agreement form and a new fundSERV order to be placed by your financial advisor.
- How do I obtain the Offering Memorandum of the Fund?
The Offering Memorandum of the Fund is available to be emailed to you directly upon request. To submit your request, please send us a message through the Contact Us page.
- I want to receive the King & Victoria Fund Monthly Performance emails. How do I subscribe?
On the last business day of each month, a Performance Summary gets emailed out to all subscribers. This email provides a synopsis of the past month, including the Net Asset Value on that Valuation Date, the performance of the Fund for that month, the year-to-date performance, and a brief commentary on the investment strategies used during that month. If you would like to receive this email, you may subscribe by sending a message through the Contact Us page. Please be sure to include your full name and email address.