other samples

S A M P L E S

AIC 2003 ANNUAL REPORT 14AIC 2003 ANNUAL REPORT 14

Andrew Srichandra, B.Comm. (Hon), CFA

Senior Investment Analyst

Andrew Srichandra joined AIC in August 2000 as an Investment Analyst

and is currently involved in researching companies in the technology and

business services sectors on a global basis.

Before this, he worked for Investors Group focusing on global

technology in related sectors including software, semiconductors and

storage for their technology funds. He has also worked as portfolio

analyst for a Canadian equity fund following consumer products,

telecommunications and merchandising.

Andrew has a Bachelor of Commerce (Honours) Degree from the

University of Manitoba and earned the Chartered Financial Analyst

(CFA) designation in 2001.

Jason T. Low, B.Sc.


Jason Low is a Los Angeles-based CPA with 12 years experience in

research and financial analysis.

Jason has held positions with a number of well-respected firms

including Coopers & Lybrand (LA) as a senior associate and

most recently as an Executive Director of Standard Investment

Chartered Inc.

Born in Los Angeles, Jason completed his B.Sc. degree at the

University of Southern California in 1989.

Peter Hofstra, B.Sc., PhD


Peter Hofstra joined AIC in March of 2002 as a Senior Investment

Analyst and now researches technology and industrial companies on

a global basis for AIC. Prior to this he worked with an Ontario-based

display technology firm as Vice President of Research and

Development.

Peter’s duties included development of business plans, manage-

ment of research, development and manufacturing activities, as well as

licensing of technology to international display companies. He has also

worked for Xerox Research Centre of Canada as a research chemist.

Peter has a B.Sc. in Chemistry from the University of Guelph and a

PhD in Engineering Physics from McMaster University.

Kevin Vandermeer, B.Comm., CFA

Vice President and Portfolio Manager

Kevin Vandermeer joined AIC in 2002 after spending three years at

Georgian Capital Partners where he was responsible for companies in

both the financial services and health care industries. He also spent

several years with HSBC Bank Canada as a commercial and corporate

lender. A graduate of the University of Toronto Commerce Program,

Kevin now covers companies predominately within the health care

industry. He earned the Chartered Financial Analyst designation in

2001.

Jason

Kevin

Andrew

Peter

Andrew Srichandra,


Andrew Srichandra joined AIC in August 2000 as an Investment Analyst

and is currently involved in researching companies in the technology and

business services sectors on a global basis.

Before this, he worked for Investors Group focusing on global

technology in related sectors including software, semiconductors and

storage for their technology funds. He has also worked as portfolio

analyst for a Canadian equity fund following consumer products,

telecommunications and merchandising.

Andrew has a Bachelor of Commerce (Honours) Degree from the

University of Manitoba and earned the Chartered Financial Analyst

(CFA) designation in 2001.

Jason T. Low,


Jason Low is a Los Angeles-based CPA with 12 years experience in

research and financial analysis.

Jason has held positions with a number of well-respected firms

including Coopers & Lybrand (LA) as a senior associate and

most recently as an Executive Director of Standard Investment

Chartered Inc.

Born in Los Angeles, Jason completed his B.Sc. degree at the

University of Southern California in 1989.

FINANCIAL STATEMENTS 122




AIC Canadian Balanced Fund

Statement of Net Assets as at December 31

20032002

ASSETS

Cash

$ 82,807 $ 46,777

Investment portfolio at market value

157,406,067 107,673,380

Short-term investments

2,297,728 57,738,882

Interest and dividends receivable

716,247 887,096

Receivable for securities sold

- -

Subscriptions receivable

23,715 39,940

160,526,564 166,386,075

LIABILITIES

Payable for securities purchased

$ - $

-

Redemptions payable

193,696 103,733

Withholding taxes payable

- -

193,696 103,733

Net assets representing unitholders’ equity

$ 160,332,868 $ 166,282,342

Unitholders’ Equity

Mutual Fund Units

$ 160,058,620 $ 166,024,443

Class F Units

221,953 225,333

Class O Units

52,295 32,566

$ 160,332,868 $ 166,282,342

Number of units outstanding (note 7)

Mutual Fund Units

38,229,740 42,978,515

Class F Units

59,089 65,137

Class O Units

10,172 6,902

Net asset value per unit

Mutual Fund Units

$ 4.19 $ 3.86

Class F Units

$ 3.76 $ 3.46

Class O Units

$ 5.14 $ 4.72

Investment portfolio at cost

$ 143,898,864 $ 117,899,077

A I C B A L A N C E D G R O U P

Statement of Operations for the periods ended December 31

20032002

INVESTMENT INCOME

Dividends

$ 1,219,455 $ 2,235,191

Interest

4,118,327 3,615,932

Securities lending revenue

1,592 -

Foreign exchange gain (loss)

(167,132)(2,598)

Foreign withholding taxes

(23,844)(60,970)

5,148,3985,787,555

EXPENSES (note 9)

Management fees

$ 3,380,443 $ 4,188,198

Legal fees

1,586 709

Audit fees

15,050 16,405

Interest expense and bank charges

2,495 3,693

Unitholder services and custodian fees

374,426 492,374

3,774,000 4,701,379

Net investment income (loss) for the period

$ 1,374,398 $ 1,086,176

Realized and unrealized gain (loss) on investments

Net realized gain (loss) on sale of investments

$ (10,719,575) $ (53,980,833)

Change in unrealized appreciation (depreciation) in value of investments

23,732,900 7,711,669

Net realized and unrealized gain (loss) on investments

13,013,325 (46,269,164)

Increase (decrease) in net assets from operations

$ 14,387,723 $ (45,182,988)

Net investment income (loss) per unit (note 6)

Mutual Fund Units

$ 0.03 $ 0.02

Class F Units

$ 0.07 $ 0.06

Class O Units

$ 0.16 $ 0.07

Realized and unrealized gain (loss) on investments per unit

Mutual Fund Units

$ 0.35 $ (0.99)

Class F Units

$ 0.31 $ (0.90)

Class O Units

$ 0.41 $ (0.31)

Distribution per unit

Mutual Fund Units

$ (0.0478) $ (0.0264)

Class F Units

$ (0.0762) $ (0.0829)

Class O Units

$ (0.1539) $ (0.0412)

the Road to Prosperity

wealth is created by owning a collection of excellent

businesses, domiciled in strong, long-term growth

industries and holding for the long run.

A I C A D V A N T A G E G R O U P ■ A I C D I V E R S I F I E D G R O U P ■ A I C F O C U S E D G R O U P ■ A I C B A L A N C E D G R O U P ■ A I C I N C O M E G R O U P

AIC Limited

1375 Kerns Road

Burlington, Ontario L7R 4X8

Client Services: 1-800-263-2144

Head Office: 1-888-710-4242

Fax: 1-800-660-2664

www.aic.com ■ [email protected]

The AIC Strategy for Success

Buy.A simple summary of our approach to mutual funds at AIC is this: choose

the right heroes and keep the faith. We buy into excellent companies

– the best of the best – in strong, long-term growth industries and we

hold these investments for the long run. The goal is a better rate of return

for our clients.

Hold.Stand for nothing and you are likely to fall for everything. The truth

is, bears, bulls and other unpredictable market influences eventually

disappoint short-term investors who focus on share prices rather than

a company’s true worth. At AIC, we stick with the quality businesses in

which we invest.

And Prosper.Prosperity to us means meeting the three objectives of investing. It

means preserving your principal over the long term. It means growing

your money at a good rate. And it means protecting your investment from

the ravages of taxes. It’s really quite simple. And the results over the long

term are something to behold. Of course, what you do with your prosperity

in the end is up to you.

The R

oad to Prosperity

AIC

Mutual Funds 2

00

3 A

nnual Report

Decem

ber 31

, 20

03

AIC0001– E(02/04)TMAIC Limited

Disponible en français.

AIC 2003 Annual

Profiling Excellent Businesses

At AIC Limited, we believe that owning a few excellent

businesses in long-term growth industries is the only path

to true wealth creation. Our Portfolio Management Team

constantly searches domestic and global markets for the world’s

leading companies – those with strong global brands,

successful business models, solid growth prospects and

exceptional management ability.

The Coca-Cola Company 70

Cott Corporation 36

Fannie Mae 66

First Data Corporation 40

Infosys Technologies Limited 23

Morgan Stanley 27

Novartis AG 44

School Specialty, Inc. 61

SKF Group 48

Sun Life Financial 57

Synopsys 52

TESCO PLC 74

UBS

31

AIC BALANCED GROUP

AIC Canadian Balanced Fund 63

■ Spotlight on Fannie Mae 66

AIC American Balanced Fund 67

■ Spotlight on The Coca-Cola Company 70

AIC Global Balanced Fund 71

■ Spotlight on TESCO PLC 74

F INANC IAL STATEMENTS

■ Auditors’ Report 83

■ Statements of Investment Portfolio 84

■ Financial Statements 104

■ Notes to Financial Statements 133

AIC

Mut

ual F

unds

200

3 A

nnua

l Rep

ort

A I C I N C O M E G R O U P

AIC Bond Fund 76

AIC Global Bond Fund 79

AIC BALANCED

AIC Canadian Balanced Fund 63

■ Spotlight on Fannie Mae

AIC American Balanced Fund 67

■ Spotlight on

AIC Global Balanced Fund

■ Spotlight on

F INANC IAL STATEMENTS

■

■ AIC 2003 ANNUAL REPORT 8

Investors want to do business with a company... that delivers exceptional

client service.

At AIC, we recognize that those investors who have chosen our

company expect to remain with AIC for a very long time. Because

of this, they hold high expectations. Both investors and advisors

expect effective and efficient service every time they

contact us – from account inquiries to transaction processing.

We have long been committed to service excellence and

we’re proud to point out that our service level is recognized

industry-wide. In fact, AIC received the DALBAR Mutual Fund

Service Award for 2003. We were equally proud when we

received this award in the past. And, this will continue to be our

goal in the future.

Question: How does AIC practice what it

preaches? Answer: Look at the investment

discipline demonstrated by the AIC

Portfolio Management Team.

Investors face two types of risk – market

risk and company risk. Market risk

(i.e. inflation, interest rates, etc.) is

unavoidable. However, company risk can

be minimized through diversification and

by buying quality businesses. This is the

role of the AIC Portfolio Management

Team.

At AIC, the Portfolio Management

Team identifies and invests in the

world’s best businesses on behalf

of AIC investors.

AIC’s Portfolio Management Team includes

more than 20 professionals who constantly

search domestic and global markets for the

world’s leading companies – those with

strong global brands, successful business

models, solid growth prospects and

exceptional management ability.

Approximately half of our investment

professionals are research analysts working

in partnership with our portfolio managers.

The analysts focus on specific industries

and in some cases specific industry

sub-sectors in order to increase our depth

of knowledge in each sector and business

in which we invest. Ultimately AIC’s

long-term competitive advantage is our

Portfolio Management Team and its strict

adherence to AIC’s investment principles.

Exhaustive internal research is supported

by regular company visits, frequent

conversations with management,

discussion with competitors, analysis from

experts, and perhaps most importantly,

input from customers.

We make investment decisions based on

logic and reason, as opposed to sentiment

and emotion. In fact, several of our

investment professionals were former

business people. They understand the

nuances of running a business and bring a

further distinctiveness to the investment

team as we look at companies from a

long-term business ownership perspective.

All buy and sell decisions are

methodically researched and properly

assessed so that the rationale for

investment, for reducing a position or for a

complete sale of a position is convincing,

credible and in the best interests of

investors.

Investors want to do business with a company...

that practices what it preaches.

A N N U A L R E P O R T

CHALLENGE: Because most marketing materials are targeted to advisors, AIC doesn’t get to interact with unitholders very often. So how does the company connect with investors, so that when they visit their advisors, they know who AIC is?

SOLUTION: Put a human face to AIC so unitholders connect emotionally with the portfolio managers, and therefore feel some loyalty to the AIC brand. With only a 2% readership at the best of times, the book needed to be a more compelling read. How? By introducing close-cropped close-ups of the portfolio managers with smiling faces, signatures in their bios, and photos and logos throughout the book – always emphasizing the people. The front end was designed to have more of a magazine feel. For added impact, the book was made slightly larger and more square. The cover was a fold out. The fi nancial statements were printed on a yellow background to dull the page and make the rows of numbers more visually appealing.

I conducted market research: for inspiration before the fact, and metrics after the fact.

Senvia you need

to go.your money is everywhere

SEND CASH TO: PICK UP AT:

Jamaica

National Commercial Bank of Jamaica

52 branches and over 100 ATMs

Grenada

Capital Bank International

2 branches and 6 kiosks

Guyana

Guyana Post Offi ce

more than 60 post offi ces

The Philippines

Bank of the Philippine Islands

more than 700 branches and 1,100 ATMs

Trinidad & Tobago

First Citizens Bank

23 branches

Free registration

for

LESSSend

MoneyHome

1-877-4SENVIA (1-877-473-6842)

www.senvia.com

SEN05-0015-E(03/05)

Authorized agent:Hamilton Big Bear Food Mart 1393 Upper Gage Avenue (905) 383-4994

Rincon Paisa 958 Upper Wellington (905) 385-5829

Mississauga 4 UR Convenience 3070 Hurontario St. #8 (905) 272-9257

FH Multi Foods 3061 Hurontario Street (905) 273-7115

Nappy’s Hair Shoppe 23 Dundas Street East (905) 949-6787

Brampton Nappy’s Hair Shoppe 83 Kennedy Road South (905) 453-3037

Markham Nappy’s Hair Shoppe 7381 Kennedy Road (905) 948-0884

Oakville El Gran Tropical 391 Kerr Street (905) 845-9262

Pickering Al’s West Indian Food Mart 1660 Kingston Road (905) 686-2584

Toronto Senvia Money Services 1578 Eglinton Ave. West (416) 907-5730

Caribbean Island Foods Market 3432 Weston Road (416) 746-1592

Green’s Travel Services 6-11 Westmore Drive (416) 745-7775

Scarborough Charley’s West Indian Food Ltd. 1154 Morningside Ave. (416) 283-1441

Roti Boys Restaurant 3007 Sheppard Ave. East (416) 756-7684

Valrie’s Beauty Supply 790 Military Trail, #8 (416) 286-8181

Conrad’s Barber Shop 2921 Lawrence Ave. East (416) 751-0363

RC West Indian Grocery 1872 Kennedy Road (416) 293-4619

Senvia Authorized Agents in the Greater Toronto Area

1-877-4SENVIA (1-877-473-6842) www.senvia.com

Senvia is an innovative low-cost, money transfer service that provides real value, convenience and security to customers.

With operations and affiliates in the United States, Canada, United Kingdom and Cayman Islands, Senvia is rapidly expanding to provide service to a growing list of countries around the world.

We are committed to seeking out ways to provide money transfer customers with “a better way to send money.” Our goal is to reduce the cost of sending money while providing for best-in-class service and security.

“Michael Lee-Chin has re-shaped the remittance

industry.”– PRIDE Newspaper, December 10, 2003

The easiest way to transfer money:

1. REGISTER FREE over the phone or at any of our agent locations; and

2. SEND MONEY by visiting a convenient agent location or, send electronically through your bank account. Just add Senvia Money Services as a ‘payee’ to the bill payment list in your account with participating major banks in Canada!

Make the Most of Your Money Transfer – Send it with Senvia!

Jamaica $5 St. Kitts $5 Mexico $8

Grenada $8 St. Vincent $8 The Philippines $7.75*

Guyana $8 Trinidad & Tobago $8 * pick-up in branch

Also serving Latin America. Call us for details!

A Rewarding SolutionOur simple and inexpensive way to send money ensures more money gets to your family and friends.

YOu SEND

Compare and SaveMajor competitor

in-person service charge

Major competitor online transfer service charge

Senvia service charge†

Senvia saves you up to

$101 $18 $27 $5 - $10 $22 (81%)

$301 $26 $42 $5 - $10 $38 (84%)

$501 $35 $56 $5 - $10 $51 (91%)Senvia money transfer fees vary by recipient country, please call for the exact fee. Figures as at August 1, 2006.

Send MONEY home for one LOW FEE

Shouldn’t you send with the company that ensures more of your money gets there?

Senvia is an affiliate of the AIC/NCB Group of Companies.

SEN06-0138 SWAY DPS.indd 1 8/11/06 3:39:18 PM

NCB7000-E(07/04)1-877-4SENVIA • www.senvia.com

1375 Kerns Road, Burlington, Ontario L7R 4X8 • Toll Free 1.888.710.4242 • Fax: 1.877.745.6842


MO

NEY

SER

VIC

E SO

LUTI

ON

S

S E N V I A M O N E Y S E R V I C E S I N C .

ADVERTISEMENTPRESENTATION FOLDER

EGLINTON RETAIL STORE

SOLUTION: Switching to a blue background for the majority of the

pieces (especially signage and materials meant ot be viewed from the

street), while also placing more emphasis on type and full-bleed imagery,

helped increase awareness with its customers in the communities in which

Senvia did business.

EVENT TENT

CHALLENGE: To gain marketshare in a very com-

petitive marketplace. The brand lacked visual impact,

particularly given that it was dealing primarily with the

Caribbean community in Canada.

At outdoor events, (a critical marketing component in

the industry), the Senvia tent disappeared amoung all

the colourful competition, and didn’t draw crowds. On

counter tops at retail outlets, the brochures blended in

with competitor materials on the counter. The signage

in the storefronts was not visible from the streets, and

didn’t draw any attention.

Send with Senvia to give more this Holiday Season

* Prices are subject to change without notice. In addition to the transfer fees applicable to the transaction, a currency exchange rate set by Senvia Money Services, Inc will be applied. For more information visit www.senvia.com.1 Gift with purchase offer is valid from December 1 – December 31 2006 for transactions completed at selected agent locations. Offer good while quantities last.

with your next

transaction!1

FREE GIFT

Ask

your agent for detai

ls


*$7Send up to $2,500

to JAMAICAfor only

CANADA TO JAMAICA

EXTENDED HOURS!

Moreconvenient!

Send up to

$2,500 for only $7

*

FarmworkersSPECIAL!

LOW COSTMONEY

TRANSFERS

EXTENDED HOURS!Mon to Sat 8:30am to 7:30pm

Pick up in JAMAICA

POINT OF SALE DISPLAY STAND

CHALLENGE: Competition for counter space at agent

retail outlets is fi erce, and crammed with promotional

materials from all kinds of companies. The Senvia bro-

chures were getting completely overlooked, and so were

potential customers.

SOLUTION: A custom designed, permanent, rigid plastic

Point of Sale stand secured Senvia a prominent spot on the

counter top. Highly visible (compared with the clear, plastic

lucite stands the competition was using), the design allowed

Senvia to quickly and easily update promotions in the poster

slot, next to the brochures.

Offer valid March 1 - September 8, 2007

CARIBBEAN

MONEY TRANSFERS TO THE

$7*Send up to

for only

$2,500

SAVE ‘n WIN †

* Prices vary by country and are subject to change without notice. In addition to the transfer fees applicable to this transaction a currency exchange rate set by Senvia Money Services Inc. will apply.

No Purchase necessary to enter and win. Conditions apply.

Canadian and foreign government taxes and fees are additional and must be paid by the prize winner by money order, cash or valid credit card before the tickets are issued. Certain restrictions on available fare classes, travel dates and length of stay in country apply.

For details visit a Senvia agent location, www.senvia.com, or call 1-877-473-6842

Offer valid March 1 - September 8, 2007* Prices vary by country and are subject to change without notice. In addition to the transfer fees applicable to

No Purchase necessary to enter and win. Conditions apply.

Canadian and foreign government taxes and fees are additional and must be paid by the prize winner by money

For details visit a Senvia agent location, www.senvia.com,

CARIBBEANCARIBBEANCARIBBEANCARIBBEAN

MONEY TRANSFERS TO THE

$7*

WIN WIN †

country apply.

IntroducIng QuIcK AgEntQuikAgent is the new agent module Senvia has developed to replace

the Senvia Retail system as the core agent system. Our new system will be much

faster and easier to use!You’ll be using this system to:• Send remittances• Register new clients• Update existing client information• Look up exchange rates QuikAgent is a web-based module that requires at minimum a Pentium 3 1.1.

GHz computer/Laptop with Windows XP, 512 MB Ram with high-speed internet

connection. You must launch your browser and navigate to the module website:

https://agent.senvia.comFor easy access, set this site as your default home page, add the site to your

favorites list, or launch the site from an icon on your desktop.

Once we launch the program, we’ll provide on-site training to make sure you are

comfortable working with our new system!

feedbackWe want to hear from you! Call us and let us know what we can do to improve.

We value your feedback!

sales contestLETS INCREASE SALES! If your store has the biggest increases in

sales between October 1st and December 31st, you’ll win an IPOD!

Remember: in this contest everybody wins, because increased sales

equals higher profits!

Here we grow again!Senvia now serves St. Vincent, St. Kitts and Latin America! In addition to the countries we already serve, (Jamaica, Grenada, Guyana, Trinidad plus the Philippines), we’ve also launched a program to send money from the U.K. to anywhere in the world!

Summer with Senvia

Dressing for SuccessSenvia introduces a new line of shirts available to help promote the brand at your store! See inside for details!

BANCOMER ONBOARDSenvia is now sending to Latin America through Bancomer. What does this mean? Faster, more reliable service, and happier customers!

Check out some of the events we participated in over the summer:

• Jamaica Independence Day Celebration

• Air Jamaica Day

• Hamilton Mardigras• Brampton Jerk Fest• Jerk & Jazz Festival• Caribbean Potpourri• Jamaica vs. Trinidad Comedy Festival• Gala Dinner & Musical Concert• African Canadian Achievement Awards

• Spelling Bee Championship• Summer Sizzle• Sunnyside Filipino Picnic• Mabuhay Festival & Basketball Tournament

• Jamaica Day

Communicating with Senvia Agents

september 2006

1-877-4SEnVIA (1-877-473-6842)www.senvia.com

SEN06-0139-E(09/06)

MARKETING with Senvia

OFF your next

purchase at Parika East

& West Indian Grocery

(2979 Islington Avenue location)

Redeem this coupon for

See back for details!

OFF your next






OFF your next






OFF your next






OFF your next






OFF your next






OFF your next






OFF your next






OFF your next






OFF your next






purchase at




Choice

VALUEVALUEChoice

VALUEChoiceConvenience

VALUEConvenience

VALUE ww

w.s

envi

a.c

om

G O O D C O M M U N I C A T I O N I S T H E C O R N E R S T O N E I N A S U C C E S S F U L B U S I N E S S .

M A K I N G A G E N T S H A P P Y CHALLENGE: How does Senvia persuade the retail agents to recommend Senvia to their customers over the competition, especially

against a giant like Western Union?

SOLUTION: Great communication with the agents. We created a newsletter directed at the agents, to keep them in the loop and

make them feel part of the Senvia team. We created ad and coupon campaigns to draw customers to their stores. We provided them

with custom t-shirts to promote events like Caribana, as freebies for customers. We provided in-store kiosks so that customers could

complete the transactions themselves, and free up the agents to deal with other customers.

MONEY TRANSFERS1-877-4SENVIA (1-877-473-6842) www.senvia.com

$7Send up to $2,500 to the Caribbean

for as low as

TO BEGIN, TOUCH SCREEN

other samples

Documents