Eliminate currency risk with true USD investing

For investors holding US dollars, the Mackenzie US dollar fund suite provides the benefit of maintaining US dollar exposure throughout the investing cycle, avoiding potential costs associated with currency conversions, which are common among US purchase options.

With our US dollar funds, investors will:

Buy their fund with US dollars and receive US dollars upon redemption.

Receive primary exposure to US dollars at the fund level through the holding of US securities and/or hedging non-US currency exposure back to the US dollar.

See a US dollar denominated net asset value per share (NAVPS) on their statements, with performance metrics based on the US dollar NAVPS.

True US dollar fund vs. US dollar purchase option

With a US dollar fund, performance will be driven by the returns of the underlying securities and the portfolio manager's expertise.

Step 1

Buy US dollar fund with US dollars

After 1-year

(5% investment return)

Step 2

Redeem units in the fund in US dollars

True USD fund

USD purchase option

Purchase and redeem in USD

Performance and NAVPS in USD

Primary exposure to USD

No currency impact on returns

$100 USD

$105 USD

Investing through a US dollar purchase option would result in a different outcome, because these funds require currency conversions that affect the overall returns. This impact is contingent on the exchange rate, which could have either a positive or negative effect on overall returns. Note: Total return is driven by investment return only (5%)

The following scenarios illustrate potential exchange rate impacts, which is mitigated by a true US dollar fund.

Scenario 1

With CAD trading at 0.80 USD, the investor still needs $125 CAD to purchase $100 USD. While the investor holds the fund, CAD rises to $0.90 USD, and they decide to redeem. The investor earns the return on the underlying investment but loses more through the currency conversion.

Scenario 2

A falling US dollar

Result

Decrease in overall returns

StepS

Buy the fund with CAD

$125 CAD

After 1-year (5% investment return)

$105 USD

US purchase option conversion

$100 USD

Redeem units

$105 USD

Convert back to CAD

$116.67 CAD

Note: Total return is driven by investment return and currency exchange rates.

Investment return = 5% Currency return = 11.75% Total return = -6.7%

Who are true US dollar funds for?

The Mackenzie US dollar fund suite allows investors holding US dollars to invest as if they were investing in a US domiciled fund. Investors falling within this criterion include, but are not limited to:

Investors with US dollar accounts

Snowbirds, or individuals planning to spend long periods in the US

New investors living in Canada who want to maintain US dollar investments

Small to medium-sized business owners who facilitate US dollar transactions

Mackenzie’s true US dollar funds

Fund name

USD series fund codes (prefix: MFC)

A/SC

Fixed income Mackenzie USD Unconstrained Fixed Income Fund Mackenzie USD Ultra Short Duration Income Fund Balanced Mackenzie USD Global Strategic Income Fund Equity Mackenzie USD Global Dividend Fund Mackenzie USD US Mid Cap Opportunities Fund Mackenzie USD Greenchip Global Environmental All Cap Fund

FE 4846 4839 4825 7454 9462 7509

BE 4841 4835 4826 7455 9463 7510

FE 4844 4838 4829 7459 9467 7514

FE 6545 6541 6536 7466 9473 7520

1 Hypothetical net rate of return is for illustrative purposes only and does not include fees associated with mutual fund investments. The risk and return characteristics presented above are hypothetical and do not represent the investment performance or the actual accounts of any investors or any mutual funds. The securities selected and asset allocations used to create the back tested results were selected with the full benefit of hindsight, after their performance over the period shown was known. The results achieved in our simulations do not guarantee, and should not necessarily be relied upon as an indication of, future investment results for any of the information described above or discussed herein.

Why invest with Mackenzie

Take advantage of a broad shelf of offerings managed by world-class talent to provide clients with the best investment experience. Leverage the breadth of offerings across asset classes, structures, and currency to find the best products to fit all investor needs. With one of the broadest ranges of US dollar funds among independents, Mackenzie has a true US dollar solution to fit your needs.

Investors purchasing a true US dollar fund will experience overall returns driven by the securities held within the fund, without the potential impact of currency exchange rates at the time of purchase and redemption.

NAVPS represents the value of each unit of a mutual fund and/or ETF. It indicates the price at which the fund will be redeemed when an investor decides to buy or sell units.

Investor experience with a true US dollar fund

✓

Buy the fund with CAD

$125 CAD

After 1-year (5% investment return)

$105 USD

US purchase option conversion

$100 USD

Redeem units

$105 USD

Convert back to CAD

$150 CAD

StepS

Note: Total return is driven by investment return and currency exchange rates

Investment return = 5% Currency return = 15% Total return = 20%

Result

Increase in overall returns

An investor who chooses a US dollar purchase option will place their trade in CAD, and this value would then be converted to USD. If CAD is trading at 0.80 USD, an investor would need $125 to purchase $100 USD. While the investor holds the fund, CAD falls to $0.70 USD and they decide to redeem. The investor earns not only the return on the underlying investment, but also a return on the currency conversion.

A rising US dollar

NAVPS represents the value of each unit of a mutual fund and/or ETF. It indicates the price at which the fund will be redeemed when an investor decides to buy or sell units.