harbour global equity corporate class - ci investments harbour global equity corporate class mnnt...

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Harbour Global Equity Corporate ClassManagement Report of Fund Performance for the year ended March 31, 2017

INVESTMENT OBJECTIVE AND STRATEGIESThe objective of Harbour Global Equity Corporate Class (the “Fund”) is to obtain long-term capital growth consistent with the preservation of capital.

It invests primarily in equity and equity-related securities of large and mid-capitalization companies around the world that the portfolio adviser believes have good potential for future growth and are attractively priced. The Fund will make investments chiefly in leading industrialized nations and may invest in emerging markets.

The portfolio advisor uses techniques such as fundamental analysis to assess growth potential. This means evaluating the financial condition and management of a company, its industry and the overall economy. The portfolio advisor analyzes financial data, assesses the quality of management, and conducts company interviews.

In order to earn additional income, the Fund may enter into securities lending transactions, repurchase transactions and reverse repurchase transactions, to the extent permitted by securities regulations. It may use derivatives, but only as permitted by securities regulations.

RISKThere were no changes to the Fund over the period of this report that materially affected the overall level of risk associated with the Fund. The Fund is suitable for investors who want a core foreign equity fund in their portfolio, are investing for the medium and/or long term and can tolerate medium risk.

RESULTS OF OPERATIONSThe net asset value of the Fund decreased by $67.2 million to $390.8 million from March 31, 2016 to March 31, 2017. The Fund had net redemptions of $99.9 million during the year. The portfolio’s performance increased assets by $42.6 million. The Fund paid distributions totalling $9.9 million. The one-year return for Class A shares was 10.8%, Class AT5 shares was 10.8%, Class AT8 shares was 10.9%, Class E shares was 10.9%, Class ET5 shares was 11.0%, Class ET8 shares was 10.9%, Class EF shares was 12.1%, Class EFT5 shares was 12.0%, Class EFT8 shares was 12.0%, Class F shares was 12.0%, Class FT5 shares was 11.8%, Class FT8 shares 12.1%, Class I shares was 13.5%, Class IT8 shares was 13.5%, Class O shares was 13.3%, Class OT5 shares was 13.3% and Class OT8 shares was 13.3%, as compared to the return of its benchmark of 18.2%. The benchmark is the MSCI World Total Return Index.

At the end of the period, the Fund had 86.3% of its assets invested in common stocks, with 16.4% in cash and equivalents. This compares with 83.6% and 16.4%, respectively, as of March 31, 2016. The Fund held 34 companies in the

portfolio as of March 31, 2017, compared with 40 companies at the beginning of the period.

Geographically, 17.2% of the Fund’s holdings were based in Europe, 47.4% in the U.S., 15.4% in Canada, and 3.6% in Japan as of March 31, 2017. The geographic weighting in the Fund is an outcome of the Fund’s bottom-up individual company selection process and not a result of top-down country allocations.

The Fund ended the period with a 35% hedge on the U.S. dollar and 75% hedge on the Japanese yen and Swiss franc. All other currencies were fully hedged.

Sectors that contributed positively to returns were financials and information technology. Individual companies that contributed positively to performance include: Mobileye NV, Symantec Corp., Bank of America, and PNC Financial Services Group Inc. Major sector weightings include information technology, financials, and consumer discretionary.

The sectors that detracted most from the Fund’s performance during the period were materials and consumer staples. Companies that detracted from performance include CVS Corp. and Mckesson Corp.

During the period, a number of new positions were established including: Mobileye, Symantec, Parker-Hannifin Corp., and Transcanada Corp. There were a number of positions eliminated from the Fund including Origin Enterprises PLC, Weir Group PLC, UBS Group AG, and Travis Perkins PLC.

During the period the Fund added to a number of existing holdings including: Oracle Corp. and Alphabet Inc. The Fund also trimmed holdings Citigroup Inc. and Apple Inc.

The Fund posted a positive absolute return but underperformed benchmark for the year.

RECENT DEVELOPMENTSNet fund flows were negligible and therefore had no impact on fund performance. We expect our holdings to perform well over the long term given that fundamentals remain positive and valuations continue to look attractive.

Effective January 3, 2017, James Werry became a member of the Independent Review Committee of the Fund.

CIG - 2300

This annual management report of fund performance contains financial highlights but does not contain the complete annual financial statements of the investment fund. You can get a

copy of the annual financial statements at your request, and at no cost, by calling 1-800-563-5181, by writing to us at CI Investments Inc., 2 Queen Street East, Twentieth Floor, Toronto, ON,

M5C 3G7 or by visiting our website at www.ci.com or SEDAR at www.sedar.com.

Securityholders may also contact us using one of these methods to request a copy of the investment fund’s proxy voting policies and procedures, proxy voting disclosure record, or quarterly

portfolio disclosure.

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RELATED PARTY TRANSACTIONSManager, Portfolio Advisor and RegistrarCI Investments Inc. is the Manager, Portfolio Advisor and Registrar of the Fund. CI Investments Inc. is a subsidiary of CI Financial Corp. The Manager, in consideration for management fees, provides management services required in the day-to-day operations of the Fund. The Manager bears all of the operating expenses of the Fund (other than taxes, borrowing costs and new governmental fees) in return for a fixed administration fee.

Management fee and fixed administration fee rates as at March 31, 2017, for each of the classes are shown below:

Annual management fee rate (%)

Annual fixed administration fee rate (%)

A Shares 2.00 0.22

AT5 Shares 2.00 0.22

AT8 Shares 2.00 0.22

E Shares 1.95 0.15

EF Shares 0.95 0.15

EFT5 Shares 0.95 0.15

EFT8 Shares 0.95 0.15

ET5 Shares 1.95 0.15

ET8 Shares 1.95 0.15

F Shares 1.00 0.22

FT5 Shares 1.00 0.22

FT8 Shares 1.00 0.22

I Shares Paid directly by investor -

IT5 Shares Paid directly by investor -

IT8 Shares Paid directly by investor -

O Shares Paid directly by investor 0.15

OT5 Shares Paid directly by investor 0.15

OT8 Shares Paid directly by investor 0.15

The Manager received $7.2 million in management fees and $0.8 million in fixed administrative fees for the year.

Management FeesApproximately 26% of total management fees were used to pay for sales and trailing commissions. The remaining 74% of management fees were used for investment management and other general administration.

Independent Review CommitteeThe Fund received standing instructions from the Board of Governors (“BoG”) in its capacity as the Independent Review Committee (“IRC”) with respect to the following Related Party Transactions:

a) trades in securities of CI Financial Corp.;b) purchases or sales of securities of an issuer from or to another investment

fund managed by the Manager (referred to as “Inter-Fund Trades”); c) purchases or sales of other investment funds managed by the Manager or

their affiliates; andd) merger’s of funds with another fund that is subject to National Instrument

81-102 (“Fund Mergers”).

The applicable standing instructions require that Related Party Transactions be conducted in accordance with the Manager’s policies and procedures. The Manager is required to advise the IRC of any material breach of a condition of the standing instructions. The standing instructions require, among other things, that the investment decisions in respect to Related Party Transactions (a) are made by the Manager free from any influence by any entities related to the Manager and without taking into account any consideration to any affiliate of the Manager; (b) represent the business judgment of the Manager uninfluenced by considerations other than the best interests of the Fund; and (c) are made in compliance with the Manager’s policies and procedures. Transactions made by the Manager under the standing instructions are subsequently reviewed by the IRC on a quarterly basis to monitor compliance.

The Fund relied on the IRC’s standing instructions regarding Related Party Transactions during this reporting year.

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FINANCIAL HIGHLIGHTS

The following tables show selected key financial information about the Fund and are intended to help you understand the Fund’s financial performance for the past five years, as applicable.

Net Assets per Share ($) (1) (2) (8) *

AT5 Shares Commencement of operations October 29, 2007Net assets at the beginning of year (1)

Increase (decrease) from operations: Total revenue Total expenses (excluding distributions) Realized gains (losses) for the year Unrealized gains (losses) for the yearTotal increase (decrease) from operations (2)

Dividends: From net investment income (excluding dividends) From dividends From capital gains Return of capitalTotal dividends (2, 3)

Net assets at the end of the year shown (2)

Ratios and Supplemental DataTotal net assets ($000’s) (8)

Number of shares outstanding (000’s) (8)

Portfolio turnover rate (%) (5)

Trading expense ratio (%) (6)

Management expense ratio before taxes (%) (4)

Harmonized sales tax (%) (4)

Management expense ratio after taxes (%) (4)

Effective HST rate for the year (%) (4)

*Footnotes for the tables are found at the end of the Financial Highlights section. ^Historical figures are based on Canadian GAAP, for more details refer to footnote 7.

A Shares Commencement of operations December 31, 2001Net assets at the beginning of year (1)












Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended Mar. 31, 2017 Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2014 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 13.44 15.68 15.38 12.40 11.28

0.21 0.22 0.21 0.21 0.18 (0.37) (0.37) (0.38) (0.34) (0.27) 0.21 1.82 1.44 1.55 0.25 1.22 (3.18) (0.23) 1.72 0.96 1.27 (1.51) 1.04 3.14 1.12

- - - - - (0.01) (0.05) (0.07) (0.18) (0.06) (0.35) (0.65) (0.71) - - - - - - - (0.36) (0.70) (0.78) (0.18) (0.06) 14.53 13.44 15.68 15.38 12.39

256,501 387,995 537,124 568,994 479,250 17,655 28,871 34,257 36,991 38,657 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.22 2.23 2.22 2.22 2.22 0.24 0.24 0.24 0.24 0.24 2.46 2.47 2.46 2.46 2.46 10.70 10.70 10.76 10.74 10.28


0.10 0.11 0.11 0.12 0.10 (0.17) (0.19) (0.20) (0.19) (0.16) 0.14 0.93 0.79 0.91 0.17 0.57 (1.63) (0.11) 0.92 0.70 0.64 (0.78) 0.59 1.76 0.81

- - - - - (0.01) (0.03) (0.04) (0.10) (0.04) (0.17) (0.32) (0.38) - - (0.37) (0.40) (0.40) (0.35) (0.32) (0.55) (0.75) (0.82) (0.45) (0.36) 6.90 6.74 8.27 8.51 7.17

3,020 3,989 4,865 3,869 1,263 438 592 588 455 176 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.22 2.23 2.22 2.21 2.22 0.16 0.16 0.22 0.24 0.24 2.38 2.39 2.44 2.45 2.46 7.09 7.18 9.97 10.81 11.13

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FINANCIAL HIGHLIGHTS (cont’d)


AT8 Shares Commencement of operations October 17, 2007Net assets at the beginning of year (1)














0.08 0.09 0.09 0.10 0.09 (0.13) (0.14) (0.16) (0.15) (0.13) 0.11 0.71 0.59 0.73 0.12 0.46 (1.26) (0.09) 0.83 0.43 0.52 (0.60) 0.43 1.51 0.51

- - - - - - (0.02) (0.03) (0.08) (0.03) (0.12) (0.24) (0.29) - - (0.45) (0.50) (0.52) (0.45) (0.43) (0.57) (0.76) (0.84) (0.53) (0.46) 5.02 5.07 6.43 6.82 5.90

1,299 1,423 2,399 2,796 2,047 259 281 373 410 347 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.22 2.23 2.22 2.22 2.22 0.18 0.20 0.23 0.22 0.22 2.40 2.43 2.45 2.44 2.44 8.32 8.80 10.20 9.89 10.27

E Shares Commencement of operations October 4, 2011Net assets at the beginning of year (1)












Period from Year Ended Year Ended Year Ended Year Ended Year Ended Inception to Mar. 31, 2017 Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2014 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 14.35 16.72 16.39 13.20 12.00

0.22 0.23 0.22 0.22 0.18 (0.37) (0.38) (0.39) (0.35) (0.28) 0.34 1.94 1.68 1.82 0.37 1.26 (3.44) (0.17) 1.89 1.63 1.45 (1.65) 1.34 3.58 1.90

- - - - - (0.01) (0.06) (0.07) (0.18) (0.07) (0.37) (0.69) (0.76) - - - - - - - (0.38) (0.75) (0.83) (0.18) (0.07) 15.53 14.35 16.72 16.39 13.19

14,046 14,424 11,721 6,742 2,851 904 1,005 701 411 216 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.10 2.10 2.10 2.10 2.10 0.24 0.25 0.26 0.27 0.28 2.34 2.35 2.36 2.37 2.38 11.36 11.79 12.32 12.98 10.65

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*Footnotes for the tables are found at the end of the Financial Highlights section.

EF Shares Commencement of operations December 5, 2014Net assets at the beginning of year (1)












EFT5 Shares Commencement of operations July 29, 2015Net assets at the beginning of year (1)












Period from Year Ended Inception to Mar. 31, 2017 Mar. 31, 2016 Mar. 31, 2014 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 8.17 10.00 - - -

0.17 0.08 - - - (0.13) (0.07) - - - (0.99) 0.92 - - - 1.10 (2.03) - - - 0.15 (1.10) - - -

- - - - - (0.01) (0.03) - - - (0.20) (0.39) - - - (0.45) (0.32) - - - (0.66) (0.74) - - - 8.46 8.17 - - -

10 177 - - - 1 22 - - - 115.69 62.08 - - - 0.21 0.13 - - - 1.10 1.10 - - - 0.16 0.16 - - - 1.26 1.26 - - - 14.42 13.47 - - -

Period from Year Ended Year Ended Inception to Mar. 31, 2017 Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 9.12 10.51 10.00 - -

0.13 0.15 0.04 - - (0.14) (0.13) (0.04) - - 0.27 1.10 0.59 - - 0.62 (2.20) (0.04) - - 0.88 (1.08) 0.55 - -

- - - - - (0.01) (0.04) (0.02) - - (0.24) (0.44) (0.17) - - - - - - - (0.25) (0.48) (0.19) - - 9.98 9.12 10.51 - -

216 519 276 - - 22 57 26 - - 115.69 62.08 35.82 - - 0.21 0.13 0.10 - - 1.10 1.10 1.10 - - 0.14 0.14 0.14 - - 1.24 1.24 1.24 - - 12.55 12.90 13.00 - -

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ET5 Shares Commencement of operations October 4, 2011Net assets at the beginning of year (1)













0.17 0.19 0.19 0.20 0.15 (0.28) (0.31) (0.33) (0.31) (0.27) 0.30 1.85 1.35 1.57 0.67 1.03 (3.00) (0.19) 1.69 3.21 1.22 (1.27) 1.02 3.15 3.76

- - - - - (0.01) (0.04) (0.06) (0.17) (0.06) (0.28) (0.55) (0.64) - - (0.64) (0.69) (0.69) (0.59) (0.55) (0.93) (1.28) (1.39) (0.76) (0.61) 11.86 11.56 14.17 14.56 12.25

113 106 234 235 99 10 9 17 16 8 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.10 2.11 2.10 2.10 2.10 0.13 0.18 0.20 0.25 0.28 2.23 2.29 2.30 2.35 2.38 6.08 8.61 9.60 12.16 10.65

EFT8 Shares Commencement of operations July 29, 2015Net assets at the beginning of year (1)












Period from Year Ended Inception to Mar. 31, 2017 Mar. 31, 2016 Mar. 31, 2014 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 8.00 10.00 - - -

0.12 0.08 - - - (0.11) (0.07) - - - 0.22 0.77 - - - 0.71 (1.84) - - - 0.94 (1.06) - - -

- - - - - (0.01) (0.03) - - - (0.19) (0.38) - - - (0.70) (0.52) - - - (0.90) (0.93) - - - 8.01 8.00 - - -

10 9 - - - 1 1 - - - 115.69 62.08 - - - 0.21 0.13 - - - 1.10 1.11 - - - 0.15 0.15 - - - 1.25 1.26 - - - 13.00 13.00 - - -

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ET8 Shares Commencement of operations October 4, 2011Net assets at the beginning of year (1)














0.15 0.17 0.18 0.19 0.15 (0.25) (0.28) (0.31) (0.30) (0.26) 0.27 1.44 1.25 1.44 0.17 0.88 (2.53) (0.19) 1.58 2.39 1.05 (1.20) 0.93 2.91 2.45

- - - - - (0.01) (0.04) (0.05) (0.16) (0.06) (0.24) (0.48) (0.58) - - (0.89) (0.99) (1.03) (0.91) (0.86) (1.14) (1.51) (1.66) (1.07) (0.92) 10.01 10.11 12.82 13.57 11.74

16 15 16 15 12 2 1 1 1 1 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 2.10 2.11 2.10 2.10 2.10 0.27 0.28 0.27 0.28 0.28 2.37 2.39 2.37 2.38 2.38 13.00 13.00 13.00 13.00 10.65

F SharesCommencement of operations December 31, 2001Net assets at the beginning of year (1)













0.24 0.26 0.24 0.23 0.20 (0.24) (0.23) (0.24) (0.21) (0.17) 0.37 2.11 1.63 1.80 0.29 1.45 (3.67) (0.22) 1.95 1.09 1.82 (1.53) 1.41 3.77 1.41

- - - - - (0.01) (0.06) (0.08) (0.20) (0.07) (0.41) (0.74) (0.82) - - - - - - - (0.42) (0.80) (0.90) (0.20) (0.07) 16.92 15.48 17.86 17.34 13.81

14,846 14,829 20,490 20,161 14,294 877 958 1,147 1,163 1,034 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 1.22 1.22 1.22 1.22 1.22 0.13 0.13 0.13 0.13 0.13 1.35 1.35 1.35 1.35 1.35 10.44 10.59 10.80 10.75 10.30

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FT5 SharesCommencement of operations January 11, 2008Net assets at the beginning of year (1)














0.12 0.14 0.14 0.14 0.11 (0.13) (0.13) (0.14) (0.13) (0.11) 0.31 1.12 0.93 1.14 0.15 1.05 (1.71) (0.15) 1.08 0.80 1.35 (0.58) 0.78 2.23 0.95

- - - - - (0.01) (0.03) (0.04) (0.12) (0.04) (0.20) (0.39) (0.45) - - (0.45) (0.48) (0.48) (0.41) (0.38) (0.66) (0.90) (0.97) (0.53) (0.42) 8.48 8.20 9.96 10.14 8.44

632 166 345 425 236 75 20 35 42 28 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 1.22 1.22 1.22 1.22 1.22 0.16 0.16 0.16 0.14 0.15 1.38 1.38 1.38 1.36 1.37 13.00 13.00 13.00 11.18 13.00

FT8 SharesCommencement of operations May 20, 2008Net assets at the beginning of year (1)













0.08 0.10 0.10 0.11 0.10 (0.08) (0.08) (0.10) (0.09) (0.09) 0.14 0.82 0.68 0.80 0.14 0.50 (1.50) (0.11) 0.58 0.55 0.64 (0.66) 0.57 1.40 0.70

- - - - - - (0.02) (0.03) (0.09) (0.03) (0.14) (0.27) (0.32) - - (0.50) (0.55) (0.57) (0.47) (0.48) (0.64) (0.84) (0.92) (0.56) (0.51) 5.69 5.68 7.12 7.47 6.70

72 72 62 66 43 13 13 9 9 6 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 1.22 1.22 1.22 1.22 1.22 0.07 0.06 0.13 0.16 0.16 1.29 1.28 1.35 1.38 1.38 5.58 5.16 11.00 13.00 13.00

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I SharesCommencement of operations February 7, 2006Net assets at the beginning of year (1)












**The Fund had no Class IT5 shares outstanding as at March 31, 2017.*Footnotes for the tables are found at the end of the Financial Highlights section. ^Historical figures are based on Canadian GAAP, for more details refer to footnote 7.


0.27 0.25 0.23 0.23 0.19 (0.02) - - - - 1.44 2.07 1.54 1.40 0.27 2.00 (3.48) (0.07) 1.72 1.08 3.69 (1.16) 1.70 3.35 1.54

- - - - - (0.01) (0.06) (0.07) (0.25) (0.07) (0.41) (0.74) (0.80) - - - - - - - (0.42) (0.80) (0.87) (0.25) (0.07) 17.06 15.40 17.53 16.78 13.24

67,965 5,423 9,375 16,184 25,241 3,984 352 535 965 1,905 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 - - - - - - - - - - - - - - - - - - - -

IT5 SharesCommencement of operations January 3, 2008Net assets at the beginning of year (1)












Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended Mar. 31, 2017** Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2014 Mar. 31, 2013^ Mar. 31, 2012^ $ $ $ $ $ $ 5.80 6.95 6.97 5.73 5.72

0.02 0.10 0.11 0.10 0.10 - - - - - (0.29) 0.80 0.48 0.71 0.39 0.29 (1.41) (0.15) 0.79 (1.91) 0.02 (0.51) 0.44 1.60 (1.42)

- - - - - - (0.02) (0.03) (0.08) (0.03) - (0.28) (0.31) - - (0.03) (0.34) (0.33) (0.28) (0.22) (0.03) (0.64) (0.67) (0.36) (0.25) - 5.80 6.95 6.97 5.73

- 15 16 144 118 - 3 2 21 21 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 - - - - - - - - - - - - - - - - - - - -

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IT8 SharesCommencement of operations March 10, 2011Net assets at the beginning of year (1)












O SharesCommencement of operations October 4, 2011Net assets at the beginning of year (1)













0.25 0.25 0.23 0.23 0.18 (0.06) (0.03) (0.03) (0.03) (0.02) 0.44 2.16 1.81 1.90 0.31 1.49 (3.91) (0.21) 2.01 1.74 2.12 (1.53) 1.80 4.11 2.21

- - - - - (0.01) (0.06) (0.08) (0.19) (0.07) (0.42) (0.74) (0.82) - - - - - - - (0.43) (0.80) (0.90) (0.19) (0.07) 17.52 15.84 18.04 17.29 13.61

30,127 26,698 17,725 10,035 4,617 1,720 1,686 983 580 339 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 0.15 0.15 0.15 0.15 0.15 0.02 0.02 0.02 0.02 0.02 0.17 0.17 0.17 0.17 0.17 11.02 11.37 11.17 10.81 10.65


0.14 0.16 0.16 0.16 0.15 (0.02) - - - - 0.24 1.31 1.07 1.34 0.21 0.83 (2.28) (0.18) 1.22 0.82 1.19 (0.81) 1.05 2.72 1.18

- - - - - (0.01) (0.04) (0.05) (0.14) (0.05) (0.23) (0.44) (0.52) - - (0.82) (0.89) (0.90) (0.77) (0.71) (1.06) (1.37) (1.47) (0.91) (0.76) 9.42 9.28 11.47 11.85 10.00

254 249 272 305 262 27 27 24 26 26 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 - - - - - - - - - - - - - - - - - - - -

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OT5 SharesCommencement of operations October 4, 2011Net assets at the beginning of year (1)













0.19 0.21 0.21 0.21 0.16 (0.05) (0.03) (0.03) (0.02) (0.02) 0.27 1.75 1.45 1.58 0.11 1.22 (3.11) (0.22) 1.75 2.78 1.63 (1.18) 1.41 3.52 3.03

- - - - - (0.01) (0.05) (0.07) (0.18) (0.06) (0.32) (0.61) (0.70) - - (0.70) (0.75) (0.73) (0.61) (0.55) (1.03) (1.41) (1.50) (0.79) (0.61) 13.43 12.82 15.38 15.46 12.71

1,042 1,109 1,240 1,205 1,007 78 87 81 78 79 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 0.15 0.15 0.15 0.15 0.15 0.02 0.02 0.02 0.02 0.02 0.17 0.17 0.17 0.17 0.17 14.17 14.78 14.98 14.96 10.65

OT8 SharesCommencement of operations October 4, 2011Net assets at the beginning of year (1)













0.16 0.19 0.19 0.20 0.18 (0.04) (0.02) (0.02) (0.02) (0.02) 0.12 1.52 1.38 1.49 0.56 1.19 (2.61) (0.16) 1.65 3.32 1.43 (0.92) 1.39 3.32 4.04

- - - - - (0.01) (0.04) (0.06) (0.17) (0.06) (0.27) (0.54) (0.63) - - (0.99) (1.08) (1.09) (0.95) (0.87) (1.27) (1.66) (1.78) (1.12) (0.93) 11.38 11.23 13.91 14.39 12.17

670 756 245 160 134 59 67 18 11 11 115.69 62.08 35.82 16.59 22.86 0.21 0.13 0.10 0.06 0.07 0.15 0.15 0.15 0.15 0.15 0.01 0.01 0.01 0.02 0.02 0.16 0.16 0.16 0.17 0.17 5.77 5.70 5.72 11.19 10.65

12



(1) This information is derived from the Fund’s audited annual financial statements.

(2) Net assets per share and dividends per share are based on the actual number of shares outstanding for the relevant class at the relevant time. The increase (decrease) in net assets from operations per share is based on the weighted average number of shares outstanding for the relevant class over the fiscal year.

(3) Dividends are automatically reinvested in additional shares of the Fund.

(4) Management expense ratio is calculated based on expenses charged to the Fund (excluding commissions and other portfolio transaction costs) and is expressed as an annualized percentage of daily average net assets for the year. The Effective HST tax rate is calculated using the attribution percentage for each province based on shareholder residency and can be different from 13%.

(5) The Fund’s portfolio turnover rate indicates how actively the Fund’s portfolio advisor manages its portfolio investments. A portfolio turnover rate of 100% is equivalent to the Fund buying and selling all of the securities in its portfolio once in the course of the fiscal year. The higher a Fund’s portfolio turnover rate in a year, the greater the trading costs payable by the Fund in the year, and the greater the chance of an investor receiving taxable capital gains in the year. There is not necessarily a relationship between a higher turnover rate and the performance of a Fund. Portfolio turnover rate is calculated by dividing the lesser of the cost of purchases and the proceeds of sales of portfolio securities for the year, and excluding cash and short-term investments maturing in less than one year, and before assets acquired from a merger, if applicable, by the average of the monthly fair value of investments during the year.

(6) The trading expense ratio represents total commissions and other portfolio transaction costs disclosed in the statements of comprehensive income expressed as an annualized percentage of daily average net assets of the Fund during the year.

(7) For financial years beginning on or after April 1, 2013 the financial highlights are derived from the financial statements prepared in accordance with International Financial Reporting Standards (IFRS). IFRS allows net assets to be calculated based on the last traded market price for financial assets and financial liabilities where the last traded price falls within the day’s bid-ask spread. There are no differences between the net assets calculated for purpose of processing shareholders transactions and the net assets attributable to holders of redeemable shares used for financial statement reporting purposes. For financial years before April 1, 2013, the financial highlights are derived from the financial statements prepared in accordance with Canadian GAAP. Under Canadian GAAP net assets for financial statement purposes were calculated based on bid/ask price while for purpose of processing shareholder transactions net assets were calculated based on the closing market price.

(8) This information is provided as at March 31 of the years shown.

13


PAST PERFORMANCEThis section describes how the Fund has performed in the past. Remember, past returns do not indicate how the Fund will perform in the future. The information shown assumes that dividends made by the Fund in the years shown were reinvested in additional shares of the relevant classes of the Fund. In addition, the information does not take into account sales, redemption, distribution or other optional charges that would have reduced returns or performance.

Year-by-Year ReturnsThe following charts show the Fund’s annual performance for each of the years shown and illustrate how the Fund’s performance has changed from year to year. In percentage terms, the charts show how much an investment made on the first day of each financial year would have grown or decreased by the last day of each financial year, except where noted.

1 This figure is for the period from October 17, 2007 to March 31, 2008.2 This figure is for the period from October 29, 2007 to March 31, 2008.3 This figure is for the period from January 11, 2008 to March 31, 2008.4 This figure is for the period from May 20, 2008 to March 31, 2009.5 This figure is for the period from March 10, 2011 to March 31, 2011.6 This figure is for the period from October 4, 2011 to March 31, 2012.7 This figure is for the period from December 5, 2014 to March 31, 2015.8 This figure is for the period from July 29, 2015 to March 31, 2016.

-60

-40

-20

0

20

40

60

10.4

53.5

-9.1

-41.

6

5.5

2.2 10

.8

A Shares

25.6

7.0

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

-60

-40

-20

0

20

40

60

21.0

6

10.5

E Shares

25.7

7.1

-60

-40

-20

0

20

40

60 55.1

6.6

-41.

0

-8.2 3.4 11

.6

F Shares

27.0

8.2

-60

-40

-20

0

20

40

60

13.1

-7.0

-40.

3 8.1

4.8

57.2

I Shares

28.7

9.7

-60

-40

-20

0

20

40

60

-9.3

2

5.5

2.3 10

.4

53.6

-41.

6

AT5 Shares

25.6

6.9

-60

-40

-20

0

20

40

60

0.0 3

-41.

0

6.6

3.4 11

.7

55.1

FT5 Shares

27.0

8.0

-60

-40

-20

0

20

40

60

-46.

0 4

3.4 11

.6

55.0

6.6

FT8 Shares

20.7

8.0

-60

-40

-20

0

20

40

60

13.2

0.9 5

4.7

IT8 Shares

28.7

9.5

-60

-40

-20

0

20

40

60

10.3

53.7

-41.

7

5.5

2.3

-10.

6 1

AT8 Shares

25.8

6.8

-60

-40

-20

0

20

40

60

22.2

6

12.9

O Shares

28.5

9.5

-60

-40

-20

0

20

40

6020

.7 6

10.4

ET5 Shares

25.8

7.0

-60

-40

-20

0

20

40

60

20.7

6

10.5

ET8 Shares

25.7

7.0

-60

-40

-20

0

20

40

60

22.3

6

12.9

OT5 Shares

28.6

9.3

-60

-40

-20

0

20

40

60

12.922

.4 6

OT8 Shares

28.6

9.4

-9.8

-9.7

-8.8

-7.6

-9.9

-9.0

-8.9

-7.7

-9.9

-7.7

-9.8

-9.9 12

.1

-7.9

-7.9

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

5

Mar

. 201

6

-60

-40

-20

0

20

40

60

7.0 7

-8.7

EF Shares

Mar

. 201

6

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

-60

-40

-20

0

20

40

60

-11.

1 8

-11.

0 8

EFT5 Shares

Mar

. 201

6

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

-60

-40

-20

0

20

40

60

EFT8 Shares

10.8

10.9

10.9

13.5

13.3

13.5

11.0

10.9

12.0

11.8

13.3

13.3

12.1

12.0

12.0

14


1 This figure is for the period from October 17, 2007 to March 31, 2008.2 This figure is for the period from October 29, 2007 to March 31, 2008.3 This figure is for the period from January 11, 2008 to March 31, 2008.4 This figure is for the period from May 20, 2008 to March 31, 2009.5 This figure is for the period from March 10, 2011 to March 31, 2011.6 This figure is for the period from October 4, 2011 to March 31, 2012.7 This figure is for the period from December 5, 2014 to March 31, 2015.8 This figure is for the period from July 29, 2015 to March 31, 2016.

-60

-40

-20

0

20

40

60

10.4

53.5

-9.1

-41.

6

5.5

2.2 10

.8

A Shares

25.6

7.0

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

-60

-40

-20

0

20

40

60

21.0

6

10.5

E Shares

25.7

7.1

-60

-40

-20

0

20

40

60 55.1

6.6

-41.

0

-8.2 3.4 11

.6

F Shares

27.0

8.2

-60

-40

-20

0

20

40

60

13.1

-7.0

-40.

3 8.1

4.8

57.2

I Shares

28.7

9.7

-60

-40

-20

0

20

40

60

-9.3

2

5.5

2.3 10

.4

53.6

-41.

6

AT5 Shares

25.6

6.9

-60

-40

-20

0

20

40

60

0.0 3

-41.

0

6.6

3.4 11

.7

55.1

FT5 Shares

27.0

8.0

-60

-40

-20

0

20

40

60

-46.

0 4

3.4 11

.6

55.0

6.6

FT8 Shares

20.7

8.0

-60

-40

-20

0

20

40

60

13.2

0.9 5

4.7

IT8 Shares

28.7

9.5

-60

-40

-20

0

20

40

60

10.3

53.7

-41.

7

5.5

2.3

-10.

6 1

AT8 Shares

25.8

6.8

-60

-40

-20

0

20

40

60

22.2

6

12.9

O Shares

28.5

9.5

-60

-40

-20

0

20

40

60

20.7

6

10.4

ET5 Shares

25.8

7.0

-60

-40

-20

0

20

40

60

20.7

6

10.5

ET8 Shares

25.7

7.0

-60

-40

-20

0

20

40

60

22.3

6

12.9

OT5 Shares

28.6

9.3

-60

-40

-20

0

20

40

60

12.922

.4 6

OT8 Shares

28.6

9.4

-9.8

-9.7

-8.8

-7.6

-9.9

-9.0

-8.9

-7.7

-9.9

-7.7

-9.8

-9.9 12

.1

-7.9

-7.9

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 200

8

Mar

. 200

9

Mar

. 201

0

Mar

. 201

1

Mar

. 201

2

Mar

. 201

3

Mar

. 201

4

Mar

. 201

5

Mar

. 201

6

Mar

. 201

5

Mar

. 201

6

-60

-40

-20

0

20

40

60

7.0 7

-8.7

EF Shares

Mar

. 201

6

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

-60

-40

-20

0

20

40

60

-11.

1 8

-11.

0 8

EFT5 Shares

Mar

. 201

6

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

Mar

. 201

7

-60

-40

-20

0

20

40

60

EFT8 Shares

10.8

10.9

10.9

13.5

13.3

13.5

11.0

10.9

12.0

11.8

13.3

13.3

12.1

12.0

12.0

15


The following table shows the Fund’s annual compound returns for each year indicated, compared to the MSCI World Total Return Index.

The MSCI World Total Return Index is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed markets. The Index consists of the following 23 developed market country indices: Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Hong Kong, Ireland, Israel, Italy, Japan, Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom and the United States of America.

A discussion of the performance of the Fund as compared to the benchmark is found in the Results of Operations section of this report.

Annual Compound Returns

One Year (%) Three Years (%) Five Years (%) Ten Years (%) Since Inception (%)A Shares 10.8 2.3 8.2 2.7 n/aMSCI World Total Return Index 18.2 12.9 16.5 6.3 n/aAT5 Shares 10.8 2.2 8.1 n/a 2.8MSCI World Total Return Index 18.2 12.9 16.5 n/a 7.6AT8 Shares 10.9 2.2 8.2 n/a 2.7MSCI World Total Return Index 18.2 12.9 16.5 n/a 7.6E Shares 10.9 2.3 8.3 n/a 11.3MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.0EF Shares 12.1 n/a n/a n/a 4.0MSCI World Total Return Index 18.2 n/a n/a n/a 12.4EFT5 Shares 12.0 n/a n/a n/a (0.2)MSCI World Total Return Index 18.2 n/a n/a n/a 6.7EFT8 Shares 12.0 n/a n/a n/a (0.2)MSCI World Total Return Index 18.2 n/a n/a n/a 6.7ET5 Shares 11.0 2.3 8.3 n/a 11.3MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.7ET8 Shares 10.9 2.2 8.2 n/a 11.2MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.7F Shares 12.0 3.4 9.4 3.8 n/aMSCI World Total Return Index 18.2 12.9 16.5 6.3 n/aFT5 Shares 11.8 3.2 9.3 n/a 5.0MSCI World Total Return Index 18.2 12.9 16.5 n/a 8.7FT8 Shares 12.1 3.3 8.2 n/a 3.8MSCI World Total Return Index 18.2 12.9 16.5 n/a 8.5I Shares 13.5 4.8 10.9 5.2 n/aMSCI World Total Return Index 18.2 12.9 16.5 6.3 n/aIT8 Shares 13.5 4.7 10.8 n/a 8.2MSCI World Total Return Index 18.2 12.9 16.5 n/a 7.6O Shares 13.3 4.6 10.7 n/a 13.8MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.0OT5 Shares 13.3 4.5 10.6 n/a 13.7MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.7OT8 Shares 13.3 4.5 10.6 n/a 13.7MSCI World Total Return Index 18.2 12.9 16.5 n/a 17.7

16


The summary of investment portfolio may change due to ongoing portfolio transactions of the Fund and updates will be available on a quarterly basis.

This report may contain forward-looking statements about the Fund, its future performance, strategies or prospects, and possible future Fund action. The words “may,” “could,” “should,” “would,” “suspect,” “outlook,” “believe,” “plan,” “anticipate,” “estimate,” “expect,” “intend,” “forecast,” “objective,” and similar expressions are intended to identify forward-looking statements.

Forward-looking statements are not guarantees of future performance. Forward-looking statements involve inherent risks and uncertainties, both about the Fund and general economic factors, so it is possible that predictions, forecasts, projections and other forward-looking statements will not be achieved. We caution you not to place undue reliance on these statements as a number of important factors could cause actual events or results to differ materially from those expressed or implied in any

forward-looking statement made by the Fund. These factors include, but are not limited to, general economic, political and market factors in Canada, the United States and internationally, interest and foreign exchanges rates, global equity and capital markets, business competition, technological changes, changes in laws and regulations, judicial or regulatory judgments, legal proceedings and catastrophic events.

The above list of important factors that may affect future results is not exhaustive. Before making any investment decisions, we encourage you to consider these and other factors carefully. All opinions contained in forward-looking statements are subject to change without notice and are provided in good faith but without legal responsibility.

A NOTE ON FORWARD-LOOKING STATEMENTS

Country allocation

U.S.A. ..................................................................................... 47.4

Canada ................................................................................... 15.4

Short-Term Investments ........................................................ 9.5

Netherlands ........................................................................... 5.8

Cash & Equivalents ................................................................ 5.0

France ..................................................................................... 4.5

Japan ..................................................................................... 3.6

Ireland .................................................................................... 3.0

Switzerland ............................................................................ 2.7

Other Net Assets (Liabilities) ................................................ 2.1

Germany ................................................................................. 1.2

Foreign Currency Forward Contracts ..................................... (0.2)

Sector allocation

Information Technology ......................................................... 19.6

Financials ............................................................................... 15.7

Consumer Discretionary ......................................................... 11.1

Industrials .............................................................................. 10.1


Energy .................................................................................... 9.4

Health Care ............................................................................ 8.3


Consumer Staples .................................................................. 3.7

Utilities ................................................................................... 2.7

Other Net Assets (Liabilities) ................................................ 2.1

Materials ................................................................................ 2.0

Real Estate ............................................................................. 1.0

Foreign Currency Forward Contracts ..................................... (0.2)


Symantec Corp. ...................................................................... 5.6

TransCanada Corp. ................................................................. 5.1

Oracle Corp. ........................................................................... 5.0


Bank of America Corp. ........................................................... 4.6

Alphabet Inc., Class C ............................................................ 3.9

Twenty-First Century Fox Inc., Class B .................................. 3.7

Molson Coors Brewing Co., Class B (USD) ........................... 3.7

Nidec Corp. ............................................................................ 3.6

Mobileye N.V. ........................................................................ 3.5

PNC Financial Services Group Inc. ........................................ 3.4

Compagnie Generale des Etablissements Michelin S.C.A.,

Class B ................................................................................... 3.3

EOG Resources Inc. ................................................................ 3.0

Allergan PLC ........................................................................... 3.0

Apple Inc. ............................................................................... 2.9

Fairfax India Holdings Corp. .................................................. 2.8

Brookfield Asset Management Inc., Class A (USD) .............. 2.8

Roche Holding AG .................................................................. 2.7

NXP Semiconductor N.V. ....................................................... 2.2

Citigroup Inc. .......................................................................... 2.0

Northland Power Inc. ............................................................. 2.0

Parker Hannifin Corp. ............................................................. 1.8

Johnson & Johnson ............................................................... 1.6

Pioneer Natural Resources Co. .............................................. 1.3

Total Net Assets (in $000’s) $390,839

Summary of Investment Portfolio as at March 31, 2017

Portfolio Breakdown

Category

Percentage of

Net Assets (%)

Portfolio Breakdown (cont’d)

Category

Percentage of

Net Assets (%)

Top 25 Holdings

Security Name

Percentage of

Net Assets (%)

harbour global equity corporate class - ci investments harbour global equity corporate class mnnt...

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