Since December 31, 2014, the trust units (each, a “Unit”) of REALnorth Opportunities Fund ("REALnorth") have been priced at $1,000 per Unit (CAD).
REALnorth has just completed its first year of operations, and has acquired of several real estate development and investment properties over the past few months. Management anticipates that it will be able to provide a third party pricing update after the release of its 2015 full year audited financial statements and the completion of new commercial real estate appraisals. These reports are scheduled to be completed in Q2 2016.
Until such time as management is able to provide these reports to a third party firm for analysis and development of a Fair Market Value report, REALnorth management suggests that there has been no material change in the fair market value of its real estate portfolio and that its Units should remain at IPO pricing levels of $1,000 per Unit (CAD) until further notice.
On a go-forward basis, REALnorth will provide third-party pricing updates periodically, and at least once annually, as required under the Client Relationship Model - Phase 2 ("CRM2") amendments to National Instrument 31-103 that came into effect on July 15, 2013.
The CRM2 guidelines are being phased-in over a three-year period. These requirements are intended to provide position cost information and to determine market values using a prescribed methodology for most securities owned by clients.