- What BC Advantage Funds are open for investing?
- What are the current prices/net asset values for BC Advantage Funds?
- What is the hold period associated with my BC Advantage Funds investment?
- Are there any circumstances by which I can redeem my BC Advantage Funds investment early?
- What are the costs associated with redemption?
- I or my client would like to transfer BC Advantage Fund shares from one account or financial institution to another. Can you help?
- Why is Advantage suspending redemptions of the Advantage Structured Fund?
- How will redemption requests be processed?
What BC Advantage Funds are open for investing?
All Advantage funds are currently closed to further investment.
What is the current price/net asset value for BC Advantage Funds?
Current fund prices/net asset values are updated every Friday afternoon and are posted on our homepage.
What is the hold period associated with my BC Advantage Funds investment?
The hold period required by the Small Business Venture Capital Act (British Columbia) is a minimum of 5 years from the time your funds are invested in eligible small businesses. BC Advantage Funds has a pacing obligation that requires 40% of the funds raised in a calendar year to be invested in the following calendar with an additional 40% to be invested in the calendar year after. As a result, the effective hold period can range from 6-7 years.
Are there any circumstances by which I can redeem my BC Advantage Funds investment early?
Unfortunately, the only exception for early redemption is upon the death of the shareholder, under which circumstances the BC Advantage Funds' Board of Directors will review the circumstances and the request for early redemption.
What are the costs associated with redemption?
There is no cost administered by BC Advantage Funds upon redemption of shares in the funds. In the case of early redemption due to death redemption (please refer to previous Q&A), there might be a tax claw-back amount of up to 30% of gross proceeds.
I or my client would like to transfer BC Advantage Fund shares from one account or financial institution to another. Can you help?
The best way to facilitate this transaction is for the investment advisor to contact our investment administration service directly at 416.368.9569 Ext 333. They will be glad to assist in arranging the transfer. If you encounter any difficulty or have any questions, do not hesitate to contact our office at 604.688.6877.
Why is Advantage suspending redemptions of the Advantage Structured Fund?
Adverse financial markets for emerging companies have made it difficult for Advantage to achieve liquidity on its investments in the Advantage Structured Fund at reasonable valuations. We believe it is in the best interest of our shareholders to temporarily suspend redemptions in Advantage Structured Fund until exits can be achieved at prices more reflective of true enterprise value.
How will redemption requests be processed?
Upon achieving sufficient liquidity, we will notify the shareholders of the merged Advantage Structured Fund that redemptions have been reinstated. We will then process redemption requests in the chronological order the shares became redeemable under the Small Business Venture Capital Act (British Columbia).
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