IMC US

Mortgage Fund Class A

Fund Investment Objectives

The IMC US Mortgage Fund's investment objective is to generate attractive risk-adjusted returns over the long-term while focusing on current cash flows and capital preservation through opportunistic investments in Non-Agency RMBS. Its core investment strategy is to focus on credit intensive securities, which are acquired at discounts to their unpaid principal balances or face amounts. Such discounted Non-Agency RMBS bonds will typically have prior downgrades, complex structures and impaired performance requiring deep credit analysis and loan level expertise. The investment team combines a detailed bottom-up approach to individual asset credit evaluation with the monitoring of overall portfolio risk and distribution, while taking into account capital markets dynamics and asset pricing trends in each investment decision. The Fund constructs a diversified investment portfolio designed to achieve attractive returns across a variety of market conditions and economic cycles. The investment team focuses on underlying credit fundamentals, current and projected macroeconomic factors, cash yields, financing and liquidity, residential real estate prices, delinquencies, default rates, recovery of various economic sectors, and relative value within credit markets. IMC believes that Non-Agency RMBS available for purchase will significantly exceed the Fund's capacity, allowing it to be selective in pursuing investments in these assets.