Annual Financial Statement – as at December 31 , 2010
managed by CI Investments Inc. issued by Unity Life of Canada
CI SegregatedFunds
Overview ................................................................................................................................. 1
Independent Auditor’s Report .............................................................................................. 2
Equity Funds
CI Global Segregated Fund .......................................................................................................... 3
CI Global Value Segregated Fund ................................................................................................ 8
CI Harbour Segregated Fund ..................................................................................................... 13
CI Harbour Growth & Income Segregated Fund ....................................................................... 18
CI Synergy American Segregated Fund ..................................................................................... 23
Income Funds
CI Money Market Segregated Fund .......................................................................................... 27
Notes to the Financial Statements ..................................................................................... 31
Legal Notice ............................................................................................................................ 34
A look inside
– 1 –
Enclosed are the Financial Statements for your CI Investments
segregated funds for the period ending December 31, 2010. Inside is
important information about each fund, including its financial
statements for the period and a list of the top portfolio holdings of the
underlying fund as of the end of the year.
Additional information about your funds can be found on our website,
www.ci.com.
If you have any questions about your investments, please contact your
financial advisor. CI is proud to partner with advisors across Canada.
We believe investors are most successful when they follow an investment
plan developed with the assistance of a qualified advisor.
You may also contact CI Client Services at 1-800-792-9355.
Thank you for investing with us.
ABOUT CI INVESTMENTS
CI has been investing on behalf of Canadians since 1965 and has grown
to become one of Canada’s largest investment fund companies. We
manage over $71 billion on behalf of 1.6 million Canadians. CI is a
subsidiary of CI Financial Corp., a TSX-listed financial services firm
with $96 billion in fee-earning assets at December 31, 2010.
CI provides one of the industry’s widest selections of investment products
and services and a strong lineup of leading portfolio management teams.
Our portfolio management expertise is offered through several platforms,
including mutual funds, tax-efficient funds, segregated funds, and
managed solutions.
2 Queen Street East, Twentieth FloorToronto, Ontario M5C 3G7www.ci.com
Telephone: 416-364-1145Toll Free: 1-800-268-9374Facsimile: 416-364-6299
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INDEPENDENT AUDITOR’S REPORT
To the Unitholders of:
CI Global Segregated Fund
CI Global Value Segregated Fund
CI Harbour Growth & Income Segregated Fund
CI Harbour Segregated Fund
CI Money Market Segregated Fund
CI Synergy American Segregated Fund
(collectively the Funds)
We have audited the accompanying financial statements of each of the Funds, which comprise the
statement of investment portfolio as at December 31, 2010, and the statements of net assets, operations
and changes in net assets as at and for the periods indicated in the Note 1, and the related notes
including a summary of significant accounting policies.
Management’s responsibility for the financial statements
Management is responsible for the preparation and fair presentation of the financial statements of
each of the Funds in accordance with Canadian generally accepted accounting principles, and for
such internal control as management determines is necessary to enable the preparation of financial
statements that are free from material misstatement, whether due to fraud or error.
Auditor’s responsibility
Our responsibility is to express an opinion on the financial statements of each of the Funds based on
each of our audits. We conducted our audits in accordance with Canadian generally accepted auditing
standards. Those standards require that we comply with ethical requirements and plan and perform
an audit to obtain reasonable assurance about whether the financial statements are free from
material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the financial statements. The procedures selected depend on the auditor’s judgment, including
the assessment of the risks of material misstatement of the financial statements, whether due to
fraud or error. In making those risk assessments, the auditor considers internal control relevant to
the entity’s preparation and fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion
on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of accounting estimates made by management,
as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained in each of our audits is sufficient and appropriate
to provide a basis for our audit opinion.
Opinion
In our opinion, the financial statements of each of the Funds present fairly, in all material respects,
the financial position of each of the Funds results of each of their operations and the changes in each
of their net assets as at and for the periods indicated in Note 1 in accordance with Canadian generally
accepted accounting principles.
Other Matter
Unaudited Information
We have not audited the information in the Underlying Fund Information and accordingly do not
express an opinion on this schedule.
Chartered Accountants, Licensed Public Accountants
Toronto, Ontario
March 16, 2011
CI Segregated FundsIndependent Auditor’s Report
Annual Financial Statements as at December 31, 2010
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CI Global Segregated FundUnderlying Fund Information (unaudited)
CIG - 025
Top 25 Holdings of CI Global Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
Cash & Equivalents 12,510,337 218,821 Sumitomo Mitsui Financial Group Inc. 6,964,822 7,770,978 12,645 Google Inc., Class A 6,577,568 7,490,452 98,846 Exxon Mobil Corp. 6,412,467 7,208,086 15,933 Samsung Electronics Co., Ltd., GDR 4,649,128 6,703,965
208,764 Oracle Corp. 4,386,182 6,516,653 492,303 Taiwan Semiconductor
Manufacturing Co., Ltd., ADR 5,151,548 6,156,795 219,159 Microsoft Corp. 6,707,881 6,102,382 301,490 Cisco Systems Inc. 7,366,076 6,082,659 150,845 Credit Suisse Group 6,703,946 6,065,488 67,907 3M Co. 5,721,563 5,844,535
134,228 JPMorgan Chase & Co. 5,334,109 5,678,563 56,028 Occidental Petroleum Corp. 4,538,447 5,481,492
203,332 US Bancorp 4,865,289 5,469,043 77,868 DaimlerChrysler AG, Registered Shares 3,467,672 5,266,992
121,694 Agilent Technologies Inc. 4,035,338 5,028,156 81,741 Medco Health Solutions Inc. 4,664,716 4,994,735 95,302 SAP AG 4,761,063 4,841,342
272,338 Volvo AB, Series B 1,863,382 4,789,908 94,643 Baxter International Inc. 4,433,139 4,777,881
137,633 Dow Chemical Co. 3,979,717 4,686,091 299,860 Petroleum Geo-Services ASA 3,070,340 4,662,946 130,300 Noble Corp. 4,142,313 4,648,234 110,000 Hewlett-Packard Co. 4,646,446 4,618,484 116,044 BHP Billiton PLC 3,464,235 4,605,723
Annual Financial Statements as at December 31, 2010
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IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Global Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
1,499 3,0267 -- -1 566- -
- -1,507 3,592
- 16- -- -- 3- -- 522- 541
1,507 3,051
1,892 4,088
9.94 9.39
151,653 325,055
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
- -- -- -- -
- -1 2
19 34- -- -- -- -
20 36
(20) (36)
(614) (511)
- -
669 1,05755 546
35 510
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
141,704 CI Global Fund (Class A)* 1,892,122 1,499,232
Total Investments (99.5%) 1,892,122 1,499,232
Other Assets (net) (0.5%) 7,897
Net Assets (100.0%) 1,507,129
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
3,051 3,704
4 94(1,583) (1,257)(1,579) (1,163)
35 5101,507 3,051
Annual Financial Statements as at December 31, 2010
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CI Global Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
325,055 455,044431 11,110
(173,833) (141,099)151,653 325,055
0.17 1.20
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
9.94 9.39 8.14 12.53 14.47
1,507 3,051 3,704 7,089 10,306151,653 325,055 455,044 565,861 712,362
0.01 - 0.18 0.60 0.03
3.22 3.22 3.21 3.22 3.22
0.20 0.12 0.12 0.14 0.153.42 3.34 3.33 3.36 3.37
7.80 5.00 5.00 6.00 6.50
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CI Global Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund was exposed to other price risk as its holdings were sensitiveto changes in general economic conditions across the world. The Underlying Fund was invested inforeign stocks.
As at December 31, 2010, had the global markets increased or decreased by 10% (December 31,2009 - 10%), with all other variables held constant, net assets of the Fund would have increasedor decreased, respectively, by approximately $150,000 (December 31, 2009 - $303,000). In practice,actual results may differ from this analysis and the difference may be material.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund had insignificant exposure to credit risk as it invested predominantlyin stocks.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to currency risk as it invested predominantly in stocksthat were denominated in currencies other than Canadian dollars, the functional currency of theFund and the Underlying Fund. As a result, the Fund would be affected by fluctuations in the valueof such currencies relative to the Canadian dollar.
The tables below summarize the Underlying Fund’s exposure to currency risk.
as at December 31, 2010Assets
Currency (%)US Dollar 40.7 British Pound 10.1 Japanese Yen 8.9 Swiss Franc 4.8 Norwegian Krone 2.9 Hong Kong Dollar 2.8 Singapore Dollar 1.2 Swedish Krona 1.1 Korean Won 0.6 Australian Dollar 0.4 Taiwan Dollar 0.2 Brazilian Real 0.1 Euro (1.5) Total 72.3
as at December 31, 2009Assets
Currency (%)US Dollar 55.4 Euro 14.7 Japanese Yen 8.7 British Pound 6.5 Hong Kong Dollar 5.4 Danish Krone 1.9 Swiss Franc 1.8 Swedish Krona 1.2 Norwegian Krone 1.1 Australian Dollar 0.9 Taiwan Dollar 0.9 Singapore Dollar 0.7 Korean Won 0.5 Czech Koruna 0.3 Total 100.0
As at December 31, 2010, had the Canadian dollar strengthened or weakened by 10% (December 31,2009 - 10%) in relation to all other foreign currencies held in the Underlying Fund, with all othervariables held constant, net assets of the Fund would have indirectly decreased or increased,respectively, by approximately $108,000 (December 31, 2009 - $303,000). In practice, the actualresults may differ from this analysis and the difference may be material.
The CI Global Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
U.S.A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 42.4U.K. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9.9Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.8Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.8Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.2Norway . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.9Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.8Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.5South Korea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.5Brazil . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1Hong Kong . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.9France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.7India . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.6Taiwan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.4China . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.3Singapore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.2Russia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.2Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.1Jersey Island . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.9Austria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.8Spain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7Portugal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7Canada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Australia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Foreign Currency Forward Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1
as at December 31, 2009
Categories Net Assets (%)
U.S.A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43.4Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.7U.K. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.5Hong Kong . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.3Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.5Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.4France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.5Spain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.0Denmark . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.9South Korea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.6Taiwan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.2Portugal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.1Norway . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.1Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.1Jersey Island . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0Finland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.9Australia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.9Russia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.8Luxembourg . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.8China . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.8Singapore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7India . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7Brazil . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.5Czech Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.2Peru . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1Israel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1Long Future Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1Argentina . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1
Annual Financial Statements as at December 31, 2010
– 7 –
CI Global Segregated FundFund Specific Financial Instruments Risks (Note 8) (cont’d)
The accompanying notes are an integral part of these financial statements.
Annual Financial Statements as at December 31, 2010
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund had insignificant exposure to interest rate risk as substantiallyall of its assets were invested in stocks.
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 1,499 - - 1,499 Total 1,499 - - 1,499
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 3,026 - - 3,026 Total 3,026 - - 3,026
– 8 –
CI Global Value Segregated FundUnderlying Fund Information (unaudited)
CIG - 024
Top 25 Holdings of CI Global Value Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
13,440 Roche Holding AG 2,085,352 1,965,437 69,090 Mitsubishi Corp. 1,568,524 1,864,796
287,183 Sumitomo Trust & Banking Co., Ltd. 1,801,100 1,805,582 30,609 Nestle SA, Registered Shares 1,072,799 1,788,844
317,630 Bank of Yokohama Ltd. 1,819,896 1,642,071 24,320 Flour Corp. 1,196,500 1,607,088 90,073 Sumitomo Metal Mining Co., Ltd. 1,346,749 1,569,515 57,704 Seven & I Holdings Co., Ltd. 2,019,860 1,537,638 42,520 Merck & Co., Ltd. 1,404,097 1,528,279 4,948 Nintendo Co., Ltd. 1,376,067 1,447,912
73,693 GlaxoSmithKline PLC 2,092,576 1,421,715 26,080 Wal-Mart Stores Inc. 1,401,386 1,402,693 37,780 Marathon Oil Corp. 1,315,054 1,395,212 27,141 Molson Coors Brewing Co., Class B (USD) 1,125,861 1,358,525 25,483 Total SA 1,782,458 1,347,201 29,566 Covidien PLC 1,254,570 1,346,335 7,798 SMC Corp. 1,002,032 1,331,983
70,618 Diageo PLC 1,243,081 1,301,962 10,843 Apache Corp. 878,587 1,289,317 36,865 Foster Wheeler AG 960,994 1,269,140 21,720 Baker Hughes Inc. 888,835 1,238,376 60,937 Cisco Systems Inc. 1,328,841 1,229,424 85,040 Applied Materials Inc. 1,122,815 1,191,583 13,773 Noble Energy Inc. 819,437 1,182,376 43,110 BioMarin Pharmaceuticals Inc. 758,164 1,157,815
Annual Financial Statements as at December 31, 2010
– 9 –
IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Global Value Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
712 8662 4- -- -- -
- -714 870
- -- -- -- 1- -- -- 1
714 869
739 950
9.59 9.19
74,530 94,605
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
- 3- -- -- 3
- -- -7 8- -- -- -- -7 8
(7) (5)
(23) (43)
- -
57 11034 67
27 62
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
66,500 CI Global Value Fund (Class A)* 739,002 712,215
Total Investments (99.7%) 739,002 712,215
Other Assets (net) (0.3%) 2,161
Net Assets (100.0%) 714,376
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
869 1,011
33 54(215) (258)(182) (204)
27 62714 869
Annual Financial Statements as at December 31, 2010
– 10 –
CI Global Value Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
94,605 118,8163,784 6,311
(23,859) (30,522)74,530 94,605
0.30 0.59
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
9.59 9.19 8.51 10.58 12.68
714 869 1,011 1,735 2,74774,530 94,605 118,816 163,935 216,646
4.30 0.36 2.95 2.22 0.97
3.22 3.22 3.21 3.22 3.22
0.20 0.12 0.12 0.14 0.153.42 3.34 3.33 3.36 3.37
7.89 5.00 5.00 6.00 6.50
– 11 –
CI Global Value Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund was exposed to other price risk as its holdings were sensitiveto changes in general economic conditions across the world. The Underlying Fund was invested inforeign stocks.
As at December 31, 2010, had the global markets increased or decreased by 10% (December 31,2009 - 10%), with all other variables held constant, net assets of the Fund would have increasedor decreased, respectively, by approximately $71,000 (December 31, 2009 - $87,000). In practice,actual results may differ from this analysis and the difference may be material.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund had insignificant exposure to credit risk as it invested predominantlyin stocks.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to currency risk as it invested predominantly in stocksthat were denominated in currencies other than Canadian dollars, the functional currency of theFund and the Underlying Fund. As a result, the Fund would be affected by fluctuations in the valueof such currencies relative to the Canadian dollar.
The tables below summarize the Underlying Fund’s exposure to currency risk.
as at December 31, 2010Assets
Currency (%)US Dollar 59.4 Euro 12.4 Japanese Yen 12.2 British Pound 6.2 Swiss Franc 4.6 Hong Kong Dollar 1.3 Swedish Krona 1.0 Singapore Dollar 0.7 Malaysian Ringgit 0.5 Thai Baht 0.4 Total 98.7
as at December 31, 2009Assets
Currency (%)US Dollar 57.0 Euro 14.2 Japanese Yen 11.3 British Pound 7.6 Swiss Franc 2.5 Hong Kong Dollar 1.5 Swedish Krona 1.0 Singapore Dollar 1.0 Thai Baht 0.8 Korean Won 0.5 Malaysian Ringgit 0.4 Taiwan Dollar 0.4 Total 98.2
As at December 31, 2010, had the Canadian dollar strengthened or weakened by 10% (December 31,2009 - 10%) in relation to all other foreign currencies held in the Underlying Fund, with all othervariables held constant, net assets of the Fund would have indirectly decreased or increased,respectively, by approximately $70,000 (December 31, 2009 - $85,000). In practice, the actualresults may differ from this analysis and the difference may be material.
The CI Global Value Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
U.S.A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38.7Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21.2U.K. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9.8Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.9Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.9France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.8Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.7Canada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.4Bermuda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.1Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.0Hong Kong . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.3Finland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.3Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0Singapore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7Malaysia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.5Italy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.5Thailand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1Foreign Currency Forward Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -0.3
as at December 31, 2009
Categories Net Assets (%)
U.S.A. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34.2Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.1U.K. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.7Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.3France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.8Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.2Jersey Island . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.7Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.5Canada . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.4Bermuda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.3Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.6Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5Hong Kong . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.5Finland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.2Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0Singapore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.0Thailand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.8Italy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.6South Korea . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.5Malaysia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4South Africa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3
Annual Financial Statements as at December 31, 2010
– 12 –
CI Global Value Segregated FundFund Specific Financial Instruments Risks (Note 8) (cont’d)
The accompanying notes are an integral part of these financial statements.
Annual Financial Statements as at December 31, 2010
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund had insignificant exposure to interest rate risk as substantiallyall of its assets were invested in stocks.
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 712 - - 712 Total 712 - - 712
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 866 - - 866 Total 866 - - 866
– 13 –
CI Harbour Segregated FundUnderlying Fund Information (unaudited)
CIG - 021
Top 25 Holdings of Harbour Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
11,500,000 Suncor Energy Inc. 226,744,323 440,220,000 7,230,000 BHP Billiton Ltd. 122,700,894 333,354,561 4,000,000 Canadian National Railway Co. 121,127,631 265,400,000 3,500,000 Toronto-Dominion Bank 156,897,019 259,875,000
246,900,000 Short-Term Notes 246,194,502 246,735,007 12,000,000 Cisco Systems Inc. 309,704,284 242,103,898 3,000,000 Canadian Imperial Bank of Commerce 188,399,322 234,990,000 1,500,000 Potash Corp. of Saskatchewan Inc. 162,602,851 231,675,000 5,500,000 Cameco Corp. 123,235,021 221,650,000
10,000,000 Talisman Energy Inc. 77,795,168 221,200,000 2,500,000 George Weston Ltd. 176,095,814 210,500,000 5,000,000 Tim Hortons Inc. 166,188,593 205,500,000 3,500,000 Bank of Nova Scotia 93,625,623 199,850,000 3,500,000 Barrick Gold Corp. 107,028,899 185,920,000 4,000,000 Goldcorp Inc. 92,578,503 183,520,000 8,000,000 Dundee Wealth Management Inc. 38,292,113 171,600,000
10,000,000 Manulife Financial Corp. 287,010,527 171,500,000 4,000,000 JPMorgan Chase & Co. 178,203,503 169,221,410 1,675,000 Occidental Petroleum Corp. 143,414,166 163,873,403 4,000,000 PetSmart Inc. 93,526,154 158,849,518 2,210,000 Rio Tinto PLC 140,916,964 154,264,010
12,000,000 Taiwan SemiconductorManufacturing Co., Ltd., ADR 121,048,168 150,073,301
6,710,000 Dundee Corp., Class A 34,914,940 137,219,500 7,000,000 Discover Financial Services 128,345,997 129,359,436 7,000,000 General Electric Co. 241,472,470 127,683,976
Annual Financial Statements as at December 31, 2010
– 14 –
IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Harbour Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
12,716 14,55697 129
- -4 12- -
- -12,817 14,697
- -- -- 11 10- -- 1271 138
12,816 14,559
6,914 8,580
26.82 24.72
477,782 588,940
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
- -- -- -- -
- -7 7
108 117- -- -- -1 1
116 125
(116) (125)
1,283 807
- -
(175) 2,5411,108 3,348
992 3,223
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
594,749 Harbour Fund (Class A)* 6,913,995 12,715,731
Total Investments (99.2%) 6,913,995 12,715,731
Other Assets (net) (0.8%) 100,107
Net Assets (100.0%) 12,815,838
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
14,559 13,585
884 652(3,619) (2,901)(2,735) (2,249)
992 3,22312,816 14,559
Annual Financial Statements as at December 31, 2010
– 15 –
CI Harbour Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
588,940 690,83435,447 30,363
(146,605) (132,257)477,782 588,940
1.85 4.99
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
26.82 24.72 19.67 26.23 24.93
12,816 14,559 13,585 22,801 26,163477,782 588,940 690,834 869,278 1,049,613
1.46 45.41 7.31 3.79 4.44
3.07 3.07 3.07 3.08 3.08
0.20 0.12 0.12 0.14 0.153.27 3.19 3.19 3.22 3.23
8.05 5.00 5.00 6.00 6.50
– 16 –
CI Harbour Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Credit Risk (cont’d)
The underlying mutual fund was invested in fixed income securities, preferred securities andderivative instruments, if any, with the following credit ratings, as per tables below.
as at December 31, 2010*Net Assets
Credit Rating (%)AAA/Aaa/A++ 4.4 AA/Aa/A+ 0.3 Total 4.7
*Credit ratings are obtained from Standard & Poor’s, where available, otherwise ratings are obtainedfrom: Moody's Investors Service, Dominion Bond Rating Services or Canadian Bond Rating Services,respectively.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to currency risk although the majority of the UnderlyingFund’s assets were invested in stocks denominated in Canadian dollars, the functional currency ofthe Underlying Fund.
The tables below summarize the Underlying Fund’s exposure to currency risk.
as at December 31, 2010Assets
Currency (%)US Dollar 4.7 Australian Dollar 0.2 British Pound 0.2 Swiss Franc 0.1 Taiwan Dollar (2.3)Total 2.9
as at December 31, 2009Assets
Currency (%)US Dollar 3.5 Australian Dollar 0.4 British Pound 0.3 Swiss Franc 0.1 Taiwan Dollar (2.2) Total 2.1
As at December 31, 2010, had the Canadian dollar strengthened or weakened by 10% (December 31,2009 - 10%) in relation to all other foreign currencies held in the Underlying Fund, with all othervariables held constant, net assets of the Fund would have indirectly decreased or increased,respectively, by approximately $36,000 (December 31, 2009 - $31,000). In practice, the actual resultsmay differ from this analysis and the difference may be material.
The Harbour Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23.1Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21.2Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19.2Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.1Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.6Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.3Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.7Short-Term Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.9Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.8Foreign Currency Forward Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.6Telecommunication Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1
as at December 31, 2009
Categories Net Assets (%)
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22.5Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.4Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17.8Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15.8Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.2Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.1Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.0Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.8Warrants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.2Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.2
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund was exposed to other price risk as its holdings were sensitiveto changes in general economic conditions in Canada and the U.S.
As at December 31, 2010, had the Canadian and U.S. markets increased or decreased by 10%(December 31, 2009 - 10%), with all other variables held constant, net assets of the Fund wouldhave increased or decreased, respectively, by approximately $1,272,000 (December 31, 2009 -$1,128,000). In practice, actual results may differ from this analysis and the difference may be material.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund did not have a significant exposure to credit risk as it investedpredominantly in stocks.
Annual Financial Statements as at December 31, 2010
– 17 –
CI Harbour Segregated FundFund Specific Financial Instruments Risks (Note 8) (cont’d)
The accompanying notes are an integral part of these financial statements.
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund did not have a significant exposure to interest rate risk assubstantially all its assets were invested in stocks.
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 12,716 - - 12,716 Total 12,716 - - 12,716
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 14,556 - - 14,556 Total 14,556 - - 14,556
Annual Financial Statements as at December 31, 2010
– 18 –
CI Harbour Growth & Income Segregated FundUnderlying Fund Information (unaudited)
CIG - 022
Top 25 Holdings of Harbour Growth & Income Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
Cash & Equivalents 653,732,335 595,000,000 Short-Term Notes 593,298,250 594,602,470 15,000,000 Suncor Energy Inc. 460,901,898 574,200,000 8,000,000 Tim Hortons Inc. 258,058,912 328,800,000 7,000,000 BHP Billiton Ltd. 160,766,239 322,749,921 3,700,000 George Weston Ltd. 261,588,554 311,540,000
16,000,000 Manulife Financial Corp. 412,703,193 274,400,000 12,000,000 Talisman Energy Inc. 161,829,703 265,440,000 4,000,000 Canadian National Railway Co. 162,320,083 265,400,000 6,500,000 Cameco Corp. 146,940,589 261,950,000 4,500,000 Bank of Nova Scotia 181,974,199 256,950,000 5,000,000 Intact Financial Corp. 157,468,000 254,300,000 6,000,000 JPMorgan Chase & Co. 269,014,994 253,832,115 1,600,000 Potash Corp. of Saskatchewan Inc. 156,899,800 247,120,000 3,300,000 Toronto-Dominion Bank 162,803,758 245,025,000
12,000,000 Cisco Systems Inc. 307,705,733 242,103,898 4,500,000 Barrick Gold Corp. 141,206,849 239,040,000 3,000,000 Canadian Imperial Bank of Commerce 222,424,302 234,990,000 5,000,000 Baytex Energy Trust 96,021,354 233,050,000 3,000,000 Rio Tinto PLC 209,350,028 209,408,159
11,000,000 General Electric Co. 333,751,152 200,646,249 100,000,000 Canadian Government Bond
6.00504% 12/01/2021 172,814,422 190,249,127 4,000,000 Goldcorp Inc. 95,725,670 183,520,000 4,800,000 TMX Group Inc. 150,452,374 177,408,000
14,000,000 Taiwan SemiconductorManufacturing Co., Ltd., ADR 134,518,295 175,085,518
Annual Financial Statements as at December 31, 2010
– 19 –
IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Harbour Growth & Income Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
11,460 13,266- 25- -
42 37- -
- -11,502 13,328
19 -- -- 1- 9- 73 -
22 1711,480 13,311
6,767 8,351
20.47 19.10
560,890 696,991
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
- -- -- -- -
- -6 6
87 94- -- -- -1 1
94 101
(94) (101)
1,069 522
- -
(221) 1,904848 2,426
754 2,325
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
612,519 Harbour Growth & Income Fund (Class A)* 6,766,717 11,460,231
Total Investments (99.8%) 6,766,717 11,460,231
Other Assets (net) (0.2%) 20,265
Net Assets (100.0%) 11,480,496
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
13,311 12,537
629 885(3,214) (2,436)(2,585) (1,551)
754 2,32511,480 13,311
Annual Financial Statements as at December 31, 2010
– 20 –
CI Harbour Growth & Income Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
696,991 788,92033,177 49,147
(169,278) (141,076)560,890 696,991
1.21 3.16
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
20.47 19.10 15.89 19.92 19.34
11,480 13,311 12,537 20,507 23,663560,890 696,991 788,920 1,029,613 1,223,467
2.30 1.31 3.12 2.63 6.24
2.98 2.98 2.98 2.99 2.99
0.20 0.12 0.12 0.14 0.153.18 3.10 3.10 3.13 3.14
7.70 5.00 5.00 6.00 6.50
– 21 –
CI Harbour Growth & Income Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Credit Risk (cont’d)
The Underlying Fund was invested in fixed income securities, preferred securities and derivativeinstruments, as applicable, with the following credit ratings:
as at December 31, 2010*Net Assets
Credit Rating (%)AAA/Aaa/A++ 12.4 AA/Aa/A+ 0.2 Total 12.6
as at December 31, 2009*Net Assets
Credit Rating (%)AAA/Aaa/A++ 13.8AA/Aa/A+ 0.1Total 13.9
*Credit ratings are obtained from Standard & Poor’s, where available, otherwise ratings are obtainedfrom: Moody's Investors Service, Dominion Bond Rating Services or Canadian Bond Rating Services,respectively.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to currency risk, as some of its investments weredenominated in currencies other than Canadian dollars, the functional currency of the Fund and theUnderlying Fund.
The tables below summarize the Underlying Fund’s exposure to currency risk.
as at December 31, 2010Assets
Currency (%)US Dollar 2.8 Australian Dollar 0.2 British Pound 0.1 Swiss Franc 0.1 Taiwan Dollar (1.8)Total 1.4
as at December 31, 2009Assets
Currency (%)US Dollar 2.5 Australian Dollar 0.3 British Pound 0.2 Swiss Franc 0.1Taiwan Dollar (1.5) Total 1.6
As at December 31, 2010, had the Canadian dollar strengthened or weakened by 10% (December 31,2009 - 10%) in relation to all other foreign currencies held in the Underlying Fund, with all othervariables held constant, net assets of the Fund would have indirectly decreased or increased,respectively, by approximately $16,000 (December 31, 2009 - $21,000). In practice, the actual resultsmay differ from this analysis and the difference may be material.
The Harbour Growth & Income Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20.9Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19.2Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16.3Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.9Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.1Short-Term Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.5Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.3Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.8Canadian Government Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.6Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.6Foreign Currency Forward Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.4Telecommunication Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1
as at December 31, 2009
Categories Net Assets (%)
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26.8Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.6Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.3Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.3Government Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7.0Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.6Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5.6Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.6Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.8Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.3Warrants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.1
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund’s holdings were sensitive to changes in general economicconditions in Canada. The Underlying Fund portfolio consisted of Canadian stocks and fixed incomesecurities, thus an overall downturn in the Canadian economy may lead to a widening in creditspreads and a decrease in equity prices which would then lead to a decrease in the value of theUnderlying Fund’s holdings.
As at December 31, 2010, had the Canadian markets increased or decreased by 10% (December 31,2009 - 10%), with all other variables held constant, net assets of the Fund would have increasedor decreased, respectively, by approximately $1,146,000 (December 31, 2009 - $971,000). In practice,actual results may differ from this analysis and the difference may be material.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to credit risk as some of its assets were invested infixed income securities that bear an investment grade rating.
Annual Financial Statements as at December 31, 2010
– 22 –
CI Harbour Growth & Income Segregated FundFund Specific Financial Instruments Risks (Note 8) (cont’d)
The accompanying notes are an integral part of these financial statements.
Annual Financial Statements as at December 31, 2010
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund’s held bonds that mature in one or more years. As a result, theUnderlying Fund was exposed to interest rate risk.
The tables below summarize the Underlying Fund’s exposure to interest rate risk, categorized bythe contractual maturity date.
as at December 31, 2010Less than 1 - 3 3 - 5 Greater than
1 Year Years Years 5 Years Total(%) (%) (%) (%) (%)
Interest Rate Exposure 13.8 3.4 - 2.1 19.3
as at December 31, 2009Less than 1 - 3 3 - 5 Greater than
1 Year Years Years 5 Years Total(%) (%) (%) (%) (%)
Interest Rate Exposure 27.8 2.9 0.8 2.1 33.6
As at December 31, 2010, had the prevailing interest rates increased or decreased by 0.25%(December 31, 2009 - 0.25%), with all other variables held constant, net assets of the Fund would have indirectly decreased or increased, respectively, by approximately $8,000 (December 31,2009 - $9,000). In practice, the actual results may differ from this analysis and the difference maybe material.
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 11,460 - - 11,460 Total 11,460 - - 11,460
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 13,266 - - 13,266 Total 13,266 - - 13,266
– 23 –
CI Synergy American Segregated FundUnderlying Fund Information (unaudited)
CIG - 023
Top 25 Holdings of Synergy American Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
Cash & Equivalents 3,977,625 7,300 Apple Computer Inc. 1,385,541 2,348,324
27,100 Noble Energy Inc. 1,732,537 2,326,463 51,400 JPMorgan Chase & Co. 2,208,940 2,174,495 22,800 Union Pacific Corp. 1,299,858 2,106,938 40,000 QUALCOMM Inc. 1,761,594 1,974,250 53,700 Oracle Corp. 1,537,666 1,676,267 53,600 Wells Fargo & Co. 1,498,926 1,656,575 9,700 Goldman Sachs Group Inc. 1,437,522 1,626,744 2,600 Google Inc., Class A 1,529,838 1,540,148
17,300 Pioneer Natural Resources Co. 960,833 1,497,927 36,600 SBA Communications Corp. 1,166,657 1,494,354 12,800 Eaton Corp. 1,037,791 1,295,816 26,700 Baytex Energy Trust 692,948 1,246,715 53,800 EMC Corp. 999,499 1,228,690 16,000 Agnico-Eagle Mines Ltd. 1,166,324 1,223,883 8,300 International Business Machines Corp. 1,108,149 1,214,816
16,000 Murphy Oil Corp. 955,450 1,189,576 23,000 Intuit Inc. 1,053,081 1,130,835 29,300 Edison International 1,039,548 1,127,923 23,200 Kansas City Southern de Mexico 875,236 1,107,351 12,100 Chevron Corp. 957,109 1,101,141 32,300 AmerisourceBergen Corp. 981,469 1,099,097 36,600 Archer-Daniels-Midland Co. 1,084,862 1,097,953 5,700 BlackRock Inc. (USD) 971,238 1,083,370
Annual Financial Statements as at December 31, 2010
– 24 –
IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Synergy American Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
661 934- -- -1 52- -
- -662 986
- 17- -- -- 1- -- 34- 52
662 934
994 1,507
9.08 8.54
72,929 109,354
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
- 9- -- -- 9
- -- 16 8- -- -- -- -6 9
(6) -
(194) (239)
- -
240 27246 33
40 33
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
60,341 Synergy American Fund (Class A)* 994,324 660,738
Total Investments (99.8%) 994,324 660,738
Other Assets (net) (0.2%) 1,502
Net Assets (100.0%) 662,240
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
934 1,170
3 30(315) (299)(312) (269)
40 33662 934
Annual Financial Statements as at December 31, 2010
– 25 –
CI Synergy American Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
109,354 142,653387 3,863
(36,812) (37,162)72,929 109,354
0.45 0.25
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
9.08 8.54 8.21 11.12 11.83
662 934 1,170 2,443 3,27272,929 109,354 142,653 219,600 276,676
- 6.70 0.48 1.60 -
3.11 3.12 3.11 3.12 3.13
0.20 0.12 0.13 0.14 0.153.31 3.24 3.24 3.26 3.28
7.96 5.00 5.00 6.00 6.50
– 26 –
CI Synergy American Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to currency risk as it invested predominantly in stocksthat were denominated in U.S. dollars, whereas, the Canadian dollar is the functional currency ofthe Fund and the Underlying Fund. As a result, the Fund would be affected by fluctuations in thevalue of such currencies relative to the Canadian dollar.
The tables below summarize the Underlying Fund’s exposure to currency risk.
as at December 31, 2010Assets
Currency (%)US Dollar 77.8 Total 77.8
as at December 31, 2009Assets
Currency (%)US Dollar 79.0 Total 79.0
As at December 31, 2010, had the Canadian dollar strengthened or weakened by 10% (December 31,2009 - 10%) in relation to all other foreign currencies held in the Underlying Fund, with all othervariables held constant, net assets of the Fund would have indirectly decreased or increased,respectively, by approximately $51,000 (December 31, 2009 - $74,000). In practice, the actual resultsmay differ from this analysis and the difference may be material.
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund did not have significant exposure to interest rate risk assubstantially all of its assets were invested in stocks.
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 661 - - 661 Total 661 - - 661
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 934 - - 934Total 934 - - 934
The Synergy American Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.3Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.6Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14.3Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.3Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.7Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.8Health Care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.7Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.4Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4.2Telecommunication Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.6Utilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.9Foreign Currency Forward Contracts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.2
as at December 31, 2009
Categories Net Assets (%)
Information Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19.5Financials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13.4Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12.3Consumer Discretionary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.8Health Care . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.0Industrials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10.0Consumer Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8.2Materials . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6.0Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.8Telecommunication Services . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.1Utilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.8Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -0.9
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund was exposed to other price risk as its holdings were sensitiveto changes in general economic conditions in the United States. The Underlying Fund waspredominantly invested in U.S. stocks; as a result, an overall downturn in the American economy mayhave a negative impact on the value of the Underlying Fund’s holdings.
As at December 31, 2010, had the U.S. markets increased or decreased by 10% (December 31,2009 - 10%), with all other variables held constant, net assets of the Fund would have increasedor decreased, respectively, by approximately $66,000 (December 31, 2009 - $93,000). In practice,actual results may differ from this analysis and the difference may be material.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund had insignificant exposure to credit risk as it invested predominantlyin stocks.
Annual Financial Statements as at December 31, 2010
– 27 –
CI Money Market Segregated FundUnderlying Fund Information (unaudited)
CIG - 020
Top 25 Holdings of CI Money Market Fund
No. of Shares/ Average FairPar Value Investment Cost ($) Value ($)
Cash & Equivalents 187,213,973 150,500,000 Government of Canada T-Bill
0.94% 2011/02/03 150,171,910 150,171,910 78,550,000 Province of Ontario, FRN 2.29% 04/02/2013 78,519,366 78,532,743 60,780,000 Canada Housing Trust No.1,
FRN, Series 27 1.66571% 09/15/2014 60,780,000 60,780,000 40,000,000 Royal Bank of Canada BA
1.07% 2011/01/04 39,960,000 39,960,000 37,200,000 HSBC Bank Canada 1.88643% 08/09/2013 37,200,000 37,200,000 36,100,000 Toronto-Dominion Bank,
FRN 2.3% 04/15/2011 35,763,909 36,054,406 35,000,000 Royal Bank of Canada 1.93429% 05/11/2012 35,000,000 35,000,000 34,700,000 Province of Ontario, FRN 2.29% 04/02/2013 34,693,407 34,696,287 33,500,000 Province of Ontario 1.89857% 07/15/2011 33,515,745 33,500,000 32,100,000 Canada Housing Trust No.1
1.25071% 06/15/2013 31,849,620 31,940,148 30,500,000 Bank of Nova Scotia, BDN
1.18% 2011/01/17 30,411,550 30,411,550 29,800,000 National Bank of Canada
1.55% 02/13/2012 29,800,000 29,800,000 29,500,000 Province of Ontario,
FRN 2.29% 04/02/2013 29,889,105 29,725,356 28,360,000 MetLife Global Funding I
3.29929% 06/29/2011 28,360,000 28,360,000 27,200,000 Bank of Nova Scotia 1.74714% 04/20/2012 27,206,256 27,204,499 26,000,000 National Bank of Canada 1.37% 10/21/2011 26,000,000 26,000,000 22,000,000 Enbridge Inc. 1.25% 2011/01/25 21,979,760 21,979,760 21,330,000 International Bank for Reconstruction and
Development 1.09286% 10/31/2012 21,330,000 21,330,000 18,660,000 Province of Quebec,
FRN 1.36357% 08/06/2011 18,675,301 18,666,065 18,400,000 Canadian Imperial Bank of Commerce
1.68143% 04/08/2013 18,400,000 18,400,000 16,600,000 Bank of Nova Scotia 4.58% 02/15/2011 17,205,070 16,676,465 16,680,000 Canadian Imperial Bank of Commerce
2.25% 06/15/2011 16,436,525 16,630,530 15,000,000 National Bank of Canada,
FRN 1.32% 03/08/2011 15,000,000 15,000,000 13,700,000 Toronto-Dominion Bank,
FRN 2.3% 04/15/2011 13,573,202 13,682,776
Annual Financial Statements as at December 31, 2010
– 28 –
IncomeIncome distribution from investmentsInterestManagement fee rebate
Expenses (Note 4)(Management expense ratios – see Financial Highlights)
Management feesAdministrative feesInsurance feesCustody feesLegal feesAudit feesGoods and services tax/Harmonized sales tax
Net investment income (loss) for the year
Realized and unrealized gain (loss) on investments Realized gain (loss) on investmentsCapital gain distribution
from investmentsChange in unrealized appreciation
(depreciation) of investmentsNet gain (loss) on investmentsIncrease (decrease) in net assets
from operations(Increase (decrease) in net assets from operations per unit – see Supplementary Schedule)
CI Money Market Segregated FundFinancial Statements
AssetsInvestments at fair value*CashReceivable for unit subscriptionsReceivable for securities soldManagement fee rebate receivableReceivable for dividends and
accrued interest
LiabilitiesBank overdraftManagement fees payableAdministration fees payableInsurance fees payablePayable for securities purchased Payable for unit redemptions
Net assets and unitholders’ equity
*Investments at cost
Net Assets per unit – (see Financial Highlights)
Number of units outstanding (Unit transactions – see Supplementary Schedule)
Statements of Operations for the years ended December 31(in $000’s)
2010 2009
1,035 1,77639 47
- 17333 -
- -
1 -1,108 1,996
- -- -- -- -
32 13834 7866 216
1,042 1,780
1,035 1,776
12.88 12.92
80,942 137,787
Statements of Net Assets as at December 31 (in $000’s except for per unitamounts and units outstanding)
Statements of Changes in Net Assets for the years ended December 31(in $000’s)
2010 2009
5 3- -- -5 3
4 41 15 5- -- -- -- -
10 10
(5) (7)
- -
- -
- -- -
(5) (7)
Statement of Investment Portfolio as at December 31, 2010
No. of Average FairUnits Investment Cost ($) Value ($)
103,498 CI Money Market Fund (Class A)* 1,034,977 1,034,977
Total Investments (99.3%) 1,034,977 1,034,977
Other Assets (net) (0.7%) 7,442
Net Assets (100.0%) 1,042,419
*The Underlying Fund is also managed by CI Investments Inc., the Manager of the Fund.Percentages shown in brackets in the Statement of Investment Portfolio relate investments at fair value to net assets of the Fund.The accompanying notes are an integral part of these financial statements.
Net assets, beginning of year
Capital transactionsProceeds from units issued Payments for units redeemed
Increase (decrease) in net assetsfrom operations
Net assets, end of year
2010 2009
1,780 1,525
3,451 2,350(4,184) (2,088)
(733) 262
(5) (7)1,042 1,780
Annual Financial Statements as at December 31, 2010
– 29 –
CI Money Market Segregated FundFinancial Statements – Supplementary Schedule – Financial Highlights (for the years ended December 31)
Annual Financial Statements as at December 31, 2010
For inception date of the Fund, please refer to note 1 in the Notes to the Financial Statements.The accompanying notes are an integral part of these financial statements.
Supplementary Schedule
2010 2009Unit TransactionsNumber of units, beginning of yearUnits issued for cash Units redeemedNumber of units, end of year
Increase (decrease) in net assets from operation per unit (%) (1)
(1) Increase (decrease) in net assets from operations per unit is calculated by dividing the increase (decrease) in net assets from operations by the weighted average number of units outstanding during the year.
137,787 117,539267,658 181,531(324,503) (161,283)
80,942 137,787
(0.04) (0.05)
Financial HighlightsThe following table shows selected key financial information about the Fund and is intended to help you understand the Fund's financial performance for the past five years, as applicable.
2010 2009 2008 2007 2006The Fund’s Net Asset Value per UnitNet asset value at December 31,
of year shown ($)
Ratios and Supplemental DataNet assets ($000’s) (1)
Number of units outstanding (1)
Portfolio turnover rate (%) (2)
Management expense ratio Management expense ratio before taxes (%) (3)
Goods and services tax/Harmonized sales tax expenses (%) (3)
Management expense ratio after taxes (%) (3)
GST/Effective HST rate, for the prior calendar year or period (%) (3)
(1) This information is provided as at December 31, of the year shown.
(2) 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 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 high turnover rate and the performance of a fund.
(3) Management expense information is calculated based on expenses charged directly to the Fund plus, if applicable, expenses of the underlying mutual fund, calculated on a weighted average basis on the percentage weighting of the underlying
mutual fund and is expressed as an annualized percentage of average net assets for the years shown. As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the provincial retail sales tax (“PST” - 8%). The
combination resulted in a Harmonized sales tax (“HST”) rate of 13%. The Effective HST tax rate is calculated using the attribution percentage for each province based on unitholder residency and can be different from 13%. For any particular
year, the rate shown will be prorated based on the different rates in effect during that year. For the year ended December 31, 2010 the rate applied is 5% for the period January 1, 2010 to June 30, 2010 and the Fund's Effective HST rate for the
period from July 1, 2010 to December 31, 2010. The rate shown for the year ended December 31, 2010 is the time weighted average of these rates.
12.88 12.92 12.97 12.75 12.35
1,042 1,780 1,525 1,270 1,33080,942 137,787 117,539 99,607 107,696
1.12 81.86 72.79 81.23 89.05
1.40 1.40 1.40 1.40 1.41
0.10 0.06 0.07 0.07 0.071.50 1.46 1.47 1.47 1.48
8.56 5.00 5.00 6.00 6.50
– 30 –
CI Money Market Segregated FundFund Specific Financial Instruments Risks (Note 8)
The accompanying notes are an integral part of these financial statements.
Currency Risk The Fund indirectly bears the currency risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund’s investments are denominated in Canadian dollars, thefunctional currency of the Fund and the Underlying Fund. As a result, the Fund was not exposed tocurrency risk.
Interest Rate Risk The Fund indirectly bears the interest rate risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund was exposed to interest rate risk.
The tables below summarize the Underlying Fund’s exposure to interest rate risk, categorized bythe contractual maturity date.
as at December 31, 2010Less than 1 - 3 3 - 5 Greater than
1 Year Years Years 5 Years Total(%) (%) (%) (%) (%)
Interest Rate Exposure 62.4 31.5 5.4 - 99.3
as at December 31, 2009Less than 1 - 3 3 - 5 Greater than
1 Year Years Years 5 Years Total(%) (%) (%) (%) (%)
Interest Rate Exposure 62.2 17.1 20.3 - 99.6
Fair Value HierarchyThe tables below summarize the inputs used by the Fund in valuing the Fund’s investments carriedat fair value.
Long Positions at fair value as at December 31, 2010Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 1,035 - - 1,035 Total 1,035 - - 1,035
Long Positions at fair value as at December 31, 2009Level 1 Level 2 Level 3 Total
(in $000's) (in $000's) (in $000's) (in $000's)
Underlying Fund 1,776 - - 1,776 Total 1,776 - - 1,776
The CI Money Market Fund’s investments were concentrated in the following segments:
as at December 31, 2010
Categories Net Assets (%)
Corporate Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41.2Short-Term Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23.3Provincial Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18.4Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16.4Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.7
as at December 31, 2009
Categories Net Assets (%)
Bonds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61.8Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26.9Short-Term Notes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11.4Other Assets (net) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . -0.1
Other Price Risk The Fund indirectly bears the other price risk exposure of the Underlying Fund. As at December 31,2010 and 2009, the Underlying Fund investments had high credit ratings and short-terms to maturity.As a result, the other price risk of the Underlying Fund was insignificant.
Credit Risk The Fund indirectly bears the credit risk exposure of the Underlying Fund. As at December 31, 2010and 2009, the Underlying Fund was exposed to credit risk as it invested predominantly in fixedincome securities that bear an investment grade rating.
The Underlying Fund was invested in fixed income securities, preferred securities and derivativeinstruments, as applicable, with the following credit ratings:
as at December 31, 2010*Net Assets
Credit Rating (%)AAA/Aaa/A++ 29.3 AA/Aa/A+ 46.6 A 6.8 BBB/Baa/B++ 0.2 Total 82.9
as at December 31, 2009*Net Assets
Credit Rating (%)AAA/Aaa/A++ 18.2AA/Aa/A+ 56.7A 7.7BBB/Baa/B++ 1.2Not Rated 0.3Total 84.1
*Credit ratings are obtained from Standard & Poor’s, where available, otherwise ratings are obtainedfrom: Moody's Investors Service, Dominion Bond Rating Services or Canadian Bond Rating Services,respectively.
Annual Financial Statements as at December 31, 2010
1. THE FUNDS
The following funds were created by board resolution of Unity Life of Canada.
Fund Names (the “Fund” or collectively “the Funds”
or the “CI Segregated Funds”) Dated
CI Global Segregated Fund October 28, 1997
CI Global Value Segregated Fund October 28, 1997
CI Harbour Segregated Fund October 28, 1997
CI Harbour Growth & Income Segregated Fund October 28, 1997
CI Synergy American Segregated Fund October 28, 1997
CI Money Market Segregated Fund October 28, 1997
Each Fund invests all of its net assets in a CI mutual fund (the “Underlying Funds”).
CI Investments Inc. is the Manager of each Fund and the Manager of each Underlying Fund.
The Statement of Investment Portfolio for each of the Funds is as at December 31, 2010 and the
Statements of Net Assets are as at December 31, 2010 and 2009. The Statements of Operations and
the Statements of Changes in Net Assets for each of the Funds are for the years ended December 31,
2010 and 2009. The Supplementary Schedules/Financial Highlights for each Fund are for years ended
December 31, 2010 and 2009 for Supplementary Schedules and for the most recent five years ended
December 31 for Financial Highlights. The Fund’s Specific Financial Instruments Risks for each of the
Funds are as at December 31, 20101 and 2009, where applicable.
Effective December 31, 2000, the Funds were closed to new or additional contributions.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
These financial statements have been prepared in accordance with Canadian Generally Accepted
Accounting Principles (“Canadian GAAP”).
The following is a summary of significant accounting policies of the Funds:
(a) Valuation of Investments
Canadian GAAP requires the fair value of financial instruments traded in an active market to be
measured based on an investment’s bid/ask price depending on the investment position (long/short).
For the purpose of processing unitholder transactions, net asset value is calculated based on the closing
market price of investments (referred to as “Net Asset Value”), while for financial statement purposes
net assets are calculated based on bid/ask price of investments (referred to as “Net Assets”). The Funds
invest only in units of Underlying Funds. The Underlying Funds are valued at their net asset value as
reported by the Underlying Funds’ manager on the valuation date. No Net Assets comparison schedule
is presented for these Funds as there is no difference between Net Assets and Net Asset Value.
(b) Commissions and Other Portfolio Transaction Costs
The Funds invest only in units of Underlying Funds and are not subject to transaction costs.
(c) Cost of Investments
Cost of investments represents the amount paid for each security, and is determined on an average
cost basis.
(d) Investment Transactions
Investment transactions are accounted for on the trade date for financial reporting purposes. Realized
gains and losses on sales of investments and unrealized appreciation or depreciation in value of
investments are calculated on an average cost basis.
(e) Income Recognition
Distributions from investments are recorded on the ex-distribution date and interest income is accrued
on a daily basis.
Distributions received from investment fund holdings are recognized by the Funds in the same form in
which they were received from the underlying funds.
(f) Net Asset Value per Unit
Net asset value per unit is calculated at the end of each day on which the Toronto Stock Exchange is
open for business by dividing the total net asset value by outstanding units.
(g) Use of Estimates
The preparation of financial statements in accordance with Canadian GAAP requires management to
make estimates and assumptions that affect the reported amounts of assets and liabilities at the
reporting date and the reported amounts of income and expenses during the reporting period. Actual
results could differ from those estimates.
3. INCOME TAXES
The Funds are deemed to be inter-vivos trusts under the provisions of the Income Tax Act (Canada) and
are deemed to have allocated their income to the beneficiaries. Each Fund’s net capital gains (losses)
are deemed to be those of the beneficiaries. Accordingly, the Funds are not subject to income tax on
their net income, including net realized capital gains for the year.
A Fund may elect each year to realize capital gains (losses) for the taxation year, where necessary to
allocate capital gains (losses) to redeeming beneficiaries.
4. MANAGEMENT FEES AND OTHER EXPENSES
Unity Life of Canada charges the Funds an annual management fee. The management fee is calculated
on the Net Asset Value of the Funds at the end of each business day and is paid at the end of each month.
CI Investments Inc. is the Manager of the Funds and the Underlying Funds, and in consideration of
management fees received, provides management services required in the day-to-day operations of
the Funds and the Underlying Funds including the management of the investment portfolios of the
Underlying Funds.
In addition to the management fee payable, the Funds also bear all operating and administrative
expenses including audit and legal fees, registry and transfer agency fees, insurance costs, custody
fees, expenses relating to reporting and making distributions to unitholders, all other costs and fees
imposed by statute or regulation and expenses of all communications with unitholders.
The management fees reported in the Statements of Operations of each Fund are net of the
management fees and operating expenses paid by its Underlying Fund, if any.
Management Expense Ratio (MER) information appears in the Financial Highlights in the Financial
Statements.
CI Segregated FundsNotes to the Financial Statements
– 31 –Annual Financial Statements as at December 31, 2010
CI Segregated Funds Notes to the Financial Statements (cont’d)
– 32 –Annual Financial Statements as at December 31, 2010
As of July 1, 2010, Ontario combined the federal goods and services tax (“GST” - 5%) with the
provincial retail sales tax (“PST” - 8%). The combination resulted in a Harmonized sales tax (“HST”)
rate of 13%.
5. UNITHOLDERS’ EQUITY
Units issued and outstanding represent the capital of each Fund.
The relevant changes pertaining to subscriptions and redemptions of each Fund units are disclosed in
the Statements of Changes in Net Assets. In accordance with the objectives and risk management
polices outlined in Note 8, the Funds endeavour to invest subscriptions received in appropriate
investments while maintaining sufficient liquidity to meet redemptions by disposal of investments
when necessary.
Unit Transactions information for each Fund appears under Supplementary Schedule in the Financial
Statements.
6. INTERNATIONAL FINANCIAL REPORTING STANDARDS
On February 13, 2008, the Canadian Accounting Standards Board (“AcSB”) confirmed that the use of
International Financial Reporting Standards (“IFRS”) will be required for all publicly accountable profit-
oriented enterprises for interim and annual financial statements relating to fiscal years beginning on
or after January 1, 2011. On January 12, 2011, the AcSB confirmed further deferral of the IFRS
changeover date for investment funds. Based on the AcSB decision IFRS will become effective for
interim and annual financial statements relating to fiscal years beginning on or after January 1, 2013
instead of January 1, 2011.
Based on the Manager’s current evaluation of the differences between IFRS and Canadian GAAP, the
Manager currently does not expect any impact to net asset value or net asset value per unit, at this
time, as a result of the transition to IFRS, and expects that the main impact will be on the financial
statements, where additional disclosures or changes in presentation will be required. Further updates
on the progress in the implementation of the IFRS transition plan and any changes to reporting will be
provided during the implementation period leading up to the transition date.
7. FINANCIAL INSTRUMENTS
The categorization of financial instruments is as follows: investments are classified as held for trading
and are stated at fair value. Receivable for dividends and accrued interest, receivable for unit
subscriptions, receivable for securities sold and management fee rebate receivable are designated as
loans and receivables. They are recorded at amortized cost which approximates their fair value due to
their short-term nature. Similarly, management fees payable, administration fees payable, insurance
fees payable, payable for securities purchased and payable for unit redemptions are designated as
financial liabilities and are carried at their amortized cost which approximates their fair value, due to
their short-term nature. Financial liabilities are generally paid within three months.
8. FINANCIAL INSTRUMENTS RISK
Risk Management
The Funds invest in units of Underlying Funds and are exposed to a variety of financial instruments
risks: credit risk, liquidity risk and price risk (including interest rate risk, currency risk and other price
risk). The level of risk to which each Fund is exposed depends on the investment objective and the type
of investments held by the Underlying Fund. The value of investments within an Underlying Fund
portfolio can fluctuate daily as a result of changes in prevailing interest rates, economic and market
conditions and company specific news related to investments held by the Underlying Fund and this will
affect the value of the Funds. The Manager of the Underlying Fund may minimize potential adverse
effects of these risks by, but not limited to, regular monitoring of the Underlying Fund’s positions and
market events, diversification of the investment portfolio by asset type, country, sector, term to
maturity within the constraints of the stated objectives, and through the usage of derivatives to hedge
certain risk exposures.
Other Price Risk
Other price risk is the risk that the value of financial instruments will fluctuate as a result of changes
in market prices (other than those arising from interest rate risk or currency risk). The value of each
investment is influenced by the outlook of the issuer and by general economic and political conditions,
as well as industry and market trends. All securities present a risk of loss of capital.
Other assets and liabilities are monetary items that are short-term in nature and therefore are not
subject to other price risk.
Interest Rate Risk
Interest rate risk is the risk that the fair value of interest-bearing investments will fluctuate due to
changes in prevailing levels of market interest rates. As a result, the value of the underlying funds that
invest in debt securities and/or income trusts will be affected by changes in applicable interest rates.
If interest rates fall, the fair value of existing debt securities may increase due to the increase in yield.
Alternatively, if interest rates rise, the yield of existing debt securities decrease which may then lead
to a decrease in their fair value. The magnitude of the decline will generally be greater for long-term
debt securities than for short-term debt securities.
Interest rate risk also applies to convertible securities. The fair value of these securities varies
inversely with interest rates, similar to other debt securities. However, since they may be converted
into common shares, convertible securities are generally less affected by interest rate fluctuations
than other debt securities.
Currency Risk
Currency risk arises from financial instruments that are denominated in a currency other than,
Canadian dollars, the functional currency of the Funds and the Underlying Funds. As a result, the
Underlying Funds may be exposed to the risk that the value of securities denominated in other
currencies will fluctuate due to changes in exchange rates. Equities traded in foreign markets are also
exposed to currency risk as the prices denominated in foreign currencies are converted to Underlying
Funds’ functional currency to determine their fair value.
Credit Risk
Credit risk is the risk that a security issuer or counterparty to a financial instrument will fail to meet
its financial obligations. The fair value of a debt instrument includes consideration of the credit
worthiness of the debt issuer. The carrying amount of debt instruments represents the credit risk
exposure of each Underlying Fund. Credit risk exposure for derivative instruments is based on each
Underlying Funds’ unrealized gain on the contractual obligations with the counterparty as at the
reporting date. The credit risk exposure of Funds’ other assets are represented by their carrying amount
as disclosed in the Statements of Net Assets.
Liquidity Risk
Liquidity risk is the risk that a Fund may not be able to settle or meet its obligations, on time or at a
reasonable price. The Funds are exposed to daily cash redemption of redeemable units. The Funds
invest all of their assets in underlying funds which can be readily disposed of.
Fair Value Hierarchy
The Funds are required to classify financial instruments measured at fair value using a fair value
hierarchy. Investments whose values are based on quoted market prices in active markets are classified
as Level 1. This level includes publicly traded equities, exchange traded and retail mutual funds,
exchange traded warrants, futures contracts, traded options, American depositary receipts (“ADRs”) and
Global depositary receipts (“GDRs”).
Financial instruments that trade in markets that are not considered to be active but are valued based
on quoted market prices, dealer quotations or alternative pricing sources supported by observable
inputs are classified as Level 2. These include, fixed income securities, mortgage backed securities
(“MBS”), short-term instruments, non-traded warrants, over-the-counter options, structured notes of
indexed securities, if applicable, foreign currency forward contracts and swap instruments.
Investments classified as Level 3 have significant unobservable inputs. Level 3 instruments include
private equities, private term loans, private equity funds and certain derivatives. As observable prices
are not available for these securities, the Funds may use a variety of valuation techniques to derive
the fair value.
The Funds invest only in other investment funds and these investments are classified as Level 1.
Details of individual Fund’s exposure to financial instruments risks including the fair value hierarchy
classifications are available in the “Fund Specific Financial Instruments Risks” section of the financial
statements of each Fund.
CI Segregated Funds Notes to the Financial Statements (cont’d)
– 33 –Annual Financial Statements as at December 31, 2010
– 34 –
NOTICE: Should you require additional copies of these Annual Financial Statements or have received
more than one copy, please contact CI Investments Inc. or your adviser.
Unity Life of Canada is the sole issuer of the individual variable annuity contract providing for
investment in CI Segregated Funds. A description of the key features of the applicable individual
variable annuity contract is contained in the CI Segregated Funds Information Folder. ANY AMOUNT
THAT IS ALLOCATED TO A SEGREGATED FUND IS INVESTED AT THE RISK OF THE OWNER
AND MAY INCREASE OR DECREASE IN VALUE.
®CI Investments and the CI Investments design are trademarks of CI Investments Inc.
INFORMATION FOLDER: CI Investments Inc. would be pleased to provide, without charge, the most
recent Information Folder upon request to its Toronto office.
CI Segregated Funds Legal Notice
Annual Financial Statements as at December 31, 2010
Unity Life of Canada
50 Charles St. E. PO Box 1098, Station FToronto, ON, M4Y 2T7
2 Queen Street East, Twentieth Floor, Toronto, Ontario M5C 3G7 I www.ci.comHead Office / Toronto416-364-1145 1-800-268-9374
Calgary 403-205-43961-800-776-9027
Montreal 514-875-00901-800-268-1602
Vancouver 604-681-33461-800-665-6994
Client Services English: 1-800-563-5181French: 1-800-668-3528
CISEG_AR_04/11E
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