INVESTMENT OBJECTIVE

The Mortgage Company of Canada (“MCC”) is a mortgage investment corporation whose
objective is to provide investors with an attractive risk-adjusted return by primarily
investing in mortgages of single family homes in the Greater Toronto Area. Our experienced
management team employs a Board approved credit policy, follows rigorous underwriting
analysis and leverages its third-party brokerage relationships as well as its affiliated
mortgage brokerage for deal flow. MCC’s Board of Directors (“Board of Directors”)
comprises a majority of independent members who provide a framework around best
practices.

HISTORICAL RETURNS²

A $100,000 investment in 2009 would be worth $212,824 today

PORTFOLIO SUMMARY⁶

MARKET OUTLOOK

Record home sales for the first quarter of 2016 following a strong result for March.
 

• There were 10,326 sales in March and 22,575 sales in the first quarter.
  This resulted in a year over year growth rate of 15.8% for Q1 2016
  and 16.2% for March 2016.⁴
• Within the GTA, double digit year over year rates of sales growth were
  experienced for all major home types during the first quarter.⁴
4
• Regardless of strong sales, the number of new listings were down compared to the same periods in 2015.⁴

INVESTMENT TERMS

Target Investor Yield

• 9% plus discretionary quarterly bonus, paid monthly
• Distributions paid monthly

Dividend Reinvestment Plan

• DRIP available

Redemptions

• Locked in for 1 year, 90 day notice for redemption thereafter

Auditor

• Grant Thornton LLP

Legal Counsel

• Stikeman Elliott LLP, Gowlings LLP

Minimum Investment

• $25,000

Deferred Income Plans

• Eligible for RRSP, RRIF, TFSA, and RESP deferred profit sharing plans

Management Fees

• 0.5% annual base fee
• Performance fee above minimum threshold return of 9.5%

FundSERV Code

• MCO100

MANAGEMENT TEAM

Our management team has demonstrated an excellent track record over their combined 40 years of lending experience. Management and the Board of Directors have approximately $6 million invested in MCC on the same terms as our investors, insuring that our interests are aligned.

 
RAJ BABBER

• Founder, CEO and President

SANJAY KAITH

• Chief Operating Officer

GREG GOUTIS CPA, CMA

• Chief Financial Officer

MAJORITY INDEPENDENT BOARD OF DIRECTORS

MCC is committed to best practices and the preservation of shareholder capital. Accordingly, we have appointed three well respected business and finance professionals with public company experience as independent members to our Board of Directors.

 
DANIEL DRIMMER

• Independent Director

TAMMY OLDENBURG CPA, CA

JAMES GARCELON CPA, HBA CA

• Independent Director

* These materials are not to be distributed, reproduced or communicated to a third party without the express written consent of the Mortgage Company of Canada. These materials are for informational purposes only and do not constitute an offer to sell or a solicitation to buy securities. Past results are not indicative of future performance.

Newsletter March 2016