\nStarlight Investments Capital LP (\u201cStarlight Capital<\/b>\u201d), on behalf of Starlight Hybrid Global Real Assets Trust (the \u201cTrust<\/b>\u201d), announced today the Trust\u2019s financial results for the three and nine months ended September 30, 2020.\n<\/p>\n
Q3 2020 HIGHLIGHTS<\/b><\/p>\n
Portfolio Investments<\/b><\/p>\n
\nAs at September 30, 2020, the Trust had an investment of $24,829,631 <\/b>(December 31, 2019 – $32,617,601)in the Public Portfolio LP and $15,931,431 <\/b>in three investments in the Private Portfolio (December 31, 2019 – $10,464,403 in two investments). The Public Portfolio LP had 55 investments (December 31, 2019 \u2013 41 investments) with a market value of $24,071,488 <\/b>(December 31, 2019 – $29,842,900) in publicly traded global real estate and infrastructure securities.\n<\/p>\n
\nThe Public Portfolio LP\u2019s investment portfolio remains liquid and the Trust does not anticipate any issues in being able to meet the liquidity needs of the Public Portfolio LP or the Trust.\n<\/p>\n
Distributions<\/b><\/p>\n
\nOn January 14, 2020, Starlight Capital announced the 2020 monthly distributions for the Trust. The Trust will pay a $0.52 gross distribution per Unit per annum (2019 – $0.50 per Unit per annum) a 4% increase from 2019. Beginning in January 2020, Unitholders of record began receiving a monthly cash distribution of $0.0433 per Unit (2019 \u2013 beginning in February 2019 – $0.04166 per Unit).\n<\/p>\n
\nAs at September 30, 2020, the Trust declared nine distributions of $0.0433 per Series A and F Unit and six distributions of $0.0433 per Series B and C Unit for a total distribution of $0.3897 per Unit and $0.2598 per Unit for each series of units, respectively.\n<\/p>\n
Redesignation of Units<\/b><\/p>\n
\nSeries A Units were redesignated as Series C Units and Series C Units were redesignated as Series A Units, at the option of the holder, in accordance with the Declaration of Trust (\u201cDOT\u201d) at NAV.\n<\/p>\n
\nOn September 30, 2020, Series A Unitholders received 315,828 Series C Units with a NAV of $10.20 per unit in exchange for 330,823 Series A Units with a NAV of $9.73 per unit. In addition, Series C Unitholders received 6,702 Series A Units with a NAV of $9.73 per unit in exchange for 6,399 Series C Units with a NAV of $10.20 per unit.\n<\/p>\n
\nThe Series A Units are listed on the Exchange under the ticker SCHG.UN. Series C Units are unlisted.\n<\/p>\n
Update on the Impact of COVID-19<\/b><\/p>\n
\nSince the latter part of February 2020, financial markets have experienced significant volatility in response to the COVID-19 pandemic. In Q1 2020, the progressive shutdown of large global economies resulted in significant broad market selloffs of global equity markets. Equity markets have experienced elevated volatility in the face of rising unemployment and sharply declining economic output. The Public Portfolio has also experienced elevated volatility as equity investors have sought liquidity and safety in the face of uncertainty. As a result of COVID-19, trading volumes in the Public Portfolio have increased as the Investment Manager looks to take advantage of investment opportunities brought about by the elevated level of market volatility.\n<\/p>\n
\nWhile the events surrounding the COVID-19 pandemic have resulted in unprecedented market volatility, the Trust is well positioned to navigate through this challenging time. The Private Portfolio has not experienced a significant impact from COVID-19. The Public Portfolio is currently positioned in sectors and geographies believed to be the most resilient during and after the COVID-19 outbreak and to realize significant upside potential upon an economic recovery. The Investment Manager continues to review the Portfolio on a daily basis and remains committed to owning high-quality businesses with long term growth potential.\n<\/p>\n
\nIn response to the global pandemic, governments and central banks have reacted with significant monetary and fiscal stimulus programs designed to stabilize economic conditions. At this time, we have entered Phase 2 of the Covid-19 pandemic, the duration and magnitude of the COVID-19 outbreak is unknown, as is the efficacy of the government and central bank interventions. It is impossible to forecast the duration and full scope of the economic impact of COVID-19 and other consequential changes it will have on the Trust\u2019s business, both in the short term and in the long term. The Public Portfolio could experience further equity market declines, which could materially adversely impact the performance of the Trust. While the situation continues to evolve, the Trust is confident the tactical measures implemented to date will allow it to provide long-term value creation to Unitholders.\n<\/p>\n
Q3 2020 FINANCIAL AND OPERATIONAL HIGHLIGHTS<\/b><\/p>\n