ROI Fund, Ontario’s newest labour-sponsored fund, reported sales of $15 million in its first year of operation, enough to grab 4.6% of Ontario’s LSIF market.

The Toronto-based company said it expected to raise $10 million in its launch year; it noted the performance came when many conventional mutual funds suffered one of the worst RSP seasons on record.

ROI CEO John Sterling said in a statement the company was surprised by the strong support of its fund through the advisor community. “The overwhelming support of our fund has reinforced our belief that investors are seeking investments that offer yield and stability and not simply a tax credit,” Sterling said.

He said investors were attracted to the fund’s mandate of investing only in mature companies within mature sectors of the economy using debt financing. The interest earned from the loans to these companies produce a predictable income stream into the fund, which is delivered as dividends to investors.

“In fact, we are the first in the industry not take a performance bonus until investors are paid a dividend, truly putting the needs of investors first”, he said.