Frequently Asked Questions

Well-managed, financing-based investments can actually be more secure, especially if real estate values change. Financers don't have to be as concerned as owners do about possible value losses. As long as the financing opportunities are well-selected – and the borrowers can service the debt – the return is fixed over the life of the financing.

Typically, a first-time ACIC investor will commit between $35,000 and $50,000. But there is a lot of variation. Some people invest only the minimum of $5,000 to start, while others will make a much larger initial investment. Most first-time ACIC investors increase their investments later.

No investment is completely risk-free, and ACIC is no exception to this rule. However, we have a very strong track record, and current outlooks for the Western Canadian economy, real estate markets, and interest rates all make us optimistic about ACIC's future performance.

ACIC can be an important part of an investment strategy at any stage of life, and our investors cover all ages. Many new investors are well into their retirement and find ACIC to be an effective way to put their assets to work for them, and they want to establish another income stream.

We have a geographically diversified pool of loans with properties found in markets across British Columbia, Alberta and Ontario.

We are very careful about both who we lend to and what we lend for. We deal with a pool of highly experienced real estate entrepreneurs, who have proven abilities to locate and upgrade under-valued properties. We apply our own rigorous lending criteria to every potential investment opportunity, and we have never had a foreclosure on a mortgage.

Yes, and we address this by being very selective about who we provide mortgages to, and for what purposes. We look carefully at the underlying value of the property, and our borrowers typically provide additional security. This ensures that the financing we provide is adequately backed. We also regularly pursue first-mortgage financing opportunities.

Redemption is available quarterly. Our redemption policy includes some limits on the amount of redemption provided at any one time, but we have never had to invoke these provisions. As with most investments, a small redemption fee applies: 2%, which only applies to investments redeemed within the first 2 years from the investment date. After that, no redemption fees apply.

At ACIC, we have focused on people who want to invest directly, rather than on the costly exercise of working through the various networks of advisors. We prefer the more personalized and long-term relationships this lets us establish.

ACIC’s shares are not sold on the open market and our share price has remained the same since the company’s inception. Our investors earn their returns from the regular income that the shares generate which is in contrast to some other investments, where the return depends on increases in share value.

No. Remember, with ACIC you're a lender not an owner, and there's really never a bad time to lend money if it's done right. Even a significant market correction will not necessarily affect the performance of well-selected financing-based investments.

If you own property, your financing costs go up and your returns go down when interest rates rise. But an ACIC investment makes you a lender and puts you on the other side of this equation. Higher interest rates would improve our long-term returns.

Yes. You will need to have a self-directed plan set up through a third party trustee and make a minimum investment of $20,000. ACIC pays your interest amount back into your RRSP or RRIF account every quarter. 

Canada Revenue Agency deems the income from your ACIC investment to be interest income, and taxes it accordingly.

However, if your ACIC investment is held in a RRSP/RRIF account, the interest is tax sheltered.

At this point in time we do not handle TFSA accounts. We may re-evaluate this decision in the future.