First Source Mortgage Fund Increases Monthly Distributions to Investors

TORONTO, April 03, 2023 (GLOBE NEWSWIRE) -- Effective March 31, 2023, the First Source Mortgage Fund ("the Fund") has increased the monthly distribution to investors from 62.5bps to 65bps. The result of this increase is a compounded annualized return of 8.03% for Class F units.

The continued impressive performance of the Fund is a result of their best-in-class underwriting practices, an increasing interest rate environment, and the dedication of the highly experienced team of professionals who manage the fund.

"We currently observe a healthy and robust alternative commercial mortgage market. The increasing interest rate environment has resulted in an influx of highly qualified deals that, fortunately for us, do not meet the stringent and inflexible requirements imposed by traditional lenders. We are open for new investor capital, we see this as an excellent opportunity for qualified investors to increase their portfolio yield while not necessarily taking on additional portfolio risk." said David Mandel, CEO of First Source Mortgage Corporation.

About First Source Mortgage Corporation

Founded in 2006, First Source is a boutique, private commercial mortgage lender based in the Toronto Area supporting Mortgage Brokers, Real Estate Advisers, as well as Builders and Developers with Non-Bank Mortgage Lending Services. 

About First Source Mortgage Fund

The Fund is a diversified portfolio of commercial and development property mortgages focused in the Greater Toronto Area and select other Southern Ontario markets. For Fund performance, investment opportunities, and investment qualifications please visit www.firstsourcemortgage.ca and/or contact 416-221-2238 Ext 32.

Forward Looking Statements

This news release contains forward-looking statements within the meaning of applicable securities laws including, among others, our objectives, our strategies to achieve those objectives, our performance, our mortgage portfolio and our distributions, as well as statements with respect to management's beliefs, estimates, and intentions, and similar statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "outlook", "objective", "may", "will", "expect", "intent", "estimate", "anticipate", "believe", "should", "plans" or "continue" or similar expressions suggesting future outcomes or events. Such forward-looking statements reflect management's current beliefs and are based on information currently available to management.

These statements are not guarantees of future performance and are based on our estimates and assumptions that are subject to risks and uncertainties, including those described in our Offering Memorandum under "Risk Factors" (a copy of which can be obtained at www.firstsourcemortgage.ca), which could cause our actual results and performance to differ materially from the forward-looking statements contained in this new release.

Those risks and uncertainties include, among others, risks associated with public health crisis; liquidity and price fluctuation of our common shares; dependence on the Fund manager and the mortgage banker; potential conflicts of interest; dilution; no guaranteed return; credit risk; interest rate risk; environmental matters associated with our business; availability of investments; reliance on the directors; borrowing; limited sources of borrowing; risks related to the renewal of mortgages comprising our investment portfolio; risks related to the composition of our investment portfolio; subordinated and subsequent debt financing; investment risk for land mortgage investments; reliance on borrowers; litigation risks; ability to manage growth; change in legislation; cyber risk; our convertible debentures; and qualification as a mortgage investment fund. Readers are cautioned that the foregoing list is not exhaustive. Although the forward-looking information continued in this new release is based upon what management believes are reasonable assumptions, there can be no assurance that actual results and performance will be consistent with these forward-looking statements.

All forward-looking statements in this news release are qualified by these cautionary statements. Except as required by applicable law, the Corporation undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.