Transcript Slide 1

Roundtable:
Regional Investment Possibilities
in Targeted Investing
Access Capital Strategies LLC
December 6, 2006
This draft presentation is not an offer or solicitation of the Access Capital Strategies Community Investment Fund, Inc. (“Fund”) and is not a complete description of the Fund
and the risks associated with an investment. The offering of the Fund can only be made through the current version of the Fund’s Prospectus, which fully describes the Fund,
including investment strategies, risk factors, charges and expenses and must accompany this presentation.
Access Capital Strategies LLC
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Outstanding track record in Community Investing
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Seeks competitive, risk-adjusted, high-credit quality taxable fixed income
returns through an economically targeted investment vehicle.
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Manages the Access Capital Strategies Community Investment Fund, which is
sub-managed by Voyageur Asset Management Inc.
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To date, the Fund has helped to provide financing for 7,997 low- and
moderate-income homebuyers, 3,224 affordable rental housing units, 146
Small Business Administration loans, and 10 economic development loans in
communities in 44 states, including Washington, D.C. and Guam.
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The geographies of Fund investments are targeted by Fund Investors.
Access Capital Strategies LLC’s History
• Identified the need for a community development investment
vehicle that would create specialized mortgage-backed securities
targeted by income and region and other government guaranteed
loan programs.
• Created the first Fund of its kind to satisfy this need in 1998.
• Works as the manager to provide knowledge and skills in
sourcing community investment opportunities.
Access Capital Strategies, LLC Team
Access Capital provides expertise in the area of Community
Development investing. We are innovators at the forefront of
identifying and creating economically targeted investments while
allowing Investors to target specific geographic regions.
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Ronald A. Homer, Chief Executive Officer, 35 years as a national
leader in community development, 13 years as a bank CEO.
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David F. Sand, President and CIO, 25 years as an investment banker
and portfolio manager.
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Kathlean Nunnally, VP Finance and Administration, 20 years in
commercial and community banking, 7 years in community and
economic development.
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Melissa C. Quattrucci, Marketing & Client Service Manager, 12 years
as a project, account, and database manager.
Voyageur Asset Management Inc.
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Mid Size “Boutique” Firm Backed by Royal Bank of Canada
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Strong Fixed Income Management Capabilities
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Extensive Public Fund Investment Management Experience Across
Pension, Operating Funds and Insurance Mandates
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Niche Fixed Income Manager with Unique Expertise in the Asset
Class
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Dedicated Portfolio Management and Client Service Executives
Voyageur Asset Management Assets
As of 6.30.06
•Established in 1983, Voyageur Asset Management Inc. Has Over
20 Years of Investment Experience
•$28.2 Billion in Total Firm Assets Under Management*
• $18.2 Billion in Voyageur Fixed Income Assets
• $26.2 Billion in Voyageur Institutional Services
•Voyageur is Headquartered in Minneapolis, Minnesota
•117 Professional Staff Firm Wide
•Wholly Owned Subsidiary of the Royal Bank of Canada
• 7th Largest Financial Institution in North America
•*Please review the “Performance Presentation and Disclosures” appendix to these materials for a full
description of the organization and its two divisions.
Voyageur Asset Management Team
Voyageur Personnel Have Extensive Experience Working with Community Investment-Based Securities,
through Work in the Banking Sector.
John M. Huber, CFA, Chief Investment Officer - Fixed Income
John directs Voyageur's fixed income group. John joined Voyageur in 2004 from Galliard Capital Management where
he was a principal and senior portfolio manager, responsible for the firm’s total return fixed income effort. John received
a BA from the University of Iowa and an MBA in Finance from the University of Minnesota, Carlson School of
Management. John is a CFA charterholder and a member of the CFA Society of Minnesota.
Jennifer P. Hunt, Managing Director, Public Funds
Jennifer is responsible for institutional public fund sales and client service. In 2004, Jennifer was distinguished as
Money Management Letter's Public Funds Marketer of the Year, a highly coveted honor. Jennifer joined Voyageur in
2004 from Loomis, Sayles & Company where she was the director of public fund sales and marketing. Jennifer received
a BS in Finance from Boston College and is an Advisory Board Member for NASRA.
Brian Svendahl, Director of Portfolio Analytics, Portfolio Manager
Brian leads Voyageur’s Portfolio Analytics Team which conducts analysis of our investment process and security risks
in a consistent framework. Brian joined Voyageur in 2005 from Wells Fargo Brokerage Services, where he served as
senior vice president and risk manager. Brian received a BS in Economics from the University of Minnesota. He also
received a BBA in Finance and an MBA from the University of Minnesota, Carlson School of Management. Brian is a
Level III candidate for the Chartered Financial Analyst designation.
Steve Eldredge – Senior Portfolio Manager
Steve has actively managed bank investment portfolios for the past 25 years, including advising banks regarding
community development structures. Steve currently advises our national financial institution client base regarding fixed
income and community investment strategies.
Investment Objectives
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Invest in geographically specific, private placement debt securities located in
the portions of the United States designated by Investors
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Generate a competitive return relative to higher balance mortgage
investments
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Only invest in AAA/agency credit quality debt securities targeted to support
community development activities including:
– Single-family affordable housing
– Multi-family affordable housing
– Small business lending
– Job creation
– Community Health Centers
Investment Philosophy
We believe that superior investment results in a community investment fixed
income security portfolio can be achieved by:
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Utilizing a proprietary model to identify the investments that represent the best
value
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Relying on a micro view of the fixed income market
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Adhering to risk-controlled active management
– Top-performing total return managers take too much risk in pursuing larger returns
and enhanced index managers leave too much return on the table
– Tactics:
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Strategic allocation to spread sectors
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Utilize option-adjusted spread (OAS) to identify value
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Broad diversification to control risk
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Call-protected assets to manage convexity
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Focus on consistent series of value-added decisions – no big “bets”
Access Capital Strategies LLC Expertise
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Manages the Access Capital Strategies Community Investment Fund,
Inc.
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Separate Account : New York City Employees Retirement System
High Impact Transactions: Example 1
Community Reinvestment Fund (CRF)
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CRF, a Minnesota nonprofit corporation, promotes economic development
by creating jobs, affordable housing, and revitalizing communities innovative
capital markets transactions.
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Since 1988, CRF has purchased more than $400 million in development and
affordable housing loans from lenders nationwide, enabling additional
investments in low-income and economically disadvantaged communities in
38 states
CRF (continued)
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In November 2004, Access Capital Strategies invested $3MM in the AAARated CRF Series 17 Class A-3 Notes
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This loan pool consists of 128 economic development loans, including
affordable multi-family housing loans, from 40 state and local communityfocused originators in 19 states
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This transaction created liquidity to support new lending by non-traditional
originators
CRF Geographic Distribution of Development Loans
High Impact Transaction: Example 2
Holyoke Health Center, Inc.
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A Community Health Center established in 1970, located in a federally
designated Medically Underserved Area and a Health Professional Shortage
Area
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A state-licensed 501 (c) (3) organization that offers primary care and health
education, community outreach, and support services to the Holyoke, MA
Community
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Their Mission is to improve the health of their patients by providing affordable
and quality health care and supporting comprehensive community-based
programs to populations in Holyoke, MA
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In 2004, the Center treated 18,984 patients who live below the poverty level
and 8,024 patients who are uninsured
Holyoke Health Center, Inc. (continued)
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Holyoke, MA, has the highest state rate of mortality, teen births, AIDS/HIVrelated deaths, alcohol and drug related deaths, and deaths from homicide
and suicide
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The Center serves one-third of the total population of Holyoke which is
39,838
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The Center is located in a Low Income Census Tract where 72% of the
population is minority and 49% fall below the poverty line
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Staff members speak English and Spanish
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The Center will treat anyone regardless of age, residency, citizenship, or
ability to pay
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As of February 2006, the Center has added 300 new jobs
Our Investment in the Holyoke Health Center (continued)
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In March 2005, Access Capital Strategies made a $9,375,000 loan to the
Holyoke Health Center, which is guaranteed by the US Department of Health
and Human Services and was made in collaboration with the Massachusetts
Housing Investment Corporation (MHIC)
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Through the use of New Markets Tax Credits, MHIC provided the Holyoke
Health Center with multiple layers of financing to enable the Center to expand
health care and services while giving them a more efficient capital structure
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These funds will also be used for building rehabilitation and other Holyoke
Health Center initiatives
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Additional benefits include job creation, increased dollars spent in the
community, and expansion of a daytime workforce, all of which are critical to
the economic stabilization of Holyoke