SEC Filing Summary: Form 13F-HR
Business Context and Reporting Period
Reporting Manager: The Toronto-Dominion Bank (TD Bank)
Filing Type: Form 13F-HR (Combination Report)
Reporting Period: Quarter ended June 30, 2006
Submission Date: August 18, 2006
Scope: This report covers holdings managed by TD Bank and includes data from two other affiliated managers (TD Securities, Inc. and TD Global Finance). It represents a combination report where portions of holdings are reported by other managers.
Key Financial Metrics
Total Portfolio Value: $19,250,419,000 (Reported as $19,250,419 in thousands)
Total Number of Holdings: 1,723 entries
Asset Classes: Primarily common stock, preferred stock, and equity options (calls and puts).
Geographic Focus: Significant exposure to Canadian equities (Banking, Energy, Materials) and U.S. large-cap equities (Technology, Financials, Healthcare).
Material Holdings and Portfolio Composition
The portfolio demonstrates a heavy concentration in the financial and energy sectors, particularly within Canada. Key positions include:
- Financials: Massive holdings in domestic peers including Royal Bank of Canada ($56.1M), Bank of Nova Scotia ($45.5M), Bank of Montreal ($21.4M), and Canadian Imperial Bank of Commerce ($14.3M). Significant U.S. financial exposure includes Citigroup ($1.1M), JPMorgan Chase ($720k), and Bank of America ($610k).
- Energy & Materials: Substantial positions in TransCanada Corp ($16.4M), Talisman Energy ($10.7M), EnCana Corp ($8.3M), Suncor Energy ($4.3M), and Goldcorp ($8.8M).
- Technology: Notable holdings in Microsoft ($1.05M), Hewlett-Packard ($795k), Cisco Systems ($779k), and Intel ($800k).
- Derivatives: The filing lists extensive use of call and put options on major holdings such as Pfizer, General Motors, Microsoft, and Citigroup, indicating active risk management or hedging strategies.
Guidance, Outlook, and Risks
Management Commentary: As a Form 13F filing, this document contains no management commentary, earnings guidance, or forward-looking statements regarding the bank's own operations. It is a statutory disclosure of investment holdings only.
Risks & Contingencies: The filing does not disclose specific risks. However, the portfolio composition indicates high exposure to commodity price fluctuations (via energy and mining stocks) and interest rate sensitivity (via heavy banking sector exposure). The presence of significant short positions (puts) on major indices and individual stocks suggests a hedging strategy against market downturns.
Investor Verification Checklist
- Verify the total aggregate value of $19.25 billion against the bank's total assets to determine the proportion of assets under discretionary management.
- Confirm the specific breakdown of "Shared" vs. "Sole" voting authority for the largest Canadian banking positions to understand control dynamics.
- Review the option positions (calls/puts) on major holdings like Pfizer and General Motors to assess the bank's directional market view for the subsequent quarter.
- Check for any amendments filed after August 18, 2006, as 13F filings are subject to correction.