What’s new from fund manufacturers

Advisor’s Edge regularly lists notable developments in Canada’s investment product landscape. Here are some newly released funds as well as some management fee reductions on existing funds:

• ESG investors now have access to a new fund from Purpose Investments Inc., whose Black Diamond Impact Core Equity Fund launched on July 12. With a risk rating of low to medium, the ETF version (TSX: BDIC) and Series F of the mutual fund have a management fee of 0.95%, while the fee on Series A of the mutual fund is 1.95%. The fund offers “diverse exposure across equity securities of companies all around the world that demonstrate a forward-looking sensitivity” to ESG factors, Purpose said in a press release. The subadvisor is Black Diamond Asset Management Inc.
• Tired of paying management fees on bond funds? Effective July 14, Invesco Canada Ltd. is no longer charging the 0.2% management fee on its 1-3 Year Laddered Floating Rate Note Index ETF (TSX: PFL). Invesco announced on July 12 the fee has been waived until at least Aug. 31, 2023. With a risk rating of low, the ETF holds AAA-rated and AA-rated short-term investment-grade government, agencies or provincial floating rate notes. “The laddering structure of PFL and short duration of underlying securities may help to reduce the interest-rate sensitivity of a portfolio in the current environment,” Invesco said in a press release.
• CIBC Asset Management Inc. is reducing management fees for its Renaissance Global Health Care Fund on Sept 1, 2022. The fee for series A will be 2.1%, down from 2.5%, while the fee for Series F will be 1.1%, down from 1.5%. The fund invests primarily in companies that design, develop, manufacture and distribute health-care products — including the medical technology, biotechnology, health care and pharmaceutical sectors. The risk rating is medium. Returns were 8.2% in 2021 and 9.2% in 2020. The fund is down 13.2% this year.
• A Phillips, Hager & North Investment Funds Ltd. corporate bond fund — originally capped to new investors early in the pandemic — is open again as of July 12. Parent firm RBC Global Asset Management Inc. said in a release that the Phillips, Hager & North High Yield Bond Fund has a limited amount of additional capacity, allowing for purchases by new investors. “RBC GAM Inc. has identified an opportunity to deploy capital in higher quality fixed-income instruments over the next several months to take advantage of current risk-adjusted yields,” a release said. RBC reserves the right to cap the fund or otherwise restrict investment at a later date. The fund — originally capped to new investors on April 17, 2020 — has a risk rating of low. The management fee is 1.43%. As of May 31, 14.3% of the fund was comprised of cash and cash equivalents, with the rest invested in corporate bonds.

If you would like us to consider your launch, email Greg Meckbach at greg@newcom.ca.