Reduces fees on seven RBC Target Maturity Corporate Bond ETFs
TORONTO, Jan. 15, 2014 /CNW/ - RBC Global Asset Management Inc. (RBC
GAM) today announced the launch of four new Exchange Traded Funds
(ETFs) specifically designed to meet investors' demand for investments
generating regular monthly income. The new RBC Quant Dividend Leaders
ETFs and RBC 1-5 Year Laddered Corporate Bond ETF are now available for
purchase by advisors, individual and institutional investors on the
Toronto Stock Exchange (TSX).
"As Canada's leading provider of income solutions, we are pleased to be
able to leverage the breadth and depth of RBC GAM's investment teams'
expertise in the development of new solutions," said Doug Coulter,
president of RBC Global Asset Management Inc. "Our ongoing dialogue
with advisors and investors has confirmed a strong interest in
higher-quality investments with a focus on long-term income across a
range of geographies. These new ETFs address those needs, offering
superior construction and very competitive management fees."
RBC Quant Dividend Leaders ETFs
RBC Quant Canadian Dividend Leaders ETF
RBC Quant U.S. Dividend Leaders ETF
RBC Quant U.S. Dividend Leaders ETF - US$
RBC Quant EAFE Dividend Leaders ETF
RBC Quant EAFE Dividend Leaders ETF - US$
Each RBC Quant Dividend Leaders ETF is managed by Bill Tilford, head of
Quantitative Investments, RBC GAM and his team of portfolio managers
and analysts. The management team employs a rigorous, rules-based
investment approach to identify companies with higher than average
dividend yields, strong balance sheets, positive market sentiment and
potential for future dividend growth. The result is an ETF that
provides exposure to companies that are dividend leaders.
The RBC Quant EAFE Dividend Leaders ETF is the first and only EAFE
dividend ETF in Canada. The U.S. and EAFE Quant Dividend Leader ETFs
are not currency hedged and are available for purchase in either
Canadian dollar and U.S. dollar units on the TSX.
"We believe that these new dividend ETFs provide a superior level of
portfolio diversification, quality and value with access to some of the
most attractive dividend growth opportunities available in the market,"
said Mark Neill, head of RBC ETFs.
RBC 1-5 Year Laddered Corporate Bond ETF
RBC 1-5 Year Laddered Corporate Bond ETF
The RBC 1-5 Year Laddered Corporate Bond ETF will provide exposure to a
diversified portfolio of individual Canadian investment grade corporate
bonds by holding the RBC Target Maturity Corporate Bond ETFs. The ETF
offers the potential for a steady stream of income through exposure to
a large, diversified portfolio of bond holdings.
"Today's launches bring our total number of RBC ETFs in the marketplace
to 12. Adding these new dividend and laddered corporate bond options to
our solutions suite enables advisors and investors to construct
high-quality portfolios with leading dividend-paying companies, all
with an experienced and trusted investment manager," Neill added.
Management fee reduction on RBC Target Maturity Corporate Bond ETFs
In addition to the four new ETFs being launched today, RBC GAM also
announced that it has reduced the management fee on seven of the
existing RBC Target Maturity Corporate Bond ETFs, with maturity years
ranging from 2015 through 2021, from 0.30 per cent to 0.25 per cent,
effective today. The RBC Target 2014 Corporate Bond ETF had its
management fee reduced to 0.20 per cent effective January 1, 2014, in
accordance with its prospectus, as it entered its maturity year.
For further information regarding RBC ETFs, please visit www.rbcgam.com/etfs.
Commissions, management fees and expenses all may be associated with
investments in exchange-traded funds. Please read the prospectus before
investing. Funds are not guaranteed, their values change frequently and
past performance may not be repeated. Fund units are bought and sold at
market price on a stock exchange and brokerage commissions will reduce
returns. RBC ETFs do not seek to return any predetermined amount at
maturity. Index returns do not represent RBC ETF returns. RBC ETFs are
managed by RBC Global Asset Management Inc., an indirect wholly-owned
subsidiary of Royal Bank of Canada.
About RBC Global Asset Management and RBC Wealth Management
RBC Global Asset Management (RBC GAM) is the asset management division
of Royal Bank of Canada (RBC), and includes institutional money
managers BlueBay Asset Management, Phillips, Hager & North Investment
Management and RBC Global Asset Management (U.S.). RBC GAM is a
provider of global investment management services and solutions to
individual, high-net-worth and institutional investors through
exchange-traded funds, hedge funds, mutual funds, pooled funds,
separate accounts and specialty investment strategies. RBC GAM group of
companies manage more than $300 billion in assets and have
approximately 1,100 employees located across Canada, the United States,
Europe and Asia.
RBC Global Asset Management is part of RBC Wealth Management, which is
one of the world's top 10 largest wealth managers*. RBC Wealth
Management directly serves affluent, high-net-worth and ultra-high net
worth clients in Canada, the United States, Latin America, Europe, the
Middle East, Africa, and Asia with a full suite of banking, investment,
trust and other wealth management solutions. The business also provides
asset management products and services directly and through RBC and
third party distributors to institutional and individual clients,
through its RBC Global Asset Management business (which includes
BlueBay Asset Management). RBC Wealth Management has more than C$615
billion of assets under administration, more than C$373 billion of
assets under management and over 4,400 financial consultants, advisors,
private bankers, and trust officers. For more information, please
*Scorpio Partnership Global Private Banking KPI Benchmark 2013. In the
United States, securities are offered through RBC Wealth Management, a
division of RBC Capital Markets, LLC, a wholly owned subsidiary of
Royal Bank of Canada. Member NYSE/FINRA/SIPC.
For further information:
Matt Gierasimczuk, RBC GAM Communications, 416 974 2124, firstname.lastname@example.org
Leah Commisso, RBC GAM Media Relations, 416 955 6498, email@example.com