Desjardins launches a new Alternative Exchange Traded Fund and a separate US$ Hedged Unit Class of the Desjardins Alt Long/Short Equity Market Neutral ETF
MONTREAL, Oct. 14, 2022 /CNW Telbec/ - Desjardins Global Asset Management Inc. ("DGAM"), acting as manager and portfolio manager of the Desjardins Exchange Traded Funds ("ETFs"), announces the launch of the new Desjardins Alt Long/Short Global Equity Markets ETF comprising two classes of units, the CA$ hedged units ("DAMG") and the US$ hedged units ("DAMG.U"); and the launch of the new US$ hedged units of the Desjardins Alt Long/Short Equity Market Neutral ETF ("DANC.U"). The new Fund and the new class of units now join the Desjardins Alternative ETFs line-up.
The new Fund and the new class of units have each closed the initial offering of the units listed in the table below and these units will begin trading on the Toronto Stock Exchange (TSX) today.
Following the introduction of our Desjardins Alt Long/Short Equity Market Neutral ETF (DANC), DGAM is pleased to offer investors a second actively managed alternative ETF whose strategy seeks to achieve positive returns in both positive and negative market conditions by investing primarily in long and short positions on global equity market indices through futures and ETFs.
The ticker symbols and management fees of the Desjardins Alternative ETFs' new classes of units that will commence trading on the TSX today will be as follows:
Exchange Traded Funds (ETF) | Ticker symbol (TSX) | Management fee1 |
Desjardins Alternative ETFs | ||
Desjardins Alt Long/Short Global Equity Markets ETF – CA$ Hedged Units | DAMG | 1.00 % |
Desjardins Alt Long/Short Global Equity Markets ETF – US$ Hedged Units | DAMG.U | 1.00 % |
Desjardins Alt Long/Short Equity Market Neutral ETF - US$ Hedged Units | DANC.U | 1.00 % |
1 The annual management fees are based on a percentage of the net asset value of the relevant Desjardins Alternative ETF, and are calculated daily and payable monthly in arrears, plus applicable taxes. |
Desjardins Alt Long/Short Global Equity Markets ETF (TickersTSX: DAMG and DAMG.U): The Fund's objective is to achieve positive returns in both positive or negative equity market conditions. In order to achieve its investment objectives, the Fund primarily invests in long and/or short positions on equity index futures throughout the world and/or equity index ETFs listed in Canada or in the United States, treasury bills, money market instruments or other equivalent short term debt securities, with the objective of maximizing returns with controlled volatility and while maintaining a low correlation to traditional asset classes. Foreign currency exposure is generally hedged back to the currency in which the units are denominated through the use of currency forward contracts.
Desjardins Alt Long/Short Equity Market Neutral ETF - US$ hedged units (TickerTSX: DANC.U): The Fund seeks to achieve positive returns in both positive or negative equity market conditions. The Fund is diversified in a number of pairs of correlated issuers generally within the same industry sector that neutralize the net market value of long and short positions, thereby reducing sector biases and market exposure. The Fund primarily invests, directly or indirectly, in long and short positions of equity securities of issuers located in Canada and throughout the world, treasury bills, money market instruments or other equivalent short term debt securities. Any foreign currency exposure of the portion of the portfolio of the Fund that is attributable to the US$ Hedged unit class will be hedged back to U.S. dollars.
To obtain additional information about the Desjardins Alternative ETFs, visit the manager's website at desjardinsETF.com.
Desjardins Group is the largest cooperative financial group in North America and the fifth largest cooperative financial group in the world, with assets of $ 404.1 billion. It was named one of the 2022 Canada's Top 100 Employers by Mediacorp. To meet the diverse needs of its members and clients, Desjardins offers a full range of products and services to individuals and businesses through its extensive distribution network, online platforms and subsidiaries across Canada. Ranked among the world's strongest banks according to The Banker magazine, Desjardins has one of the highest capital ratios and credit ratings in the industry.
Established in 1998, Desjardins Global Asset Management (DGAM) is one of Canada's largest asset managers with in-house expertise in equity, fixed income and real assets (infrastructure, real estate) across a variety of investment vehicles. DGAM manages over $76 billion CAD (as of June 30, 2022) in institutional assets on behalf of insurance companies, pension funds, endowment funds, non-profit organizations and corporations across Canada.
With offices in Montreal, Quebec City and Toronto, our team of over 80 investment professionals uses a collaborative approach and combines innovation, accessibility and discipline to design solutions tailored to our clients' unique needs. We infuse our cooperative values into our investment process to ensure we are helping our partners and clients' assets grow in a sustainable and responsible manner.
The Desjardins Exchange Traded Funds are not guaranteed, their value fluctuates frequently and their past performance is not indicative of their future returns. Commissions, management fees and expenses all may be associated with an investment in exchange traded funds. Please read the prospectus before investing. Desjardins Global Asset Management Inc. is the manager and portfolio manager of the Desjardins Exchange Traded Funds. The Desjardins Exchange Traded Funds are offered by registered dealers.
The Desjardins Alt Long/Short Equity Market Neutral ETF and the Desjardins Alt Long/Short Global Equity Markets ETF are alternative mutual funds. They can invest in asset classes or use investment strategies that are not permitted for other types of mutual funds. The specific strategies that differentiate these ETFs from other types of mutual funds include the use of cash borrowings for investment purposes, short sales and derivatives. Leverage amplifies gains and losses. While the strategies will be used in accordance with the ETF's investment objectives and investment strategies, during certain market conditions they may accelerate the pace at which your investment decreases in value.
SOURCE Desjardins Group
For more information (media inquiries only): Public relations, Desjardins Group, 514-281-7000 or 1-866-866-7000, ext. 5553436, [email protected]
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