TORONTO, May 30, 2017 /CNW/ - Franklin Templeton Investments Canada announced that two actively managed ETFs, Franklin Liberty Risk Managed Canadian Equity ETF and Franklin Liberty Canadian Investment Grade Corporate ETF, will begin trading on the Toronto Stock Exchange (TSX) at market open today. To celebrate the Franklin LibertyShares platform launch in Canada, Franklin Resources' Chairman and CEO Greg Johnson and President and COO Jenny Johnson will join a group of Franklin Templeton Investments Canada employees in ringing the TSX opening bell on May 31, 2017.
The Franklin LibertyShares platform in Canada will be subsequently expanded to include two strategic beta ETFs, Franklin LibertyQT U.S. Equity Index ETF and Franklin LibertyQT International Equity Index ETF, which are expected to begin trading on the TSX on June 5, 2017.
"Recognizing the changing needs of investors and advisors, we are offering them a range of investment vehicles to choose from," said Duane Green, president and CEO of Franklin Templeton Investments Canada. "Our initial suite of ETFs is designed to provide investors with core holdings to meet their investment needs, and this is just the beginning for the Canadian market."
Franklin Liberty actively managed ETFs will feature the specialized expertise of Franklin Templeton's investment teams, beginning with Franklin Bissett Investment Management.
- Franklin Liberty Risk Managed Canadian Equity ETF (FLRM) seeks to provide long-term capital appreciation with reduced volatility relative to the broad Canadian equity market by investing primarily in a diversified portfolio of Canadian equities. Incorporating a mix of historical and projected financial and stock market data, equities are selected based on a market capitalization-weighted rules based model, which is designed to identify factors measuring growth, value, risk and momentum. The ETF is co-managed by Franklin Bissett's Jason Hornett, VP and portfolio manager, and Tim Caulfield, VP, portfolio manager and director of Equity Research.
- Franklin Liberty Canadian Investment Grade Corporate ETF (FLCI) seeks to provide long-term capital growth and current income by investing primarily in investment grade corporate debt issued by Canadian corporations. In seeking to achieve its investment objective, the ETF may invest in interest rate derivatives, asset-backed or mortgage-backed securities and Canadian dollar-denominated debt issued by foreign corporations. The ETF is co-managed by Franklin Bissett's Darcy Briggs, VP and portfolio manager, and Adrienne Young, VP, portfolio manager and director of Credit Research.
"Franklin Templeton has been in the actively managed mutual fund business for 70 years, and we have brought our long-ranging perspective and experience to bear in entering the ETF business," said Patrick O'Connor, global head of ETFs for Franklin Templeton Investments. "Our ETFs were developed based on feedback from investors and advisors, who wanted to be able to access our expertise in an ETF vehicle."
Franklin LibertyQT strategic beta ETFs are uniquely constructed, as their indices are grounded in both fundamental and quantitative analysis. Each LibertyQT ETF seeks to replicate a systematic, rules-based index that applies four custom factor weightings to its underlying index: quality (50 per cent), value (30 per cent), momentum (10 per cent) and low volatility (10 per cent).
The two strategic beta ETFs that are expected to be listed on June 5 will be managed by Dina Ting, VP and senior portfolio manager, Global ETFs, based in San Mateo, California.
- Franklin LibertyQT U.S. Equity Index ETF (FLUS) seeks to replicate the performance of the LibertyQ U.S. Large Cap Equity Index, before fees and expenses. It invests primarily in equity securities of large- and mid-capitalization U.S. issuers.
- Franklin LibertyQT International Equity Index ETF (FLDM) seeks to replicate the performance of the LibertyQ International Equity Index, before fees and expenses. It invests primarily in equity securities of issuers located in developed markets, excluding the U.S. and Canada.
Franklin LibertyShares actively managed and strategic beta ETFs leverage the investment expertise, management insights and deep resources of Franklin Templeton Investments, a recognized global leader in asset management.
About Franklin Templeton Investments
Franklin Templeton Investments Corp. (known as Franklin Templeton Investments Canada) is a subsidiary of Franklin Resources, Inc. [NYSE: BEN]. Franklin Resources, Inc. is a global investment management organization operating as Franklin Templeton Investments, which provides global and domestic investment management to retail, institutional and sovereign wealth clients in over 170 countries. Through specialized teams, the company has expertise across all asset classes – including equity, fixed income, alternative and custom solutions. The company's more than 650 investment professionals are supported by its integrated, worldwide team of risk management professionals and global trading desk network. With offices in over 30 countries, the California-based company has 70 years of investment experience and approximately US$741 billion (C$1,011 billion) in assets under management as of April 30, 2017.
For more information, please visit LibertyShares.ca or franklintempleton.ca. Connect with Franklin Templeton on Twitter (@FTI_Canada) and read the Beyond Bulls & Bears blog featuring perspectives from Franklin Templeton investment professionals around the world.
Commissions, management fees and expenses may all be associated with investments in ETFs. Investors should carefully consider an ETF's investment objectives and strategies, risks, fees and expenses before investing. The prospectus and ETF facts contain this and other information. Please read the prospectus and ETF facts carefully before investing. ETFs trade like stocks, fluctuate in market value and may trade at prices above or below the ETF's net asset value. Brokerage commissions and ETF expenses will reduce returns. Performance of an ETF may vary significantly from the performance of an index, as a result of transaction costs, expenses and other factors. ETFs are not guaranteed, their values change frequently and past performance may not be repeated.
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SOURCE Franklin Templeton Investments Corp.
For further information: Media contact: Sarah Kingdon, Corporate Communications, Franklin Templeton Investments, 416.957.6191