TORONTO, Oct. 30, 2014 /CNW/ - Invesco Canada announced today that it would provide greater flexibility in currency hedging for the management team of Trimark Global Dividend Class and Trimark Global Fundamental Equity Fund/Class (the "Funds").
Effective October 31, 2014, the portfolio management team will have full flexibility to make currency-hedging decisions in order to decrease the foreign currency exposure of the Funds. This broad latitude corresponds with the currency-hedging strategies of all other Trimark global and international funds.
"In today's increasingly volatile currency market, we believe our investors are better served when our portfolio management team is able to make discretionary hedging decisions," said Michael Hatcher, Head of Global Equities and Director of Research, Trimark Investments. "The flexibility to make currency-hedging decisions better equips us to protect investors' capital from adverse currency movements."
In the past, the Funds employed a fixed currency-hedging strategy. Under this strategy, the management team hedged approximately 50% of each Fund's exposure to five major currencies (U.S. dollar, Japanese yen, euro, British pound and Swiss franc) at all times.
Currency hedging will generally be employed for one of two reasons:
- The team may hedge the Fund's exposure to a foreign currency if they believe it is at risk of declining against the Canadian dollar
- If the team believes that currency movements could have an adverse impact on the operations of a company held in the portfolio. For example, if a company's expenses are denominated in one currency while the majority of its sales are in another currency, the team may try to hedge part of that currency risk within the portfolio
The portfolio management team does not anticipate any immediate changes to its currency hedges in any of the Funds.
To learn more, please visit www.invesco.ca.
About Invesco Canada Ltd.
Invesco Canada Ltd., operating under three distinct yet complementary product brands (Trimark, Invesco and PowerShares), is one of Canada's leading investment management companies. A subsidiary of Invesco Ltd., Invesco Canada's singular focus is on investment management, offering a diversified suite of solutions to institutions, organizations, companies and individual investors across Canada and around the world. Additional information is available at www.invesco.ca.
About Invesco Ltd.
Invesco Ltd. is a leading independent global investment management firm, dedicated to helping investors worldwide achieve their financial objectives. By delivering the combined power of our distinctive investment management capabilities, Invesco provides a wide range of investment strategies and vehicles to our clients around the world. Operating in more than 20 countries, the firm is listed on the New York Stock Exchange under the symbol IVZ. Additional information is available at www.invesco.com.
Commissions, trailing commissions, management fees and expenses may all be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Please read the simplified prospectus before investing. Copies are available from your advisor or Invesco Canada Ltd.
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© Invesco Canada Ltd., 2014
SOURCE: Invesco Canada Ltd.
For further information: Aysha Mawani, Vice President, Corporate Affairs, Tel: 416.324.7712, [email protected]