MINNEAPOLIS, MN, Jan. 9, 2014 /CNW/ - RBC Global Asset Management (RBC GAM-US) announced the addition of the RBC Short Duration Fixed Income Fund and the RBC Ultra-Short Fixed Income Fund to its mutual fund lineup, the latest in a series of recent launches geared toward the U.S. retail advisory and institutional marketplaces. The firm manages $37.9 billion in fixed income assets for U.S. investors, as of September 30, 2013.
"For 30 years, our firm has managed short duration fixed income portfolios for institutional investors," said Mike Lee, Chief Executive Officer and Chief Investment Officer of RBC GAM-US. "We are pleased to now offer that depth of experience to our mutual fund shareholders."
The RBC Short Duration Fixed Income Fund seeks to achieve a high level of current income consistent with preservation of capital and strives to maintain a duration of three years or less. The RBC Ultra-Short Fixed Income Fund also seeks to achieve a high level of current income consistent with capital preservation and will typically maintain an average weighted dollar maturity of 6 to 18 months.
Class I shares of the Funds are currently available to institutions and other U.S. investors with a minimum initial investment of $10,000. Class F* shares of the funds are expected to be effective on or about March 3, 2014, and will be available through certain broker-dealer intermediaries with a minimum investment of $10,000.
For further information about the RBC Short Duration Fixed Income Fund and/or the RBC Ultra-Short Fixed Income Fund, please visit https://us.rbcgam.com/mutual-funds/.
*The information in this communication is not complete and may be changed. We may not sell these securities until the registration statement filed with the Securities and Exchange Commission is effective. This communication is not an offer to sell these securities and is not soliciting an offer to buy these securities in any state where the offer or sale is not permitted.
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. The RBC GAM group of companies manages more than $300 billion in assets and has approximately 1,100 employees located across Canada, the United States, Europe and Asia.
In the United States, RBC Wealth Management operates as a division of RBC Capital Markets, LLC. Founded in 1909, RBC Capital Markets, LLC, is a member of the New York Stock Exchange, the Financial Industry Regulatory Authority, the Securities Investor Protection Corporation, and other major securities exchanges. RBC Wealth Management has more than $260 billion of assets under administration and nearly 2,000 financial advisors operating in 190 locations in 42 states.
RBC GAM-US serves as investment adviser for the Short Duration and Ultra-Short Fixed Income Funds, which are distributed by Quasar Distributors, LLC.
NOT FDIC INSURED. NO BANK GUARANTEE. MAY LOSE VALUE.
The RBC Funds' investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling 800-422-2766 or visiting https://us.rbcgam.com/mutual-funds/. Read it carefully before investing. The class F prospectus may be obtained once available by calling 800-422-2766.
Duration is a measure of the potential volatility of the price of a debt security, or the aggregate market value of a portfolio of debt securities, prior to maturity. Securities with a longer duration generally have more volatile prices than securities of comparable quality with a shorter duration.
Mutual fund investing involves risk. Principal loss is possible. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in lower-rated and non-rated securities present a greater risk of loss to principal and interest than higher-rated securities. Investments in foreign securities involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks are greater for emerging markets. Derivatives such as futures, forwards, and swaps involve risks different from, and in certain cases, greater than the risks presented by more traditional investments. Investments in Mortgage related securities including pass-through securities and Collateralized Mortgage Obligation include additional risks that investor should be aware of including credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments.
SOURCE: RBC Global Asset Management (U.S.)
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