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
| | TSX |Management|
| |SYMBOL| Fee |
|RBC Quant Canadian Dividend Leaders ETF | RCD | 0.39% |
|RBC Quant U.S. Dividend Leaders ETF | RUD | 0.39% |
|RBC Quant U.S. Dividend Leaders ETF - US$|RUD.u | 0.39% |
|RBC Quant EAFE Dividend Leaders ETF | RID | 0.49% |
|RBC Quant EAFE Dividend Leaders ETF - US$|RID.u | 0.49% |
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
| | TSX |Management|
| |SYMBOL| Fee |
|RBC 1-5 Year Laddered Corporate Bond ETF| RBO | 0.25% |
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 visit
*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.
Matt Gierasimczuk, RBC GAM Communications, 416 974
2124,email@example.com Leah Commisso, RBC GAM Media Relations,
416 955 6498,firstname.lastname@example.org
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