CIBC Asset Management Inc. today launched new low-cost exchange traded fund (ETF) solutions that complement its broad and innovative fund lineup and offer more options to help investors achieve their financial goals.
“Our entry into the growing ETF industry is a natural extension of our investment capabilities, allowing us to deliver solutions that meet clients’ varying investment needs when it comes to structure or price,” says David Scandiffio, President and CEO, CIBC Asset Management.
CIBC Asset Management is launching two strategic beta equity ETFs (one with a currency-hedged option) and two actively-managed fixed income ETFs with management fees ranging from 0.25 per cent to 0.35 per cent.
The strategic beta ETFs are designed to act as core holdings, providing clients with diversified exposure to Canadian and U.S. equity markets using a proprietary rules-based approach. The intent of the actively-managed ETFs is to diversify fixed income portfolios and generate current income for investors, while preserving capital.
“We have a long history of managing active and passive strategies and we developed these ETFs with our clients’ evolving needs in mind, including solutions for a low-yield, rising rate environment,” Mr. Scandiffio says.
Each of the following funds has closed its initial offering of units and will begin trading on the Toronto Stock Exchange today.
|TSX Ticker||ETF Name||Management Fee (%)*||Description|
|CMCE||CIBC Multifactor Canadian Equity ETF||0.25||Strategic beta ETFs that invest in an equally weighted portfolio of equity securities in Canada or the U.S., that exhibit low volatility, quality value and high price momentum characteristics.|
|CMUE||CIBC Multifactor U.S. Equity ETF||0.25|
|CMUE.F||CIBC Multifactor U.S. Equity ETF (CAD-Hedged)||0.25|
|CAFR||CIBC Active Investment Grade Floating Rate Bond ETF||0.30||Actively-managed ETFs that capitalize on CIBC Asset Management’s fixed income expertise in Canadian investment-grade debt securities.|
|CACB||CIBC Active Investment Grade Corporate Bond ETF||0.35|
Learn more about CIBC Exchange Traded Funds.