In a world of structurally low interest rates, earning sufficient income from traditional investment sources such as government bonds has become ever more difficult. For many investors, including large institutions and pension plans1, the solution has been found in real assets.
There are many types of real asset investments that have the ability to generate income. At CI Investments, we focus on real assets that are backed by tangible, cash-flow generating assets with long-duration contracts, visible cash flows and strong business models with high barriers to entry. Here are a few examples :
Source: Bloomberg, as of July 31, 2020.
U.S. Equities = S&P 500 TR estimated dividend yield; Canadian Bonds = FTSE Canada Universe Bond Index yield to maturity; Global Equities = MSCI World TR estimated dividend yield; U.S. Investment Grade Bonds = Bloomberg Barclays U.S. Aggregate USD Hedged Index yield to maturity; Canadian Equities = S&P/TSX Composite TR estimated dividend yield; Real Estate = FTSE EPRA NAREIT Developed TR estimated dividend yield; Infrastructure = S&P Global Infrastructure TR estimated dividend yield.
1Large institutional investors have allocated an increasing percentage of their portfolios to real assets to fund their long-term pension obligations. For example, The Canada Pension Plan Investment Board annual report shows that nearly 24% of the fund's investments were in real estate, infrastructure and other real assets as at March 31, 2020.
CI Investments offers several options to access the attractive non-traditional source of income available through real assets. The team at Signature Global Asset Management has developed deep expertise investing in these areas on a global basis and manages over $7.5 billion2 in real assets across a variety of mandates to help investors access the opportunity.
|Mandate||Class A (ISC)||Class F||Ticker Symbol|
|CI First Asset Canadian REIT ETF||RIT|
|CI Global REIT Private Pool*||CIG2349||CIG4349||CGRE|
|CI Global Infrastructure Private Pool*||CIG2344||CIG4344||CINF|
|CI Global Real Asset Private Pool*||CIG2348||CIG4348||CGRA|
|First Asset REIT Income Fund||FAF5803||FAF5805|
|First Asset Utility Plus Fund||FAF5903||FAF5905|
|Signature Global REIT Fund||CIG50205||CIG54205|
|Signature Global Infrastructure Fund||CIG50230||CIG54230|
|Signature High Income Fund||CIG686||CIG447|
|Signature Diversified Yield Fund||CIG11111||CIG11011|
All funds and ETFs offer monthly distributions with the exception of First Asset Utility Plus Fund.
*Minimum investment was recently reduced to $25,000 per Private Pool
2 Source: Signature Global Asset Management as at June 30, 2020.
We believe strongly in the value of sound financial advice. Speak to a trusted advisor about how CI's investment solutions can help you achieve your financial goals.
If you don't have a financial advisor you may want to review: Why should I invest with a financial advisor?
Advisors, please contact your CI Sales Team representative to learn more.1-877-642-1289
Commissions, trailing commissions, management fees and expenses all may be associated with an investment in mutual funds and exchange-traded funds (ETFs). Please read the prospectus before investing. Important information about mutual funds and ETFs is contained in their respective prospectus. Mutual funds and ETFs are not guaranteed; their values change frequently and past performance may not be repeated. You will usually pay brokerage fees to your dealer if you purchase or sell units of an ETF on recognized Canadian exchanges. If the units are purchased or sold on these Canadian exchanges, investors may pay more than the current net asset value when buying units of the ETF and may receive less than the current net asset value when selling them.
This document is provided as a general source of information and should not be considered personal, legal, accounting, tax or investment advice, or construed as an endorsement or recommendation of any entity or security discussed. Every effort has been made to ensure that the material contained in this document is accurate at the time of publication. Market conditions may change which may impact the information contained in this document. All charts and illustrations in this document are for illustrative purposes only. They are not intended to predict or project investment results. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies.
Signature Global Asset Management is a division of CI Investments Inc. Certain funds associated with Signature Global Asset Management are sub-advised by CI Global Investments Inc., a firm registered with the U.S. Securities and Exchange Commission and an affiliate of CI Investments Inc.
The CI First Asset Exchange-Traded Funds (ETFs) are managed by CI Investments Inc., a subsidiary of CI Financial Corp., which is listed on the Toronto Stock Exchange under the symbol "CIX".
CI Investments, the CI Investments design, Signature Global Asset Management, the Signature Global Asset Management design and Trusted Partner in Wealth are registered and unregistered trademarks of CI Investments Inc., its subsidiaries or affiliated entities.
©CI Investments Inc. 2020. All rights reserved.
EXPERIENCED MANAGEMENT COUNTS
Eric Bushell, Senior Vice-President, Portfolio Management and Chief Investment Officer, began his career as an equity analyst and trader at BPI Mutual Funds in 1993 before becoming a portfolio manager at the firm. He joined CI Investment Inc.'s ("CI") Signature team in 1999 when BPI became part of CI Investments. He became Chief Investment Officer of Signature in 2002.
Lee Goldman is a portfolio manager with a successful long-term track record of managing real estate assets. He joined Signature Global Asset Management in 2018 following 12 years as a lead manager at First Asset. Lee holds a Bachelor of Science (Statistics) degree from the University of Western Ontario and a Master of Business Administration (Finance) degree from York University. He also holds the Chartered Financial Analyst designation.
Kate MacDonald joined Signature Global Asset Management in 2018 as a portfolio manager responsible for a number of dedicated real estate funds, as well as real estate allocations across various strategies. Prior to joining Signature, Kate co-managed the real estate portfolios at First Asset for five years. Kate holds a Masters in Finance from Queen's University, the Chartered Investment Manager designation, and the Chartered Financial Analyst designation.
Kevin McSweeney has 12 years of financial services and investment management experience and is a member of the team responsible for infrastructure and REITs. He moved to this team from the high-yield, convertible bond and leveraged loan assets team in 2016. Prior to joining Signature, Mr. McSweeney worked for six years with Scotiabank, most recently in corporate credit risk management. Prior to that, Mr. McSweeney worked with Finance Canada as a financial economist in the international trade and financial markets divisions. Mr. McSweeney holds a Bachelor of Arts (Honours) from St. Mary's University a Master of Business Administration from Dalhousie University, and the Chartered Financial Analyst designation.
Massimo Bonansinga has 21 years of financial, managerial and consulting experience. He focuses on industrials. Prior to joining Signature in 2005, he spent five years in investment banking in London with Bankers Trust and Morgan Stanley and five years in the automotive industry in Europe with Ford Motor Co. and Fiat Group, holding positions in finance. He has a Master of Business Administration from the Wharton School and a bachelor's degree in economics and accounting from Università Bocconi in Milan.
Geof Marshall, Senior Vice-President, Portfolio Management and Portfolio Manager, heads the corporate bond team and manages the high yield bond assets at Signature Global Asset Management. Mr. Marshall has extensive experience analyzing, managing and trading corporate bonds, leveraged loans and private credit. He is the lead manager of Signature High Yield Bond Fund and co-manages several Signature funds, including Signature High Income Fund, Signature Global Income & Growth Fund and Signature Corporate Bond Fund. He joined CI Investments Inc. in 2006 from Manulife Financial, where he was a portfolio manager. Mr. Marshall holds a Bachelor of Arts from the University of Western Ontario and the Chartered Financial Analyst designation. He is a member of the Finance and Investment Committee at the Royal Ontario Museum.