CI Global Asset Management Continues Expansion of ETF Lineup with U.S. Inflation-Linked Bond and Actively Managed Emerging Markets ETFs
TORONTO (August 31, 2021) - CI Global Asset Management ("CI GAM") today announced the launch of two exchange-traded funds, further enhancing and diversifying its extensive lineup of more than 70 passive, smart beta and actively managed mandates.
- CI U.S. Treasury Inflation-Linked Bond Index ETF (CAD Hedged) begins trading today on the NEO Exchange under the ticker symbol CTIP. The ETF seeks to replicate, to the extent reasonably possible, the performance of a Canadian-dollar hedged, U.S. Treasury Inflation-Protected Securities ("TIPS") index, net of expenses. This passively managed, index-based ETF is the latest addition to the new CI Beta suite of ETFs, which allow investors to access broad markets or targeted market segments at a very low cost.
- CI Emerging Markets Alpha ETF begins trading today on the Toronto Stock Exchange under the ticker symbols CIEM (ETF C$ Series Units) and CIEM.U (ETF US$ Hedged Series Units). This actively managed ETF invests in quality companies that have long-term growth potential located in or serving customers in emerging markets and allows investors to benefit from the economic rebound in these markets.
"CI GAM offers a comprehensive selection of ETFs ranging from passive to smart beta and actively managed approaches, and covering a wide range of asset classes, sectors and geographies," said Roy Ratnavel, Executive Vice-President and Head of Distribution for CI GAM. "With these new ETFs, we continue to build on the choices available to advisors and investors."
Today's launches are the latest in a series from CI GAM, one of Canada's largest ETF providers with $14.2 billion in ETF assets under management.
"This year alone, we have launched 14 new ETFs, including mandates focused on bitcoin, ether, gold bullion, climate change, global growth equities, and technology and innovation, along with a suite of passive solutions and two alternative ETFs," Mr. Ratnavel said. "Many of these are also available as mutual funds, ensuring that investors can access our expertise in the investment structure they prefer. Other CI GAM launches this year Include a family of segregated funds, ESG portfolios, and a private equity fund.
"This rapid pace of product development reflects our commitment to meeting diverse client needs and executing on our strategic priority of modernizing our asset management business."
CI U.S. Treasury Inflation-Linked Bond Index ETF (CAD Hedged)
CTIP seeks to replicate the performance of the Solactive U.S. Treasury Inflation-Linked Bond Hedged to CAD TR Index. The index is a rules-based, market value-weighted index engineered to measure the performance of TIPS issued by the U.S., with foreign currency exposure hedged back to the Canadian dollar. The index is constructed by Solactive, an innovative provider of indexes and index solutions to the global financial services industry.
With a management fee of just 0.15%, CTIP serves as a convenient, cost-effective way to add an inflation-protected fixed-income source to a portfolio and to complement other equity and fixed-income solutions. CTIP joins four equity mandates in the recently launched CI Beta ETF lineup, CI GAM's first-ever family of passively managed ETFs. These ETFs, which are also listed on the NEO Exchange, include CI Canadian Equity Index ETF (CCDN), CI Global Healthcare Leaders Index ETF (CHCL.B), CI U.S. 1000 Index ETF (CUSM.B) and CI U.S. 500 Index ETF (CUSA.B). CTIP pays a monthly distribution.
CI Emerging Markets Alpha ETF
CIEM allows investors to access CI GAM's successful approach to emerging markets investing in an ETF and is a strong addition to CI GAM's extensive lineup of actively managed ETFs. The portfolio is managed by CI GAM's dedicated and experienced team of emerging markets specialists, led by Portfolio Manager Matthew Strauss, who has 27 years of investment experience. This team works closely with CI GAM's global sector specialists on research and security selection.
Mr. Strauss and the CI GAM team have produced excellent results managing CI Emerging Markets Fund over the past 10 years, achieving an overall five-star Morningstar Rating and outperforming its category average and benchmark index.*
CIEM allows investors to benefit from the superior growth potential of emerging economies relative to developed markets in the coming years and to add an important element of diversification to their portfolios. The CI GAM team believes that emerging markets offer increasingly appealing investment opportunities as these economies transition from a focus on labour and commodities to high-growth and value-added sectors such as technology, communications and consumer products.
For more information about CI GAM ETFs, visit firstasset.com.
About CI Global Asset Management
CI Global Asset Management is one of Canada's largest investment management companies. It offers a wide range of investment products and services and is on the Web at www.ci.com. CI GAM is a subsidiary of CI Financial Corp. (TSX: CIX, NYSE: CIXX), an independent company offering global asset management and wealth management advisory services with approximately $309.3 billion in total assets as at July 31, 2021.
|*Returns as at July 31, 2021||1 yr||3yr||5yr||10 yr|
|CI Emerging Markets Fund (Series F)1||16.30%||9.79%||11.62%||7.28%|
|Average - Emerging Market Equity Category||13.54%||5.19%||7.43%||4.61%|
|MSCI Emerging Markets Index (CAD)||12.43%||6.43%||9.42%||6.43%|
|Number of funds||287||242||182||81|
|1 Formerly Signature Emerging Markets Fund, renamed effective July 29, 2021.|
Source: Morningstar Research, as at July 31, 2021
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