iA Clarington Investments has listed ETF share classes on Toronto Stock Exchange for three of its actively managed strategies that were previously only available in mutual fund format.
iA Clarington has listed three new ETFs on the Toronto Stock Exchange.
The listings consist of one fixed income ETF targeting floating-rate notes and two multi-asset ETFs providing strategic income and global allocation exposures.
Rob Martin, Vice-President, Product Management & Marketing, iA Clarington, said, “Advisors and self-directed investors who prefer to transact on an exchange now have access to three of iA Clarington’s most popular and successful mandates.”
The iA Clarington Floating Rate Income Fund (IFRF CN) seeks to generate a stream of current monthly income by investing in a range of floating-rate securities including senior loans, corporate bonds, asset-backed securities, and mortgage-backed securities.
Eligible securities need to be rated either investment grade or high yield and may come from issuers globally, although the fund is expected to focus on opportunities within North America.
Securities are selected based on a bottom-up analysis of issuers’ financial position, cash flow, and liquidity, as well as a top-down analysis of the interest rate and credit cycle.
The ETF’s management fee is 0.70%.
The iA Clarington Strategic Income Fund (ISIF CN) seeks to provide a balance of income and capital appreciation by investing primarily in Canadian equity and fixed income investments.
The fund may allocate a maximum of 70% of its exposure to either equities or fixed income at any time and will cap its exposure to foreign securities at 50%.
The fixed income component of the portfolio covers a range of securities including government bonds, corporate bonds, debentures, notes, senior loans, floating-rate debt, asset-backed securities, and mortgage-backed securities. The weighted-average credit rating of the fixed income segment is expected to be within a range of “B-” to “BBB+”.
The equity component of the portfolio may invest in common shares, preferred shares, convertible preferred shares, income trust units, real estate investment trusts (REITs), and other equity securities.
The ETF’s management fee is 0.70%.
The iA Clarington Global Allocation Fund (IGAF CN) seeks to provide income and capital appreciation by investing primarily in equity, fixed income, and money market instruments from around the world.
The fund has a ‘go-anywhere’ approach, seeking opportunities based on fundamental factors such as the economic cycle, relative interest rates, stock market values, and currency considerations.
The equity component of the portfolio targets quality companies at attractive valuations with the potential to grow intrinsic value over time, while the fixed income component seeks out securities believed to be undervalued and have the potential for credit upgrades.
The ETF is sub-advised by Loomis Sayles and comes with a management fee of 0.85%.
The funds complement a three actively managed iA Clarington ETFs already listed on TSX: the iA Clarington Core Plus Bond Fund (ICPB CN), the iA Clarington Global Bond Fund (IGLB CN), and the iA Clarington Emerging Markets Bond Fund (IEMB CN).