Fidelity Investments Canada today announced the launch of three new global mutual funds including the Fidelity Global Dividend Fund, Fidelity Global Monthly Income Fund and Fidelity Global Bond Fund.
These new global funds match Canadian investors’ increased demand for regular income with their growing willingness to look for investment opportunities outside of Canada.
“Global investments should play an important part of a diversified portfolio,” said Stephanie Nacawa, vp, product research, Fidelity Investments. “Canadian investors should look beyond our borders to diversify their portfolio as there are a wealth of investment opportunities outside of Canada.”
Fidelity has over 900 portfolio managers, analysts and traders in research offices in Canada, the United States, Latin America, Europe and Southeast Asia all focused on investments around the world.
“A global player like Fidelity has the strength and expertise to help investors gain exposure to new global investment opportunities,” said Nacawa. “These new Fidelity funds provide investors with globally diversified opportunities across a variety of asset classes, geographic regions and industry sectors.”
Fidelity Global Monthly Income Fund invests in global equities and fixed-income securities, including two unique asset classes, global real estate equities and hedged U.S. high-yield bonds. The fund will provide investors with long-term capital growth and regular income through both geographic and asset class diversification.
The fund is led by co-portfolio managers Mark A. Friebel and Mariana Egan and supported by Fidelity’s extensive team of asset allocation investment professionals. The team employs a tactical asset allocation strategy to overweight the most attractive asset classes in the portfolio. It is suitable for investors with a low-to-moderate level of risk tolerance, and seeking global exposure, monthly distributions and moderate capital growth.
Fidelity Global Dividend Fund seeks long-term capital growth and attractive dividend yields by investing primarily in global dividend paying equities. Generally, companies that pay dividends are stable businesses that can afford to share profits with shareholders and, as a group, has had lower volatility than companies that do not pay dividends. The fund also invests in hedged global bonds and global real estate securities, to further diversify the fund.
This fund is suitable for investors who have a moderate tolerance for risk and want exposure to global dividend paying equities. It is led by co-portfolio managers Mark A. Friebel and Mariana Egan who are supported by Fidelity’s asset allocation team.
Fidelity Global Bond Fund seeks to provide income with some potential for capital gains by investing in global bonds, including government and corporate bonds. The fund is managed by Andrew Weir who is supported by Fidelity’s world-class Global Fixed Income team. It is suitable for investors that have a low risk tolerance and are looking for geographically diversified bond exposure.
The fund is offered in both hedged and unhedged versions. The hedged version mitigates the investor’s exposure to foreign exchange risk, while the unhedged version provides investors with foreign currency exposure.
Fidelity Special Situations Fund focuses on finding small-to-mid cap companies that have a strong potential for growth. Managed by Mark Schmehl, the fund’s objective is to achieve long-term capital growth by investing primarily in small and mid-cap Canadian and foreign equities. The fund has the potential to be concentrated in its stocks, industry and geography.
This fund is suitable for investors with a long-term investment horizon who want to add the growth potential of small and mid-sized companies to their portfolio and who has a moderate-to-high risk tolerance.