Toronto-based Mackenzie Financial Corp. is looking to enter the exchange-traded fund (ETF) market with four products that focus on fixed-income securities, according to an ETF industry note by Montreal-based National Bank Financial Ltd.
The note, released Tuesday, indicates that Mackenzie has filed prospectus documents for the following ETFs:
1. Mackenzie Core Plus Canadian Fixed Income ETF, which will include a portfolio of investment- grade Canadian fixed-income securities that have the objective of providing steady income. The portfolio may invest up to 25% in subinvestment-grade securities but will keep the average credit rating to “A” or higher, as determined by a DBRS rating or an equivalent rating. The ETF may also invest up to 30% of its portfolio in foreign investments.
2. Mackenzie Core Plus Global Fixed Income ETF, which will actively invest in investment-grade fixed-income securities globally with the objective of providing a steady flow of income. The portfolio may invest up to 25% in subinvestment-grade securities but will keep the average credit rating to “A-” or higher, as determined by Standard and Poor’s Financial services LLC (S&P) or an equivalent rating.
3. Mackenzie Floating Rate Income ETF, which will have the option of actively investing in floating-rate and high-yield debt securities globally. The ETF may invest in floating rate notes, senior loans and high-yield corporate bonds.
4. Mackenzie Unconstrained Bond ETF, which will actively manage a portfolio of fixed-income securities globally with the objective of providing positive total return over a market cycle. The fund may invest in subinvestment-grade instruments.