As interest rates take a dip, asset managers are increasingly leaning into the fixed-income space.
On Thursday, RBC iShares launched the actively managed iShares Flexible Monthly Income ETF (TSX: XFLI, XFLI.U), with a Canadian dollar–hedged version (TSX: XFLX) slated to launch on Oct. 1.
The fund invests in the BlackRock Flexible Income ETF (NYSE: BINC), which is managed by Rick Rieder, chief investment officer of global fixed income with BlackRock Inc. The management fee is 0.55%.
The ETF seeks to deliver income mostly by “allocating to hard-to-reach global fixed-income sectors, such as high yield, emerging markets debt and securitized assets,” a release said.
Also on Thursday, Evolve ETFs launched the Evolve Canadian Aggregate Bond Enhanced Yield Fund (TSX: AGG), which has a management fee of 0.45%. The actively managed fund invests mostly in fixed-income ETFs or securities primarily issued in Canada, and also uses a covered-call option.
Also this week, IG Wealth Management launched the IG Manulife Strategic Income Fund, which is within the firm’s new multi-sector fixed-income mandate. The fund aims to “mitigate risk and diversify sources of alpha,” a release said. The management fee is 0.65%.
Other product news
Fidelity Investments Canada ULC launched its Fidelity Equity Premium Yield ETF (Cboe: FEPY, FEPY.U), with a 0.40% management fee, on Thursday. The ETF offers exposure to an equity and options-based investment strategy.
Sun Life launched “Sun Life MyRetirement Income,” a target date fund that allows clients to change their maturity age and decide how often they receive payments. Money can be withdrawn or added without fees or penalties, a release said.