Product roundup: BMO rolls out new target-maturity bond ETFs

The funds invest primarily in investment-grade debt instruments of issuers in Canada and seek to provide income for a fixed period. They also use a hedging strategy designed to minimize reinvestment risk, the bank said in a release.

“The BMO Target Maturity Bond ETFs give investors another fixed income option, allowing them to tailor their overall mix of fixed income investments more effectively,” said Matt Montemurro, head of fixed income and equity index ETFs with BMO Global Asset Management, in the release.

“BMO Target Maturity Bond ETFs offer investors a bond-like experience with the liquidity and diversification benefits of an ETF.”

ZXCO seeks to provide income until about Nov. 19, 2027, ZXCP until about Nov. 24, 2028, and ZXCQ until about Nov. 30, 2029. However, any of these funds could mature at an earlier date, as long as unitholders are given at least 60 days’ notice.

Brompton introduces split shares ETF

Brompton Funds Ltd. has launched an ETF that invests in an actively managed portfolio of class A shares of split share corporations, the firm announced Friday.

The Brompton Split Corp. Class A Share ETF (TSX: CLSA) seeks to provide “attractive monthly distributions” and the “opportunity for capital appreciation,” primarily through investing in class A shares of split share corporations listed on a Canadian exchange, a release said.

Some of the split share corporations the ETF holds include Canadian Banc Corp., Dividend 15 Split Corp. II, E Split Corp., Global Dividend Growth Split Corp. and Brompton Split Banc Corp.

The ETF has a “high” risk rating and a 0.6% management fee.

Starlight launches equity ETFs

Starlight Capital has introduced two ETF series of existing equity mutual fund strategies.

The Starlight Global Growth Fund (Cboe: SCGG) and Starlight North American Equity Fund (Cboe: SCNA) began trading on March 17.

SCGG invests primarily in common shares and debt obligations anywhere in the world other than Canada. Its portfolio will predominantly consist of large-cap growth companies global securities outside of Canada. It has a 0.98% management fee.

SCNA, which has a 0.65% management fee, provides investors with exposure to North American equity securities, with a focus on long-term capital appreciation.

About half of SCNA’s portfolio is anticipated to be invested in Canadian securities, while the other half is invested in U.S. securities. However, the firm’s Fund Facts document notes that this allocation could change depending on market conditions.

A new alternative fund for accredited investors

Toronto-based Timbercreek Alternatives, a subsidiary of alternative asset manager Timbercreek Capital Inc., has rolled out a new private market fund that’s strictly available to accredited investors.

Launched March 5, the Timbercreek Alternatives Southern Europe Serviced Apartment Fund invests in the serviced apartment market in Spain and Portugal.

The fund qualifies as an eligible investment for registered accounts. It’s offered in partnership with Spain-based Incus Capital.

More information is available here.

Mackenzie terminates ETFs

Mackenzie Investments (Mackenzie) will soon terminate an ETF as well as the redemption of USD units of another ETF.

The firm said it plans to delist the Mackenzie Global Sustainable Dividend Index ETF (TSX: MDVD/MDVD.U) and the outstanding Series USD units of the Mackenzie US Large Cap Equity Index ETF (TSX: QUU.U) from the Toronto Stock Exchange on or about June 4.

In a release, Mackenzie said this is “part of its ongoing efforts to streamline its product shelf.”

Desjardins renames funds

Desjardins has renamed four of its ETFs “to streamline the names and to better differentiate the funds offered within the alternative asset category,” it said in a release.

Below are the following changes:

• The Desjardins Alt Long/Short Equity Market Neutral ETF (TSX: DANC) is now the Desjardins Market Neutral ETF.
• The U.S.-dollar-hedged version of the Desjardins Alt Long/Short Equity Market Neutral ETF (TSX: DANC.U) has been renamed to Desjardins Market Neutral ETF – US$ Hedged.
• The Canadian-dollar-hedged version of the Desjardins Alt Long/Short Global Equity Markets ETF (TSX: DAMG) is now the Desjardins Absolute Return Global Equity Markets ETF.
• The U.S.-dollar-hedged version Desjardins Alt Long/Short Global Equity Markets ETF (TSX: DAMG.U) has been renamed the Desjardins Absolute Return Global Equity Markets ETF – US$ Hedged.

The funds’ ticker symbols, objectives and investment strategies have not changed, Desjardins noted.