Product roundup: J.P. Morgan Asset Management expands its ETF lineup

JPMAM has promoted the products as a potential yin-and-yang combo. JAVA aims to identify companies at “attractive valuations” within a pure large-capitalization value portfolio, while JGRO seeks to identify “underappreciated growth opportunities,” primarily in large-cap companies but with flexibility to invest across the market capitalization spectrum.

Both products are actively managed, which gives their portfolio management teams the ability to be selective about the companies they invest in and how they weight the portfolios to those companies during this period of economic uncertainty and market volatility, said Travis Hughes, head of Canada with JPMAM.

“In this current environment … active management really has the opportunity to shine through,” he said in an interview.

“And it’s difficult, if not impossible, to predict the future, but both of these portfolio management teams have managed money in very volatile times, whether it be the Great Financial Crisis or the dot-com bust in the early 2000s.”

JAVA will focus on sectors such as financials, health care and industrials, where “value has been out of favour over the course of the last 10 years, as we’ve seen the growth side of the market do so well,” Hughes noted. It holds 161 stocks, including Wells Fargo & Co., Berkshire Hathaway Inc. and UnitedHealth Group Inc.

Meanwhile, JGRO will focus on sectors like tech, communication services and consumer discretionary. The fund can “move up and down the cap structure … so it gives you exposure to those more growth-centric names, but a little more diversification than what you would see in a passive Russell 1000 Growth [Index] strategy,” he said. The Magnificent Seven are among its 114 holdings.

Asked whether JPMAM is worried about launching U.S. equity ETFs at a time when there are reports of Canadian investors dumping U.S. equities amid the ongoing trade war between Canada and the U.S., Hughes said while the firm is mindful of investor sentiment in the country, it’s taking cues from its institutional and asset allocator clients.

“We’ve developed a product strategy and roadmap that was really informed by our clients of what we should bring to the market, and we’re not going to waver on that,” he said.

He also noted that U.S. equities still make up as much as 70% of the global equity market.

“So, while I do understand that some investors will be rebalancing their portfolios, for the most part, we believe that U.S. equities will continue to make up a large part of investor portfolios,” Hughes said.

The new ETFs come just months after JPMAM entered Canada’s ETF industry.

The firm plans to further grow its product offerings and headcount in the country, which currently sits at 40 JPMAM employees, Hughes said. New ETFs are also in the pipeline.

“We’ll probably add five to six [employees] over the course of the next few months, and continue to invest in the talent that will support this business,” he said.

The firm plans to “methodically and consistently bringing new ETFs to market over the course of this year and next,” Hughes added. “We have some plans for the summer, some plans for the fall, as well as the spring and summer of 2026.”

JPMAM does not have specific assets under management goals, Hughes noted, but it aims “to continue to bring what we believe are best-in-class global capabilities to the Canadian market.”

CI GAM looks to extend reach of two private markets funds

CI Global Asset Management (CI GAM) has tweaked to two of its private markets funds in hopes of extending their reach to more Canadian accredited investors.

As of April, the CI Private Markets Growth Fund and CI Private Markets Income Fund are to begin offering a Canadian-dollar purchase option in addition to the existing U.S. dollar purchase option.

Investments through the Canadian-dollar purchase option will not be hedged, the firm said in a release.

Also, the funds will switch to a monthly subscription schedule and monthly pricing, replacing the current quarterly schedule. This will mean that capital will be invested in the funds on the last business day of each month, otherwise known as the subscription date, and the funds will be priced monthly.

On pricing, CI GAM noted: “The net asset value (“NAV”) per unit will be struck for the last business day of each month and the NAV for each fund is expected to be available on or about the last business day of the following month. Currently, the funds are priced on a quarterly basis.”

CC&L Funds announces new fund, fund name change 

Connor, Clark & Lunn Funds Inc. (CC&L Funds) has announced the creation of a fund as well as a name change for another fund.  

In a release, the firm said its newly launched PCJ Focused Opportunities Fund is modelled after an existing institutional strategy that “seeks to deliver an attractive long-term growth profile by taking long and short positions” in North American equities. The fund is managed by PCJ Investment Counsel Ltd. and has a medium risk rating. 

Also, CC&L Funds has renamed the CC&L Alternative Income Fund to CC&L Absolute Return Bond Fund. 

RBC GAM sets target maturity date for four ETFs

Four fixed-income ETFs from RBC Global Asset Management Inc. (RBC GAM Inc.) are slated to mature this fall.

The RBC Target 2025 Canadian Government Bond ETF (TSX: RGQN), RBC Target 2025 Canadian Corporate Bond Index ETF (TSX: RQN) and RBC Target 2025 U.S. Corporate Bond ETF (TSX: RUQN) (TSX: RUQN.U) will mature on or about Sept. 12, 2025, a release said.

RBC GAM Inc. said it will confirm final maturity details around that date. Unitholders will receive further details at least 60 days before the maturity date.

ATB announces risk rating change

ATB Investment Management Inc. has changed the risk rating for its Compass Maximum Growth Portfolio from “low to medium” to “medium.”

“The change is a result of the firm’s annual risk rating review and renewal process and not the result of any alterations to the investment objective, strategy or management of the fund,” a release said.

Firms make fund name changes

Two firms have announced name changes for their funds.

Desjardins Investments Inc. has renamed the Desjardins Alt Long/Short Equity Market Neutral ETF Fund to the Desjardins Market Neutral ETF Fund.

In a release, the firm said the change is part of a broader step the firm is taking to streamline its ETF names and better differentiate them within Desjardins Investments’ lineup of alternative ETFs.

This change is subject to regulatory approval.

On the other hand, Russell Investments Canada Limited said the Russell Investments Inflation Linked Bond Fund will be renamed to the Russell Investments Long Duration Bond Fund, effective April 1.

In a release, the firm said the fund’s new investment objective “will be to provide a stable level of interest income by gaining exposure primarily to longer-dated government bonds.”

The fund’s risk rating will remain the same.