RBC Asset Management Inc. today launched the RBC U.S. Equity Currency Neutral Fund and the RBC U.S. Mid-Cap Equity Currency Neutral Fund.

Both funds are designed to appeal to investors who are seeking broad exposure to U.S. equity markets, but who want to minimize their exposure to fluctuations between the U.S. and Canadian dollars.

“With the launch of these two funds, investors now have a greater ability to choose which investment-related risks they are willing to take on,” says Brenda Vince, president, RBC Asset Management Inc. “Now, investors can invest in the U.S., while minimizing their exposure to exchange rate fluctuations.”

RBC U.S. Equity Currency Neutral Fund invests in a well-diversified portfolio of large, growth-oriented stocks with selective, strategic exposure to some mid-cap stocks.

RBC U.S. Mid-Cap Equity Currency Neutral Fund invests primarily in equity securities of mid-cap companies.

Both funds use a passive currency hedge to offset fluctuations in the value of the U.S. dollar relative to the Canadian dollar.

As well, both funds are managed using the investment principles behind RBC U.S. Equity Fund and RBC U.S. Mid-Cap Equity Fund.

In addition to launching two U.S. currency neutral funds, RBC Asset Management is also reducing the management fee of the RBC U.S. Mid-Cap Equity Fund from 2% to 1.75%. This change is effective January 23.