Toronto-based TD Asset Management Inc. (TDAM), manager of TD Mutual Funds, has added four new funds and two retirement portfolios to its lineup. The new funds provide investors with exposure to market opportunities outside Canada and include two new low-volatility options. The new funds are: TD U.S. Low Volatility Fund, TD Emerging Markets Low Volatility Fund, TD U.S. Monthly Income Fund (C$) and TD International Equity Fund. The new retirement portfolios, TD Retirement Conservative Portfolio and TD Retirement Balanced Portfolio, aim to protect assets from volatile markets while seeking income and modest growth. For the new funds and portfolios, advisor commissions are 0%-5% for front-end sales, 5% for deferred sales, 1% for the low-load option and 3% for the low-load 2 option. Redemption fees begin at 5.5% in Year 1 and end at zero after Year 6 for the regular DSC schedule; begin at 2% in Year 1 and end at zero after Year 2 of the low-load schedule; or begin at 3.5% in Year 1 and end at zero after Year 4 of the low-load 2 schedule. Trailing commissions for TD Retirement Conservative Portfolio are 0.75% for front-end and low-load sales; and 0.375% for deferred and low-load 2 sales. Trailers for TD Retirement Balanced Portfolio and all the new funds are 1% for front-end and low-load sales; and 0.5% for deferred and low-load 2 sales. Management fees are up to 1.5% for A-class units and up to 0.75% for F-class units for TD Retirement Conservative Portfolio; up to 1.85% for A-class units and up to 0.85% for F-class units for TD Retirement Balanced Portfolio and TD U.S. Low Volatility Fund; and up to 2% for A-class units and up to 1% for F-class units for TD Emerging Markets Low Volatility Fund, TD U.S. Monthly Income Fund (C$) and TD International Equity Fund. In addition, TDAM has chosen to charge a lower management fee than the management fee set out in the prospectuses on nine funds, as well as terminate nine other mutual funds from its lineup. Those funds are set to close on or about Dec. 6. For a full listing of fund closures and new management fees, visit www.tdassetmanagement.com.
Private-pool changes at RBC GAM
Toronto-based RBC Global Asset Management Inc. (RBC GAM) has made changes to two of its private pools: RBC Private Canadian Value Equity Pool and RBC Private Canadian Growth and Income Equity Pool. RBC GAM has terminated its subadvisory relationship with Toronto-based Scheer Rowlett & Associates Investment Management Ltd., formerly the subadvisor of RBC Private Canadian Value Equity Pool. This pool will be merged into PH&N Canadian Equity Value Fund, which is managed by RBC GAM, on Dec. 15. In the meantime, RBC GAM will be subadvisor to the pool. RBC Private Canadian Growth and Income Equity Pool has been reopened for new purchases to allow existing investors to add to their holdings and enable new investors to purchase units of the pool for the first time. The pool previously had been capped to new investors since Aug. 9, 2012.
Sprott launches new mutual fund
Toronto-based Sprott Asset Management LP has launched Sprott Enhanced Balanced Class Fund, which seeks to achieve long-term capital growth and income. John Wilson, senior portfolio manager and co-chief investment officer with Sprott, is lead manager. Advisor commissions are 0%-5% for front-end sales and 2.5% for the low-load option. There is no deferred option. Redemption fees begin at 3% in Year 1 and end at zero after Year 3 of the low-load schedule. Trailing commissions are up to 1% for front-end sales; or 0.75% for the first three years of low-load sales and 1% thereafter. Management fees are 1.9% for A-class units and 0.9% for F-class units. Minimum investment is $1,000. In addition, Sprott has introduced T-series and FT-series options for Sprott Enhanced Equity Class Fund for investors seeking to generate a tax-efficient cash-flow stream from their investments. Sprott also has renamed two funds: Sprott Opportunities Hedge Fund LP now is Sprott Enhanced Long-Short Equity Fund LP; and Sprott Opportunities RSP Fund now is Sprott Enhanced Long-Short Equity RSP Fund.
New subadvisor for Horizons ETF
Horizons ETFs Management (Canada) Inc. has appointed PUR Investing Inc. (both firms are based in Toronto) as subadvisor on Horizons Active Diversified Income ETF. Mark Yamada, president and CEO of PUR, brings more than 35 years of experience in asset management. PUR’s strategy focuses on building ETF portfolios for individual investors based on proprietary risk-optimization protocols.
Compiled by Clare O’Hara (cohara@investmentexecutive.com).
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