Toronto-based iA Clarington Investments Inc. has launched an alternative mutual fund (a.k.a. liquid alt fund) and an international equity fund.
The liquid-alt fund, iA Clarington U.S. Equity Opportunities Fund, features a long/short approach to equities investing to generate “enhanced return potential” from the U.S. equities market, stated Eric Frape, iA Clarington’s senior vice president, product and investments, in a release.
The fund uses a 130/30 approach to long/short investing, with the long-only sleeve aiming for marketlike returns and some alpha, and the long/short sleeve aiming for pure alpha generation, according to the statement.
Series A units of this fund have an annual management fee of 1.90% and an annual fixed administration fee of 0.20%. (These fees are reduced by 0.10% for holders of Series E units.) The front-end sales charge is 0%-5%, and the trailing commission is 1.00%.
The international equity fund, iA Clarington International Equity Fund, is a low-cost, active core solution that invests in industry-leading companies outside Canada and the U.S. and uses a growth at a reasonable price investment style. The management fee for this fund is 1.65% and the annual fixed administration fee is 0.15%. (These fees are reduced by 0.05% for holders of Series E units.) The deferred sales charge begins at 5.75% in Year 1 and ends at zero after Year 7 for the regular DSC schedule; and begins at 3% in Year 1 and ends at zero after Year 3 of the low-load schedule. The front-end sales charge option is 0%-5%. Trailing commissions are 1% for front-end sales; 0.5% for the first seven years of deferred sales, and 1% thereafter; and 0.5% for the first three years of low-load sales, and 1% thereafter.