Vanguard expands benchmark for six ETFs

Vanguard Investments Canada Inc. of Toronto is proposing to broaden the diversification of six exchange-traded funds (ETFs) to all-capitalization benchmarks. These ETFs include: Vanguard FTSE Emerging Markets Index ETF; Vanguard FTSE All-World ex-Canada Index ETF; Vanguard FTSE Developed Asia-Pacific Index ETF; Vanguard FTSE Developed Europe Index ETF; Vanguard FTSE Developed ex-North America Index ETF; and Vanguard FTSE Developed ex-North America Index ETF (C$-hedged). The proposed changes will occur over several months and are dependent upon obtaining unitholders’ approval. Once the changes are authorized, the six ETFs will be renamed, but their ticker symbols will remain the same. Small-cap holdings will account for roughly 10% of all benchmarks. As a result of the changes, both the emerging-markets ETF and the all-world ex-Canada ETF will have exposure to China-based Class A shares. For full details, visit www.vanguardcanada.ca.

(fcollie@investmentexecutive.com)