RBC Global Asset Management has launched four new Exchange Traded Funds (ETFs) specifically designed to meet investors’ demand for investments generating regular monthly income.
The new RBC Quant Dividend Leaders ETFs and RBC 1-5 Year Laddered Corporate Bond ETF are now available for purchase by advisors, individual and institutional investors on the Toronto Stock Exchange (TSX).
Go deeper with GlobalData
Access deeper industry intelligence
Experience unmatched clarity with a single platform that combines unique data, AI, and human expertise.
Doug Coulter, president of RBC Global Asset Management, said: "As Canada’s leading provider of income solutions, we are pleased to be able to leverage the breadth and depth of RBC GAM’s investment teams’ expertise in the development of new solutions. Our ongoing dialogue with advisors and investors has confirmed a strong interest in higher-quality investments with a focus on long-term income across a range of geographies. These new ETFs address those needs, offering superior construction and very competitive management fees."
Each RBC Quant Dividend Leaders ETF is managed by Bill Tilford, head of Quantitative Investments, RBC GAM and his team of portfolio managers and analysts.
The management team employs a rigorous, rules-based investment approach to identify companies with higher than average dividend yields, strong balance sheets, positive market sentiment and potential for future dividend growth. The result is an ETF that provides exposure to companies that are dividend leaders.
The RBC Quant EAFE Dividend Leaders ETF is the first and only EAFE dividend ETF in Canada. The US and EAFE Quant Dividend Leader ETFs are not currency hedged and are available for purchase in either Canadian dollar and US dollar units on the TSX.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataMark Neill, head of ETF, RBC "We believe that these new dividend ETFs provide a superior level of portfolio diversification, quality and value with access to some of the most attractive dividend growth opportunities available in the market."
The RBC 1-5 Year Laddered Corporate Bond ETF will provide exposure to a diversified portfolio of individual Canadian investment grade corporate bonds by holding the RBC Target Maturity Corporate Bond ETFs. The ETF offers the potential for a steady stream of income through exposure to a large, diversified portfolio of bond holdings.
Neill added: "Today’s launches bring our total number of RBC ETFs in the marketplace to 12. Adding these new dividend and laddered corporate bond options to our solutions suite enables advisors and investors to construct high-quality portfolios with leading dividend-paying companies, all with an experienced and trusted investment manager."
Management fee reduction on RBC Target Maturity Corporate Bond ETFs
In addition to the four new ETFs being launched today, RBC GAM also announced that it has reduced the management fee on seven of the existing RBC Target Maturity Corporate Bond ETFs, with maturity years ranging from 2015 through 2021, from 0.30% to 0.25%, effective today.
The RBC Target 2014 Corporate Bond ETF had its management fee reduced to 0.20% effective January 1, 2014, in accordance with its prospectus, as it entered its maturity year.
