Firm introduces second actively managed alternative ETF, and a US dollar-hedged class of previous offering
Desjardins Global Asset Management (DGAM) has expanded its lineup of alternative ETF offerings.
DGAM, acting as manager and portfolio manager of the Desjardins Exchange Traded Funds, introduces the new Desjardins Alt Long/Short Global Equity Markets ETF, which comprises two classes of units: CA$ hedged units, listed on the TSX as DAMG, and US$ hedged units, trading as DAMG.U.
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After the successful launch of Desjardins Alt Long/Short Equity Market Neutral ETF, DGAM is pleased to provide investors with a second actively managed alternative ETF whose strategy seeks to achieve positive returns in both favorable and unfavorable market conditions by investing primarily in long and short positions on global equity market indices through futures and ETFs.
The firm has also introduced US dollar-hedged units of the market neutral ETF, which is now listed under the ticker DANC.U.
All three ETFs have a management fee of 1.00%
The objective of the Desjardins Alt Long/Short Global Equity Markets ETF is to generate profits in both favourable and unfavorable equity market conditions.
The fund's primary investment strategy is in long and/or short positions on equity index futures globally. Currency forward contracts are typically used to use hedge foreign currency exposure back to the currency in which the units are denominated.
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Meanwhile, the Desjardins Alt Long/Short Equity Market Neutral ETF aims to generate positive returns, whether the equities market is doing well or poorly.
The fund's exposure to various pairings of correlated issuers, most of which are part of the same sector of the market, helps to balance out the net market value of long and short positions.
The US$ Hedged unit class part of the Fund's portfolio will have any foreign exchange exposure hedged back to US dollars.
