Capital Group Canada releases equity and fixed income ETFs, offering new portfolio options
Capital International Asset Management (Canada), Inc. (Capital Group Canada) has announced the availability of its first suite of active exchange traded funds (ETFs) on the Toronto Stock Exchange (TSX).
This suite includes two equity and two fixed income strategies, with the initial offering of units closing on October 22.
Rick Headrick, president of Capital Group Canada, said that the new ETFs offer another way for investors to access the company's active management capabilities, available in both mutual funds and ETFs.
These ETFs are designed around major asset allocation categories used by financial professionals when building client portfolios.
The four ETFs follow Capital Group's research-driven, long-term investment approach. They aim for consistency with a focus on key investment strategies:
- CAPG - Capital Group Global Equity Select ETF (Canada): Focuses on long-term growth of capital, primarily investing in global common stocks, including growth-oriented stocks. Future income is a secondary goal.
- CAPI - Capital Group International Equity Select ETF (Canada): Targets long-term growth of capital through investments in large-capitalization issuers outside North America.
- CAPM - Capital Group Multi-Sector Income Select ETF (Canada): Seeks to provide a high level of current income through a broad range of bonds and other debt securities. Capital appreciation is a secondary objective.
- CAPW - Capital Group World Bond Select ETF (Canada): Aims for high total return through bonds and other debt securities of global issuers. The total return reflects income and changes in market value of the investments.
Holly Framsted, head of global product strategy and development at Capital Group, noted that these ETFs were created with input from financial advisors to help clients achieve their financial goals, including financial stability, family support, and retirement planning.
The four ETFs were chosen as key components for the core of a client’s portfolio.
