Updates took effect last July 2023
RBC Global Asset Management Inc. (RBC GAM) has made several updates to its fund offerings, including reductions in management and administration fees and adjustments to risk ratings for certain RBC and PH&N funds.
Last July 1, 2023, management and administration fees were reduced for specific funds. For example, the management fee for the RBC Select Conservative Portfolio, Series A, went from 1.58 per cent to 1.53 per cent and the RBC Managed Payout Solution - Enhanced, Series A, went from from 1.58 per cent to 1.45 per cent.
Likewise, the administration fees for several funds, such as the RBC Emerging Markets Dividend Fund, Series O, and the RBC Emerging Markets ex-China Dividend Fund, Series O, were lowered from 0.10 per cent to 0.07 per cent.
The company also made risk rating changes for several funds based on the methodology mandated by the Canadian Securities Administrators. This annual review led to changes such as the BlueBay Global Investment Grade Corporate Bond Fund (Canada) moving from a "Low" to a "Low to Medium" risk rating, and the BlueBay Emerging Markets Local Currency Bond Fund (Canada) shifting from "Low to Medium" to "Medium."
Other funds, including the RBC Monthly Income Fund and the RBC Select Conservative Portfolio, also saw their risk ratings increase from "Low" to "Low to Medium."
In addition, RBC GAM identified certain RBC Funds that were currently ineligible to be held in registered plans due to not reaching mutual fund trust (MFT) status. Funds affected included the RBC Emerging Markets ex-China Dividend Fund, the RBC QUBE Low Volatility Emerging Markets Equity Fund, and the RBC Vision Fossil Fuel Free Emerging Markets Equity Fund. If these funds were held within a registered plan, they might be subject to a tax payable. Once these funds achieve MFT status, they will become eligible for registered plans.
RBC GAM advised investors to consult their advisors and review the prospectus, Fund Facts, or ETF Facts documents before investing. Mutual funds are subject to commissions, trailing commissions, management fees, and expenses, making it possible for values to fluctuate.
