Manulife Investment Management introduces CYLD and UYLD ETFs, offering income and growth opportunities
Manulife Investment Management has introduced two new actively managed Manulife Smart Exchange Traded Funds (ETFs), which begin trading today on the Cboe Canada exchange.
The new ETFs, Manulife Smart Enhanced Yield ETF (CYLD) and Manulife Smart US Enhanced Yield ETF (UYLD), combine exposure to dividend securities with options derivatives to provide multiple income streams.
Manulife IM's Multi-Asset Solutions Team and its systematic equity beta team will actively manage these ETFs.
CYLD aims to provide a steady flow of income and long-term capital appreciation by investing in a diversified portfolio of Canadian dividend-paying securities.
Using a proprietary quality dividend screen, CYLD selects securities with high and sustainable dividends or those expected to grow over time, pursuing higher risk-adjusted returns.
The ETF also writes covered-call options or cash-covered put options on a percentage of its holdings to generate additional income streams for shareholders, with monthly income distributions.
Similarly, UYLD seeks to provide income and long-term capital appreciation through US dividend-paying securities, distributing income monthly. UYLD hedges most foreign currency exposure through derivatives and offers an unhedged solution (UYLD.B).
“We're pleased to leverage the experience of our multi-asset solutions and systematic equity beta teams to expand our capabilities in high-demand asset classes and provide alpha at a competitive price,” said Jordy Chilcott, head of retail intermediary distribution, Canada, Manulife Investment Management.
|
ETF Name |
Ticker |
CISFC Category |
Management Fee |
|---|---|---|---|
|
Manulife Smart Enhanced Yield ETF |
CYLD |
Canadian Dividend (Option-based) |
0.52 percent |
|
Manulife Smart US Enhanced Yield ETF |
|
US Dividend (Option-based) |
|
|
Hedged |
UYLD |
|
0.60 percent |
|
Unhedged |
UYLD.B |
|
0.55 percent
|
|
USD units |
UYLD.U |
|
0.55 percent |
The new ETFs are managed by Geoffrey Kelley, CFA, senior portfolio manager, global head of strategic asset allocation and systematic equity, MIM multi-asset solutions team; Jeffrey Wu, portfolio manager and senior investment analyst, Manulife IM multi-asset solutions team; Ashikhusein Shahpurwala, CFA, PRM, senior portfolio manager, Manulife IM systematic equity beta team; and Boncana Maiga, CFA, CIM, portfolio manager, senior investment analyst, Manulife IM systematic equity beta team.
“We're excited to expand our ETF lineup with two new solutions for investors seeking income and long-term capital appreciation,” said Mark Bankay, head of ETFs, Manulife Investment Management.
“Our proprietary call-put strategy enables these ETFs to offer equity exposure upside while mitigating downside market risks.”
With these launches, Manulife IM now manages 20 ETFs with $3.3B CAD under management. In addition to the new ETFs, their offerings include:
- Manulife Smart Short-Term Bond ETF (TERM)
- Manulife Smart Core Bond ETF (BSKT)
- Manulife Smart Corporate Bond ETF (CBND)
- Manulife Smart Dividend ETF (CDIV)
- Manulife Smart U.S. Dividend ETF – Unhedged Units (UDIV.B), Hedged Units (UDIV), USD Units (UDIV.U)
- Manulife Smart International Dividend ETF – Unhedged Units (IDIV.B)
- Manulife Smart Defensive Equity ETF (CDEF)
- Manulife Smart U.S. Defensive Equity ETF – Unhedged Units (UDEF.B), Hedged Units (UDEF), USD Units (UDEF.U)
- Manulife Smart International Defensive Equity ETF – Unhedged Units (IDEF.B)
- Manulife Multifactor Canadian SMID Cap Index ETF (MCSM)
- Manulife Multifactor U.S. Large Cap Index ETF – Unhedged Units (MULC.B), Hedged Units (MULC)
- Manulife Multifactor U.S. Mid Cap Index ETF – Unhedged Units (MUMC.B), Hedged Units (MUMC)
- Manulife Multifactor Canadian Large Cap Index ETF (MCLC)
- Manulife Multifactor Developed International Index ETF – Unhedged Units (MINT.B), Hedged Units (MINT)
- Manulife Multifactor Emerging Markets Index ETF – Unhedged Units (MEME.B)
- Manulife Multifactor U.S. Small Cap Index ETF – Unhedged Units (MUSC.B), Hedged Units (MUSC)
- Manulife Smart Global Dividend ETF Portfolio (GDIV)
- Manulife Smart Global Bond ETF (GBND)
