Mackenzie Investments has launched three exchange-traded funds (ETFs) and three mutual fund products based on an investment process designed to offer investors enhanced diversification solutions.
The new ETFs and mutual funds give investors the potential to reduce risk concentration, and market bias, and improve risk-adjusted returns.
In partnership with TOBAM, an asset manager and index provider, Mackenzie Investments offers a proven methodology designed to protect portfolios from structural bias and unmanaged risks often found in cap-weight indices. The TOBAM methodology is supported by processes that have been patented across multiple jurisdictions.
The new Mackenzie ETFs and mutual funds provide investors with options to invest with broad geographic diversification, including the US, Europe and Asia.
"Investors are looking for solutions that enhance diversification and offer exposure beyond the Canadian borders and we are pleased to be the exclusive provider of this methodology to retail investors in Canada. Mackenzie ETFs and mutual funds are agile products that offer investors innovative choices for building diversified, long-term portfolios," says Barry McInerney, president and chief executive officer of Mackenzie Investments.
"We are committed to offering products that provide innovative solutions which include our active fixed income ETFs and the Canadian and US smart beta ETFs listed in Canada earlier this year. These new maximum diversification ETFs broaden that suite of offerings to offer choice and help investors aiming to achieve superior performance with lower risk over reasonable periods of time," says Michael Cooke, senior vice president and head of ETFs at Mackenzie Investments.
The mutual funds will be available for sale 8 September.
"At Mackenzie Investments, we strive to offer innovative products that can help Canadians meet their investment goals. These products, designed to be core holdings and incorporating active currency management, work well for Canadian retail investors who are seeking better diversification to potentially outperform benchmarks," says Michael Schnitman, senior vice president of product for Mackenzie Investments.
The offering of the three ETFs has closed and they have now begun trading on the Toronto Stock Exchange
The Mackenzie Maximum Diversification All World Developed Index ETF (MWD) offers long-term capital growth by investing in equity securities of developed world markets.
The Mackenzie Maximum Diversification All World Developed ex North America Index ETF (MXU) offers long-term capital growth by investing in equity securities located in developed world markets excluding North America.
The Mackenzie Maximum Diversification Developed Europe Index ETF (MEU) offers long-term capital growth by investing in equity securities of developed European markets.
The mutual funds are built with a core investment to the Mackenzie Maximum Diversification Index ETFs and may also invest in other ETFs, or in securities directly, from time to time for active risk management purposes.
The Mackenzie High Diversification Global Equity Fund provides investors with the broadest geographic diversification possible by investing in markets around the world.
The Mackenzie High Diversification International Equity Fund gives investors access to developed markets outside of North America.
Mackenzie High Diversification European Equity Fund offers opportunities for clients to benefit from the recovery and growth of Europe's economy.