RBC Global Asset Management has launched RBC US Banks Yield Index ETF (RUBY), which begins trading on the Toronto Stock Exchange today.
RBC US Banks Yield Index ETF tracks the Solactive US Banks Yield Index, which follows the performance of 21 of the largest US dividend paying bank stocks, as measured by market capitalisation and weighted based on their annual dividend yields. The management fee is 0.29 per cent
“Through our ongoing discussions with investors and advisors, there has been notable interest in further exposure to the U.S banking sector,” says Mark Neill, head of RBC ETFs. “This is driven by a desire for more diversification in the financial sector and by recent trends in the US, such as strong growth signals and changing monetary policy that has created a positive long-term outlook for US banks. As one of Canada’s leading providers of ETFs, we are pleased to offer an innovative and low-cost solution that will enable investors and advisors to invest in this sector.”
RBC US Banks Yield Index ETF is also available in USD and CAD hedged options to allow investors to choose their currency exposure.