Desjardins Global Asset Management (DGAM), acting as manager and portfolio advisor of the Desjardins Exchange Traded Funds (ETFs), has launched a new alternative exchange traded fund to complement the suite of Desjardins ETFs.
The Desjardins Alt Long/Short Equity Market Neutral ETF has closed the initial offering of units, and is now trading on the Toronto Stock Exchange (TSX).
“With changes in mutual fund regulation we are very excited to offer investors our unique market neutral paired equity strategy that aims to offer absolute and uncorrelated returns in all market conditions”, explains Nicolas Richard, Chief Executive Officer of DGAM.
The Fund seeks to achieve positive returns in both positive or negative equity market conditions. The Fund is diversified in a number of pairs of correlated issuers, generally within the same industry sector, that neutralise the net market value of long and short positions, thereby reducing sector biases and market exposure. The Fund primarily invests, directly or indirectly, in long and short positions of equity securities of issuers located in Canada and throughout the world, treasury bills, money market instruments or other equivalent short term debt securities.