A summary of the Canadian ETF launches that occurred in June 2023.
Hamilton ETFs launched the Hamilton Utilities Yield Maximiser ETF. This solution seeks to provide attractive monthly income, while providing exposure to a portfolio of utility services companies’ equity securities with an active covered call strategy.
BMO Investments Inc launched three new mandates, the BMO Global Enhanced Income Fund, the BMO US Equity Value Multi-Factor Rank ETF, and BMO US Equity Growth Multi-Factor Rank ETF.
The BMO Global Enhanced Income Fund is an all-in-one asset allocation solution that provides instant diversification across a basket of BMO’s covered call ETFs. The ETF mandate is considered an income enhancement strategy because it generates additional cash-flow from the option premiums of the underlying ETFs.
The BMO US Equity Value Multi-Factor Rank ETF will invest primarily in equity securities of US companies priced below their intrinsic value, whereas the BMO US Equity Growth Multi-Factor Rank ETF will invest primarily in equity securities of US companies that offer above average prospects for growth.
Evolve Funds announced the launch of the Evolve NASDAQ Technology Index Fund. The ETF will seek to replicate the performance of the Nasdaq-100 Technology Sector Adjusted Market-Cap Weighted Index. The Index is designed to measure the performance of the technology companies in the Nasdaq-100 Index, which measures the performance of 100 of the largest non-financial companies listed on Nasdaq.
The firm has filed a preliminary prospectus with the Canadian securities regulators, an official launch date has yet to be announced.
Brompton Group launched the Brompton Split Corp Preferred Share ETF. Positioned as Canada’s first Split Preferred ETF, this solution presents an alternative to Canadian corporate preferred shares and is a unique solution for investors seeking a low-risk fixed income investment.
The underlying investment strategy of the ETF is to primarily invest in an actively managed portfolio of Split Corp Preferred Shares offered by Canadian split share corporations. The Brompton Group believes that Split Corp Preferred Shares should be considered for investment separately from their corporate preferred share counterparts, as Split Corp Preferred Shares can offer investors a way to diversify sources of preferred dividend income and potentially add stability to preferred share portfolios.