Capital Group Canada Introduces Active ETFs for Core Portfolio Building
TORONTO, Oct. 24, 2024 /CNW/ – Capital International Asset Management (Canada), Inc. (‘Capital Group Canada’) has announced the launch of its inaugural suite of active exchange traded funds (ETFs) on the Toronto Stock Exchange (TSX). This suite comprises two equity and two fixed income strategies, offering investors a new avenue to access Capital Group’s active management expertise.
The four ETFs, which successfully completed their initial unit offering on October 22, 2024, aim to provide investors with a comprehensive set of investment tools for building a well-diversified portfolio. “Our new suite of ETFs provides one more way for investors to access our active management capabilities in the vehicle they want – whether through mutual funds or ETFs,” stated Rick Headrick, president of Capital Group Canada. “Our ETFs are designed to focus on the major asset allocation categories used by financial professionals when constructing client portfolios and offer exposure to Capital Group’s distinctive investment approach and 90-years of investment experience.”
Capital Group’s suite of ETFs leverages the company’s renowned strengths, including low fees, rigorous fundamental research, long-term investment philosophy, and a multimanager investment system. These strategies prioritize high-conviction, long-term investment horizons, striving for below-average volatility and consistent performance. The newly launched strategies are:
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CAPG – Capital Group Global Equity Select ETF TM (Canada):
This ETF focuses on achieving long-term capital growth through investments predominantly in common stocks, including growth-oriented stocks, on a global scale. Future income generation serves as a secondary objective.*
CAPI – Capital Group International Equity Select ETF TM (Canada):
Designed for long-term capital growth, this ETF invests primarily in securities of large-cap issuers located outside of North America.*
CAPM – Capital Group Multi-Sector Income Select ETF TM (Canada):
This ETF aims to generate a high level of current income through investments primarily in a diversified range of bonds and other debt securities. Capital appreciation is its secondary objective.*
CAPW – Capital Group World Bond Select ETF TM (Canada):
This ETF seeks to provide a high level of total return over the long term, consistent with prudent investment management, through investments primarily in bonds and other debt securities of global issuers. Total return encompasses both income generated by the fund and changes in the market value of its investments.“Globally, our ETFs are built with input from financial advisors to support their efforts to help their clients achieve their financial goals, whether it’s to achieve financial stability, support their families, or retire comfortably. The first four ETFs for Canadian investors were carefully chosen to be important building blocks for the core of a client’s portfolio,” highlighted Holly Framsted, head of global product strategy and development at Capital Group.
To learn more about Capital Group Canada’s suite of active ETFs, please visit capitalgroup.com/active-etf.
About Capital Group
Capital International Asset Management (Canada), Inc. is part of Capital Group, a global investment management firm headquartered in Los Angeles, California. Since 1931, Capital Group has been dedicated to delivering exceptional results for long-term investors through high-conviction portfolios, rigorous research, and individual accountability. As of June 30, 2024, Capital Group manages over US$2.7 trillion in equity and fixed income assets for millions of individual and institutional investors worldwide. This includes 21 ETFs in the U.S., with assets under management exceeding US$42 billion, representing a 5% market share within active ETFs in the U.S. over the past two years. 1
Capital Group manages equity assets through three investment groups, operating independently for investment and proxy voting decisions. Fixed income professionals provide fixed income research and investment management across the Capital Group organization; however, they act solely on behalf of one of the three equity investment groups when dealing with securities with equity characteristics.
For more information, visit: www.capitalgroup.com/ca/en
1 Source: Morningstar as of September 30, 2024.