Product roundup: Sun Life introduces target-date funds with private markets exposure

SLGI Asset Management Inc. (Sun Life Global Investments) has expanded its “Granite” target-date fund lineup for Canadian workplace retirement plans with the introduction of funds that combine passive index investing with private markets exposure.

On May 4, the asset manager rolled out nine new funds with target-date maturities ranging from 2030 to 2065 as part of a new series of funds called “Granite Index+.”

The funds invest across 11 asset classes, including seven passively managed index funds that provide exposure to Canadian, U.S., international and emerging market equities, Canadian and U.S. bonds, and commodities. They also offer exposure to private markets, including private fixed income, commercial mortgages and global direct real estate.

The Granite Index+ funds are managed by Sun Life Global Investments’ Canadian-based multi-asset solutions team. They’re available exclusively through Sun Life Group Retirement Services.

“Granite Index+ broadens the Granite suite with a diversified approach, backed by Sun Life’s alternatives platform and our partnership with State Street Global Advisors, to help Canadians stay confident in their long-term plans,” said Oricia Smith, president of Sun Life Global Investments, in a release.

More CDRs from CIBC

CIBC continues to introduce new Canadian Depository Receipts (CDRs).

On May 7, CIBC debuted 15 CDRs that provide investors with exposure to well-known U.S. companies. They’re all hedged to the Canadian dollar, mitigating the currency risk that comes with foreign investment holdings.

They include:

• Amphenol CDR (TSX: APH)
• CoreWeave CDR (TSX: CRWV)
• D.R. Horton CDR (TSX: DHI)
• Freeport-McMoRan CDR (TSX: FCXS)
• Intuit CDR (TSX: INTU)
• KLA CDR (TSX: KLAC)
• Lam Research CDR (TSX: LRCX)
• Marvell Technology CDR (TSX: MRV)
• Northrop Grumman CDR (TSX: NOC)
• Quanta Services CDR (TSX: PWRS)
• Sandisk CDR (TSX: SNDK)
• Stryker CDR (TSX: SYK)
• T-Mobile CDR (TSX: TMUS)
• Vertiv CDR (TSX: VRT)
• Western Digital CDR (TSX: WDC)

With these additions, CIBC said it now has a total of 131 CDRs, spanning six countries.

J.P. Morgan Asset Management brings CAD-hedged U.S. equity ETFs to market

J.P. Morgan Asset Management (JPMAM) has launched a pair of Canadian-dollar-hedged U.S. equity funds.

The JPMorgan US Equity Premium Income Active ETF – CAD Hedged (TSX: JEPH) and the JPMorgan Nasdaq Equity Premium Income Active ETF – CAD Hedged (TSX: JPQH) began trading on May 4.

The funds “are designed to provide income alongside U.S. equity exposure while also managing currency risk,” a release said.

JEPH and JPQH are the Canadian-dollar hedged versions of the JPMorgan US Equity Premium Income Active ETF (TSX: JEPI) and JPMorgan Nasdaq Equity Premium Income Active ETF (TSX: JEPQ), respectively, it noted.

Global X adds ‘accumulating units’ to cash-alternative ETFs

Global X Investments Canada Inc. added “accumulating units” to four of its cash-alternative ETFs on the TSX on May 8.

These units are expected to pay distributions at least quarterly, “by issuing additional units that will be automatically reinvested and consolidated. While no cash is distributed, investors will continue to receive annual tax reporting consistent with that of traditional distribution-paying ETFs,” the asset manager explained in a release.

“Accumulating units can help improve the efficiency of your cash portfolio by reinvesting income automatically, reducing operational burden and potentially reducing the cash drag that can occur with monthly cash distributions,” said Chris McHaney, executive vice-president, head of investment management and strategy with Global X, in the release.

Asset manager looks to exit as funds’ trustee

McLean Asset Management Ltd. is looking to unload the trustee and managerial duties associated with two funds.

The firm is currently the trustee and manager of the GBW Alternative All-Weather Growth Fund and the GBW Alternative Short-Term Growth Fund. But it’s looking to host separate meetings with unitholders of the funds on June 26 to discuss having GB Wealth Inc. take over as trustee and manager of each fund. GB Wealth is currently the portfolio manager of the funds.

McLean is expected to resign as trustee and manager of the funds by June 30, unless a successor is appointed prior to that date, it said in a release on May 1.

Fund changes

Multiple asset managers have also announced changes to funds, including name, risk rating, ticker symbol and sub-adviser tweaks.

Invesco Canada Ltd. is making changes to its product lineup as it prepares to transfer its Canadian fund business to CI Global Asset Management. The firm is renaming two multi-factor ETFs. It’s also looking to terminate several PTF and PTFU mutual fund series by the end of May and has closed those series to new purchases as of May 1. Lastly, it’s planning to terminate some funds altogether. A full breakdown of the changes is available here.

Hamilton Capital Partners Inc. has changed the names of two ETFs. The Hamilton Canadian Bank Equal-Weight Index ETF is now Hamilton Champions Canadian Bank Equal-Weight Index ETF (TSX: HEB). Meanwhile, the Hamilton Enhanced Mixed Asset ETF had been renamed Hamilton Enhanced Mixed Asset Allocation ETF (TSX: MIX). The changes took effect Monday.

Scotia Global Asset Management said it’s appointing Pembroke Private Wealth Management as sub-adviser for the Scotia Wealth Canadian Growth Pool, with the change due to take effect on or around May 26.

As of May 8, Global X said the ticker symbol for the Global X Artificial Intelligence & Technology Index ETF has been changed to AIQ from AIGO.

Global X has also changed the risk ratings for several funds after an annual review of its product lineup.

Two funds — Global X Equal Weight U.S. Banks Index ETF (TSX: UBNK) and Global X Enhanced Russell 2000 Covered Call ETF (TSX: RSCL) — have had their risk ratings upped to “high” from “medium to high.”

A pair of other funds — Global X Equal Weight U.S. Groceries & Staples Index ETF (TSX: UMRT) and Global X Enhanced Equal Weight Canadian Telecommunications Covered Call ETF (TSX: RNCL) — have had their risk ratings increased to “medium to high” from “medium.”

Lastly, the Global X Defence Tech Index ETF (TSX: SHLD) had its risk rating downgraded to “medium” from “medium to high.”