Toronto-based First Asset Investment Management Inc.’s newest exchange-traded fund (ETF), First Asset Investment Grade Bond ETF, began trading on the Toronto Stock Exchange on Monday.
The product, which is being managed by Toronto-based Marret Asset Management Inc., was originally a mutual fund known as Marret Investment Grade Bond Fund prior to its conversion into an ETF.
The new ETF’s investment objectives are to provide unitholders with monthly cash distributions and to maximize total returns for unitholders consisting primarily of monthly distributions, while reducing risk and preserving capital. The ETF will be invested primarily in investment-grade bonds and other investment-grade debt securities under normal market conditions, according to an announcement released by First Asset.
“[First Asset Investment Grade Bond ETF] combines the benefits of active management provided by our credit research team, including access and execution, with the benefits of the ETF structure, including transparency, tax efficiency, liquidity and low cost,” says Paul Sandhu, vice president and portfolio manager at Marret, in a statement.
Sandhu, who was lead portfolio manager on the product prior to the conversion, will remain in that role for First Asset Investment Grade Bond ETF.
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