Toronto-based Aequitas Innovations Inc. is welcoming four investment dealers to its fund technology platform that enables actively managed mutual funds to be transacted and settled like exchange-traded funds.
These products, called platform-traded funds (PTF), are now available to National Bank Financial Ltd., Jitneytrade Inc. (both which are based in Montreal), ITG Canada Corp. and BBS Securities Inc. (both of which are based in Toronto) through Aequitas PTF Connect.
PTFs were developed and are currently manufactured by Toronto-based Invesco Canada Ltd. and are solely available through Aequitas PTF Connect. The products benefit from a less costly trading process in which orders from advisors per firm are consolidated and settled only once at the end of the day as opposed to multiple orders being processed on behalf of individual clients. As a result of this streamlined process, they also have lower management fees than traditional mutual funds.
They are accessible to fee-based financial advisors employed by firms that are members of the Investment Industry Regulatory Association of Canada.
“With the onboarding of Invesco’s PTFs and a solid group of early adopter investment dealers, we have laid a strong foundation for the further growth of our platform,” says Karl Ottywill, chief operating officer, Aequitas Innovations Inc., in a statement released Thursday.
Invesco’s line of PTFs began trading on Aequitas PTF Connect in May and currently has $100 million in assets under management.
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