Mackenzie Financial Corp. of Toronto on Wednesday launched three new smart beta equity exchange-traded funds (ETFs) and three new mutual funds offering investors potential for improved risk-adjusted returns by reducing market biases and overconcentration in stocks or sectors.
In partnership with Paris-based TOBAM, an asset manager and index provider, Mackenzie is offering a proven methodology designed to protect portfolios from the structural biases and unmanaged risks often found in traditional indexes weighted by market capitalization of the underlying securities. The new ETFs and mutual funds offer options to invest with broad geographic diversification, including the U.S., Europe and Asia.
“At Mackenzie Investments we strive to offer innovative products that can help Canadians met their investment goals,” says Michael Schnitman, senior vice president of product, in a statement. “These products, designed to be core holdings and incorporating active currency management, work well for Canadian retail investors who are seeking better diversification to potentially outperform benchmarks.”
The three ETFs include:
- TSX: MWD Mackenzie Maximum Diversification All World Developed Index ETF.
- TSX: MXU Mackenzie Maximum Diversification All World Developed ex North America Index ETF.
- TSX: MEU Mackenzie Maximum Diversification Developed Europe Index ETF.
The three mutual funds are built with a core holding in the Mackenzie Maximum Diversification Index ETFs and may also invest in other ETFs.
They include Mackenzie High Diversification Global Equity Fund, Mackenzie High Diversification International Equity Fund and Mackenzie High Diversification European Equity Fund.
The mutual funds will be available for sale Sept. 8.
Photo copyright: rvlsoft/123RF