Evolve Funds Group Inc. has filed a preliminary prospectus to list a new global equity ETF.
If approved by securities regulators, the Evolve All-in-One UltraYield ETF will begin trading on the TSX under the ticker symbol EASY.
The prospective fund would aim to provide investors with “attractive income and long-term capital appreciation” by investing in a portfolio of global equities with the potential to generate “significant option premiums,” a release said. It would employ modest leverage and a covered call strategy to deliver on this objective.
The ETF would also pay cash distributions at least twice per month.
In recent months, more fund managers have rolled out ETFs with semi-monthly distributions, which, Global X Investment Canada Inc.’s Chris McHaney previously told Investment Executive, “mimic a paycheque.”
Franklin Templeton ups fund risk ratings
Franklin Templeton Canada has announced risk rating changes for certain series of two funds.
Effective Friday, the following series of the Franklin Quotential Diversified Income Portfolio and Franklin Unconstrained Global Equity Fund have had their risk ratings changed:
- Franklin Quotential Diversified Income Portfolio, series T-USD — risk rating is now low to medium, revised from low.
- Franklin Unconstrained Global Equity Fund, series A-hedged, series F-hedged, series FT-hedged, series I-hedged, series O-hedged, series T-hedged — risk rating is now medium to high, revised from medium.
- Franklin Unconstrained Global Equity Fund, series T-USD — risk rating is now high, revised from medium.
“The changes in risk ratings are the result of a continuous disclosure review by staff of the Ontario Securities Commission focused on risk ratings and are not the result of any alterations to the investment objective, strategy or management of these funds,” the firm said in a release.
Canada Life announces proposed fund mergers
Canada Life Investment Management Ltd. is proposing several mutual fund mergers to streamline its fund lineups for advisors and their clients.
The mergers would take effect on or around April 24, subject to investor approval at a special meeting held on or around April 10. They would be done on a tax-deferred basis.
The firm is proposing the following mergers:
- Canada Life Canadian Focused Growth Fund would be merged with Canada Life Canadian Growth Fund
- Canada Life Canadian Growth Balanced Fund would be merged with Canada Life Strategic Income Fund
- Canada Life Canadian Focused Value Fund would be merged with Canada Life Canadian Value Fund
- Canada Life Canadian Value Balanced Fund would be merged with Canada Life Strategic Income Fund
- Canada Life U.S. Carbon Transition Equity Fund would be merged with Canada Life ESG U.S. Equity Fund
- Canada Life U.S. Concentrated Equity Fund would be merged with Canada Life U.S. Value Fund
- Canada Life International Concentrated Equity Fund would be merged with Canada Life International Equity Fund
- Canada Life Emerging Markets Concentrated Equity Fund would be merged with Canada Life Emerging Markets Large Cap Equity Fund
Investors of the funds as of Wednesday are slated to receive a letter in the mail about the proposed changes on or around March 9.