Toronto-based Franklin Templeton Investments Corp. officially launched its first two ETFs in Canada on Tuesday.
Franklin Liberty Risk Managed Canadian Equity ETF and Franklin Liberty Canadian Investment Grade Corporate ETF are based on actively managed portfolios and feature the specialized expertise of Franklin Templeton’s investment teams.
Franklin Liberty Risk Managed Canadian Equity ETF seeks long-term capital appreciation with reduced volatility relative to the broad Canadian equities market by investing primarily in a diversified portfolio of Canadian equities. The equities are selected based on a market capitalization-weighted, rules-based model, which is designed to identify factors measuring growth, value, risk and momentum.
Franklin Liberty Canadian Investment Grade Corporate ETF seeks long-term capital growth and to provide income by investing primarily in investment-grade corporate debt issued by Canadian corporations. The ETF may invest in interest rate derivatives, asset-backed or mortgage-backed securities and Canadian dollar-denominated debt issued by foreign corporations.
“Franklin Templeton has been in the actively managed mutual fund business for 70 years and we have brought our long-ranging perspective and experience to bear in entering the ETF business,” says Patrick O’Connor, global head of ETFs for U.S.-based parent company Franklin Resources Inc., in a statement.
Franklin Templeton also has plans to launch two additional ETFs offering a strategic beta approach — Franklin LibertyQT U.S. Equity Index ETF and Franklin LibertyQT International Equity Index ETF — that are expected to begin trading on June 5.
Photo copyright: rvlsoft/123RF