ETF provides low-cost exposure to U.S. stock market
TORONTO, May 14, 2024--(BUSINESS WIRE)--CI Global Asset Management ("CI GAM") announces that CI U.S. 500 Index ETF has closed its initial offering of Hedged Common Units, which begin trading today on Cboe Canada Inc. under the ticker CUSA.
The Hedged Common Units of CI U.S. 500 Index ETF ("CUSA") provide diversified, hedged exposure to the U.S. market by tracking the performance of the Solactive GBS United States 500 Hedged to CAD Index (CA NTR), which is designed to reflect the performance of the largest 500 companies from the U.S. stock market. CUSA has a management fee of 0.08%.
"CUSA provides convenient, low-cost exposure to a portfolio of large-cap U.S. stocks with the added benefit of hedging to reduce the impact of foreign exchange fluctuations," said Jennifer Sinopoli, Executive Vice-President and Head of Distribution for CI GAM. "CUSA is the latest addition to the CI Beta ETF suite, a lineup of cost-competitive, index-based ETFs that can serve as core holdings or as complements to smart beta or actively managed solutions."
Unhedged Common Units of CI U.S. 500 Index ETF have been available since August 2021, trading under the ticker CUSA.B. The CI Beta ETF suite also includes Canadian and global equity and fixed-income mandates.
"At CI GAM, we are committed to providing advisors and investors with a comprehensive and innovative selection of high-quality ETFs, allowing them to build effective portfolios to meet their investment goals," said Ms. Sinopoli. "We continue to modernize our product offering by launching new solutions such as the recent CI Global Artificial Intelligence ETF (TSX: CIAI), enhancing our existing solutions, and simplifying and streamlining our lineup to improve the client experience."
CI GAM’s ETF lineup is one of the industry’s most diverse with more than 80 ETFs spanning beta, smart beta, asset allocation, managed volatility, actively managed, liquid alternatives, digital assets, covered calls, cash management, ESG and other thematic mandates. CI GAM is Canada’s fifth-largest ETF provider, with approximately $21.5 billion in ETF assets under management (as at March 31, 2024).
About CI Global Asset Management
CI Global Asset Management ("CI GAM") is one of Canada’s largest investment management companies. It offers a wide range of investment products and services and is on the Web at www.ci.com. CI GAM is a subsidiary of CI Financial Corp. (TSX: CIX), an integrated global asset and wealth management company with approximately $474.2 billion in assets as at March 31, 2024.
Commissions, management fees and expenses all may be associated with an investment in exchange-traded funds (ETFs). You will usually pay brokerage fees to your dealer if you purchase or sell units of an ETF on recognized Canadian exchanges. If the units are purchased or sold on these Canadian exchanges, investors may pay more than the current net asset value when buying units of the ETF and may receive less than the current net asset value when selling them. Please read the prospectus before investing. Important information about an exchange-traded fund is contained in its prospectus. ETFs are not guaranteed; their values change frequently, and past performance may not be repeated. Returns of the Index do not represent the ETF’s returns. An investor cannot invest directly in the Index. Performance of the ETF is expected to be lower than the performance of the Index.
This communication is intended for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to purchase mutual funds managed by CI Global Asset Management and is not, and should not be construed as, investment, tax, legal or accounting advice, and should not be relied upon in that regard. Every effort has been made to ensure that the material contained in this document is accurate at the time of publication. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies. These investments may not be suitable to the circumstances of an investor.
Solactive AG ("Solactive") is the licensor of Solactive GBS United States 500 Hedged to CAD Index (CA NTR) (the "Index"). The financial instruments that are based on the Index are not sponsored, endorsed, promoted or sold by Solactive in any way and Solactive makes no express or implied representation, guarantee or assurance with regard to: (a) the advisability in investing in the financial instruments; (b) the quality, accuracy and/or completeness of the Index; and/or (c) the results obtained or to be obtained by any person or entity from the use of the Index. Solactive reserves the right to change the methods of calculation or publication with respect to the Index. Solactive shall not be liable for any damages suffered or incurred as a result of the use (or inability to use) of the Index.
The CI Exchange-Traded Funds are managed by CI Global Asset Management, a wholly owned subsidiary of CI Financial Corp. (TSX: CIX). CI Global Asset Management is a registered business name of CI Investments Inc.
