Vanguard Investments Canada to Broaden Low Cost ETF Line-up
Vanguard Investments Canada Inc. plans to broaden its family of low-cost, high-quality exchange-traded funds to 11 with the addition of five new ETFs.
“We are pleased with the reception of Vanguard’s low-cost, index approach by Canadian advisors and investors to date. These offerings expand the ability of investors to assemble well-diversified, balanced portfolios”
The firm has filed a preliminary prospectus with the Canadian securities regulators for four stock ETFs and one bond ETF.
|Name of Vanguard ETF™||Benchmark|
|Vanguard FTSE Canadian High Dividend Yield Index ETF||FTSE Canada High Dividend Yield Index|
|Vanguard FTSE Canadian Capped REIT Index ETF||FTSE Canada All Cap Real Estate Capped 25% Index|
|Vanguard Canadian Short-Term Corporate Bond Index ETF||Barclays Global Aggregate Canadian Credit 1-5yr Float Adjusted Bond Index|
|Vanguard S&P 500 Index ETF||S&P 500 Index|
|Vanguard S&P 500 Index ETF(CAD-hedged)||S&P 500 Index (CAD-Hedged)|
Vanguard Investments Canada’s initial lineup of six ETFs was listed on Toronto Stock Exchange on December 6, 2011, and has attracted more than $300 million in total assets.
“We are pleased with the reception of Vanguard’s low-cost, index approach by Canadian advisors and investors to date. These offerings expand the ability of investors to assemble well-diversified, balanced portfolios,” said Atul Tiwari, Managing Director of Vanguard Investments Canada.
Vanguard is a global leader in ETFs with more than $215 billion in ETF assets, and has ETFs listed on exchanges in the U.S., Mexico, the United Kingdom, and Australia. In the U.S., Vanguard led the industry with $36 billion in ETF cash flow in 2011, and it continues to lead the industry in 2012, with $32.7 billion in cash flow through July (source: Bloomberg and Vanguard).
Vanguard Investments Canada Inc. is a wholly owned indirect subsidiary of The Vanguard Group, Inc. Vanguard is one of the world’s largest investment management companies and a leading provider of company-sponsored retirement plan services. Vanguard manages more than $2.1 trillion in global assets. Vanguard offers more than 170 funds to U.S. investors and more than 70 additional funds in non-U.S. markets. For more information, please visit vanguardcanada.ca.
All asset figures are as of July 31, 2012, unless otherwise noted.
A preliminary prospectus containing important information relating to securities of the new Vanguard Canada ETFs has been filed with the securities commissions or similar authorities in all provinces and territories of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be downloaded at www.sedar.com. There will not be any sale or acceptance of an offer to buy the securities until a receipt for the final prospectus has been issued.
Commissions, management fees, and expenses all may be associated with the Vanguard ETFs. ETFs are not guaranteed, their values change frequently, and past performance may not be repeated.
The Vanguard ETFs have been developed solely by Vanguard Investments Canada Inc. The FTSE Canada High Dividend Yield Index and the FTSE Canada All Cap Real Estate Capped 25% Index (the “Indices”) are calculated by FTSE International Limited (“FTSE”) or its agent. All rights in the Indices vest in FTSE. “FTSE®” is a trade mark of the London Stock Exchange Group companies and is used by FTSE under licence.
The Vanguard ETFs are not sponsored, endorsed, sold or promoted by Barclays. Barclays does not make any representation regarding the advisability of the Vanguard ETFs or the advisability of investing in securities generally. Barclays’ only relationship with Vanguard is the licensing of the index which is determined, composed and calculated by Barclays without regard to Vanguard or the Vanguard ETFs. Barclays has no obligation to take the needs of Vanguard or the owners of the Vanguard ETFs into consideration in determining, composing or calculating the index. Barclays has no obligation or liability in connection with administration, marketing or trading of the Vanguard ETFs.
S&P 500® is a registered trademark of Standard & Poor’s Financial Services LLC (“S&P”) and has been licensed for use by The Vanguard Group, Inc. The Vanguard ETFs are not sponsored, endorsed, sold or promoted by S&P or its affiliates, and S&P and its affiliates make no representation, warranty, or condition regarding the advisability of buying, selling, or holding units in the Vanguard ETFs.