Welcome!

News Feed Item

iShares Offers Canadian Investors Exposure to the S&P/TSX Capped Composite Index at 5 BPS

iShares Launches Core Series: A Suite of Low-Cost Funds Designed for the Foundation of Canadian Investors' Portfolios

TORONTO, ONTARIO -- (Marketwired) -- 03/24/14 -- (TSX:XIC)(TSX:XEI)(TSX:XSH)(TSX:CAB)(TSX:CAB.A)(TSX:XLB)(TSX:XSP)(TSX:XUS)(TSX:XEF)(TSX:XEC)

iShares, the industry-leading exchange-traded fund (ETF) business at BlackRock Asset Management Canada Limited (BlackRock Canada), an indirect, wholly-owned subsidiary of BlackRock, Inc. (BlackRock), today announced the launch of the iShares Core Series for Canadian investors. As part of this launch the annual management fee on its iShares S&P/TSX Capped Composite Index ETF(i) (XIC) will be lowered to 0.05%, making Canada's benchmark-of-choice available at a very attractive low price. With $1.37 billion in assets under management (as of 03/21/14) and a 13-year track record of reliably delivering Canadian equity exposure, XIC is the low-cost flagship among a total of nine existing iShares funds in the iShares Core Series. BlackRock Canada has announced reductions to the annual management fees payable as a percentage of net asset value for all of the funds in the iShares Core Series, now ranging from 0.05% - 0.25% depending on the fund, effective as of March 25, 2014, described in the table below.

As the ETF market leader, with a 15 year history in ETFs in Canada and over $42 billion in AUM, the launch of the iShares Core Series signals another great step in our commitment to serving the needs of investors. The iShares Core Series is a suite of low-cost funds specifically designed for the long-term needs of today's investors by combining competitive pricing with diversified products using established index providers. The suite of funds cover key asset classes used by Canadian investors in their portfolios today, including Canadian equities, dividends and bonds, as well as U.S. and international equities.

"As we look to build on BlackRock's leadership position in Canada, we are taking another step to bolster our value proposition for investors," said Noel Archard, Managing Director, Head of BlackRock Canada. "We have brought the benefits of our global scale to an iShares Core Series in Canada, a low-cost range of key investment exposures for long-term investors."

iShares Core Series: Low-Cost, Core Exposures for Canadian Investors' Asset Allocation Needs

"iShares funds are used by individual investors, advisors, and institutions to express their views," said Mary Anne Wiley, Managing Director, Head of iShares Canada. "Our iShares Core Series provides all of these investors with the opportunity to efficiently create the core of their portfolio and execute their investment strategies."

With greater choice and diversity of products in the evolving ETF marketplace, Canadian investors are becoming increasingly savvy at using ETFs to meet their asset allocation strategies. Especially when it comes to their long-term core holdings, they are looking for any advantage to grow their wealth over time. Now, with new pricing on the iShares Core Series of nine iShares funds, BlackRock Canada is providing retail investors and their advisors with significant price flexibility as they implement their core asset allocation strategies more affordably - all backed by the quality, liquidity and transparency that has made iShares the Canadian ETF market leader.

At BlackRock, we believe investors should strengthen the core of their portfolios with low-cost, efficient products such as the iShares Core Series and complement their asset allocation strategies with outcome-based solutions designed to address more specific needs, from earning income in retirement to capitalizing on short-term market opportunities.

A growing number of institutional investors are already adopting this approach as they realize the benefits of ETFs as efficient, liquid building blocks to execute their investment strategies. A recent Greenwich Associates survey1 found that ETFs, while still popular for short-term tactical allocations such as cash equitization and manager transitions, are increasingly being used by institutions for strategic applications such as building liquidity overlays to core holdings. In fact, according to the Greenwich survey, the percentage of institutions using ETFs in this way has risen from just 3% in 2010 to 31% in 2013 - a dramatic 1,000% increase. Institutions are also using ETFs more and more as part of their "active beta" strategies, in which the funds allow them to execute highly targeted, outcome-based allocations.

Now, with the launch of the iShares Core Series, BlackRock is making this approach to ETF investing more broadly and more efficiently available to all investors - from institutions to retail investors.

"As more and more investors turn to ETFs for the diversification and exposures they seek in the core of their portfolios, we saw the opportunity to offer a cost-effective suite of funds that provide the professional quality you expect from iShares," added Wiley. "We believe that every investor is unique, and with this focused suite of funds, investors have the opportunity to match their long-term core holdings to their individual needs and still have the flexibility to complement them with more specialized ETFs that suit their specific objectives."

TABLE: Led by XIC, the iShares Core Series, a suite of newly priced ETFs is designed to meet the long-term needs of investors as they build the core positions of their portfolios and execute their asset allocation strategies.


----------------------------------------------------------------------------
iShares Fund                     Ticker        Current       Management Fee 
                                        Management Fee  (Effective 03/25/14)
----------------------------------------------------------------------------
Canadian Equity:                                                            
----------------------------------------------------------------------------
iShares S&P/TSX Capped                                                      
Composite Index ETF(i)              XIC          0.25%                 0.05%
----------------------------------------------------------------------------
iShares S&P/TSX Equity                                                      
Income Index ETF(i)                 XEI          0.55%                 0.20%
----------------------------------------------------------------------------
Canadian Fixed Income:                                                      
----------------------------------------------------------------------------
iShares Canadian Short Term                                                 
Corporate + Maple Bond                                                      
Index ETF(i)                        XSH          0.25%                 0.12%
----------------------------------------------------------------------------
iShares High Quality                                                        
Canadian Bond Index ETF+/-          CAB          0.30%                 0.12%
----------------------------------------------------------------------------
iShares Canadian Long Term                                                  
Bond Index ETF(i)                   XLB          0.35%                 0.18%
----------------------------------------------------------------------------
International Equity:                                                       
----------------------------------------------------------------------------
iShares S&P 500 Index ETF                                                   
(CAD-Hedged)(i)beta                 XSP    up to 0.22%                 0.10%
----------------------------------------------------------------------------
iShares S&P 500 Index ETF           XUS          0.14%                 0.10%
----------------------------------------------------------------------------
iShares MSCI EAFE IMI Index                                                 
ETF                                 XEF          0.30%                 0.20%
----------------------------------------------------------------------------
iShares MSCI Emerging                                                       
Markets IMI Index ETF               XEC          0.35%                 0.25%
----------------------------------------------------------------------------

(i) In addition, the iShares funds changed their names effective March 25, 2014 in order to replace the word "Fund" with "ETF" and/or to reflect changes to the name of their underlying index.

+/- The advisor class of the iShares High Quality Canadian Bond Index ETF with the ticker CAB.A has also changed its annual management fee to 0.12% from its current annual management fee of 0.30%.

beta In connection with the significant reduction of its annual management fee, the fee structure of the iShares S&P 500 Index ETF (CAD-Hedged) (XSP) will be changed effective March 25, 2014 from its current fee structure to a total annual fee structure, such that the total annual fees paid directly to BlackRock Canada and indirectly to any of its affiliates in connection with any underlying funds in which XSP may invest, will not exceed the annual management fee set out in the table above. Previously, the annual management fee payable in relation to XSP represented the sum of a variable underlying product fee paid to an affiliate of BlackRock Canada and a fixed management fee payable to BlackRock Canada.

1. Greenwich Report, "Versatility Fuels ETF Growth in Canadian Institutional Portfolio", Q2 2013

About BlackRock

BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At December 31, 2013, BlackRock's AUM was US$4.324 trillion. BlackRock helps clients meet their goals and overcome challenges with a range of products that include separate accounts, mutual funds, iShares® (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions®. Headquartered in New York City, as of December 31, 2013, the firm has approximately 11,400 employees in 30 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company's website at www.blackrock.com

About iShares ETFs

The iShares business is a global product leader in exchange traded funds with over 600 funds globally across equities, fixed income and commodities, which trade on 20 exchanges worldwide. The iShares funds are bought and sold like common stocks on securities exchanges. The iShares funds are attractive to many individual and institutional investors and financial intermediaries because of their relative low cost, tax efficiency and trading flexibility. Investors can purchase and sell securities through any brokerage firm, financial advisor, or online broker, and hold the funds in any type of brokerage account. The iShares customer base consists of the institutional segment of pension plans and fund managers, as well as the retail segment of financial advisors and individual investors.

iShares Funds are managed by BlackRock Asset Management Canada Limited. Commissions, trailing commissions, management fees and expenses all may be associated with investing in iShares Funds. Please read the relevant prospectus before investing. The funds are not guaranteed, their values change frequently and past performance may not be repeated. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.

© 2014 BlackRock Asset Management Canada Limited. All rights reserved. iSHARES® and BLACKROCK® are registered trademarks of BlackRock, Inc., or its subsidiaries in the United States and elsewhere. Used with permission.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Manufacturers are embracing the Industrial Internet the same way consumers are leveraging Fitbits – to improve overall health and wellness. Both can provide consistent measurement, visibility, and suggest performance improvements customized to help reach goals. Fitbit users can view real-time data and make adjustments to increase their activity. In his session at @ThingsExpo, Mark Bernardo Professional Services Leader, Americas, at GE Digital, discussed how leveraging the Industrial Internet and...
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @CloudExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. delaPlex pioneered Software Development as a Service (SDaaS), which provides scalable resources to build, test, and deploy software. It’s a fast and more reliable way to develop a new product or expand your in-house team.
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
Information technology (IT) advances are transforming the way we innovate in business, thereby disrupting the old guard and their predictable status-quo. It’s creating global market turbulence. Industries are converging, and new opportunities and threats are emerging, like never before. So, how are savvy chief information officers (CIOs) leading this transition? Back in 2015, the IBM Institute for Business Value conducted a market study that included the findings from over 1,800 CIO interviews ...
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
"We host and fully manage cloud data services, whether we store, the data, move the data, or run analytics on the data," stated Kamal Shannak, Senior Development Manager, Cloud Data Services, IBM, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists discussed how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations might...
Zerto exhibited at SYS-CON's 18th International Cloud Expo®, which took place at the Javits Center in New York City, NY, in June 2016. Zerto is committed to keeping enterprise and cloud IT running 24/7 by providing innovative, simple, reliable and scalable business continuity software solutions. Through the Zerto Cloud Continuity Platform™, organizations can seamlessly move and protect virtualized workloads between public, private and hybrid clouds. The company’s flagship product, Zerto Virtual...
Some people worry that OpenStack is more flash then substance; however, for many customers this could not be farther from the truth. No other technology equalizes the playing field between vendors while giving your internal teams better access than ever to infrastructure when they need it. In his session at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will talk through some real-world OpenStack deployments and look into the ways this can benefit customers of all sizes....
Extreme Computing is the ability to leverage highly performant infrastructure and software to accelerate Big Data, machine learning, HPC, and Enterprise applications. High IOPS Storage, low-latency networks, in-memory databases, GPUs and other parallel accelerators are being used to achieve faster results and help businesses make better decisions. In his session at 18th Cloud Expo, Michael O'Neill, Strategic Business Development at NVIDIA, focused on some of the unique ways extreme computing is...
The explosion of new web/cloud/IoT-based applications and the data they generate are transforming our world right before our eyes. In this rush to adopt these new technologies, organizations are often ignoring fundamental questions concerning who owns the data and failing to ask for permission to conduct invasive surveillance of their customers. Organizations that are not transparent about how their systems gather data telemetry without offering shared data ownership risk product rejection, regu...
Due of the rise of Hadoop, many enterprises are now deploying their first small clusters of 10 to 20 servers. At this small scale, the complexity of operating the cluster looks and feels like general data center servers. It is not until the clusters scale, as they inevitably do, when the pain caused by the exponential complexity becomes apparent. We've seen this problem occur time and time again. In his session at Big Data Expo, Greg Bruno, Vice President of Engineering and co-founder of StackIQ...
The security needs of IoT environments require a strong, proven approach to maintain security, trust and privacy in their ecosystem. Assurance and protection of device identity, secure data encryption and authentication are the key security challenges organizations are trying to address when integrating IoT devices. This holds true for IoT applications in a wide range of industries, for example, healthcare, consumer devices, and manufacturing. In his session at @ThingsExpo, Lancen LaChance, vic...