Welcome!

News Feed Item

IShares Adds Low-Cost Access to Short Duration, High Quality Bonds to the Core Series for Canadian Investors with XSQ

The iShares Core Series for Canadian Investors Leads in Market Flows Since Launch

TORONTO, ONTARIO -- (Marketwired) -- 07/21/14 -- (TSX: XSQ)(TSX: XIC)(TSX: XEI)(TSX: XSH)(TSX: XQB)(TSX: XQB.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), announced the addition of the iShares Core Short Term High Quality Canadian Bond Index ETF (XSQ) to its Core Series. On the heels of the successful launch of the iShares Core Series for Canadian investors earlier this year, this new fund will deepen the fixed income opportunities within the Core Series by offering investors low-cost exposure to high quality, liquid, short duration Canadian bonds (1-5 years), with a credit rating of A or higher. XSQ has an annual management fee of 0.12%. XSQ has now closed the initial offering of its units which will be available for trading on the TSX when the market opens today.

"In an environment where rising rates are on the horizon, investors are reconsidering how best to access bonds," said Noel Archard, Managing Director, Head of BlackRock Canada. "With the addition of XSQ to our iShares Core Series, Canadian investors will have low-cost access to high quality short duration bonds that are well-suited for the long term as well as for managing against this potential risk."

High Quality Bond Exposure for the Core of the Portfolio

Similar to the iShares Core High Quality Canadian Bond Index ETF (XQB),(1) which is also part of the iShares Core Series, XSQ will provide diversified bond exposure with a weighting of 60 per cent government bonds and 40 per cent corporate bonds. While XQB covers the universe, XSQ will capture the short end of the Canadian bond universe by seeking to replicate, to the extent possible, the performance of the FTSE TMX Canada Liquid Short Term Capped Bond Index. Both XSQ and XQB provide investors with exposure to higher credit quality bonds without a large sacrifice in yield relative to comparable market cap weighted portfolios that include lower rated securities across their respective duration profiles.

iShares Core Series Leads Industry Flows

As the ETF market leader, with a 15-year history in ETFs in Canada and over $44.4 billion in assets under management, BlackRock Canada is launching XSQ on the heels of its successful iShares Core Series initiative that was launched in March. The iShares Core Series, a suite of nine, now 10, low-cost funds that cover the key assets classes used by Canadian investors in their portfolios today, has effectively captured 46% flows across the respective asset classes since launch(2).

"At BlackRock we continue to look for ways to build upon the success of our iShares Core Series designed with Canadian investors in mind and deliver products that speak to the evolving needs of investors," said Archard. "The addition of diversified, short duration bond exposure to the iShares Core Series with XSQ is one step further in that direction."

Designed to Make Investing Simpler, Easier and More Efficient

BlackRock Canada is committed to making it easier for investors to reach their goals. As the ETF universe continues to evolve and become more complex, the iShares Core Series for Canadian investors was designed to make it easier for the long-term investor to identify the investments suitable for the core of their portfolio. To further strengthen this effort, effective July 16, 2014, the funds in the Core Series have been renamed to include "Core" directly in the fund name, as set out below.


----------------------------------------------------------------------------
Ticker                     Former Fund Name                    New Fund Name
----------------------------------------------------------------------------
           iShares S&P/TSX Capped Composite      iShares Core S&P/TSX Capped
XIC                               Index ETF              Composite Index ETF
----------------------------------------------------------------------------
              iShares S&P/TSX Equity Income   iShares Core S&P/TSX Composite
XEI                               Index ETF          High Dividend Index ETF
----------------------------------------------------------------------------
              iShares High Quality Canadian        iShares Core High Quality
XQB                          Bond Index ETF          Canadian Bond Index ETF
----------------------------------------------------------------------------
                iShares Canadian Short Term iShares Core Canadian Short Term
XSH        Corporate + Maple Bond Index ETF Corporate + Maple Bond Index ETF
----------------------------------------------------------------------------
            iShares Canadian Long Term Bond  iShares Core Canadian Long Term
XLB                               Index ETF                   Bond Index ETF
----------------------------------------------------------------------------
XUS               iShares S&P 500 Index ETF   iShares Core S&P 500 Index ETF
----------------------------------------------------------------------------
            iShares S&P 500 Index ETF (CAD-   iShares Core S&P 500 Index ETF
XSP                                 Hedged)                    (CAD- Hedged)
----------------------------------------------------------------------------
                                            iShares Core MSCI EAFE IMI Index
XEF         iShares MSCI EAFE IMI Index ETF                              ETF
----------------------------------------------------------------------------
          iShares MSCI Emerging Markets IMI       iShares Core MSCI Emerging
XEC                               Index ETF            Markets IMI Index ETF
----------------------------------------------------------------------------

Effective July 21, 2014, the TSX ticker symbols for the Common Units and the Advisor Class Units of the iShares Core High Quality Canadian Bond Index ETF have also changed as set forth below.


----------------------------------------------------------------------------
Class of Units        Former TSX Ticker Symbol         New TSX Ticker Symbol
----------------------------------------------------------------------------
Common Units                               CAB                           XQB
----------------------------------------------------------------------------
Advisor Class
 Units                                   CAB.A                         XQB.A
----------------------------------------------------------------------------

Further information on the iShares funds can be found at iShares.ca.

About BlackRock

BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At June 30, 2014, BlackRock's AUM was US$4.594 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 June 30, 2014, the firm had approximately 11,600 employees in more than 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.

(1) Formerly iShares High Quality Canadian Bond Index ETF (CAB). See below for further details.

(2) Source: Internal research, BlackRock Canada, as of June 30, 2014.

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
Regardless of what business you’re in, it’s increasingly a software-driven business. Consumers’ rising expectations for connected digital and physical experiences are driving what some are calling the "Customer Experience Challenge.” In his session at @DevOpsSummit at 20th Cloud Expo, Marco Morales, Director of Global Solutions at CollabNet, will discuss how organizations are increasingly adopting a discipline of Value Stream Mapping to ensure that the software they are producing is poised to ...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In his Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will explore t...
When NSA's digital armory was leaked, it was only a matter of time before the code was morphed into a ransom seeking worm. This talk, designed for C-level attendees, demonstrates a Live Hack of a virtual environment to show the ease in which any average user can leverage these tools and infiltrate their network environment. This session will include an overview of the Shadbrokers NSA leak situation.
SYS-CON Events announced today that delaPlex will exhibit at SYS-CON's @ThingsExpo, 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.
Interested in leveling up on your Cloud Foundry skills? Join IBM for Cloud Foundry Days on June 7 at Cloud Expo New York at the Javits Center in New York City. Cloud Foundry Days is a free half day educational conference and networking event. Come find out why Cloud Foundry is the industry's fastest-growing and most adopted cloud application platform.
In his opening keynote at 20th Cloud Expo, Michael Maximilien, Research Scientist, Architect, and Engineer at IBM, will motivate why realizing the full potential of the cloud and social data requires artificial intelligence. By mixing Cloud Foundry and the rich set of Watson services, IBM's Bluemix is the best cloud operating system for enterprises today, providing rapid development and deployment of applications that can take advantage of the rich catalog of Watson services to help drive insigh...
Automation is enabling enterprises to design, deploy, and manage more complex, hybrid cloud environments. Yet the people who manage these environments must be trained in and understanding these environments better than ever before. A new era of analytics and cognitive computing is adding intelligence, but also more complexity, to these cloud environments. How smart is your cloud? How smart should it be? In this power panel at 20th Cloud Expo, moderated by Conference Chair Roger Strukhoff, pane...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
As enterprise cloud becomes the norm, businesses and government programs must address compounded regulatory compliance related to data privacy and information protection. The most recent, Controlled Unclassified Information and the EU’s GDPR have board level implications and companies still struggle with demonstrating due diligence. Developers and DevOps leaders, as part of the pre-planning process and the associated supply chain, could benefit from updating their code libraries and design by in...
The 21st International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held October 31 - November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Digital Transformation, Machine Learning and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding busin...
Existing Big Data solutions are mainly focused on the discovery and analysis of data. The solutions are scalable and highly available but tedious when swapping in and swapping out occurs in disarray and thrashing takes place. The resolution for thrashing through machine learning algorithms and support nomenclature is through simple techniques. Organizations that have been collecting large customer data are increasingly seeing the need to use the data for swapping in and out and thrashing occurs ...
SYS-CON Events announced today that DivvyCloud will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. DivvyCloud software enables organizations to achieve their cloud computing goals by simplifying and automating security, compliance and cost optimization of public and private cloud infrastructure. Using DivvyCloud, customers can leverage programmatic Bots to identify and remediate common cloud problems in rea...
Most DevOps journeys involve several phases of maturity. Research shows that the inflection point where organizations begin to see maximum value is when they implement tight integration deploying their code to their infrastructure. Success at this level is the last barrier to at-will deployment. Storage, for instance, is more capable than where we read and write data. In his session at @DevOpsSummit at 20th Cloud Expo, Josh Atwell, a Developer Advocate for NetApp, will discuss the role and value...
SYS-CON Events announced today that Tintri, Inc, a leading provider of enterprise cloud infrastructure, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Tintri offers an enterprise cloud platform built with public cloud-like web services and RESTful APIs. Organizations use Tintri all-flash storage with scale-out and automation as a foundation for their own clouds – to build agile development environments...
Cloud promises the agility required by today’s digital businesses. As organizations adopt cloud based infrastructures and services, their IT resources become increasingly dynamic and hybrid in nature. Managing these require modern IT operations and tools. In his session at 20th Cloud Expo, Raj Sundaram, Senior Principal Product Manager at CA Technologies, will discuss how to modernize your IT operations in order to proactively manage your hybrid cloud and IT environments. He will be sharing bes...