First Asset Investment Management Inc. announced today the launch of three new exchange traded funds (ETFs) based on CIBC Equity Index Strategies. They are: First Asset U.S. Equity Multi-Factor Index ETF (TSX: FUM), First Asset Canadian Dividend Low Volatility Index ETF (TSX: FDL), and First Asset U.S. Tactical Sector Asset Allocation Index ETF (TSX: FUT).
"We are pleased to extend these additional three CIBC Equity Index Strategies to retail investors through First Asset ETFs. Last month we launched the First Asset Canadian Buyback ETF (TSX: FBE) and the First Asset U.S. Buyback ETF (TSX: FBU),"" said Barry Gordon, President and CEO of First Asset. "This is a unique opportunity for investors to benefit from a range of quantitative indices designed by one of Canada's leading index strategy teams, while also enjoying the benefits of the ETF structure, including transparency, tax efficiency, liquidity and low cost."
Here is a description of the three new First Asset ETFs.
First Asset U.S. Equity Multi-Factor Index ETF (TSX: FUM) is made up of a screened group of equity securities of U.S. companies whose characteristics include low beta (low sensitivity to market fluctuations), high quality (high profitability and low leverage), and value (low price to earnings and price to book) characteristics.
First Asset Canadian Dividend Low Volatility Index ETF (TSX: FDL) consists of a portfolio of equity securities of TSX-listed issuers that exhibit low beta (low sensitivity to market fluctuations) and high dividend yield characteristics.
First Asset U.S. Tactical Sector Allocation Index ETF (TSX: FUT) is made up of a group of exchange-traded funds chosen in order to allocate portfolio weightings among equity sectors along with short and mid-term fixed income investments. The methodology has been created to provide full exposure to the nine U.S. equity sectors when their momentum is positive and rebalance into short and mid-term fixed income (up to 100%) when the equity sectors are exhibiting negative momentum.
Each of these new ETFs is based on proprietary CIBC indices which employ rules-based methodologies which were developed from research by CIBC Capital Markets.
