First Asset Exchange Traded Funds

First Asset Exchange Traded Funds
First Asset

First Asset

September 09, 2014 07:45 ET

First Asset Announces Launch of Actively Managed ETFs

TORONTO, ONTARIO--(Marketwired - Sept. 9, 2014) -

NOT FOR DISSEMINATION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION TO THE UNITED STATES OF AMERICA.

First Asset Investment Management Inc. ("First Asset") is pleased to announce the launch of two new, actively managed exchange traded funds ("ETFs"), First Asset Active Canadian REIT ETF (TSX:FRF)(TSX:FRF.A) and First Asset Active Canadian Dividend ETF (TSX:FDV)(TSX:FDV.A). These ETFs mark the continued expansion of First Asset's smart solutions which are designed to meet the real world investment needs of Canadian investors.

The ETFs will be actively managed by First Asset's award-winning portfolio management team with over 29 years combined experience. Lee Goldman, Senior Vice President & Portfolio Manager, an experienced real estate portfolio manager will be heading up the First Asset Active Canadian REIT ETF. Manash Goswami, Portfolio Manager, recognized by Brendan Wood International (BWI) as one of Canada's top ranked portfolio managers in 2013, is the lead manager for First Asset Active Canadian Dividend ETF.

First Asset Active Canadian REIT ETF seeks to build a portfolio of Canadian real estate investment trusts ("REITs") and real estate operating corporations ("REOCs") that offer attractive yields, backed by predictable, recurring cash flow and are well-positioned for capital appreciation.

"Canadian property fundamentals have remained very solid over the last few years across most real estate asset classes, with high occupancy rates and generally rising rents. This should lead to healthy cash flow growth, which combined with well supported distribution yields in the 5-6% range, provides a very good return profile for the sector," said Mr. Goldman. "Government bond yields have drifted lower this year, providing additional support for valuations and lower borrowing costs for the REITs."

First Asset Active Canadian Dividend ETF takes a fundamental approach to investing, with emphasis on companies with sustainable, strong free cash flow, opportunity for dividend growth and poised for capital appreciation.

"Dividends have been a key component of overall total return throughout the years and will continue to be important as investors seek alternatives to other income products such as government bonds, which are at historically low yields," said Mr. Goswami. "First Asset targets companies with strong free cash flow generation and the ability to sustain and grow dividends."

Both ETFs have closed the initial offering of their units and the units, available in Common and Advisor Class will begin trading on the Toronto Stock Exchange ("TSX") today. The ETFs will be denominated in Canadian dollars.

In addition to the launch of FDV and FRF, First Asset is pleased to announce that First Asset U.S. & Canada Lifeco Income ETF (TSX:FLI)(TSX:FLI.A) has completed the initial offering of its advisor units pursuant to a final prospectus dated August 25, 2014 filed with the securities regulatory authorities of all of the Canadian provinces and territories in connection with the conversion of this First Asset ETF from a closed-end fund to an ETF. Common units of the First Asset U.S. & Canada Lifeco Income ETF are convertible into advisor units of the ETF and vice-versa in the manner described in the ETF's prospectus. The advisor units will begin trading today on the TSX today under the symbol TSX: FLI.A.

About First Asset

First Asset is an independent investment firm, with AUM in excess of $3.1 billion, focused on providing smart, low cost solutions that address the real-world investment needs of Canadians - capital appreciation, income generation and risk mitigation. Rooted in strong fundamentals, First Asset's smart solutions strive to deliver better risk-adjusted returns than the broad market while helping investors achieve their personal financial goals.

This communication is intended for informational purposes only. The ETF is offered by prospectus. The prospectus contains important detailed information about the ETF and its units. Copies of the prospectus may be obtained from your investment advisor, First Asset or at www.sedar.com. Investors should read the prospectus before making an investment decision. Commissions, trailing fees, management fees and expenses all may be associated with investments in the ETF. The ETF is managed by First Asset Investment Management Inc.

Contact Information

  • First Asset Investment Management Inc.
    Investor Relations
    1-877-642-1289
    www.firstasset.com