First Asset has rolled out three new exchange traded funds, including First Asset DEX Government Bond Barbell Index ETF, First Asset DEX Corporate Bond Barbell Index ETF and First Asset DEX All Canada Bond Barbell Index ETF.
According to the wealth manager, all the funds have been designed to provide maximum benefit to Canadian customers, while reducing trading cost.
The First Asset DEX Government Bond Barbell Index ETF includes Canadian federal government, provincial government and municipal government bonds.
The Index is divided into two buckets, each representing approximately 50% of the total market value, with the short maturity bucket comprised of floating rate notes and fixed coupon bonds while the bond has a minimum maturity term of one year and maximum maturity period is 20 years.
The First Asset DEX Corporate Bond Barbell Index ETF comprises of investment grade fixed income securities issued by Canadian corporations, as well as special purpose companies utilized and fully and unconditionally guaranteed by Canadian corporations that are federally regulated entities by the Office of the Superintendent of Financial Institutions Canada.
The First Asset DEX All Canada Bond Barbell Index ETF consists Canadian federal government, provincial government and municipal government bonds, and investment grade fixed income securities issued by Canadian corporations and special purpose companies utilized and fully and unconditionally guaranteed by Canadian corporations.
First Asset ETFs advises investment president and CEO Barry Gordon said, "The First Asset Barbell Bond ETFs and the DEX Indexes which they replicate allocate investment grade fixed income securities in a balanced way, combining 50% short term and floating rate bonds with 50% in higher yielding longer term bonds – an ideal combination to maintain a strong yield while mitigating inflation and interest rate risk and protecting the value of your portfolio, on a low cost basis."