RBC Global Asset Management Inc. Announces
Maturity Date of RBC Target 2013 Corporate Bond Index ETF
TORONTO, March 13, 2013 - RBC Global Asset Management
Inc. today announced that the RBC Target 2013 Corporate Bond
Index ETF (TSX: RQA) will mature on Friday, November 22, 2013.
This will be the first RBC Target Maturity Corporate Bond
ETF to mature.
"Target maturity ETFs are still relatively new to Canadian
investors," said Mark Neill, head of RBC ETFs. "By
providing the maturity date of the RBC Target 2013 Corporate
Bond Index ETF well in advance, our goal is to help investors
make informed decisions with respect to their bond portfolio.
This includes deciding whether to move their holdings into
a subsequent maturity of an RBC ETF or hold them through to
The suite of RBC Target Maturity Corporate Bond ETFs includes
nine fixed income corporate bond ETFs with maturities spanning
from 2013 to 2021. These ETFs provide target maturity exposure,
enabling investors to build customized portfolios tailored
to their specific investment needs.
Unlike traditional ETFs, which have a perpetual life, target
maturity ETFs have a specified maturity date that is established
when the ETF is launched. When the ETF reaches the maturity
date, the ETF's final net asset value (NAV) is returned to
the current unitholders.
A target maturity ETF's portfolio contains securities that
mature throughout its stated maturity year. This structure
results in a duration profile similar to that of an individual
bond, where the ETF's duration should decline as it approaches
maturity, reducing sensitivity to interest rate changes. These
ETFs do not seek to return any predetermined amount at maturity.
For further information regarding RBC ETFs, please visit
RBC Global Asset Management and RBC Wealth Management
(RBC GAM) is the asset management division of Royal Bank
of Canada (RBC), and includes institutional money managers
BlueBay Asset Management, Phillips, Hager & North Investment
Management and RBC Global Asset Management (U.S.). RBC GAM
is a provider of global investment management services and
solutions to individual, high-net-worth and institutional
investors through exchange-traded funds, hedge funds, mutual
funds, pooled funds, separate accounts and specialty investment
strategies. RBC GAM group of companies manages more than $280
billion in assets and has approximately 1,000 employees located
across Canada, the United States, Europe and Asia.
RBC Global Asset Management is part of
RBC Wealth Management,
which is one of the world's top 10 largest wealth managers.
RBC Wealth Management directly serves affluent, high-net-worth
and ultra-high-net-worth clients in Canada, the United States,
Latin America, Europe, the Middle East, Africa and Asia with
a full suite of banking, investment, trust and other wealth
management solutions. The business also provides asset management
products and services directly and through RBC and third-party
distributors to institutional and individual clients, through
its RBC Global Asset Management business (which includes BlueBay
Asset Management). RBC Wealth Management has more than C$593
billion of assets under administration, more than C$353 billion
of assets under management and approximately 4,300 financial
consultants, advisors, private bankers and trust officers.
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For more information, please contact:
Jeff Keay, RBC GAM
Communications, 416 955-0577
RBC GAM Media Relations, 416 955-6498