BlackRock Canada Targets Sector Investing With New ETF Range

Joseph Milton

19 April 2011

BlackRock Canada has launched six new iShares exchange-traded funds on the Toronto Stock Exchange tracking a variety of both local and global indices. All the funds are aimed at long-term capital growth.

The iShares S&P Global Healthcare Index Fund seeks to replicate the performance of the S&P Global 1,200 Healthcare Canadian Dollar Hedged Index.

The iShares S&P/TSX Global Base Metals Index Fund targets the performance of the S&P/TSX Global Base Metals Index, investing in companies involved in extracting and producing industrial metals.

The iShares S&P/TSX Capped Utilities Index Fund aims to deliver the performance of the S&P/TSX Capped Utilities Index.

The iShares S&P Capped Consumer Staples Index seeks to provide long-term capital growth by replicating the performance of the S&P/TSX Capped Consumer Staples Index. It is the first ETF in Canada to offer investment in the consumer staples sector, including grocery stores, pharmacies and food companies, the firm said.

The iShares S&P/TSX Equity Income Index Fund is intended to provide growth by replicating the performance of the S&P/TSX Equity Income Index. It is the first ETF in Canada to offer investment in the S&P/TSX Equity Income Index, according to BlackRock, which consists of 50 to 75 stocks selected from the S&P/TSX Composite Index focused on dividend yield.

Lastly, the iShares JP Morgan USD Emerging Markets Bond Index Fund seeks to provide income as well as long-term capital growth by replicating the performance of the JP Morgan EMBI Global Core Hedged in CAD Index. Through this, investors will get access to US dollar-demoninated government bonds issued by emerging markets countries.

“These new funds will offer investors even greater opportunity to target their portfolios by sector both within and beyond our markets,” said Mary Anne Wiley, managing director, head of iShares distribution at BlackRock Canada.