Behind the enduring value of mutual funds

WP takes a deep dive into eight funds and product suites with compelling benefits for investors and advisors alike

Behind the enduring value of mutual funds

The growth of ETFs continues to dominate headlines, so it can be easy to forget just how large the Canadian mutual fund industry is.

In its most recent annual report on the Canadian investment fund space, the Investment Funds Institute of Canada (IFIC) noted that out of $2.04 trillion in assets invested across the industry at the end of 2020, mutual funds accounted for $1.78 trillion.

And while ETF sales have outpaced mutual funds over the past three years, gross sales for the latter have been on a continuous upward trend, reaching their highest-ever end-of-year level at $300 billion by December 31. Even with a slowdown in new product development, Canada’s mutual-fund space still represents an immense universe – encompassing a diversity of themes, sectors, asset classes, and geographic exposures – with over 3,000 options for Canadian investors.

With so many assets still invested in mutual funds, WP wanted to focus on some of the products and solutions that are available. Take a look at a few different areas where mutual funds are excelling and their benefits for both advisors and investors, featured in the latest issue of Wealth Professional magazine.

Read the Mutual Funds Spotlight issue of Wealth Professional out now online.