RBC Global Asset Management
(RBC GAM), which handles over $390 billion in assets, is proposing changes to its RBC Advisor Canadian Bond Fund. It’s also updating previously proposed changes to the RBC Canadian Government Bond Index Fund.
To make the RBC Advisor Canadian Bond Fund flexible enough to track the FTSE TMX Canada Universe + Maple Bond Index, RBC GAM is changing its investment objective. The firm is hoping to alter the fund so that it either invests directly in fixed-income securities, or indirectly via other mutual funds managed by RBC GAM or its affiliates. Should the change push through, the fund’s name will be changed to “RBC Canadian Bond Index Fund.”
The firm is also amending changes to the RBC Canadian Government Bond Index Fund it proposed on April 3. Under the new proposal, the fund will not switch from its currently tracked benchmark, the FTSE TMX Canada Federal Bond Index. However, RBC GAM is still seeking changes to the fund’s investment objective, letting it invest in fixed income either directly or indirectly through other mutual funds that RBC GAM or an affiliate runs. The fund will not be renamed.
The proposed benchmark and investment objective changes will be subject to unitholder approvals. A special unitholders’ meeting will be held on or about June 22 in Toronto.
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