TORONTO, ONTARIO--(Marketwired - Nov. 27, 2014) - (TSX:XIC)(TSX:XEI)(TSX:XQB)(TSX:XSQ)(TSX:XSH)(TSX:XLB)(TSX:XUS)(TSX:XSP)(TSX:XEF)(TSX:XEC)
BlackRock Canada is pleased to announce that the iShares Core Series has been recognized by the 2014 Morningstar Investment Awards as the Best ETF Initiative of the year. Produced annually by Morningstar Canada, the Morningstar Awards are given to companies and individuals who have made a difference for investors through superior investment products, service, marketing and education.
"We are extremely honoured that the iShares Core Series has been recognized by the Morningstar Awards," said Noel Archard, Managing Director and Head of BlackRock Canada, a subsidiary of BlackRock, Inc. (NYSE:BLK). "As a suite of low-cost funds covering key asset classes, the iShares Core Series was an important initiative in our commitment to serving the needs of investors. We believe that the iShares Core Series helped foster an evolution in the industry, helping investors strengthen the long-term 'core' of their portfolios with low-cost, efficient products while allowing them the flexibility to complement their asset allocation strategies with more outcome-based solutions."
Launched in March 2014, the iShares Core Series for Canadian investors is a response to the global trend of investors increasingly using ETFs in their asset allocation strategies, especially as a means to reduce the overall impact of costs over time. The iShares Core Series funds have an average projected MER of 0.15% versus the average MER of 1.23% for all Series F mutual funds - this represents a difference of 1.08% or a potential savings in fees to investors of $1,080 per year on a $100,000 investment.(1)
Given the growing recognition of ETFs as efficient portfolio construction tools, the iShares Core Series was designed to give investors a simple, low-cost way to invest long-term in broad exposures in equities and bonds. Comprised of 10 funds, the series covers the most relevant asset classes for buy-and-hold investors that account for approximately 80% of all Canadian mutual fund exposures, and allows investors to allocate to the core of their portfolios with significant ease, cost efficiency and diversification. For example, just four iShares Core Series funds (XIC, XUS, XQB and XEF) can achieve a diversified portfolio of more than 2,600 individual securities, covering every developed country in the world while also incorporating Canadian government and corporate bonds.
Since launch, investors ranging from large, sophisticated institutions to retail advisors to self-directed investors have embraced the iShares Core Series, adding approximately $1.3 billion in assets across the suite of 10 funds(2).
| A Closer Look at the iShares Core Series | |||||
| Asset Class | Ticker | Fund Name | Management Fees | Projected MER * | Fund Category MER ** |
| Canadian Equity | XIC | iShares Core S&P/TSX Composite Index ETF | 0.05% | 0.05% | 0.82% |
| XEI | iShares Core S&P /TSX Composite High Dividend Index ETF | 0.20% | 0.22% | 1.01% | |
| Canadian Fixed Income | XQB | iShares Core High Quality Canadian Bond Index ETF | 0.12% | 0.13% | 0.87% |
| XSQ | iShares Core Short Term High Quality Canadian Bond Index ETF | 0.12% | 0.14% | 0.77% | |
| XSH | iShares Core Canadian Short Term Corporate + Maple Bond Index ETF | 0.12% | 0.13% | 0.77% | |
| XLB | iShares Core Canadian Long Term Bond Index ETF | 0.18% | 0.19% | 0.76% | |
| US Equities | XUS | iShares Core S&P 500 Index ETF | 0.10% | 0.10% | 0.92% |
| XSP | iShares Core S&P 500 Index ETF (CAD-Hedged) | 0.10% | 0.10% | 0.92% | |
| International Equities | XEF | iShares Core MSCI EAFE IMI Index ETF | 0.20% | 0.20% | 0.96% |
| XEC | iShares Core MSCI Emerging Markets IMI ETF | 0.25% | 0.25% | 1.67% | |
*Source: BlackRock. Management Expense Ratios ("MERs") are based on total fees and expenses (excluding commissions and other portfolio transaction costs) and are expressed as an annualized percentage of daily Net Asset Value during the period. Projected MERs are estimated based on adding the blended HST rates as of September 30, 2013 for each fund to the stated management fee except XSQ which was calculated assuming a 13% blended HST rate.
**Investor Economics Insight Monthly Update, July 2013. F-series asset-weighted MERs for Canadian Investment Funds Standards Committee(CIFSC) categories as of 2012.
About BlackRock
BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At September 30, 2014, BlackRock's AUM was US$4.525 trillion. BlackRock helps clients meet their goals and overcome challenges with a range of products that include separate accounts, mutual funds, iShares ® (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions ® . Headquartered in New York City, as of September 30, 2014, the firm had approximately 12,100 employees in more than 30 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company's website at www.blackrock.com/ca , Twitter: @BlackRockCA , Blog: www.blackrockblog.com/can
About iShares ETFs
The iShares business is a global product leader in exchange traded funds with over 600 funds globally across equities, fixed income and commodities, which trade on 20 exchanges worldwide. The iShares funds are bought and sold like common stocks on securities exchanges. The iShares funds are attractive to many individual and institutional investors and financial intermediaries because of their relative low cost, tax efficiency and trading flexibility. Investors can purchase and sell securities through any brokerage firm, financial advisor, or online broker, and hold the funds in any type of brokerage account. The iShares customer base consists of the institutional segment of pension plans and fund managers, as well as the retail segment of financial advisors and individual investors.
iShares Funds are managed by BlackRock Asset Management Canada Limited. Commissions, trailing commissions, management fees and expenses all may be associated with investing in iShares Funds. Please read the relevant prospectus before investing. The funds are not guaranteed, their values change frequently and past performance may not be repeated. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional.
© 2014 BlackRock Asset Management Canada Limited. All rights reserved. iSHARES® and BLACKROCK® are registered trademarks of BlackRock, Inc., or its subsidiaries in the United States and elsewhere. Used with permission.
(1) Source: Investor Economics, 2013.
(2) Source: BlackRock, as of November 14, 2014.
