Mackenzie Investments has launched four new U.S. dollar funds.
Mackenzie describes the new funds as "true U.S. dollar funds" since they are primarily exposed to U.S. dollars through U.S. securities and by hedging non-U.S. currency exposure back to U.S. dollars. The funds can also be purchased, settled, redeemed, and have their performance and net asset values reported in U.S. dollars.
- The Mackenzie USD Ultra Short Duration Income Fund aims to generate income in U.S. dollars and focuses on capital preservation. The fund invests primarily in short-term, high quality corporate and government fixed income securities issued in the United States. Mackenzie suggests that the fund is suited to Canadians who spend time in the U.S. and would like to keep their American money in a low risk, low volatility investment.
- The Mackenzie USD Global Tactical Bond Fund invests in a diverse portfolio of fixed income securities issued by companies or governments of any size, anywhere in the world. It aims to generate income and achieve long-term capital growth in U.S. dollars, and Mackenzie says that security selection and credit-rating or currency decisions are made from the perspective of a U.S. dollar investor.
- The Mackenzie USD Global Strategic Income Fund offers investors both income and the potential for long-term capital growth in U.S. dollars by investing primarily in fixed income and/or income-oriented equity securities from issuers anywhere in the world. Mackenzie says that the fund’s fixed income managers use qualitative and quantitative analysis to identify and select securities, allocating assets across credit quality, yields, structures, sectors, currencies and countries. Within the equity portion, the fund buys quality dividend-paying companies trading at a discount from all over the world.
- The Mackenzie USD Convertible Securities Fund seeks to generate long-term capital appreciation and income in U.S. dollars by investing primarily in convertible securities of U.S. companies. Mackenzie points out that convertible securities are sensitive to the upside potential of equities, and that convertible performance in down markets is bolstered by contractually guaranteed income.
"There is an increasing demand for U.S. dollar investments, whether it is investors planning to spend time in the U.S. during retirement or those Canadians who want to keep investments in U.S. dollars," says Michael Schnitman, Senior Vice President of Product at Mackenzie.