CIBC Global Asset Management (CIBC GAM) and J.P. Morgan Asset Management (JPMAM) have launched a fund that invests in large infrastructure and transportation networks around the world.
Announced Tuesday, the CIBC Private Infrastructure Fund is designed to give accredited investors exposure to “essential” private assets that have a low correlation to public markets, aiming to “help insulate them from traditional macroeconomic and market cycles,” a release said.
“In today’s challenging economic climate, building resilient portfolios means looking further than the usual mix of public equities and fixed income,” said David Wong, group chief Investment officer with CIBC GAM, in the release.
“Investors need solutions that can weather uncertainty and adapt to shifting market conditions, and that’s why we’re excited to offer access to private infrastructure.”
The fund also seeks to generate “inflation-linked cash flows” and leverages the expertise of JPMAM’s alternative investments strategy and solutions team.
“We’re pleased to deepen our collaboration with CIBC and bring institutional asset management expertise to Canadian private wealth clients,” said Travis Hughes, head of Canada, JPMAM, in the release.
“This fund offers investors a sophisticated option built on disciplined investment practices and rigorous risk management, designed to support long-term capital growth.”
The launch reflects a broader trend of asset managers expanding access to private markets for wealthy retail investors looking to diversify their portfolios. It also comes just months after CIBC Asset Management Inc. launched a private credit fund.
Desjardins debuts actively managed ETFs
Desjardins Investments Inc. has debuted three new actively managed ETFs that offer investors exposure to Canadian equities, Canadian fixed income and global equities.
The Desjardins Active Canadian Bond Universe ETF (TSX: DACU), Desjardins Canadian Equity Leaders ETF (TSX: DACL) and Desjardins Global Opportunities ETF (TSX: DAGL) began trading on Monday.
According to a release, DACU seeks to deliver “a high, regular income, as well as some security of capital.” It invests in a variety of debt securities issued by Canadian governments, government agencies and companies, along with foreign debt securities, though to a lesser extent. Its management fee is 0.3%. It has a low risk rating.
DACL seeks to deliver a “reasonable level of income and long-term capital appreciation.” It invests primarily in equity securities and equity-related securities of large and mid-cap Canadian companies. Its management fee is 0.43%. It has a medium risk rating.
DAGL seeks to deliver long-term capital appreciation. It invests primarily in equity and equity-related securities of companies around the world, including those located in emerging markets. Its management fee is 0.54%. It has a medium risk rating.
Fund changes
A pair of asset managers have announced changes to their product offerings.
For example, SEI Investments Canada Company, a wholly-owned subsidiary of SEI Investments Company, has tweaked the risk rating for specific classes of its Long Duration Bond Fund. The E, F and O classes of the fund now have a medium risk rating, upgraded from low to medium.
Meanwhile, C.S.T. Spark Inc. (CST Spark) has appointed CIBC GAM as sub-advisor for all of its investment mandates.
CST Spark is a mutual fund dealer that provides tailored post-secondary education savings solutions for Canadian families.
CIBC GAM assumed the role of sub-advisor for CST Spark’s offerings on June 23. There will be no changes to the investment objectives of the CST Spark Education Portfolios as a result of the change, a release said.