Canadian ETF knowledgebase
This fund seeks to provide income by replicating, to the extent possible, the performance of the S&P/TSX North American Preferred Stock Canadian Dollar Hedged Index, net of expenses.
The investment strategy of XPF is to invest in a regularly rebalanced portfolio of preferred shares, selected by BlackRock Canada from time to time, as well as one or more iShares ETFs, that in aggregate closely match the characteristics of the Preferred Index, and to hedge any resulting U.S. dollar exposure back to Canadian dollars.
The S&P/TSX North American Preferred Stock Index is an investable benchmark covering the preferred share markets of Canada and the United States.
The index seeks to provide investors the opportunity to achieve broader diversification and exposure to North American preferred stocks.
Preferred stocks are a class of securities that combine the characteristics of debt and common stocks. While their expected volatility and returns fall between those of common stocks and bonds, their yields are typically higher than that of common stock, the bond market and the money market. With relatively low correlations to common stocks and bonds, they serve as good diversification instruments.
The CAD hedged variant of this index employs USD/CAD hedging to limit/minimize USD/CAD currency risk.
|Category (main)||North American Equity Income - Preferred Stock|
|Underlying Index||S&P/TSX North American Preferred Stock Canadian Dollar Hedged Index|
|ETF Structure||Passive type. Endeavours to return the Index return before fees/costs|
|Asset Class||Equity Income - Preferred Stock|
|Issuer||iShares Canada by Blackrock|
|ETF Home Page||Available here|
|Inception Date||16 Nov 2010|
|Significant Currency Exposure||Yes|
|Management Expense Ratio (MER)||0.48%|
|Exchange||TSX (Toronto Stock Exchange)|
|Eligibility *||RRSP, RRIF, RESP, TFSA, DPSP, RDSP|
|DRIP available **||Yes|
|PACC Plan available **||No|
|SWP available **||No|
* Always check eligibility with your plan operator as plans and accounts can differ
** Not all brokers can facilitate these plans. Check with your broker.
To view the TSX or Morningstar fund page for this ETF click on the Fund Data menu tab or below:
Canada ETFs's analysis of this ETF will be available soon.