May 23, 2023
As the old saying goes, if investing were easy, everyone would be rich. Well, investing isn’t easy and everyone isn’t rich.
To invest successfully over the long term, you need to select securities that are appropriate for your financial goals, time horizon and risk tolerance. For example, let’s say you don’t plan to retire for many years and you want to save enough to maintain your desired lifestyle through retirement. Since you need to build wealth over time, you’re willing to accept some risk and invest in growth securities like equities and related solutions. You also want to diversify your portfolio to help manage overall risk while enhancing your return potential, so you invest in different types of equities as well as some fixed income products like bonds, all of which are accessible through ETFs.
Now you’re all set, right? Not quite. There’s more to good portfolio construction than identifying the appropriate building blocks. Another important aspect of successful investing is asset allocation, which is the exercise of determining how much exposure you need to certain sectors, industries, countries, asset classes (e.g., equities, fixed income), types of bonds, investment styles (e.g., growth or value, strategically managed or passive funds) and much more.
Constructing a strong portfolio typically requires investing in different underlying holdings and allocating an appropriate percentage to each holding in your portfolio. As markets move higher or lower and your exposure to these holdings changes, you will also need to rebalance your portfolio so the weighting of each desired allocation stays within the range required to help meet your risk-return objectives and financial goals.
You could try to choose the right investment products and maintain the proper asset allocation on your own, or you could delegate this challenging task to seasoned professionals who regularly monitor global markets and economic developments, and can make well-informed investment decisions that also keep the mix of portfolio holdings at suitable levels.
That was the thinking behind the launch of CI Asset Allocation ETFs. They simplify the process of building and maintaining portfolios by offering investors a convenient one-trade solution of pre-constructed ETF portfolios. Each ETF portfolio holds a specific mix of equity and fixed income holdings across geographic regions that’s designed to align with different investor objectives, from growth oriented to conservative.
We offer six distinct and sophisticated ETF portfolios that range from equity dominated to fixed income dominated, with balanced portfolios created for investors who seek a more robust mix of equities and fixed income. Below is our full suite of CI Asset Allocation ETFs that you can choose from:
Each of these ETF portfolios holds a unique blend of passive ETFs, from both the CI lineup as well as select external ETF providers, resulting in a well-diversified, carefully curated portfolio. The CI Global Asset Management (CI GAM) team has proven expertise in asset allocation and portfolio construction, and conducts all of the research while sharpening their focus on the best investments available.
The portfolios are professionally constructed and strategically managed by CI’s Chief Investment Officer, Marc-André Lewis. He’s an accomplished investment professional with extensive global experience in both public and private markets. As markets move and the allocation between the underlying holdings shifts over time, the CI GAM team will mitigate risk by monitoring exposures and rebalancing to adjust the holdings according to their desired target weights.
From an investor’s perspective, nothing could be easier than working with a trusted advisor to select the right CI Asset Allocation ETF for your specific needs. Just “set it and forget it,” and we’ll do the work for you. These all-in-one portfolios offer the same benefits as any ETF, including transparency, low cost and liquidity. Since they are strategically managed solutions, all of the complex portfolio construction, asset allocation, rebalancing, continuous portfolio oversight and risk management are taken care of on your behalf.
To learn more about the CI Asset Allocation ETF suite of portfolios, we invite you to visit www.ci.com.
Commissions, management fees and expenses all may be associated with an investment in exchange-traded funds (ETFs). You will usually pay brokerage fees to your dealer if you purchase or sell units of an ETF on recognized Canadian exchanges. If the units are purchased or sold on these Canadian exchanges, investors may pay more than the current net asset value when buying units of the ETF and may receive less than the current net asset value when selling them. Please read the prospectus before investing. Important information about an exchange-traded fund is contained in its prospectus. ETFs are not guaranteed; their values change frequently, and past performance may not be repeated.
This document is provided as a general source of information and should not be considered personal, legal, accounting, tax or investment advice, or construed as an endorsement or recommendation of any entity or security discussed. Every effort has been made to ensure that the material contained in this document is accurate at the time of publication. Market conditions may change which may impact the information contained in this document. All charts and illustrations in this document are for illustrative purposes only. They are not intended to predict or project investment results. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies.
The opinion and information provided in this discussion are solely those of the speaker(s) and are not to be used or construed as personal, legal, accounting, taxation or investment advice, or as an endorsement or recommendation of any entity or security discussed or provided by CI Global Asset Management. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment.
The CI Exchange-Traded Funds (ETFs) are managed by CI Global Asset Management, a wholly-owned subsidiary of CI Financial Corp. (TSX: CIX). CI Global Asset Management is a registered business name of CI Investments Inc.