BlackRock launches new fund

BlackRock Asset Management Canada Limited, an indirect, wholly-owned subsidiary of BlackRock, Inc., today announced that iShares, the world’s largest provider of Exchange Traded Funds (ETFs), is launching the iShares NASDAQ 100 Index Fund XQQ.

“This new ETF is an ideal complement to our product line-up in Canada and provides investors access to a number of sectors not widely available here,” said Mary Anne Wiley, managing director, head of iShares distribution at BlackRock Canada. “XQQ meets the need for portfolio diversification by allowing investors access to US equities and industries, like healthcare and technology, that can withstand economic cycle transitions.”

The fund will provide exposure to 100 of the largest non-financial securities listed on The NASDAQ Stock Market based on modified market capitalization. The fund will seek to hedge any resulting U.S. dollar currency exposure back to Canadian dollars. XQQ (CAD-hedged) invests in companies across major industry groups, including in the healthcare, information technology and consumer discretionary sectors, with a management fee of 0.35%.

The fund seeks to provide long-term capital growth by replicating, to the extent possible, the performance of the NASDAQ-100 Currency Hedged CAD Index, net of expenses. It provides exposure to sectors that are generally underrepresented in Canada, and as a result can be used to diversify an investor’s equity portfolio.