iShares launches ETF suite, drops fees

ETF provider iShares is launching a new series of funds, as well as reducing the fees of eight existing funds.

The price drops follow a similar move by BMO over the past month. The funds affected include six U.S. ETFs and two Canadian ETFs. They are as follows:

• IVV (iShares Core S&P 500 ETF)
• IJH (iShares Core S&P Mid-Cap ETF)
• IJR (iShares Core S&P Small-Cap ETF)
• ITOT (iShares Core S&P Total U.S. Stock Market)
• AGG (iShares Core Total U.S. Bond Market)
• ILTB (iShares Core Long-Term U.S. Bond)
• XSP (iShares S&P 500 Index Fund CAD-Hedged)
• XWD (iShares MSCI World Index)

In particular, the XSP management fee will be reduced from 24bps to 22bps as a result of fee reduction on its underlying fund (IVV), and the fee for XWD will be reduced from 45bps to 44bps.

Read: 9 best practices for selling ETFs

The new core series is a suite of ten U.S. listed ETFs intended for long-term, buy and hold investors. It’s made up of four broad U.S. equity funds, three international equity funds that track MSCI Investable Market Indices, and three U.S. fixed income funds.

Read: Advisors must understand risks for certain ETFs

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.