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Ben Kleinberg

Release Notes 20220616.1


This post details the changes that went into production for Inovestor For Advisors on June 16th, 2022:

Enhancement 1

Mutual Fund Style and Risk Statistics

You can now identify the equity and/or fixed income management style for most mutual funds based on the fund’s holdings. For the equity portion of a fund, the style refers to the market capitalization and the factor tilt of the constituents. For fixed income, the style is indicated by the maturity of the constituents, as well as the credit rating.

As well, we have added valuable metrics to help you identify risk adjusted performance of any mutual fund, enabling you to select fund managers that align with your client’s goals.

Bug Fixes

This release contains several bug fixes and text changes throughout the application.


Canadian ETFs: May launches and terminations

Flows into the Canadian ETF market continue to slow throughout the second quarter of 2022, compared to the meteoric growth rate seen months ago. Nevertheless, new products continue to be launched as investors search for access to more investment opportunities. Broad market Canadian equity ETFs have seen some of the largest inflows this year. Canadian equity funds have fared much better than their US counterparts in 2022, given their larger exposure to energy, financials and materials sectors.  

New ETF launches in May were dominated by thematic equity. Blackrock released a new suite of megatrend ETFs, giving investors easy access to companies that are driving innovation and shaping the global economic future. Among the new offerings is the iShares Cybersecurity and Tech Index ETF (XHAK-T), which provides exposure to global stocks along the full value chain of the cybersecurity industry. The iShares Global Clean Energy Index ETF (XCLN-T) was another one of the new launches, providing diversified exposure to companies in the renewable energy sector. The ETFs charge a management of 0.39% and 0.35%, respectively. 

CI Global Asset Management continues to launch new funds focused on investment opportunities in digital megatrends. The CI Galaxy Blockchain ETF (CBCX-T) invests in companies that are, either directly or indirectly, involved in the development and adoption of blockchain and digital assets. The ETF charges a management fee of 0.50% and hedges all currency risk. The CI Galaxy Metaverse ETF (CMVX-T) provides exposure to companies that are materially engaged in the interaction, enablement, and connectivity of the metaverse. Fidelity also released their own Metaverse ETF in May.  

During the month, Horizons ETFs launched Canada’s first ETF providing exposure to the performance of companies active in copper-ore mining. The Horizons Copper Producers Index ETF (COPP-T) invests in both pure-play copper mining companies, as well as companies that have copper production as a significant business line. Although it is one of the world’s oldest industrial metals, copper has become increasingly important as an essential material component in electric vehicles. The ETF invests in small, mid and large cap companies listed on North American exchanges, and charges a management fee of 0.65%.  

As previously announced, Evolve ETFs de-listed their suite of CleanBeta ETFs, including the Evolve S&P/TSX 60 CleanBeta Fund (SIX-T) and the Evolve S&P500 CleanBeta Fund (FIVE-T), after just 12 months of trading.  

Canadian ETFs welcomed $1.5 billion in net flows in April amid market sell off; three funds launched

Canadian ETFs added $1.5 billion in April, led by inflows to Canadian equity, thematic equity and Canadian aggregate bonds, bringing the total year-to-date inflow to $15 billion. Inflows slowed down in April, but remained positive despite the wide selloff in equity markets.

Canadian equity ETFs once again saw the largest inflow among the equity asset class, representing 86% of the total equity flows for month. $666 million of this demand belonged to ESG focused ETFs. National Bank’s NBI Sustainable Canadian Equity ETF (“NSCE-T”) amassed $522 million in April, the largest single ETF inflow for the month, led by apparent institutional subscriptions.

Fixed income ETFs gathered $645 million in new money, most of which went to Canadian aggregate bond products, despite major aggregate bond indices having suffered significant losses year-to-date. iShares Core Canadian Universe Bond Index (“XBB-T”) led the group with $220 million in net flows.

Cryptocurrency ETFs suffered their biggest outflow since their initial launch in February of last year. The Purpose Bitcoin ETF (“BTCC-T”) recorded $318 million of outflows throughout April, as the price of Bitcoin dropped to its lowest level in two years. 3iQ, a notable issuer of crypto focused products, saw $87 million in outflows, representing over 5% of their total AUM.

The velocity of new ETF launches relaxed this month, with only 3 new issues, all from CI Global Asset Management. The CI Floating Rate Income Fund (“CFRT-T”) invests in floating rate securities, which help mitigate the impact of rising interest rates. Floating rate securities have fared much better than other fixed income categories year-to-date, due to inflationary pressures and hawkish central banks taking a toll on bond prices. The fund is actively managed and has the lowest management fee of any floating rate ETF in Canada at 0.35%. CI also launched the ETF series of the CI Global High Yield Credit Private Pool (“CGHY-T”). This fund invests in non-investment grade corporate bonds and aims to generate income and potential capital appreciation. The ETF charges a management fee of 0.55% and is also offered in US dollar units.

During the month, CI Global Asset Management completed their previously announced merger of several ETFs as part of its continuing strategy to modernize its product lineup. Notably, three of their factor-based Canadian equity products were terminated and converted to units of the CI WisdomTree Canada Quality Dividend Growth Index ETF (“DGRC-T”). Recall that CI Financial purchased WisdomTree Investment Inc.’s Canadian business back in 2020, including their 14 TSX-listed ETF products. The move should also benefit unitholders as the continuing funds have larger asset bases, thereby increasing trading efficiencies.

Release Notes 20220426.1


This post details the changes that went into production for Inovestor For Advisors on April 26th 2022:

Feature 1

Earnings Calendar

You can now view upcoming and past earnings results for US listed companies. Estimates are powered by Estimize, an industry leader in crowdsourcing companies earnings estimates. Switch between EPS and Revenue results, and filter by Sector to narrow your search. Actual results are updated the following day. We plan on adding more features to this new Calendar page in the months to come – Stay tuned!


Enhancement 1

StockGuide UX (for paid StockGuide subscribers)

Changes were made to improve your work flow. Datasets have been reorganized so you can quickly identify the template and data source you’re looking for. Other improvements allow you to select companies much quicker, so you can dive straight into the data and spend less time setting parameters. You can finally share the results of your custom spreadsheets/screeners with the click of a button! The Share feature allows you to generate a unique link to your work, so you can easily send to others without the need to export.

Bug Fixes

This release contains several bug fixes and text changes throughout the application.


Canadian ETFs: March launches and trends

Equities were the dominant asset class once again during the month of March, representing $2.5 billion in net flows. Cap-weighted, sector and thematic ETFs saw the strongest demand among equities. The energy sector led the pack with a record inflow of $541 million, marking its greatest single month of net flows. Within the sector, the iShares S&P/TSX Capped Energy Index ETF (“XEG-T”) had its highest monthly inflow since the product’s inception in 2001.

Fixed income ETFs saw higher demand during the month, gathering $1.6 billion in new money. Canadian aggregate bond and U.S. bond ETFs dominated the inflow to the fixed income category. Horizons CDN Select Universe Bond ETF (“HBB-T”) led all ETFs with $649 million of inflows during March. Throughout the first quarter of 2022, riskier categories, such a Canadian corporate bonds, foreign bonds and preferred shares were the only ones to lose assets.

Interest in cryptocurrency ETFs climbed in March, as the prices of Bitcoin and Ether began to rally from their recent dips. The asset class welcomed an additional $400 million in assets, while the Purpose Bitcoin ETF (“BTCC-T”) and the 3iQ CoinShares Bitcoin ETF (“BTCQ-T”) saw the highest inflows among the crypto funds.

Early in the month, CI Global Asset Management released two new thematic equity ETFs. The CI Digital Security ETF (“CBUG-T”) invests in global companies that stand to potentially benefit from the increased adoption of cyber security technology. The CI Bio-Revolution ETF (“CDNA-T”) provides targeted exposure to companies at the forefront of advancements in genetics and biotechnology. Both ETFs charge a 0.40% management fee.

Ninepoint partners successfully launched the income-focused completement to their existing energy fund. The Ninepoint Energy Income Fund (NRGI-NE) seeks to provide investors with income and capital appreciation by investing in dividend-paying, Canadian energy companies. With oil trading at all-time highs, Ninepoint Partners believed the timing seemed right to launch a dividend-paying energy fund. Investors showed that they agree, as the ETF series of this fund saw $26 million in value traded on its first day of trading.

BMO Global Asset Management teamed up with Brookfield Public Securities Group to launch two new funds offering innovative solutions for investors seeking exposure to tech-focused real estate, renewables, and sustainable infrastructure. The funds aim to capture significant trends in the market, while leveraging Brookfield’s expertise in real assets and alternative investments.

During the month of March, Harvest terminated the Class A and Class U units of the Harvest U.S. Equity Plus Income ETF (“HUL-T”).

Release Notes 20220308.1


This post details the changes that went into production for Inovestor For Advisors on March 8th 2022:

Feature 1

EPS and Revenue Estimates on Stock Page

You now have access to a company’s EPS and Revenue estimates, powered by Estimize, an industry leader in crowdsourcing earnings estimates. Under the new “Estimates” tab, you can compare the Estimize and Wall Street consensus with actual results for past quarters, and while also viewing the estimates for upcoming quarters. You will also find the year-over-year growth, and earnings “beat” or “missed” for each quarter.

Feature 2

EPS and Revenue Estimates in My Portfolios

In your portfolios, you can now find the most recent quarterly earnings for your holdings. For each holding, you will find the consensus estimates, the actual results, the year-over-year growth, and earnings “beat” or “missed” for both EPS and Revenues.


Canadian ETFs: February welcomes 22 new ETF launches

Canadian ETFs continued their strong start to 2022 with $3.9 billion in net flows in February. Equities were the dominant asset class once again, representing 80% of the total new money. Broad market Canadian equity funds saw the highest inflows among the equity asset class, whereas financials and technology sector ETFs recorded net outflows of $195 million and $146 million, respectively.  

The demand for cash alternative ETFs remained high during the month of February. Horizons Cash Maximizer ETF (“HSAV-T”) recorded the 5th largest inflow among all ETFs in Canada. Meanwhile, Canadian aggregate bonds ETFs had the largest outflow within the fixed income category.

Commodity ETFs had net outflows of $49 million in February, making it the only asset class that has shed assets year to date. Even though precious metal prices have surged in recent weeks amid geopolitical and inflation concerns, investors have shied away from gold and silver bullion ETFs. 

During the month, Horizons became Canada’s first ETF provider to launch a carbon credits ETF. The fund provides exposure by investing in carbon credit futures contracts. Carbon credits act as permits issued by regulatory organizations that are designed to offset and cap a participant’s greenhouse gas emissions. As the trend towards regulating global carbon emissions grows, investors are eyeing the anticipated rising demand and potential diversification benefits from this type of asset class. Ninepoint Partners followed suit and released their own carbon credits ETF, which listed on the NEO exchange. 

Two new issuers joined the market in February, bringing the total number of Canadian ETF providers to 42. One of these new players is Evermore Capital Inc., which launched their suite of target date retirement ETFs on the NEO exchange. Depending on each fund objective, the ETF will invest a diversified mix of broad market equity and fixed income ETFs from external providers. As the retirement date approaches, the funds will change their target asset allocation in order to reduce volatility, making this a much more hands-off approach to retirement investing. The Evermore Retirement ETFs charge a direct management fee of 0.35%. 

Investors who are looking for higher yield in a rising rate environment will be glad to hear that several covered call ETFs were among the latest crop of launches. This strategy involves writing covered call options on a portion of the portfolio securities in order to provide steady income and mitigate downside risk. The Evolve Canadian Banks and Lifecos Enhanced Yield Index ETF (“BANK-T”) and the Mulvihill Canadian Bank Enhanced Yield ETF (“CBNK-T”) provide exposure to Canadian banks and insurers, while adding 25% cash leverage to enhance yield and return potential. Meanwhile, the Harvest Diversified Monthly Income ETF (“HDIF-T”) and the Hamilton Enhanced U.S. Covered Call ETF (“HYLD-T”) products invest directly in a mix of U.S. equity covered call ETFs.  

First Trust completed the previously announced redesignation of all outstanding advisor class units into common units for the ETFs listed below. 

Canadian ETFs: January sets record for new ETF launches

The Canadian ETF industry started the year off strong as Canadian ETFs gathered $5 billion in net flows and a record-breaking number of new launches in the month of January. Equities were the dominant asset class with an inflow of $4.6 billion, representing 90% of the month’s total. Financials and energy sector ETFs saw strong demand during the month, recording inflows over $100 million each, while technology ETFs suffered a rare month of net outflows.  

In the fixed income realm, the Federal Reserve’s hawkish tone led many investors to pour into short term and cash alternative ETFs. Duration-risky categories like aggregate bond ETFs had the largest outflows of fixed income products.  

Among Multi-Asset ETFs, all-equity and growth-oriented allocations had higher inflows relative to balanced and conservative profiles, another indicator of the strong demand for equity products. Cryptocurrency ETFs suffered outflows of $68 million as the prices of Bitcoin and Ethereum fell drastically from their previous highs.   

ESG was a common theme among the latest crop of ETF launches in Canada. Invesco released a new suite of equity and fixed income ESG products, some of which offer an ESG Tilt factor. Rather than excluding poor performers from the index, this strategy actively pursues the best ESG performers. Scotiabank also introduced their newest lineup of Responsible Investing ETFs, offering broad market exposure to Canadian bonds, Canadian equity, US equity and international equity. These ETFs charge favourable management fees relative to other ESG funds, ranging from 0.10%-0.17%, and are listed on the NEO exchange. BMO, Desjardins and Wealthsimple also released new ESG products in January. 

CI Global Asset Management continues to demonstrate their leadership in the crypto-asset space as they launched the CI Galaxy Multi-Crypto ETF, which provides exposure to both Bitcoin and Ether. The ETF is designed to capture the upside of investing in the two largest cryptocurrencies, while reducing volatility by systematically managing the allocation between crypto and cash. The goal is to produce stronger risk-adjusted returns compared to a buy-and-hold strategy. The fund holds units of the CI Galaxy Bitcoin ETF (BTCX-T) and CI Galaxy Ethereum ETF (ETHX-T).  

Fidelity Investments added to their existing suite of asset allocation ETF solutions, with the launch of the Fidelity All-in-One Conservative ETF (FCNS-NE), and the Fidelity All-in-One Equity ETF (FEQT-NE). These products invest in a diversified mix of Fidelity’s own equity factor ETFs and actively managed fixed income ETFs. Earlier in the month, Fidelity announced that they would begin including cryptocurrency in all their multi-asset ETFs. Depending on each fund mandate, these ETFs will have between 1%-10% allocation to cryptocurrency through the Fidelity Advantage Bitcoin ETF (FBTC-T).  

Financial sector ETFs saw two new listings this month. The Evolve European Banks Enhanced Yield ETF (EBNK-T) invests in equity securities of the 20 largest European banks on an equally weighted basis, while writing covered call options on up to 33% of the portfolio securities. Covered call options have the potential to provide extra income and help hedge long stock positions. Hamilton ETFs added to their existing suite of Canadian bank products, with the launch of the Hamilton Enhanced Canadian Financials ETF (HFIN-T). This fund invests in the top 12 largest Canadian financial service companies, while adding a 25% cash leverage to enhance yield and return potential.  

The beginning of the new year is typically a busy time in terms of new product launches, and this January was no exception. There were no ETF terminations in January.  


Release Notes 20220124.1


This post details the changes that went into production for Inovestor For Advisors on January 24th, 2021:

Feature 1

Portfolio Returns vs. Benchmark

You can now compare your portfolio’s performance against different benchmarks (S&P/TSX, S&P500). Performance of the portfolio and benchmark can be viewed in terms of both periodic and calendar returns. Value added represents portfolio returns in excess of the benchmark.

Feature 2

Porfolio Risk Adjusted Returns

Portfolio risk-adjusted returns and other risk metrics were added to the new Performance section, including Sharpe ratio, Sortino ratio, 5% Monthly VaR, Maximum Drawdown and Annualized Standard Deviation. Portfolio risk can be compared with the benchmark over different time periods. These metrics offer insight into how the portfolio has performed relative to the amount of risk taken. Use these tools to verify whether your portfolios are in line with their predetermined risk profiles.

Feature 3

Portfolio Factor Exposure

Use the new portfolio Factor Exposure section to identify your portfolio investment style based on the style exposure of your portfolio’s holdings, including Value, Growth, Quality, Momentum, Volatility and Yield. The charts allow you to identify the holdings that are key contributors to your portfolio style. Note that ETFs and Mutual Funds are excluded from the factor exposure calculation.