Desjardins Investments Makes Changes to Its Mutual Fund Lineup
Montreal, August 30, 2024 – Desjardins Investments Inc. ("DI"), as manager of the Desjardins Funds, announces changes to its mutual fund lineup. The changes, described in detail below, include a reduction of the management fees for certain Desjardins Funds as well as the replacement of the portfolio sub-manager and an amendment to the investment strategies of the Desjardins Enhanced Bond Fund.
DI regularly reviews its mutual fund's offer to ensure they continue to meet the evolving investment needs of financial advisors and investors.
Reduction of Management Fees for 35 Desjardins Funds
DI announces that it will be reducing management fees of 35 Desjardins Funds by up to 20 basis points for certain unit classes. It is anticipated that the reduction of management fees will become effective on or around October 1st, 2024.
These changes reflect DI's commitment to offering competitively priced actively managed investment funds. Below is the list of the unit classes of the Desjardins Funds that are affected:
|
ACTUAL MANAGEMENT FEES % |
MANAGEMENT FEES STARTING OCTOBER 1ST, 2024 % |
REDUCTIONS % |
DESJARDINS FUNDS (A-, T-, C- AND R-CLASS UNITS) |
|||
Money Market Fund (A- and C-Class Units) |
0.71 |
0.55 |
(0.16) |
Short-Term Income Fund (A- and C-Class Units) |
0.88 |
0.76 |
(0.12) |
Sustainable Short-Term Income Fund (formerly Desjardins SocieTerra Short-Term Income Fund) (A- and C-Class Units) |
0.88 |
0.76 |
(0.12) |
Canadian Bond Fund (A- and C-Class Units) |
0.96 |
0.87 |
(0.09) |
Sustainable Canadian Bond Fund (formerly Desjardins SocieTerra Canadian Bond Fund) (A- and C-Class Units) |
0.96 |
0.87 |
(0.09) |
Enhanced Bond Fund (A- and C-Class Units) |
1.00 |
0.86 |
(0.14) |
Global Total Return Bond Fund (A- and C-Class Units) |
1.19 |
1.09 |
(0.10) |
Sustainable Environmental Bond Fund (formerly Desjardins SocieTerra Environmental Bond Fund) (A- and C-Class Units) |
1.19 |
1.09 |
(0.10) |
Global Corporate Bond Fund (A- and C-Class Units) |
1.20 |
1.10 |
(0.10) |
Sustainable Global Bond Fund (formerly Desjardins SocieTerra Global Bond Fund) (A- and C-Class Units) |
1.39 |
1.19 |
(0.20) |
Floating Rate Income Fund (A- and C-Class Units) |
1.25 |
1.19 |
(0.06) |
Global Tactical Bond Fund (A- and C-Class Units) |
1.39 |
1.19 |
(0.20) |
Global High Yield Bond Fund (A- and C-Class Units) |
1.47 |
1.37 |
(0.10) |
Québec Balanced Fund (A-, T-, C- and R-Class Units) |
1.64 |
1.53 |
(0.11) |
Canadian Equity Income Fund (A-, T-, C- and R-Class Units) |
1.65 |
1.48 |
(0.17) |
Sustainable Canadian Equity Income Fund (formerly Desjardins SocieTerra Canadian Equity Income Fund) (A- and C-Class Units) |
1.65 |
1.48 |
(0.17) |
Canadian Equity Fund (A- and C-Class Units) |
1.65 |
1.48 |
(0.17) |
Canadian Equity Focused Fund (formerly Desjardins Canadian Equity Value Fund) (A-, T-, C- and R-Class Units) |
1.65 |
1.48 |
(0.17) |
Sustainable Canadian Equity Fund (formerly Desjardins SocieTerra Canadian Equity Fund) (A- and C-Class Units) |
1.65 |
1.48 |
(0.17) |
American Equity Value Fund (A- and C-Class Units) |
1.72 |
1.63 |
(0.09) |
American Equity Growth Fund (A- and C-Class Units) |
1.72 |
1.63 |
(0.09) |
American Equity Growth Currency Neutral Fund (A- and C-Class Units) |
1.72 |
1.63 |
(0.09) |
Sustainable American Equity Fund (formerly Desjardins SocieTerra American Equity Fund) (A- and C-Class Units) |
1.72 |
1.63 |
(0.09) |
Sustainable American Small Cap Equity Fund (formerly Desjardins SocieTerra American Small Cap Equity Fund) (A- and C-Class Units) |
1.87 |
1.73 |
(0.14) |
Sustainable Global Dividend Fund (formerly Desjardins SocieTerra Global Dividend Fund) (A-, T-, C- and R-Class Units) |
1.90 |
1.73 |
(0.17) |
Sustainable Global Opportunities Fund (formerly Desjardins SocieTerra Global Opportunities Fund) (A- and C-Class Units) |
1.75 |
1.72 |
(0.03) |
Emerging Markets Fund (A- and C-Class Units) |
1.90 |
1.81 |
(0.09) |
Sustainable Emerging Markets Equity Fund (formerly Desjardins SocieTerra Emerging Markets Equity Fund) (A- and C-Class Units) |
1.90 |
1.82 |
(0.08) |
Alt Long/Short Equity Market Neutral ETF Fund (A- and C-Class Units) |
1.90 |
1.85 |
(0.05) |
Wise Conservative ETF Portfolio (C-Class Units) |
1.35 |
1.33 |
(0.02) |
Wise Moderate ETF Portfolio (formerly Wise Balanced ETF Portfolio) (C-Class Units) |
1.35 |
1.33 |
(0.02) |
Wise Balanced 50 ETF Portfolio (C-Class Units) |
1.38 |
1.36 |
(0.02) |
Wise Growth ETF Portfolio (C-Class Units) |
1.40 |
1.38 |
(0.02) |
Wise Aggressive ETF Portfolio (formerly Wise Maximum Growth ETF Portfolio) (C-Class Units) |
1.40 |
1.38 |
(0.02) |
Wise 100% Equity ETF Portfolio (C-Class Units) |
1.45 |
1.43 |
(0.02) |
DESJARDINS FUNDS (F-CLASS UNITS) |
|||
Money Market Fund (F-Class Units) |
0.36 |
0.30 |
(0.06) |
Short-Term Income Fund (F-Class Units) |
0.38 |
0.33 |
(0.05) |
Sustainable Short-Term Income Fund (formerly Desjardins SocieTerra Short-Term Income Fund) (F-Class Units) |
0.38 |
0.33 |
(0.05) |
Canadian Bond Fund (F-Class Units) |
0.41 |
0.36 |
(0.05) |
Sustainable Canadian Bond Fund (formerly Desjardins SocieTerra Canadian Bond Fund) (F-Class Units) |
0.41 |
0.36 |
(0.05) |
Enhanced Bond Fund (F-Class Units) |
0.45 |
0.35 |
(0.10) |
Sustainable Environmental Bond Fund (formerly Desjardins SocieTerra Environmental Bond Fund) (F-Class Units) |
0.57 |
0.53 |
(0.04) |
Floating Rate Income Fund (F-Class Units) |
0.65 |
0.60 |
(0.05) |
Canadian Equity Income Fund (F-Class Units) |
0.56 |
0.51 |
(0.05) |
Sustainable Canadian Equity Income Fund (formerly Desjardins SocieTerra Canadian Equity Income Fund) (F-Class Units) |
0.56 |
0.51 |
(0.05) |
Canadian Equity Fund (F-Class Units) |
0.56 |
0.51 |
(0.05) |
Canadian Equity Focused Fund (formerly Desjardins Canadian Equity Value Fund) (F-Class Units) |
0.56 |
0.51 |
(0.05) |
Sustainable Canadian Equity Fund (formerly Desjardins SocieTerra Canadian Equity Fund) (F-Class Units) |
0.56 |
0.51 |
(0.05) |
Sustainable American Small Cap Equity Fund (formerly Desjardins SocieTerra American Small Cap Equity Fund) (F-Class Units) |
0.82 |
0.75 |
(0.07) |
Emerging Markets Fund (F-Class Units) |
0.85 |
0.81 |
(0.04) |
Sustainable Emerging Markets Equity Fund (formerly Desjardins SocieTerra Emerging Markets Equity Fund) (F-Class Units) |
0.85 |
0.82 |
(0.03) |
Alt Long/Short Equity Market Neutral ETF Fund (F-Class Units) |
0.90 |
0.85 |
(0.05) |
Wise Conservative ETF Portfolio (F-Class Units) |
0.35 |
0.33 |
(0.02) |
Wise Moderate ETF Portfolio (formerly Wise Balanced ETF Portfolio) (F-Class Units) |
0.35 |
0.33 |
(0.02) |
Wise Balanced 50 ETF Portfolio (F-Class Units) |
0.38 |
0.36 |
(0.02) |
Wise Growth ETF Portfolio (F-Class Units) |
0.40 |
0.38 |
(0.02) |
Wise Aggressive ETF Portfolio (formerly Wise Maximum Growth ETF Portfolio) (F-Class Units) |
0.40 |
0.38 |
(0.02) |
Wise 100% Equity ETF Portfolio (F-Class Units) |
0.45 |
0.43 |
(0.02) |
DESJARDINS FUNDS (D-CLASS UNITS) |
|||
Money Market Fund (D-Class Units) |
0.46 |
0.30 |
(0.16) |
Short-Term Income Fund |
0.38 |
0.26 |
(0.12) |
Sustainable Short-Term Income Fund (formerly Desjardins SocieTerra Short-Term Income Fund) (D-Class Units) |
0.38 |
0.26 |
(0.12) |
Canadian Bond Fund (D-Class Units) |
0.46 |
0.37 |
(0.09) |
Sustainable Canadian Bond Fund (formerly Desjardins SocieTerra Canadian Bond Fund) (D-Class Units) |
0.46 |
0.37 |
(0.09) |
Enhanced Bond Fund (D-Class Units) |
0.50 |
0.36 |
(0.14) |
Global Total Return Bond Fund (D-Class Units) |
0.69 |
0.59 |
(0.10) |
Sustainable Environmental Bond Fund (formerly Desjardins SocieTerra Environmental Bond Fund) (D-Class Units) |
0.69 |
0.59 |
(0.10) |
Global Corporate Bond Fund (D-Class Units) |
0.70 |
0.60 |
(0.10) |
Sustainable Global Bond Fund (formerly Desjardins SocieTerra Global Bond Fund) (D-Class Units) |
0.89 |
0.69 |
(0.20) |
Floating Rate Income Fund (D-Class Units) |
0.75 |
0.69 |
(0.06) |
Global Tactical Bond Fund (D-Class Units) |
0.89 |
0.69 |
(0.20) |
Global High Yield Bond Fund (D-Class Units) |
0.72 |
0.62 |
(0.10) |
Québec Balanced Fund (D-Class Units) |
0.64 |
0.53 |
(0.11) |
Canadian Equity Income Fund (D-Class Units) |
0.65 |
0.48 |
(0.17) |
Sustainable Canadian Equity Income Fund (formerly Desjardins SocieTerra Canadian Equity Income Fund) (D-Class Units) |
0.65 |
0.48 |
(0.17) |
Canadian Equity Fund (D-Class Units) |
0.65 |
0.48 |
(0.17) |
Canadian Equity Focused Fund (formerly Desjardins Canadian Equity Value Fund) (D-Class Units) |
0.65 |
0.48 |
(0.17) |
Sustainable Canadian Equity Fund (formerly Desjardins SocieTerra Canadian Equity Fund) (D-Class Units) |
0.65 |
0.48 |
(0.17) |
American Equity Value Fund (D-Class Units) |
0.72 |
0.63 |
(0.09) |
American Equity Growth Fund (D-Class Units) |
0.72 |
0.63 |
(0.09) |
American Equity Growth Currency Neutral Fund (D-Class Units) |
0.72 |
0.63 |
(0.09) |
Sustainable American Equity Fund (formerly Desjardins SocieTerra American Equity Fund) (D-Class Units) |
0.72 |
0.63 |
(0.09) |
Sustainable American Small Cap Equity Fund (formerly Desjardins SocieTerra American Small Cap Equity Fund) (D-Class Units) |
0.87 |
0.73 |
(0.14) |
Sustainable Global Dividend Fund (formerly Desjardins SocieTerra Global Dividend Fund) (D-Class Units) |
0.90 |
0.73 |
(0.17) |
Sustainable Global Opportunities Fund (formerly Desjardins SocieTerra Global Opportunities Fund) (D-Class Units) |
0.75 |
0.72 |
(0.03) |
Emerging Markets Fund (D-Class Units) |
0.90 |
0.81 |
(0.09) |
Sustainable Emerging Markets Equity Fund (formerly Desjardins SocieTerra Emerging Markets Equity Fund) (D-Class Units) |
0.90 |
0.82 |
(0.08) |
| * Management fees before taxes. | |||
Changes to the Desjardins Enhanced Bond Fund
DI announces the replacement of the portfolio sub-manager, Sanford C. Bernstein & Co., LLC ("Sanford C. Bernstein"), by Desjardins Global Asset Management Inc. (“DGAM”), the Portfolio Manager of the Desjardins Funds, who will be responsible for the management of the portfolio assets of the Desjardins Enhanced Bond Fund.
DI anticipates that the replacement of Sanford C. Bernstein by DGAM will become effective on or around November 4, 2024.
In connection with these changes, DI has approved amendments to the investment strategies of the Fund to better reflect the investment philosophy of DGAM as the Portfolio Manager of the Fund. Both the fundamental investment objective and the risk rating of the Fund will however remain unchanged.
The investment strategy of the Fund will be amended to better reflect the new mandate. Key investment strategy includes the following:
- Combining fundamental and quantitative analyses through credit research and economic analysis to validate and optimize the opportunities available in the market;
- Fundamental analysis of the economy and market anticipations establish the portfolio strategy in terms of timeframe, credit risk, interest-rate curve and sector allocation;
- Security selection comes mainly from investment grade Canadian and foreign corporate and governmental issuers;
- The portfolio manager seeks to enhance portfolio returns and increase diversification through the opportunistic investment in corporate issuers.
The above-mentioned changes will be made subject to approval from the regulatory authorities. DI reserves the right to suspend or defer the implementation of said changes to a later date.
Desjardins Funds are not guaranteed, their value fluctuates frequently and their past performance is not indicative of their future returns. Commissions, trailing commissions, management fees and expenses may all be associated with mutual fund investments. Please read the prospectus before investing. Desjardins Funds are offered by registered dealers.
For further information (media inquiries only):
Public Relations
514-281-7000 or 1-866-866-7000. ext. 5553436
media@desjardins.com