MD Financial Management Inc. (MD) today announced changes to the investment objectives of the MDPIM Canadian Bond Pool and the MDPIM Canadian Long Term Bond Pool that will be implemented on, or about, May 31, 2019. These amendments were approved during a special meeting of unitholders held on April 23, 2019. The changes include the following:
- For the MDPIM Canadian Bond Pool, to invest in Government of Canada, provincial, municipal, corporate and asset-backed bonds with, on average, short terms of maturity, rather than short to medium terms of maturity. This will help to reduce portfolio volatility during unexpected market conditions, while continuing to provide income.
- For the MDPIM Canadian Long Term Bond Pool, to invest in Government of Canada, provincial, municipal, corporate and asset-backed bonds with a full range of maturities, rather than, on average, longer terms of maturity. This will help improve capital preservation, mitigate the risk of loss in a portfolio when interest rates are increasing, and diversify risk.
The changes will enable MD to improve the potential for better risk-adjusted returns in the fixed income portion of client portfolios.
In addition, to more accurately reflect the new investment objectives, MD will change the names of the pools, as follows:
- MDPIM Canadian Bond Pool will be renamed MDPIM Short-Term Bond Pool.
- MDPIM Canadian Long Term Bond Pool will be renamed MDPIM Bond Pool.
MD Private Investment Counsel clients’ portfolios will be rebalanced, as necessary, to ensure they continue to align with clients’ personal investment objectives.
Should they have any questions, clients are encouraged to contact their MD Advisor* or MD Client Services at 1 800 267-2332.
About MD Financial Management Inc.
With 50 years of physician-focused experience, MD has one main goal: to help Canada’s physicians achieve financial well-being.
MD has more than $50 billion in assets under administration and is dedicated to serving Canada’s physicians and their families. MD provides financial products and services, the MD Family of Funds and investment counselling services through the MD Group of Companies. For a detailed list of these companies, visit md.ca.
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* MD Advisor refers to an MD Management Limited Financial Consultant or Investment Advisor (in Quebec), or an MD Private Investment Counsel Portfolio Manager.