Fund Overview
This fund is designed for investors who…
- Seek capital growth over the long-term in a diversified portfolio of American issuers.
- Want to participate in the indices of the American market.
- Have capital-growth objectives in the long term and whose risk tolerance is medium.
Investment Objectives
- Achieve long-term capital growth.
- Invest in securities included in one or more American stock market indices in proportion to their weight in such indices, with a minimum of 60% of the assets tracking the performance of S&P 500 market index, or favours investments whose returns track those of these indices.
Fund Facts are published once a year. Read them now.
Summary
Volatility:
Average Category: US Equity
Start Date: July 24, 2000
RRSP Admissibility: Yes, 100% eligible
Benchmark: S&P/500 Index not hedged to the Canadian dollar
Assets*: $53,412,702
Number of Securities: 8
Target Asset Mix:
- Short Term: 0%
- American Securities (S&P 500): 100%
- Other securities in other American indexes or sub-indexes: 0%
*As at April 30, 2024
Portfolio Management
Managers
- Professionals’ Financial – Mutual Funds Inc.
The Funds’ Investment Policies are developed by the Fund Manager’s Investment Committee, which meets regularly to make any necessary changes. The Committee includes both internal and external investment experts, as well as representatives of professional association shareholders.
Main Securities as at September 30, 2024
| SPDR S&P 500 ETF Trust | 47.6% |
| iShares Core S&P 500 Index ETF (CAD- Hedged) | 17.2% |
| iShares Core S&P 500 ETF | 14.7% |
| Invesco QQQ Trust Series I | 4.7% |
| iShares MSCI USA Quality Factor ETF | 4,7% |
| iShares Core Dividend Growth ETF | 4,7% |
| Invesco S&P 500 Equal Weight ETF | 4.6% |
| Canadian Dollar | 1.6% |
| U.S. Dollar | 0.2% |
| Net asset value as at September 30, 2024 | 83 M $ |
Returns
Returns *
* Returns for the first and last year are not annualized
* Non annualized return
$1,000 Invested Amount since inception
Note that the results shown are for information purposes only. Commissions, trailing commissions, management fees and expenses all may be associated with investments ins FDP Portfolio’s. Please read the prospectus before investing. The indicated rates of return are the historical annual compounded total returns, including changes in portfolio value and reinvestment of all distributions, but do not take into account sales, redemption, distribution or optional charges or income taxes payable by an investor that would have reduced returns. References to indices are for information purposes only. Comparisons with indices may vary according to the portfolio size, investment timing, and mandate objective. The funds’ securities are not insured by the Canada Deposit Insurance Corporation. Mutual funds are not guaranteed, their value changes frequently, and past performance may not be repeated.
Managers' Comments
The FDP US Equity Portfolio, Series A posted a net return of 17.0% for the first six months of 2024, versus 20.2% for 2023.
In the United States, the U.S. Federal Reserve (Fed) paused its interest rate hikes until the end of June, keeping its key interest rate within the 5.25%–5.50% range. Its highly anticipated first rate cut was repeatedly delayed due to persistent inflation, which remains above target, and concerns about implementing a cut before the November election. The U.S. stock market, as measured by the S&P 500 Index, posted a 19.6% return in Canadian dollars for the first half of 2024. As was the case for the MSCI World Index, growth-style stocks (especially those of the Magnificent Seven, the seven largest U.S. technology companies) contributed the most to gains during the first six months of 2024, continuing a trend from 2023. These seven stocks now account for 30% of the S&P 500 Index.
The Canadian dollar depreciated about 1.6% against the U.S. dollar, which had a positive impact on returns for Canadian investors holding U.S. dollar- denominated assets.
The FDP US Equity Portfolio maintains significant exposure to S&P 500 stocks and adds relative value through exchange-traded fund (ETF) investments. For the first six months of 2024, investments in the S&P 500 Equal Weight and S&P 500 Dividend Growers ETFs detracted the most value as U.S. large-cap stocks (especially the Magnificent Seven technology companies) continued to dominate the leading U.S. index.
