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Fund name
The name of the ETF may indicate who runs it, and may highlight its strategy including the index or market segment that it is trying to replicate or track.
Publication date
This is the ETF Facts publication date. The information in the document is current as of that date, and the fund company must update the document every year or more often if there is a material change to the fund information.
Fund manager
The manager, sometimes referred to as the investment fund manager, directs the business, operations and affairs of the fund.
Portfolio manager
The portfolio manager provides investment advice and portfolio management services to the fund.
Distributions
Some ETFs distribute income such as interest or dividends to investors. Distributions are never guaranteed.
Trading information
Unlike mutual funds, ETFs are traded like a stock on an exchange. This section provides quick-reference trading information.
Ticker symbol
An abbreviation used to identify an investment traded on a stock exchange.
Exchange
A stock exchange is a market in which securities are bought and sold. This is the stock exchange where the ETF is traded.
Pricing information
Quick-reference information on price. For more information, see “Trading ETFs” on page two of ETF Facts.
Average bid-ask spread
The bid-ask spread is the gap between the price a buyer is willing to pay and the price a seller is willing to accept. The bid-ask spread may be used as a way to compare the cost of ownership of different ETFs.
Top 10 investments
These are the fund’s 10 largest investment holdings as of the date shown in ETF Facts. The top 10 holdings are also expressed as a percentage of the ETF’s total net asset value (NAV). The total number of investments in the fund gives you a sense of how diversified the fund’s investments are.
Investment mix
The investment mix provides a breakdown of the fund’s investment portfolio to give you a better idea of the fund’s investment exposure. Depending on the type of the fund, this breakdown can be by industry sector, asset class, geographic location, etc.
How risky is it?
All investments have some risk. The risk rating is determined by the manager and is generally based on volatility. The fund’s risk is rated from low to high. Even an ETF with a low risk rating can lose money. The rating can change over time. More information about the risk rating and specific risks that can affect the fund’s returns can be found in the ETF’s prospectus.
No guarantees
No ETFs have any performance guarantees. You may not get back the amount of money you invested. Past performance may not be an indication of future performance. Even an ETF with a low risk rating can lose money.
How has the ETF performed?
This shows you how the fund has performed over the long term. The time period shown is up to 10 years, but if the fund is less than 10 years old, only the years available will be shown. The returns are net of expenses and are typically shown as a percentage of the net asset value (NAV). Past performance is not an indication of future performance.
Year-by-year returns
This shows you how stable or how volatile fund returns have been from year to year on an annual basis and on a cumulative basis. The time period shown is up to 10 years.
Market price
The amount you must pay to buy one unit of the ETF. The market price can change from day to day or even minute to minute.
Net asset value
The amount that a single ETF unit is worth in dollars. It is based on the value of the assets of the fund, less the fees, expenses and taxes, divided by the number of units outstanding in the fund (i.e. units held by investors).
Who is this ETF for?
Are you trying to grow your money over the long term, or looking for a steady payout from this investment? Use this section to determine whether the fund fits your investment goals for growth and income. You should also consider how the fund fits in with the rest of your portfolio.
A word about tax
This section is standard in all ETF Facts. Depending on whether your investment is in a registered or non-registered account, it will be taxed differently. Learn more about how investments are taxed.
How much does it cost?
Before you invest, read this section to understand the fees. Additional information can be found in the ETF’s prospectus.
Brokerage commissions
Like a stock, you will usually pay a commission to the investment firm every time you buy or sell an ETF. Consider how these costs will affect your returns if you’re planning to make frequent purchases or trade often.
Management expense ratio (MER)
Like a mutual fund, ETFs pay management fees and operating expenses. This is called the management expense ratio (or MER). MERs for ETFs are usually lower than those for mutual funds in the same class. They are paid by the fund, and are expressed as an annual percentage of the total value of the fund. While you don’t pay these expenses directly, they affect you because they reduce the fund’s returns. This can add up over time.
Trailing commission
This section tells you whether the fund has a trailing commission, an ongoing charge for services and advice provided by your representative and their firm. Trailing commissions are paid out of the fund’s management fee. The manager pays this commission for as long as you hold the fund.
What if I change my mind?
You may decide, after you purchase the fund, that it is not right for you. You may have the right to cancel your order within a certain time period if you change your mind.
For more information
ETF Facts provides key information about a fund. This section tells you who to contact to get more detailed information which is
available in the ETF’s prospectus.
Learn more about exchange-traded funds.
