HISA ETFs might not be dead yet - Burkett Insights

Nov 16, 2023 · HISA ETFs might not be dead yet. Markets 11-16-2023 Back. OSFI ruling could impact yields, asset managers and advisors weigh in. Published on Wealth Professional By …

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HISA ETFs Now Subject To Stricter Liquidity Rules | Advisor.ca

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Oct 31, 2023 · Money-market ETFs had $3.1 billion in AUM on Sept. 30, per NBF. Mark Noble, senior vice-president of retail strategy with Guardian Capital LP — which released two short …

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HISA ETF Rule Changes Could Lead To Lower Rates, Providers Say

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May 15, 2023 · Tasevski also said the rates ETF providers are receiving from banks could move lower based on the 100% run-off treatment. Lala said he’s not sure yet how much rates could …

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FAQs about HISA ETFs might not be dead yet - Burkett Insights Coupon?

Will Hisa ETF yields fall further?

On Oct. 31, when OSFI announced the changes, HISA ETFs offered gross yields between 5.3% and 5.5%. As of late January, gross yields on most of the funds clustered around the BoC’s 5% lending rate. TD Securities initially predicted a 50-basis-point drop in yields, but issued a report in January saying yields may fall even further. ...

Why are so many Canadians buying Hisa ETFs?

Kevin Burkett, portfolio manager at Burkett Asset Management, sees the logic behind OSFI’s ruling given the meteoric rise of HISA ETFs among Canadian investors. He wonders, however, why so many Canadians have flocked to these products and argues that it largely comes down to a lack of easily available alternative options. ...

Are Hisa ETFs a good investment under new liquidity rules?

Even under the new liquidity rules, TD Securities said HISA ETFs maintain certain advantages over competing products while interest rates are high. Most banks offer less than 3% on high-interest savings accounts, the report said, while investors sacrifice liquidity when they buy GICs. ...

Is 'the party is over' for Hisa ETFs?

Money-market ETFs had $3.1 billion in AUM on Sept. 30, per NBF. Mark Noble, senior vice-president of retail strategy with Guardian Capital LP — which released two short-term T-bill funds in July and doesn’t offer HISA ETFs — said the change may signal that “the party is over” for HISA ETFs. ...

Are Hisa ETFs viable?

Lala argues that from an underlying perspective these products remain viable and alternative. He believes that from a yield to liquidity to credit standpoint HISA ETFs like his remain ahead of other cash and cash alternative products. What can advisors do now? ...

Do banks invest in Hisa ETFs?

In explaining the decision, OSFI said that banks’ relationships are with ETF funds and not with retail investors in the funds. While HISA ETFs are marketed to retail investors, the funds are traded on an exchange and there’s no way to prevent pension funds or money-market funds from acquiring them. ...