Let’s talk about putting cash to work!

^{Source: Franklin Templeton as of January 31, 2024. Common Inception Date: July 8, 2019.}

Final word

We acknowledge the key role that cash instruments played during an aggressive rate hike cycle, but we remain optimistic on the fixed income market. Barring a shocking turn of events, we believe that a broader interest rate drawdown is getting closer. Falling rate environments will likely create compelling new opportunities in fixed income, and investors bunkering in cash should give that some real thought.

If you have clients ready to debunk some cash to increase their portfolio’s upside, we’ve highlighted two solutions capable of doing exactly that, while maintaining a low risk profile.

To learn more about FHIS– click here.

To learn more about FLSD– click here.

1. _{Bloomberg L.P. as of February 29, 2024.}
2. _{Franklin Templeton as of January 31, 2024.}
3. _{“Product Review: Review of Cash Alternative and Money Market ETFs in Canada (ETF Research & Strategy)” published by National Bank ETF research team on February 28, 2024 based on data as of January 31, 2024.}

_{IMPORTANT LEGAL INFORMATION}

_{Alex Lee’s comments, opinions and analyses are for informational purposes only and should not be considered individual investment advice or recommendations to invest in any security or to adopt any investment strategy. Because market and economic conditions are subject to rapid change, comments, opinion, and analyses are rendered as of the date of the posting and may change without notice. The material is not intended as a complete analysis of every material fact regarding any country, region, market, industry, investment or strategy.}

All investments involve risks, including the possible loss of principal. Investments in foreign securities involve special risks including currency fluctuations, economic instability and political developments. Investments in emerging markets, of which frontier markets are a subset, involve heightened risks related to the same factors, in addition to those associated with these markets’ smaller size, lesser liquidity and lack of established legal, political, business and social frameworks to support securities markets. Because these frameworks are typically even less developed in frontier markets, as well as various factors including the increased potential for extreme price volatility, illiquidity, trade barriers and exchange controls, the risks associated with emerging markets are magnified in frontier markets. Stock prices fluctuate, sometimes rapidly and dramatically, due to factors affecting individual companies, particular industries or sectors, or general market conditions.

_{Any statement that necessarily depends on future events may be a forward-looking statement. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Although such statements are based on assumptions that are believed to be reasonable, there can be no assurance that actual results will not differ materially from expectations. Investors are cautioned not to rely unduly on any forward-looking statements. In connection with any forward-looking statements, investors should carefully consider the areas of risk described in the most recent simplified prospectus.}