RBC iShares ETFs are comprised of RBC ETFs managed by RBC Global Asset Management Inc. and iShares ETFs managed by BlackRock Asset Management Canada Limited ("BlackRock Canada").
What are discount bond ETFs?
RBC Discount Bond ETFs provide exposure to high quality, short- term government and corporate bonds, with an emphasis on discount bonds. These ETFs seek to deliver an attractive after-tax return that consists of both interest income and capital gains. This means they are an ideal option for investors seeking a tax-efficient, shorter-term solution for their non-registered accounts. RBC Discount Bond ETFs can also be a great complement to a fully diversified ‘core’ bond portfolio to shorten duration and increase tax efficiency.
Simplicity
Access a single ticket, cost efficient diversified portfolio of short-term Canadian or U.S. government and corporate bonds.
Tax-efficiency
Enjoy a more tax-efficient return in non-registered accounts when compared to bonds purchased at par.
Liquidity
Benefit from strong liquidity and ease of trading relative to many other fixed income solutions.
Active Management
Put the breadth and depth of experience of the RBC GAM Fixed Income Team to work for you.
Why invest now?
With short term interest rates at their highest point since the mid 2000s, the North American bond market now offers numerous bonds trading at relatively deep discounts to par. As a result, RBC Discount Bond ETFs are in a strong position to deliver attractive, tax-effective returns for investors.
Portfolio characteristics | RCDB | RUDB* |
Weighted average yield to maturity | 4.64% | 5.30% |
Weighted average current yield | 1.67% | 1.80% |
Pricing (relative to par $100) | 93.18 | 91.58 |
Modified duration | 2.51 years | 2.56 years |
Weighted average credit rating | AA- | A+ |
Characteristics as of April 30, 2024
* Also available in $US and CAD hedged (RUDB.u and RDBH)
Explore RBC Discount Bond ETFs
- {{ point }}
Explore RBC Discount Bond ETFs
Additional resources
How can we help?
RBC iShares offers an unparalleled breadth of ETF solutions, a commitment to exceptional service and top investment expertise located around the world.
Advisors: Contact your dedicated sales team and access portfolio resources – Login here.
Investors: Contact your financial advisor to discuss which investments may be right for you.