Like the highly regarded Renaissance Optimal Income Portfolio, this invests in a number of other funds offered by CIBC’s Renaissance brand.
It is like a traditional 60/40 balanced portfolio. Within the fixed income sleeve, it provides exposure to not only traditional bonds, but also high yield, floating rate notes, and global bonds.
The equity component is income focused, with the Renaissance Canadian Dividend Fund making up the lion’s share. It also has about 15% invested in global infrastructure, which is a great way to get not only growth potential, but also lower volatility, and a decent yield.
With just a year of track record under its belt, I am encouraged by what I have seen so far. For the year ending September 30, it gained 13%, finishing well in the upper half of the global neutral balanced category.
Costs appear to be reasonable, with an estimated MER of 2.10%.
If I had to pick a weakness, it would be their U.S. equity fund. I have been less than impressed with it over the years. That said, the managers have done a great job at squeezing the extra juice out of the portfolio with the Income Portfolio. I am cautiously optimistic they can do something similar with this offering.
I can’t give it a full thumbs up, since it only has a year’s worth of data. But as long as you don’t bet the farm on it, I think you’ll do okay.