Toronto November 6, 2024: LSEG Lipper unveiled the results of the acclaimed 2024 Canadian LSEG Lipper Fund Awards. These annual awards shine the spotlight on the asset management industry and recognize the funds that have consistently delivered strong risk-adjusted returns against its peers.
This event gathered investment professionals, industry experts, and journalists from all over the country to help us acknowledge and celebrate the success of portfolio managers and the individuals who support them.
A Tried & True Quantitative Approach.
The LSEG Lipper award winners are not simply determined by picking the funds with the highest returns within classifications over the respective awards periods; much more goes into this process.
The LSEG Lipper Fund Awards are based on the Lipper Leader rating for Consistent (Effective) Return. These ratings are calculated using a risk-adjusted return model based on the fund’s effective return over multiple non-overlapping periods—within the respective three-, five-, and/or 10-year horizons. The calculations over multiple periods ensure that all periods in which a fund underperforms the average of its peer group are identified.
Next, LSEG Lipper uses a utility function based on behavioural finance theory—relative loss avoidance—to penalize periods of underperformance against the peer-group average of eligible funds, with more significant weightings given to excess losses.
Consistent Return is a risk-adjusted performance measure for investors with a stronger risk aversion to clustering losses than gains. The calculation methodology ensures that the winners are funds that have provided superior consistency and risk-adjusted returns compared to a group of similar funds.
This is more in line with how investors view financial gains and losses, meaning that funds receiving a Lipper fund award may be best suited for investors who value a fund’s year-over-year performance consistency relative to other funds in a particular peer group. (View the full methodology: here).
The Top Mutual Funds & ETFs in Canada.
The LSEG Lipper Fund Awards honour those funds with the highest score in the Lipper Leader rating for Consistent Return over the three-, five- and/or 10-year periods.
Overall, 62 funds won an award for the three-year period ended July 31, 2024, and were called to stage to accept a trophy on what was an incredible evening at the Four Seasons in Toronto.
There were an additional 53 funds that were recognized with a Lipper Fund Award over the five-year period, and 36 funds won the prestigious award for the 10-year period. (View the complete list: Canada 2024 | LSEG Lipper Fund Awards | Find Winners).
Jack Fischer, Lipper Research U.S. & Canada Lead, comments:
“The magic of the LSEG Lipper Fund Awards is that it not only recognizes the top fund managers in the industry but also the many teams and professionals backing them—emphasizing the consistency of their strong performance and resiliency of their investment processes. While the firms are awarded the trophies, the real benefits are recognized by the underlying investors within these funds.”
The best asset management firms in Canada
On top of the individual classification awards, LSEG Lipper gives group awards which are divided into four asset categories: Bond, Equity, Mixed Assets, and Overall. There are two distinct universes for group awards: Mutual Funds & Exchange-Traded Funds (ETFs).
The fund family with the lowest average decile rank of their eligible funds with a three-year Consistent Return score within each asset class and group determined the award winner. This process is followed for both the mutual fund and ETF universes. (View the complete list: Canada 2024 | LSEG Lipper Fund Awards | Find Winners).
With 22 eligible funds SEI took home the mutual fund overall group award, while Fidelity Investments won the ETF overall group award having 27 eligible funds in consideration.
Within the equity asset class, Bridgehouse won the mutual fund firm award competing against 51 other firms. Hamilton Capital took home the equity ETF award, finishing atop a pool of 26 asset managers.
In fixed income Leith Wheeler Investment Counsel and Manulife were awarded the mutual fund and ETF group award, respectively. Manulife was the only firm this year to win a group award in back-to-back years—winning equity ETFs in 2023.
The mixed assets mutual fund group award was celebrated by Canoe Financial, with Fidelity Investments being recognized as the mixed assets ETFs winner.
Two additional highlights:
- CI Global Asset Management received the greatest number of trophies for the second consecutive year.
- Three funds accomplished the incredible feat of “sweeping their classification”, meaning the fund won each the three-, five-, and 10-year periods:
- Canadian Equity: EdgePoint Canadian Portfolio Series
- High Yield Fixed Income: Pender Corporate Bond Fund
- Canadian Short Term Fixed Income: Global X Active Ultra-Short Term Investment Grade Bond ETF
Congratulations to all 2024 Canadian LFA winners!
LSEG Lipper covers more than 380,000 share classes in more than 83 countries. The Lipper Leader ratings are available for mutual funds and ETFs registered for sale in 45 markets.
About LSEG Lipper Fund Awards:
For more than 31 years and in over 17 countries worldwide, the highly respected LSEG Lipper Awards have honoured funds and fund management firms that have excelled in providing consistently strong risk-adjusted performance relative to their peers and focus the investment world on top-funds. The merit of the winners is based on entirely objective, quantitative criteria. This coupled with the unmatched depth of fund data, results in a unique level of prestige and ensures the award has lasting value. Renowned fund data and proprietary methodology is the foundation of this prestigious award qualification, recognizing excellence in fund management. Find out more at www.lipperfundawards.com.
About LSEG Lipper
With a track record of over 50 years of independent content, LSEG Lipper was the first to develop fund classifications that place funds in their respective peer group. LSEG Lipper data covers more than 380,000+ share classes in over 83 countries. The Lipper Leader ratings are available for mutual funds registered for sale in 47 markets. LSEG Lipper provides independent insight on global collective investments, including mutual funds, retirement funds, hedge funds and fund fees and expenses. LSEG Lipper offers premium-quality data, fund ratings, analytical tools, and global commentary through specialized product offerings. Trusted by investment professionals for 50 years, LSEG Lipper provides unparalleled expertise and insight to the funds industry. Lipper Fund Performance | LSEG
About LSEG
LSEG (London Stock Exchange Group) is more than a diversified global financial markets infrastructure and data business. We are dedicated, open-access partners with a commitment to excellence in delivering the services our customers expect from us. With extensive experience, deep knowledge, and worldwide presence across financial markets, we enable businesses and economies around the world to fund innovation, manage risk and create jobs. It’s how we’ve contributed to supporting the financial stability and growth of communities and economies globally for more than 300 years. Discover more at www.lseg.com.
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