BlackRock Canada Launches the iShares Short Term Strategic Fixed Income ETF (XSI), Designed to Minimize Interest Rate Volatility While Maximizing Yield - Seite 2

Meanwhile, on the global level, investors are beginning to see interest rate policy divergence among central bankers after years of moving in lockstep. For example, while the U.S. is widely expected to tighten monetary policy, Europe, Japan and Canada are adopting a more accommodative stance. Such divergence in interest rates may create both opportunities and volatility in the fixed income market - pointing to the advisability of mitigating interest rate sensitivity while looking beyond Canada's borders for yield.

"The era of stability in monetary policy and interest rates is drawing to a close, and in this new environment it makes sense for investors to consider fixed income assets with shorter durations while global forces play themselves out," said Aubrey Basdeo, Managing Director, Head of Canadian Fixed Income, BlackRock. "At the same time, yields in traditional domestic bond portfolios look poised to remain low, suggesting that investors may need to explore fixed income opportunities elsewhere to generate yield."

Structured as a "fund of funds", XSI leverages BlackRock's global iShares platform. XSI directly holds funds that provide exposure to both domestic and international iShares bond funds that Canadian investors might otherwise have difficulty accessing. The diversification capabilities of XSI allows for rebalancing of exposures as the fixed income landscape fluctuates, in order to continue to minimize interest rate sensitivity (as well as country-specific risk) and maximize opportunities for greater yield.

Further information on the iShares Funds can be found at www.blackrock.com/ca.

About BlackRock

BlackRock is a leader in investment management, risk management and advisory services for institutional and retail clients worldwide. At December 31, 2014, BlackRock's AUM was $4.652 trillion. BlackRock helps clients meet their goals and overcome challenges with a range of products that include separate accounts, mutual funds, iShares® (exchange-traded funds), and other pooled investment vehicles. BlackRock also offers risk management, advisory and enterprise investment system services to a broad base of institutional investors through BlackRock Solutions®. Headquartered in New York City, as of December 31, 2014, the firm had approximately 12,200 employees in more than 30 countries and a major presence in key global markets, including North and South America, Europe, Asia, Australia and the Middle East and Africa. For additional information, please visit the Company's website at www.blackrock.com/ca - Twitter: @BlackRockCA - Blog: www.blackrockblog.com/can