Canadian provider TD Securities has just launched the Quebec North Development Companies-Linked Notes Series, its first product using the Quebec Province as a marketing theme.
The 7-year fully protected growth product is linked to an equally-weighted portfolio of 10 international shares involved in development projects in Northern Quebec and uses a capped call structure with overall caps of 165% or 185%.
According to SRP data, only two other providers in the Canadian market have targeted the Province in product underlyings. The National Bank of Canada marketed a product linked to the Morningstar National Bank Quebec index last August and Epargne Placements Quebec via its regular GIC Stock Index Bonds Series linked to the upside of the Québec IQ-30 index.
In addition, The Caisse de dépôt et placement du Québec and National Bank announced on Monday a $30m investment to create the XTF Morningstar National Bank Québec Index ETF, the very first ETF targeting the Province. "This new fund, composed exclusively of Québec securities, will be intended to promote the growth and recognition of Québec-based companies both locally and in the international financial community," said Jean-Luc Gravel, executive vice-president, equity markets at Caisse de dépôt.
Both TD Securities products are available now in Recent Additions (Canada), minimum investment is C$2,000 apiece.