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Are Canadian rate-sensitive funds on sale?

Regardless of whether Bank of Canada Governor Stephen Poloz, right, cuts rates or U.S. Fed chair Janet Yellen raises them, they obviously matter a great deal and exert strong influence over markets.

The focus on Greece may soon be considered a rear-view mirror event, but Canadian investors should still be thinking about last week’s Bank of Canada’s rate cut, especially since U.S. Federal Reserve Chair Janet Yellen has reiterated the onset of interest rate normalization south from the border continues to be a 2015 event.

Regardless of whether rates of interest are down (Canada) or soon-to-be up (U.S.), they obviously matter a good deal and exert strong influence over markets.

The Canadian experience so far in 2015 suggests rates within this country aren’t about to blast off, yet several perennial favourite areas of the yield-oriented crowd – notably dividend, utility and REIT ETFs – haven’t been spared, irrespective of the distinctions to make in terms of rate of interest policy outlook.

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