Desjardins Overhauls Mutual Fund Lineup with Manager Shifts and Fee Cuts
Event summary
- Desjardins Investments adds Sterling Capital as co-manager for its Global Corporate Bond Fund, effective December 1, 2026.
- ClearBridge Investments replaced by Desjardins Global Asset Management for Sustainable American Equity Fund, with fee cuts starting November 2, 2026.
- O- and P-Class units closed for 12 Desjardins Funds, effective November 6, 2026.
The big picture
Desjardins' mutual fund lineup adjustments reflect ongoing shifts in asset management toward specialized sub-advisory partnerships and fee sensitivity. With $64 billion in AUM, these changes position the cooperative financial giant to compete more aggressively in Canada's increasingly consolidated fund management space. The manager replacements suggest a strategic pivot toward internal expertise for core equity products.
What we're watching
- Integration Risk
- How Sterling's U.S. corporate bond focus will blend with existing strategies in the Global Corporate Bond Fund.
- Cost Competitiveness
- Whether fee reductions in the Sustainable American Equity Fund can attract more investors post-manager switch.
- Product Rationalization
- The pace at which Desjardins consolidates less popular unit classes across its fund lineup.
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