Mr. Brandon Dorey reports

THE RBC ISHARES ALLIANCE LAUNCHES ETF SERIES OF RBC QUBE MARKET NEUTRAL WORLD EQUITY FUND (CAD HEDGED)

The RBC iShares has launched ETF (exchange-traded fund) series units of RBC QUBE Market Neutral World Equity Fund (CAD Hedged), adding to its suite of alternative investment solutions. The new ETF series is managed by RBC Global Asset Management Inc. (RBC GAM Inc.) and is expected to begin trading on Cboe Canada today.

Absolute return strategy designed to seek capital growth independent of market movements

The new ETF series expands the suite of liquid alternative investment solutions offered by the RBC iShares alliance. RBC QUBE Market Neutral World Equity Fund (CAD Hedged) aims to provide consistent capital growth that is substantially independent of the performance of the global equity market by investing primarily in units of RBC QUBE Market Neutral World Equity Fund. The underlying fund takes long and short positions primarily in securities that are listed on major global stock exchanges using a quantitative investment model designed to select individual stocks, control portfolio-level risk and maximize exposure to factors associated with outperformance. Additionally, RBC QUBE Market Neutral World Equity Fund (CAD Hedged) seeks to minimize exposure to currency fluctuations between the United States dollar and the Canadian dollar by using a hedging strategy.

"Sophisticated investors have long used market neutral strategies to help offset the impact of market volatility on their portfolios," said Mark Neill, managing director and head of exchange-traded funds and strategic alliances, RBC Global Asset Management Inc. "By launching RBC QUBE Market Neutral World Equity Fund (CAD Hedged) in an ETF series, the RBC iShares alliance is expanding its alternative investment solution set to provide Canadian advisers and investors with an institutional style product in a convenient ETF format."

Capital gains distribution payment method for ETF series units of RBC QUBE Market Neutral World Equity Fund and RBC QUBE Market Neutral World Equity Fund (CAD Hedged)

RBC GAM will file an amendment to the RBC Funds simplified prospectus today to clarify that RBC QUBE Market Neutral World Equity Fund and RBC QUBE Market Neutral World Equity Fund (CAD Hedged) intend to distribute any net capital gains for ETF series units quarterly in March, June, September and December which, in RBC GAM's discretion, may be paid in cash or reinvested automatically in additional ETF series units of the applicable fund at a price equal to the net asset value per ETF series unit of the applicable fund. In the case of any reinvestment, the ETF series units will be immediately consolidated, such that the number of outstanding ETF series units following the distribution will equal the number of ETF series units outstanding prior to the distribution.

The RBC iShares alliance aims to help clients achieve their investment objectives by empowering them to build efficient portfolios and take control of their financial futures. The RBC iShares alliance is committed to delivering a truly differentiated ETF experience and positive outcomes for clients.

About Royal Bank of Canada

Royal Bank of Canada is a global financial institution with a purpose-driven, principles-led approach to delivering leading performance. Its success comes from the 105,000-plus employees who leverage their imaginations and insights to bring its vision, values and strategy to life so it can help its clients thrive and communities prosper. As Canada's biggest bank and one of the largest in the world, based on market capitalization, RBC has a diversified business model with a focus on innovation and providing exceptional experiences to its more than 19 million clients in Canada, the U.S. and 27 other countries.

About RBC Global Asset Management

RBC Global Asset Management is the asset management division of Royal Bank of Canada (RBC). RBC GAM is a provider of global investment management services and solutions to institutional, high-net-worth and individual investors through separate accounts, pooled funds, mutual funds, hedge funds, exchange-traded funds and specialty investment strategies. RBC Funds, BlueBay Funds, PH&N Funds and RBC ETFs are offered by RBC Global Asset Management (RBC GAM) and distributed through authorized dealers in Canada. The RBC GAM group of companies, which includes RBC GAM (including PH&N Institutional), manage approximately $834-billion in assets and have approximately 1,600 employees located across Canada, the United States, Europe and Asia.