First ETFs listed in Canada to provide 2x leveraged and -2x inverse leveraged exposure to Canada’s “Big Six” banks exclusively
TORONTO – September 13, 2022 – Horizons ETFs Management (Canada) Inc. (“Horizons ETFs”) is pleased to announce the launch of two new ETFs: the BetaPro Equal Weight Canadian Bank 2x Daily Bull ETF (“HBKU”), the BetaPro Equal Weight Canadian Bank -2x Daily Bear ETF (“HBKD” and together, the “ETFs”). Shares of the ETFs will begin trading today on the Toronto Stock Exchange (“TSX”).
HBKU and HBKD have joined the Horizons ETFs’ BetaPro family of funds, Canada’s only suite of exchange traded funds that provide leveraged, inverse leveraged, and inverse exposure to numerous different asset classes.
HBKU and HBKD provide leveraged and inverse leveraged exposure, respectively, to Canada’s “Big Six” banks: Royal Bank of Canada, Toronto Dominion Bank, Bank of Nova Scotia, Bank of Montreal, Canadian Imperial Bank of Commerce, and National Bank of Canada.
| ETF Name and Ticker | Investment Objective | Management Fee* |
|---|---|---|
| BetaPro Equal Weight Canadian Bank 2x Daily Bull ETF (TSX:HBKU) | HBKU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the Solactive Equal Weight Canada Banks Index. | 1.15% |
| BetaPro Equal Weight Canadian Bank -2x Daily Bear ETF (TSX:HBKD) | HBKD seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the daily performance of the Solactive Equal Weight Canada Banks Index. | 1.15% |
*Plus applicable sales taxes.
“Within the TSX’s top 60 companies, Canada’s Big Six banks make up nearly a quarter of the total market capitalization, underscoring their relative importance to the Canadian equity market and the economy at large,” said Steve Hawkins, President and CEO of Horizons ETFs. “Whether you are bullish or bearish on a variety of sectors, broad indices or commodities, our suite of leveraged and inverse leveraged ETFs can provide a potential high-conviction, short-term trade. Now, with HBKU and HBKD, we are giving Canadian investors the ability to invest those views on either the long or short side of the Canadian banking sector without taking on the high costs of using margin, or borrowing and shorting directly.”
The ETFs closed their initial offering of shares to their designated broker at the close of business on September 12, 2022, and will begin trading today on the TSX.
For more information about HBKU, please visit: www.HorizonsETFs.com/HBKU
For more information about HBKD, please visit: www.HorizonsETFs.com/HBKD
About Horizons ETFs Management (Canada) Inc. (www.HorizonsETFs.com)
Horizons ETFs Management (Canada) Inc. is an innovative financial services company and offers one of the largest suites of exchange traded funds in Canada. The Horizons ETFs product family includes a broadly diversified range of solutions for investors of all experience levels to meet their investment objectives in a variety of market conditions. Horizons ETFs has more than $22 billion of assets under management and 107 ETFs listed on major Canadian stock exchanges.
For all inquiries:
Please contact Horizons ETFs at 1-866-641-5739 (toll-free) or (416) 933-5745
[email protected]
Commissions, management fees and expenses all may be associated with an investment in exchange traded products managed by Horizons ETFs Management (Canada) Inc. (the “Horizons Exchange Traded Products”). The Horizons Exchange Traded Products are not guaranteed, their value changes frequently and past performance may not be repeated. Certain Horizons Exchange Traded Products may have exposure to leveraged investment techniques that magnify gains and losses and which may result in greater volatility in value and could be subject to aggressive investment risk and price volatility risk. Such risks are described in the prospectus. The prospectus contains important detailed information about the ETF. Please read the relevant prospectus before investing.
The Horizons Exchange Traded Products include our BetaPro products (the “BetaPro Products”). The BetaPro Products are alternative mutual funds within the meaning of National Instrument 81-102 Investment Funds, and are permitted to use strategies generally prohibited by conventional mutual funds: the ability to invest more than 10% of their net asset value in securities of a single issuer, to employ leverage, and engage in short selling to a greater extent than is permitted in conventional mutual funds. While these strategies will only be used in accordance with the investment objectives and strategies of the BetaPro Products, during certain market conditions they may accelerate the risk that an investment in shares of a BetaPro Product decreases in value. HBKU, which is a 2X ETF or Leveraged ETF and HBKD, which is a -2X ETF or Inverse Leveraged ETF, as described in the prospectus, are speculative investment tools and are not considered conventional investments.
An investment in HBKU, HBKD, or any of the BetaPro Products is not intended as a complete investment program and is appropriate only for investors who have the capacity to absorb a loss of some or all of their investment. The BetaPro Leveraged or Inverse Leveraged ETFs are designed to provide daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to a multiple or inverse (opposite) multiple of the daily performance of a specified Underlying Index. The BetaPro Leveraged and Inverse Leveraged ETFs do not seek to achieve their stated investment objective over a period of time greater than one day. Please read the full risk disclosure in the prospectus before investing. Investors should monitor their holdings in BetaPro Products and their performance at least as frequently as daily to ensure such investment(s) remain consistent with their investment strategies.
Additional information regarding an ETF is contained in its prospectus (as amended), ETF Facts, the most recently filed interim and annual management reports of fund performance and the annual audited and interim unaudited financial statements of each ETF. You should review these documents carefully. You may obtain a copy of an ETF’s prospectus (as amended) and any of the documents incorporated by reference herein by accessing the SEDAR website at www.sedar.com or the Manager’s website at www.HorizonsETFs.com, or at no charge by calling the Manager’s toll-free number at 1-866-641-5739 or by faxing a request to the Manager at 416-777-5181.
This communication is intended for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to purchase exchange traded products (the “Horizons Exchange Traded Products”) managed by Horizons ETFs Management (Canada) Inc. and is not, and should not be construed as, investment, tax, legal or accounting advice, and should not be relied upon in that regard. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies. These investments may not be suitable to the circumstances of an investor.
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