ETF investors miss most of 2019 gains

December 31, 2019

2019 will likely finish up as a banner year for ETFs with inflows likely surpassing $25 billion and $200 billion in assets under management for the first time. Despite the strong sales, investors largely missed out on reaping the returns from the equity market: nearly six out of every 10 dollars invested in Canadian-listed ETFs went into high-investment-grade fixed income.


Canadian stocks should double Wall Street's gains in 2020: Fiera Capital

December 11, 2019

Candice Bangsund, vice president and portfolio manager at Global Asset Allocation, Fiera Capital, details her 2020 market outlook. She forecasts that the TSX will outperform next year with Bay Street rising 8 per cent versus a gain of 3-4 per cent for the S&P 500. She believes banks and energy stocks will do a lot of the heavy lifting with the price of oil rising to US$70 barrel.


Canadians flock to fixed income ETFs in ‘flight to safety’ amid economic worries

December 10, 2019

Canadian-listed exchange-traded funds (ETFs) recently crossed the $200-billion asset mark and record inflows are expected in 2019, amid an increase in purchases of conservative fixed-income funds from retail investors seeking more safety.


An easy way to invest in dividend stocks

December 02, 2019

There are two ways to invest in an income portfolio.


Horizons slashes ETF fees on trio of products in bid to attract assets

December 02, 2019

‘We're not trying to create a fee war, we're trying to provide products with rational fees to the Canadian marketplace’


TFSA Users: 1 Artificial Intelligence ETF to Own for Decades

November 16, 2019

We sit less than two months away from the new year. This will also usher in a new decade. Investors should have already started to think about what sectors are positioned for big growth in the 2020s.


Why Investing in Horizons Marijuana Life Sciences ETF (TSX:HMMJ) Seems the Best Bet for Cannabis Investors

November 04, 2019

The cannabis carnage has continued in October 2019. Several stocks have lost considerable market value and are trading at 52-week lows.


Halloween Effect Means Canada Stock Buyers May Be in for a Treat

October 31, 2019

Investors who are hesitant to get back into Canada’s stock market may get some comfort ahead.


Seven strategies for maximizing returns from ETFs

October 15, 2019

Many Canadians have been won over by the advantages of investing in exchange-traded funds, including their low cost, transparency and potential to deliver broad portfolio diversification.


The energy sector on the verge of a 'renaissance'

September 17, 2019

Portfolio manager reflects on boost from White House and how investors can benefit from zero carbon emissions


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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 values change frequently and past performance may not be repeated. The prospectus contains important detailed information about the Horizons Exchange Traded Products. 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. The BetaPro Products consist of our Daily Bull and Daily Bear ETFs (“Leveraged and Inverse Leveraged ETFs”), Inverse ETFs (“Inverse ETFs”) and our BetaPro S&P 500 VIX Short-Term Futures™ ETF (the “VIX ETF”). Included in the Leveraged and Inverse Leveraged ETFs and the Inverse ETFs are the BetaPro Marijuana Companies 2x Daily Bull ETF (“HMJU”) and BetaPro Marijuana Companies Inverse ETF (“HMJI”), which track the North American MOC Marijuana Index (NTR) and North American MOC Marijuana Index (TR), respectively. The Leveraged and Inverse Leveraged ETFs and certain other BetaPro Products use leveraged investment techniques that can magnify gains and losses and may result in greater volatility of returns. These BetaPro Products are subject to leverage risk and may be subject to aggressive investment risk and price volatility risk, among other risks, which are described in their respective prospectuses. Each Leveraged and Inverse Leveraged ETF seeks a return, before fees and expenses, that is either up to, or equal to, either 200% or –200% of the performance of a specified underlying index, commodity futures index or benchmark (the “Target”) for a single day. Each Inverse ETF seeks a return that is –100% of the performance of its Target. Due to the compounding of daily returns a Leveraged and Inverse Leveraged ETF’s or Inverse ETF’s returns over periods other than one day will likely differ in amount and, particularly in the case of the Leveraged and Inverse Leveraged ETFs, possibly direction from the performance of their respective Target(s) for the same period. For certain Leveraged and Inverse Leveraged ETFs that seek up to 200% or up to or -200% leveraged exposure, the Manager anticipates, under normal market conditions, managing the leverage ratio as close to two times (200%) as practicable however, the Manager may, at its sole discretion, change the leverage ratio based on its assessment of the current market conditions and negotiations with the respective ETF’s counterparties at that time. Hedging costs charged to BetaPro Products reduce the value of the forward price payable to that ETF. Due to the high cost of borrowing the securities of marijuana companies in particular, the hedging costs charged to HMJI are expected to be material and are expected to materially reduce the returns of HMJI to unitholders and materially impair the ability of HMJI to meet its investment objectives. Currently, the manager expects the hedging costs to be charged to HMJI and borne by unitholders will be between 10.00% and 45.00% per annum of the aggregate notional exposure of HMJI’s forward documents. The hedging costs may increase above this range. The manager publishes on its website, the updated monthly fixed hedging cost for HMJI for the upcoming month as negotiated with the counterparty to the forward documents, based on the then current market conditions. The VIX ETF, which is a 1x ETF, as described in the prospectus, is a speculative investment tool that is not a conventional investment. The VIX ETF’s Target is highly volatile. As a result, the VIX ETF is not intended as a stand-alone long-term investment. Historically, the VIX ETF’s Target has tended to revert to a historical mean. As a result, the performance of the VIX ETF’s Target is expected to be negative over the longer term and neither the VIX ETF nor its target is expected to have positive long-term performance. 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.

Horizons Total Return Index ETFs (“Horizons TRI ETFs”) are generally index-tracking ETFs that use an innovative investment structure known as a Total Return Swap to deliver index returns in a low-cost and tax-efficient manner. Unlike a physical replication ETF that typically purchases the securities found in the relevant index in the same proportions as the index, most Horizons TRI ETFs use a synthetic structure that never buys the securities of an index directly. Instead, the ETF receives the total return of the index through entering into a Total Return Swap agreement with one or more counterparties, typically large financial institutions, which will provide the ETF with the total return of the index in exchange for the interest earned on the cash held by the ETF. Any distributions which are paid by the index constituents are reflected automatically in the net asset value (NAV) of the ETF. As a result, the Horizons TRI ETF receives the total return of the index (before fees), which is reflected in the ETF’s share price, and investors are not expected to receive any taxable distributions. Certain Horizons TRI ETFs use physical replication instead of a total return swap. The Horizons Cash Maximizer ETF and Horizons USD Cash Maximizer ETF do not track an index but rather a compounding rate of interest paid on a cash deposit that can change over time.

*The indicated rates of return are the historical annual compounded total returns including changes in per unit value and reinvestment of all dividends or distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any securityholder that would have reduced returns. The rates of return shown in the table are not intended to reflect future values of the ETF or returns on investment in the ETF. Only the returns for periods of one year or greater are annualized returns.