Horizons Medical Marijuana Life Sciences ETF Begins Trading on the TSX

TORONTO – April 5, 2017 – Horizons ETFs Management (Canada) Inc. (“Horizons ETFs”) is pleased to announce the launch of the Horizons Medical Marijuana Life Sciences ETF (“HMMJ”). Units of the exchange traded fund (“ETF”) begin trading on the Toronto Stock Exchange (“TSX”) today under the ticker symbol HMMJ.

HMMJ is the first ETF in the world that offers direct exposure to North American-listed stocks that are involved with medical marijuana bioengineering and production.

Canada is the birthplace of ETFs and has been home to many firsts in the industry. The Horizons Medical Marijuana Life Sciences ETF is another made-in-Canada ETF milestone, the world’s first marijuana ETF,” said Steve Hawkins, President and Co-CEO of Horizons ETFs. “At Horizons, we take pride in our innovation, so we’re very happy that for the first time, investors will be able to access a low-cost, diversified portfolio of companies that are directly involved in the rapidly growing medical marijuana industry.

HMMJ is an index (or passively managed) ETF, which seeks to replicate, to the extent possible, the performance of Solactive’s North American Medical Marijuana Index (“the Index”), net of expenses. The Index provides exposure to the performance of a basket of North American publicly listed life sciences companies, and other firms, with significant business activities in the marijuana industry. The Index selects from a current universe of companies that have operations that may include one or more of biopharmaceuticals, medical manufacturing, distribution, bioproducts and other ancillary businesses, related to the marijuana industry.

Only stocks that meet minimum asset and liquidity thresholds are eligible for inclusion in the Index. Stocks are rebalanced quarterly on a market-capitalization basis, and capped so that no single stock can exceed 10% of the weight of the Index when rebalanced.

The following table of securities shows the current weights of the Index as at March 17, 2017. HMMJ may not necessarily hold all of the securities in the Index. If Horizons ETFs becomes aware that one or more constituent issuers of HMMJ’s Index conduct activities in violation of applicable laws, including state or federal legislation in the United States, HMMJ will not hold the securities of those constituent issuers, notwithstanding their inclusion in the Index.

  Market Capitalization1 (in CAD) Index Weight2
Scotts Miracle-Gro Company Class A 7,309,373,479 10.00%
GW Pharmaceuticals PLC Sponsored ADR 4,382,988,585 10.00%
Canopy Growth Corporation 1,884,258,816 10.00%
Insys Therapeutics, Inc. 1,160,189,978 10.00%
Aurora Cannabis Inc. 765,459,712 10.00%
Aphria Inc. 743,520,128 10.00%
Cronos Group Inc. 412,373,248 7.78%
Zynerba Pharmaceuticals Inc. 370,825,394 7.00%
OrganiGram Holdings Inc. 256,249,808 4.83%
CanniMed Therapeutics, Inc. 253,300,112 4.78%
Emblem Corp. 216,826,272 4.09%
Supreme Pharmaceuticals Inc. 203,529,184 3.84%
CannaRoyalty Corp. 127,609,376 2.41%
Emerald Health Therapeutics, Inc. 103,979,000 1.96%
ICC International Cannabis Corp. 94,248,008 1.78%
Maple Leaf Green World, Inc. 81,145,192 1.53%
 

1As at March 2, 2017.
2As at March 17, 2017.

The rapid growth of the medical marijuana industry, which includes the growth in the size of companies and the number of companies that are publicly listed on North American stock exchanges, has created enough market depth and liquidity to make launching an ETF with this unique theme possible,” said Mr. Hawkins. “It’s rare that investors get an opportunity to invest in what is essentially an entirely new sector of stocks. Despite the recently strong performance of many of these companies, we do think that we’re still in the early stages of what could be a unique long-term growth opportunity."

HMMJ has closed its initial offering of units and will begin trading on the TSX when the market opens this morning.

About Solactive (www.solactive.com)
Solactive AG is an innovative index provider that focuses on the development, calculation and distribution of tailor-made indices over all asset classes. As of January 2017, Solactive AG served approximately 350 clients in Europe, America and Asia, with approximately USD $100 billion invested in products linked to indices calculated by the Company globally, primarily via 250 exchange traded funds from a number of well-known providers. Solactive AG was established in 2007 and is headquartered in Frankfurt.

About Horizons ETFs Management (Canada) Inc.
Horizons ETFs Management (Canada) Inc. and its affiliate AlphaPro Management Inc. are innovative financial services companies offering the Horizons ETFs family of exchange traded funds. The Horizons ETFs family includes a broadly diversified range of investment tools with solutions for investors of all experience levels to meet their investment objectives in a variety of market conditions. Horizons ETFs has more than $7 billion of assets under management. With 77 ETFs listed on the Toronto Stock Exchange, the Horizons ETFs family makes up one of the largest families of ETFs in Canada. Horizons ETFs Management (Canada) Inc. and AlphaPro Management Inc. are members of the Mirae Asset Global Investments Group.

For investor inquiries:
1-866-641-5739 (toll-free) or (416) 933-5745
info@horizonsetfs.com

For press or other inquiries:
Mark Noble, Head of Sales Strategy
Horizons ETFs Management (Canada) Inc. (416) 640-8254
mnoble@horizonsetfs.com

Download PDF

Share This Article

Next article
 

Horizons Announces February 2017 Distributions for its Covered Call ETFs

Horizons ETFs is a Member of Mirae Asset Global Investments. 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 which consist of our 2x Daily Bull and 2x Daily Bear ETFs ("2x Daily ETFs"), Inverse ETFs ("Inverse ETFs") and our VIX ETF (defined below). The 2x Daily 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, which, where applicable, are described in their respective prospectuses. Each 2x Daily ETF seeks a return, before fees and expenses, that is either 200% or -200% of the performance of a specified underlying index, commodity or benchmark (the "Target") for a single day. Each Inverse ETF seeks a return that is -100% of the performance of a Target. Due to the compounding of daily returns, a 2x Daily ETF's or Inverse ETF's returns over periods other than one day will likely differ in amount and, for the 2x Daily ETFs, possibly direction from the performance of their respective Target(s) for the same period. The BetaPro Product whose Target is the S&P 500 VIX Short-Term Futures Index™ (the "VIX ETF"), which is a (1x) VIX 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 generally viewed as 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 ETFs' 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, as frequently as daily, to ensure that they remain consistent with their investment strategies.

*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.