TORONTO,
Jan. 23, 2013 /CNW/ - Horizons
Exchange Traded Funds Inc. ("Horizons ETFs") and its
affiliate AlphaPro Management Inc. are pleased to announce the
distribution amounts per unit (the "Distributions") for
certain of the Horizons ETFs family of exchange traded funds (the
"ETFs"), for the period ending January 31, 2013, as indicated in the table
below.
The ex-dividend date for the Distributions is
anticipated to be January 29, 2013
for all unitholders of record on January 31,
2013. The Distributions will be paid in cash or, if
the unitholder has enrolled in the respective ETF's dividend
reinvestment plan (DRIP), reinvested in additional units of the
applicable ETF, on or about February 12,
2013.
ETF Name |
Ticker
Symbol |
Current
Month
Distribution
Rate |
NAV
Change
from Prior
Month(1) |
Current
Month
Yield(2) |
Prior
Month
Yield(3) |
Absolute
Change in
Yield from
Prior
Month(4) |
Horizons Enhanced
Income Equity ETF |
HEX |
$0.03954 |
3.04% |
6.23% |
8.05% |
-1.82% |
HEX.A |
$0.03466 |
2.96% |
5.44% |
7.26% |
-1.82% |
Horizons Enhanced
Income Energy ETF |
HEE |
$0.03832 |
2.58% |
7.05% |
8.60% |
-1.55% |
HEE.A |
$0.03425 |
2.50% |
6.26% |
7.81% |
-1.55% |
Horizons Enhanced Income Gold Producers ETF |
HEP |
$0.04256 |
1.64% |
8.63% |
10.90% |
-2.27% |
HEP.A |
$0.03848 |
1.57% |
7.84% |
10.11% |
-2.27% |
Horizons Enhanced
Income Financials ETF |
HEF |
$0.03677 |
2.47% |
5.14% |
6.90% |
-1.76% |
HEF.A |
$0.03125 |
2.40% |
4.35% |
6.11% |
-1.76% |
Horizons Enhanced
Income International Equity ETF |
HEJ |
$0.04792 |
2.36% |
6.11% |
7.50% |
-1.39% |
HEJ.A |
$0.04173 |
2.28% |
5.33% |
6.75% |
-1.43% |
Horizons Enhanced Income US Equity (USD) ETF (5) |
HEA.U |
$0.04489 |
2.11% |
5.07% |
10.64% |
-5.56% |
HEA.V |
$0.03792 |
2.03% |
4.29% |
9.85% |
-5.56% |
Horizons Enhanced US
Equity Income ETF |
HES |
$0.03152 |
1.97% |
4.31% |
6.89% |
-2.57% |
HES.A |
$0.02575 |
1.89% |
3.52% |
6.10% |
-2.58% |
Horizons Gold Yield
ETF |
HGY |
$0.03915 |
0.88% |
5.10% |
6.72% |
-1.62% |
HGY.A |
$0.03261 |
0.80% |
4.25% |
5.87% |
-1.62% |
Horizons Silver Yield
ETF |
HZY |
$0.04425 |
0.74% |
6.10% |
5.54% |
0.56% |
HZY.A |
$0.03808 |
0.66% |
5.25% |
4.69% |
0.56% |
Horizons Crude Oil
Yield ETF |
HOY |
$0.04195 |
5.15% |
6.02% |
7.51% |
-1.49% |
HOY.A |
$0.03603 |
5.06% |
5.17% |
6.67% |
-1.49% |
Horizons Natural Gas
Yield ETF |
HNY |
$0.11700 |
2.97% |
15.13% |
27.57% |
-12.45% |
HNY.A |
$0.11039 |
2.88% |
14.28% |
26.73% |
-12.45% |
(1) Based on the period December 18, 2012 to January 22, 2013, where the prior month's net
asset value per unit is adjusted to include the prior month's
distribution.
(2) Annualized and based on the applicable January 22, 2013 net asset value per unit which
is available at www.HorizonsETFs.com.
(3) Annualized and based on the applicable December 18, 2012 net asset value per unit which
is available at www.HorizonsETFs.com.
(4) The absolute change of the prior month's previously
announced annualized distribution yield to the current month's
annualized distribution yield.
(5) Distributions for Horizons Enhanced Income US Equity
(USD) ETF are declared and paid in U.S. dollars.
Each ETF makes Distributions to unitholders
based on the amount of call option premiums received during the
month, along with any dividend income received, less expenses
payable by the ETF. Call option premiums, and therefore the amounts
distributed, tend to reflect the prevailing implied volatilities,
either higher or lower. Should implied volatility levels increase
in the future from current levels, it would be expected that call
option premiums would generally, but not always, rise.
Distributions will vary from period to period.
The following commentary is provided with
respect to the January 2013
distributions for the ETFs. Any discussion of implied volatility
below is based on the average implied volatility of the nearest
out-of-the-money call options on the underlying portfolio
securities of the respective ETFs.
HEX / HEX.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects the
decrease in the implied volatility of the constituents in this
portfolio, which generally results in lower option premiums
collected, as well as greater option buyback costs in the financial
and resource sectors over the past month.
HEE / HEE.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects the
decrease in the implied volatility of the constituents in this
portfolio as well as greater option buyback costs in the energy
sector over the past month.
HEP / HEP.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects a marked
decrease in the implied volatility of the equities in the gold
sector over this past month.
HEF / HEF.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects a
general decrease in the implied volatility to multi-year lows of
the constituents in the portfolio as well as greater option buyback
costs due to an increase in equity prices in the financial sector
over this past month.
HEJ / HEJ.A
The decreased distribution yield for the current month, when
compared to the prior month's distribution yield, reflects greater
option buyback costs as a result of an increase in international
equities, in general, as well as lower implied volatilities.
HEA.U / HEA.V; HES / HES.A
The decrease in the distribution yields of these ETFs for the
current month, when compared to the prior month's distribution
yields, reflects greater option buyback costs as a result of a
general increase in US equities, as well as lower implied
volatilities that declined to multi-year lows.
HGY/ HGY.A
The decrease in the distribution yield for the current month, when
compared to the prior month's yield, reflects a lower realized
implied volatility that declined to multi-year lows as well as
greater buyback costs as a result of an increase in the price of
gold bullion over the past month.
HZY/ HZY.A
The increase in the distribution yield, when compared to the prior
month's distribution yield, reflects lower option buyback costs as
a result of a decline in the price of silver bullion despite little
change in the implied volatility over the past month.
HOY/ HOY.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects a
decrease in the implied volatility of crude oil to multi-year lows,
in addition to greater option buyback costs over the past
month.
HNY/ HNY.A
The decrease in the distribution yield for the current month, when
compared to the prior month's distribution yield, reflects a lower
implied volatility in the price of natural gas over the past
month.
For further information regarding the
Distributions please visit www.HorizonsETFs.com
Certain statements may constitute a forward
looking statement, including those identified by the expression
"expect" and similar expressions (including grammatical variations
thereof) to the extent they relate to the ETFs. The forward-looking
statements are not historical facts but reflect the ETFs, the ETF's
managers or Horizons ETF's current expectations regarding future
results or events. These forward-looking statements are subject to
a number of risks and uncertainties that could cause actual results
or events to differ materially from current expectations.
These and other factors should be considered carefully and readers
should not place undue reliance on the ETF's forward looking
statements. These forward-looking statements are made as of the
date hereof and the ETFs do not undertake to update any
forward-looking statement that is contained herein, whether as a
result of new information, future events or otherwise, unless
required by applicable law.
Commissions, trailing commissions, management
fees and expenses all may be associated with investments in the
ETFs. The ETFs are not guaranteed, their values change frequently
and past performance may not be repeated. Please read the
prospectus before investing.
About Horizons Exchange Traded Funds Inc.
(www.HorizonsETFs.com)
Horizons ETFs is an innovative financial services company offering
the Horizons ETFs family of ETFs. 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. With approximately
$3.6 billion in assets under
management and 76 ETFs listed on the Toronto Stock Exchange, the
Horizons ETFs family makes up one of the largest families of ETFs
in Canada. Horizons ETFs is
a subsidiary of Horizons ETFs Management (Canada) Inc. and a member of the Mirae Asset
Financial Group.
SOURCE Horizons Exchange Traded Funds Inc.