TORONTO, Dec. 4, 2015 /CNW/ - Horizons ETFs
Management (Canada) Inc.
("Horizons ETFs") announces today the estimated
non-cash capital gains to be distributed to unitholders of certain
of the exchange traded funds (the "ETFs") managed by it and
its affiliate AlphaPro Management Inc. for the 2015 tax year as
indicated in the table below. ETFs not listed in the table are not
expected to have a non-cash capital gains distribution for the 2015
tax year. With respect to the Horizons BetaPro family of leveraged,
inverse, inverse leveraged and volatility ETFs as well as the
Horizons benchmark ETFs, this is expected to be the ninth
consecutive year with no capital gains distributions. This includes
the Horizons S&P/TSX 60TM Index ETF (HXT/HXT.U:TSX)
and the Horizons S&P 500® ETF (HXS/HXS.U:TSX), which have both
completed 5 full calendar years of operations since their inception
without any capital gains distributions to unitholders.
Please note that these are estimated amounts only.
Circumstances may arise which could cause these estimates to change
before the ETF's applicable tax year ends on December 15, 2015 or December 31, 2015.
Each of the ETFs is required to distribute any net income and
capital gains that it has earned in the year. The final annual
capital gains distributions will not be paid in cash but will be
reinvested and reported as taxable distributions, and will be used
to increase each unitholder's adjusted cost base for the respective
ETF. These estimated amounts are for the annual capital gains
distributions and do not include any estimates of the regular
monthly or quarterly cash distributions, as applicable, including
those capital gains that may form part of the monthly and/or
quarterly distributions.
Horizons ETFs expects to announce the final year-end income and
capital gains distribution amounts, as well as regular monthly or
quarterly distribution amounts, on or about December 18 and 21, 2015. The ex-dividend date
for these distributions is anticipated to be December 29, 2015, for all unitholders of record
on December 31, 2015. In early
2016, the tax characteristics of all distributions for 2015 for the
ETFs will be reported to brokers via CDS.
|
AlphaPro
Management
Inc.
ETF
Name
|
Ticker
Symbol
|
Estimated
Annual
Capital
Gain
per Unit as
of
Dec. 3,
2015
|
Net
Asset
Value per
Unit
as
of
Dec. 3,
2015
|
Estimated
Capital
Gains as a
%
of NAV as
of
Dec. 3,
2015
|
|
Horizons Active
Diversified Income ETF
|
HAA
|
$0.352
|
$10.7627
|
3.27%
|
|
HAA.A
|
$0.330
|
$10.7581
|
3.06%
|
|
Horizons Seasonal
Rotation ETF
|
HAC
|
$1.139
|
$16.5525
|
6.88%
|
|
HAC.A
|
$0.983
|
$16.1891
|
6.07%
|
|
Horizons Active
Global Dividend ETF
|
HAZ
|
$0.370
|
$18.5877
|
1.99%
|
|
HAZ.A
|
$0.357
|
$18.6065
|
1.92%
|
|
Horizons Managed
Global Opportunities ETF(1)
|
HGM
|
$0.136
|
$10.3646
|
1.31%
|
|
HGM.A
|
$0.108
|
$10.3405
|
1.05%
|
|
HGM Cl. F
|
$0.104
|
$10.2289
|
1.02%
|
|
Horizons Active US
Floating Rate Bond (USD) ETF(2)
|
HUF.U
|
$0.179
|
$9.9432
|
1.80%
|
|
HUF
|
$0.179
|
$13.2613
|
1.80%
|
|
HUF.V
|
$0.174
|
$9.9441
|
1.75%
|
|
(1)
|
Class E and Advisor
Class units of Horizons Managed Global Opportunities ETF began
trading on August 26, 2015. Class F units of the ETF, a
non-reporting class of units only available through purchase by way
of an offering memorandum, were first issued on September 23,
2015. The distributions attributable to each class of units
have been prorated from their respective launch dates.
|
|
|
|
(2)
|
Distributions, if
any, for Horizons Active US Floating Rate Bond (USD) ETF are
declared and paid in U.S. dollars, including those listed under the
Canadian dollar traded ticker HUF. The approximate Canadian
dollar equivalent distribution rate for HUF is $0.239 per unit. For
unitholders who hold Canadian dollar traded HUF, distribution
payments will typically be converted to Canadian dollars by the
unitholder's account holder.
|
Reasons for the larger estimated capital gains distribution
for:
HUF.U, HUF / HUF.V
Horizons Active US Floating Rate Bond (USD) ETF's functional
currency is in US dollars. The ETF will typically hedge any non-US
dollar exposure in its portfolio back to the US dollar.
Approximately 25% of the ETF's net assets are held in Canadian
dollar denominated securities and was hedged back to the US dollar
throughout 2015. As the Canadian dollar depreciated by
approximately 13% versus the US dollar, the gains realized on these
hedges have resulted in the estimated capital gains distributable
to unitholders.
About Horizons ETFs Management (Canada) Inc. (www.HorizonsETFs.com)
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 $5.3
billion of assets under management and with 70 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 Financial Group.
Certain statements may constitute
a forward looking statement,
including those identified by
the expressions "estimate" or "expect" and similar
expressions (including grammatical variations thereof) to the
extent they relate to the ETFs or Horizons ETFs. The
forward-looking statements are not historical facts but reflect the
ETFs, the ETF's managers or Horizons ETFs 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 ETFs' 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.
SOURCE Horizons ETFs Management (Canada) Inc.