TORONTO, Jan. 3, 2020 /CNW/ - Horizons ETFs Management
(Canada) Inc. ("Horizons
ETFs") is providing an update to the nominal payment date
disclosed in the press release issued on December 31, 2019 confirming the annual non-cash
distributions (the "Non-Cash Distributions") to unitholders
of certain of the exchange traded funds (the "ETFs") that it
manages for the 2019 tax year as indicated in the table below.
There are no other changes to the information previously provided
on December 31, 2019.
Each of the ETFs is required to distribute any net income and
capital gains that they have earned in the year. The annual
Non-Cash 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. The nature of the Non-Cash Distributions for the respective
ETFs as either income or capital gains is disclosed in the
footnotes to the table below. The Non-Cash Distributions will be
reinvested automatically in additional units of the respective ETFs
and immediately consolidated so that the number of units held by
the unitholder, the units outstanding of the ETFs, and the net
asset value of the ETFs, will not change as a result of the
Non-Cash Distributions. These amounts do not include the regular
monthly or quarterly cash distributions, as applicable, announced
on December 20, 2019.
The ex-dividend date for these distributions was December 30, 2019, for all unitholders of record
on December 31, 2019. The nominal
payment date applied to these Non-Cash Distributions will be
January 13, 2020, though in actuality
there will be no physical payment made as would be the case with
cash distributions. In early 2020, the tax characteristics of all
distributions for 2019 for the ETFs will be reported to brokers via
the CDS Clearing and Depository Services Inc.
("CDS") and will be posted on our website shortly
thereafter.
|
ETF
Name
|
Ticker
Symbol
|
Final
Confirmed
Annual Non-
Cash
Distribution
per
Unit
|
Final
Non-Cash
Distribution
As a %
of
Dec. 30,
2019
NAV
|
Estimated
Annual Non-
Cash
Distribution per
Unit announced
on Dec. 20, 2019
|
|
Horizons Industry 4.0
Index ETF (1)
|
FOUR
|
$1.71014
|
5.43%
|
$1.71013
|
|
Horizons Seasonal
Rotation ETF (2)
|
HAC
|
$1.04939
|
4.64%
|
$1.07274
|
|
Horizons Active Cdn
Dividend ETF (3)
|
HAL
|
$0.40847
|
2.26%
|
$0.41372
|
|
Horizons Active US
Dividend ETF (4)
|
HAU
|
$0.28088
|
2.00%
|
$0.29774
|
|
HAU.U
|
$0.28088
|
2.00%
|
$0.29774
|
|
Horizons Active
Global Dividend ETF (5)
|
HAZ
|
$0.69411
|
2.98%
|
$0.70455
|
|
Horizons Global Risk
Parity ETF (6)
|
HRA
|
$0.61595
|
5.76%
|
$0.61595
|
|
Horizons Active A.I.
Global Equity ETF (7)
|
MIND
|
$0.21722
|
0.81%
|
$0.26351
|
As disclosed above, the final determination of the nature of
these Non-Cash Distributions will be reported to brokers via CDS in
early 2020. The expected nature of the Non-Cash
Distributions for each of the ETFs in the table above is as
follows:
|
(1)
|
Horizons Industry 4.0
Index ETF (FOUR) – 99% capital gains, 1% income.
|
|
(2)
|
Horizons Seasonal
Rotation ETF (HAC) – 100% capital gains.
|
|
(3)
|
Horizons Active Cdn
Dividend ETF (HAL) – 100% capital gains.
|
|
(4)
|
Horizons Active US
Dividend ETF (HAU/HAU.U) – 100% capital gains. Please note that
distributions for Horizons Active US Dividend ETF are declared and
paid in Canadian dollars, including those listed under the U.S.
dollar traded ticker HAU.U. The approximate U.S. dollar equivalent
distribution rate for HAU.U is $0.21507 per unit. For unitholders
who hold the U.S. dollar traded HAU.U, distribution payments will
typically be converted to U.S. dollars by the unitholder's account
holder.
|
|
(5)
|
Horizons Active
Global Dividend ETF (HAZ) – 100% capital gains.
|
|
(6)
|
Horizons Global Risk
Parity ETF (HRA) – 100% capital gains.
|
|
(7)
|
Horizons Active A.I.
Global Equity ETF (MIND) – 100% capital gains.
|
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 $10 billion of
assets under management and 91 ETFs listed on major Canadian stock
exchanges.
Commissions, management fees and expenses all may be
associated with an investment in exchange traded products (the
"Horizons Exchange Traded Products") managed by Horizons ETFs
Management (Canada) Inc. 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.
Certain statements may constitute a forward-looking statement,
including those identified by the expression "expect" and similar
expressions (including grammatical variations thereof). The
forward-looking statements are not historical facts but reflect the
author'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 such forward looking statements. These
forward-looking statements are made as of the date hereof and the
authors 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.
SOURCE Horizons ETFs Management (Canada) Inc.