TORONTO,
Dec. 31, 2018
/CNW/ - Horizons ETFs Management (Canada) Inc.("Horizons
ETFs") confirmed today 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 2018 tax year as indicated in the table below.
Please note that this is a further update to the estimated annual
Non-Cash Distributions previously announced on December 6, 2018, and updated on December 20, 2018.
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, 2018.
The ex-dividend date for these distributions was
December 28, 2018, for all
unitholders of record on December 31,
2018. The nominal payment date applied to these Non-Cash
distributions will be January 11,
2019, though in actuality there will be no physical payment
made as would be the case with cash distributions. In early 2019,
the tax characteristics of all distributions for 2018 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. 28, 2018
NAV
|
Estimated
Annual Non-
Cash
Distribution per
Unit announced
on Dec. 20, 2018
|
|
Horizons Seasonal
Rotation ETF (1)
|
HAC
|
$1.34839
|
7.15%
|
$1.33911
|
|
Horizons Active
Emerging Markets Dividend ETF (2)
|
HAJ
|
$0.12114
|
0.96%
|
$0.11797
|
|
Horizons Active US
Dividend ETF (3)
|
HAU
|
$0.09085
|
0.79%
|
$0.08652
|
|
HAU.U
|
$0.09085
|
0.79%
|
$0.08652
|
|
Horizons Active
Global Dividend ETF (4)
|
HAZ
|
$0.17347
|
0.87%
|
$0.17347
|
|
Horizons China High
Dividend Yield Index ETF (5)
|
HCN
|
$1.64109
|
6.70%
|
$1.64109
|
|
Horizons Enhanced
Income US Equity (USD) ETF (6)
|
HEA.U
|
$0.17635
|
1.67%
|
$0.18363
|
|
HEA
|
$0.17635
|
1.67%
|
$0.18363
|
As disclosed above, the final determination of the nature
of these Non-Cash Distributions will be reported to
brokers via CDS in early 2019. The expected nature of the
Non-Cash Distributions for each of the ETFs in the table above is
as follows:
|
(1)
|
Horizons Seasonal
Rotation ETF (HAC) – 100% capital gains
|
|
|
|
(2)
|
Horizons Active
Emerging Markets Dividend ETF (HAJ) – 100% income
|
|
|
|
(3)
|
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 $0.06652 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
|
|
|
|
(4)
|
Horizons Active
Global Dividend ETF (HAZ) – 100% capital gains
|
|
|
|
(5)
|
Horizons China High
Dividend Yield Index ETF (HCN) – 100% capital gains
|
|
|
|
(6)
|
Horizons Enhanced
Income US Equity (USD) ETF (HEA.U/HEA) – 100% capital gains. Please
note that distributions for Horizons Enhanced Income US Equity
(USD) ETF are declared and paid in U.S. dollars, including those
listed under the Canadian dollar traded ticker HEA. The approximate
Canadian dollar equivalent distribution rate for HEA is $0.24087
per unit. For unitholders who hold the Canadian dollar traded HEA,
distribution payments will typically be converted to Canadian
dollars by the unitholder's account holder
|
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 $9.5 billion of
assets under management and 85 ETFs listed on major Canadian stock
exchanges. Horizons ETFs Management (Canada) Inc. is a member of the Mirae Asset
Global Investments Group.
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.
SOURCE Horizons ETFs Management (Canada) Inc.