This is the first ETF listing in Canada to use a four-letter ticker symbol
(HARC:TSX)
TORONTO, Jan. 17, 2017 /CNW/ - Horizons ETFs
Management (Canada) Inc. and its
affiliate, AlphaPro Management Inc. (collectively "Horizons
ETFs"), are pleased to announce the launch of the Horizons
Absolute Return Global Currency ETF ("HARC"), the first
exchange traded fund ("ETF") in Canada that provides investors with long and
short exposure to a diversified portfolio of global currencies.
Units of HARC will begin trading this morning on the Toronto
Stock Exchange ("TSX"), under the ticker symbol "HARC". HARC
is the first ETF listing on the TSX using a four-letter ticker
symbol.
HARC is sub-advised by CIBC Asset Management Inc. (the
"Sub-Advisor"), which houses one of the largest currency
investment teams in North America
by assets under management (AUM), managing approximately
$28 billion in currency-related
assets (as at December 30, 2016).
HARC seeks to generate positive absolute returns through various
long and short exposures to select global currencies. HARC will
generally hold Canadian short-term securities and will primarily
use short-term financial instruments to gain exposure to selected
global currency markets.
"This is the second actively managed global currency ETF that
we have launched with CIBC Asset Management, a recognized leader in
currency management," said Steve
Hawkins, President and Co-CEO, Horizons ETFs. "The first
ETF we launched back in July of 2016 was the Horizons Active Global
Currency ETF (HGC:TSX). HARC differs from that strategy
because it allows for shorting of currencies for which the
Sub-Advisor has a negative outlook together with the typical use of
notional leverage that goes along with a long/short investment
vehicle. While this introduces an increase in overall portfolio
risk, we believe the addition of these two features significantly
increases the return potential for the strategy."
In order to achieve its investment objective, the Sub-Advisor
selects currencies that are expected to strengthen or weaken on a
relative basis using its proprietary active investment process that
tracks more than thirty global currencies. The Sub-Advisor's
investment process employs fundamental valuation analysis,
macro-economic analysis and a factor-based ranking model.
"Canadian investors are increasingly looking for
non-correlated sources of performance. We think that a global
currency strategy like HARC is an ideal way for investors to
diversify their returns from traditional stocks and bonds,"
said Mr. Hawkins. "We also believe this is particularly true in
today's environment of global political uncertainty. "One
benefit of currency investing is that with each global political
event, there are both winners and losers in the currency markets.
HARC will seek to take advantage of these opportunities to generate
excess returns."
HARC has closed its initial offering of units and will begin
trading on the TSX when the market opens this morning.
About CIBC Asset Management Inc.
CIBC Asset Management Inc., the asset management subsidiary of
CIBC, provides a range of high-quality investment management
services and solutions to retail and institutional investors.
Offerings include: a comprehensive platform of mutual funds,
strategic managed portfolio solutions, discretionary investment
management services for high-net-worth individuals, and portfolio
management for institutional clients. CIBC Asset Management is one
of Canada's largest asset
management firms with approximately $120
billion in assets under management as of December 31, 2016.
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 $7
billion of assets under management as of December 31, 2016, and 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.
Horizons ETFs is a Member of Mirae Asset Global Investments.
Commissions, management fees and applicable sales taxes all may be
associated with an investment in the exchange traded funds managed
by Horizons ETFs Management (Canada) Inc. (the "ETFs"). The ETFs are not
guaranteed, their values change frequently and past performance may
not be repeated. The prospectus contains important detailed
information about the ETFs. Please read the prospectus before
investing.
Certain statements contained in this news release constitute
forward-looking information within the meaning of Canadian
securities laws. Forward-looking information may relate to a future
outlook and anticipated distributions, events or results and may
include statements regarding future financial performance. In some
cases, forward-looking information can be identified by terms such
as "may", "will", "should", "expect", "anticipate", "believe",
"intend" or other similar expressions concerning matters that are
not historical facts. Actual results may vary from such
forward-looking information. Horizons ETFs undertakes no obligation
to update publicly or otherwise revise any forward-looking
statement whether as a result of new information, future events or
other such factors which affect this information, except as
required by law.
SOURCE Horizons ETFs Management (Canada) Inc.