PAYM Global X Mid Term Government Bond Premium Yield ETF

TORONTO, Nov. 7, 2024 /CNW/ - Global X Investments Canada Inc. ("Global X" or the "Manager") is pleased to announce the launch of nine new ETFs (the "ETFs"), which establishes the Manager's Best of Canada ETF suite (the "Best of Canada ETFs"), completes its Premium Yield ETF suite (the "Premium Yield ETFs") and adds to its Equity Essentials and Sector Equity ETF suites (all together, the "ETFs"). Units of the ETFs begin trading today on the Toronto Stock Exchange and Cboe Canada.

Best of Canada ETF Suite

Three of the nine ETFs launched today are the initial entrants into Global X's Best of Canada ETF suite, which offers exposure to major Canadian sectors, including Telecommunications, Insurance as well as Groceries and Staples, and the largest companies that lead them.  The Global X Equal Weight Canadian Banks Index ETF ("HBNK"), the country's lowest-cost ETF focused on the Canada's "Big Six" banks, has also been integrated into the Best of Canada suite. Since its launch on July 5, 2023, HBNK has gathered nearly $1 billion in assets under management.

Given Canada's market environment and the suite's focus on sector leaders, the Best of Canada ETFs are highly concentrated with portfolios of less than ten constituents. This approach ensures exposure is limited to some of the most liquid underlying securities and focused on the companies that are top of mind for Canadians in their respective industries.

"We've seen Canadians harness the advantages of concentrated, equal-weight bank ETFs, investing billions of dollars in them," said Rohit Mehta, President and CEO of Global X. "In recognition of that, as well as feedback from our investors and partners, we developed our 'Best of Canada' ETFs suite to offer greater access to vital Canadian industries and the major players driving them forward."

The new Best of Canada ETFs are further described in the table below:

Premium Yield ETF Suite

Two of the ETFs launched today are additions to Global X's Premium Yield suite, which are designed to help investors seek to maximize their monthly income potential above what is typically offered by U.S. Treasury and Canadian Government Fixed Income Securities through the application of an active options management overlay.

With the addition of the Global X Mid-Term Government Bond Premium Yield ETF ("PAYM") and the Global X Long-Term Government Bond Premium Yield ETF ("PAYL"), the Manager's Premium Yield suite is now complete, with short, medium and long-duration income-focused strategies available on a combination of Canadian Government Fixed Income and U.S. Treasury securities.

"In any market environment, Canadians look for fixed income investments that can offer both a sense of security and an appreciable source of regular income. Our Premium Yield suite offers exactly that, and more," Chris McHaney, Executive Vice President, Investment Management & Strategy. "The six ETFs within the suite offer investors the opportunity to express their own investment thesis across the yield curve, from short to long-term, with the benefit of additional yield generated through an active options strategy, managed by our team of portfolio managers."

The new Premium Yield ETFs are further described in the table below:

Equity Essentials, Thematic & Covered Call ETF Additions

In addition, Global X is also launching new ETFs within two of its existing suites: Equity Essentials and Sector Equity.

Global X is expanding its Equity Essentials suite, which offers ways to invest in some of the world's leading indices from S&P, Nasdaq and MSCI, to include the Russell 2000, which measures the performance of the small-cap segment of the U.S. equity market. Like other index-focused funds within the Equity Essentials suite, investors will be able to access the Russell 2000 using different strategies: a traditional, benchmark approach denominated in U.S. dollars through the Global X Russell 2000 Index ETF ("RSSX.U") or an income-focused covered call approach using the Global X Russell 2000 Covered Call ETF ("RSCC").

"Small-capitalization companies, like those within the Russell 2000 index, underpin the U.S. economy, represent real sector diversity and can be a more efficient way to capitalize on news-driven opportunities in markets," said Chris McHaney. "With the benefit of a covered call overlay accessible through RSCC, investors can take advantage of additional income opportunities with the added benefit of downside mitigation."

Finally, Global X has also launched the Global X Equal Weight Canadian Oil & Gas Index ETF ("NRGY"), which provides exposure to the leading upstream, midstream and downstream Canadian oil and gas companies, and the Global X Gold Producers Index ETF ("GLDX"), which provides exposure to North American-listed gold mining companies with operations across the world. Both NRGY and GLDX are expected to make distributions to its unitholders on a monthly basis.

The Equity Essentials, Thematics and Sector Equity ETFs are further described in the table below:

Distribution Announcement for the New ETFs

All the ETFs launched today are anticipated to make regular distributions to their respective unitholders, based on the following schedule:

• RING, SAFE, NRGY, RSCC, PAYM and PAYL are anticipated to make distributions to their unitholders on a monthly basis;
• GLDX and MART are anticipated to make distributions to their unitholders on an annual basis; and
• RSSX.U is anticipated to make distributions to its unitholders on a quarterly basis.

The initial distributions to unitholders from the Premium Yield ETFs and RSCC will be paid on or about December 6, 2024, to unitholders of record on November 29, 2024, with an anticipated ex-dividend date of November 29, 2024. The payments are expected to be made in accordance with the table below:

The ETFs closed their initial offering of units to their designated broker at the close of business on November 6, 2024, and will begin trading today on the TSX and Cboe Canada.

About Global X Investments Canada Inc. (www.GlobalX.ca)

Global X Investments Canada Inc. is an innovative financial services company and offers one of the largest suites of exchange traded funds in Canada. The Global X 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. Global X has more than $35 billion of assets under management and 134 ETFs listed on major Canadian stock exchanges. Global X is a wholly owned subsidiary of the Mirae Asset Financial Group, which manages more than $800 billion of assets across 19 countries and global markets around the world.

Commissions, management fees, and expenses all may be associated with an investment in products (the "Global X Funds") managed by Global X Investments Canada Inc. The Global X Funds are not guaranteed, their values change frequently and past performance may not be repeated.  Certain Global X Funds may have exposure to leveraged investment techniques that magnify gains and losses which may result in greater volatility in value and could be subject to aggressive investment risk and price volatility risk. Such risks are described in the prospectus. The Global X Money Market Funds are not covered by the Canada Deposit Insurance Corporation, the Federal Deposit Insurance Corporation, or any other government deposit insurer. There can be no assurances that the money market fund will be able to maintain its net asset value per security at a constant amount or that the full amount of your investment in the Funds will be returned to you. Past performance may not be repeated. The prospectus contains important detailed information about the Global X Funds. Please read the relevant prospectus before investing.

Mirae Asset Global Index Private Limited (an affiliate of the Manager) owns all rights to the trademark, name and intellectual property associated with the Underlying Indices of the Index ETFs (in this disclaimer, the "Mirae Asset Indices"). No representation is made by Mirae Asset Global Index Private Limited that the Mirae Asset Indices are accurate or complete or that investment in a Mirae Asset Index or an Index ETF will be profitable or suitable for any person. The Mirae Asset Indices are administered and calculated by Mirae Asset Global Index Private Limited and Mirae Asset Global Index Private Limited will have no liability for any error in calculation of the Mirae Asset Indices. Mirae Asset Global Index Private Limited does not guarantee that the Mirae Asset Indices or their underlying methodology is accurate or complete.

The Global X Russell 2000 Index ETF and the Global X Russell 2000 Covered Call ETF ((in this disclaimer, the "Russell 2000 Funds") have been developed solely by Global X Investments Canada Inc. The Russell 2000 Funds are not in any way connected to or sponsored, endorsed, sold or promoted by the London Stock Exchange Group plc and its group undertakings (collectively, the "LSE Group"). FTSE Russell is a trading name of certain of the LSE Group companies. All rights in the Russell 2000 RIC Capped Index (the "Index") vest in the relevant LSE Group company which owns the Index. Russell® is a trademark of the relevant LSE Group company and is used by any other LSE Group company under license. The Index is calculated by or on behalf of FTSE International Limited or its affiliate, agent or partner. The LSE Group does not accept any liability whatsoever to any person arising out of (a) the use of, reliance on or any error in the Index or (b) investment in or operation of the Russell 2000 Funds. The LSE Group makes no claim, prediction, warranty or representation either as to the results to be obtained from the Russell 2000 Funds or the suitability of the Index for the purpose to which it is being put by Global X Investments Canada Inc.

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.

This communication is intended for informational purposes only and does not constitute an offer to sell or the solicitation of an offer to purchase investment products (the "Global X Funds") managed by Global X Investments Canada Inc. and is not, and should not be construed as, investment, tax, legal or accounting advice, and should not be relied upon in that regard. Individuals should seek the advice of professionals, as appropriate, regarding any particular investment. Investors should consult their professional advisors prior to implementing any changes to their investment strategies. These investments may not be suitable to the circumstances of an investor.

Global X Investments Canada Inc. ("Global X") is a wholly owned subsidiary of Mirae Asset Global Investments Co., Ltd. ("Mirae Asset"), the Korea-based asset management entity of Mirae Asset Financial Group.  Global X is a corporation existing under the laws of Canada and is the manager and investment manager of the Global X Funds.

© 2024 Global X Investments Canada Inc. All Rights Reserved.

SOURCE Global X Investments Canada Inc.