TORONTO, Feb. 28, 2013 /CNW/ - Horizons Exchange Traded Funds Inc. ("Horizons ETFs") and its affiliate AlphaPro Management Inc. (the "Manager") hereby announce that a special meeting (the "Meeting") of unitholders of the Horizons Active Advantage Yield ETF ("HAF") has been called to consider and, if advisable, pass a resolution to
approve a change to the investment objective of HAF. The Special
Meeting will be held in Toronto at the office of the Manager, 26
Wellington Street East, Suite 604, Toronto, Ontario on March 27, 2013
at 11:00 a.m. Toronto time.
The Manager is seeking approval from the HAF unitholders to change the
investment objective of HAF so that it instead seeks to provide
unitholders with: (i) a stable stream of tax-efficient monthly
distributions; and (ii) the opportunity for capital appreciation
through exposure to a tactical asset allocation strategy that focuses
primarily on fixed income and fixed income-like securities.
The proposed change of investment objective (the "Proposal") will broaden the universe of investments to which HAF can gain
exposure. The Manager believes, among other things, that the Proposal
could make HAF more appealing to a broader range of potential
Should the Proposal be approved and implemented, the Manager will also
change the investment strategies of HAF such that:
HAF would be able to be exposed to investments in fixed income and fixed
income-like securities, including, among other securities, preferred
To gain exposure to fixed income and fixed income-like securities, HAF
would be exposed primarily to (i) exchange traded funds; and (ii)
investments in fixed income and fixed income-like securities;
HAF would no longer be exposed to leverage; and
HAF would be able to be exposed to, from time to time, derivative
instruments, including futures contracts and credit default swaps, in
order to manage duration, credit exposure, portfolio yield, and market
Details of the proposed changes are included in a management information
circular which will be delivered to unitholders of record of HAF as of
February 20, 2013.
About Horizons Exchange Traded Funds Inc. (www.HorizonsETFs.com)
Horizons ETFs is an innovative financial services company offering the
Horizons ETFs family of exchange-traded funds (ETFs). 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. With
approximately $4.2 billion in assets under management and 77 ETFs
listed on the Toronto Stock Exchange, the Horizons ETFs family is one
of the largest in Canada. Horizons ETFs is a subsidiary of Horizons
ETFs Management (Canada) Inc. and a member of the Mirae Asset Financial
SOURCE: Horizons Exchange Traded Funds Inc.
For further information:
Martin Fabregas, Investor Relations, (416) 601-2508 or 1-866-641-5739.