TORONTO, Jan. 12 /CNW/ - AlphaPro Management Inc. ("AlphaPro") is pleased to announce that the syndicate of agents for the initial
public offering of the Horizons Gold Yield Fund (the "Fund") has exercised its over-allotment option for an additional 223,657
Class A units of the Fund. In total, the Fund has issued approximately
5.25 million Class A and Class F units, for gross proceeds of
approximately of $52.5 million. The Class A units of the Fund are listed for trading on the
Toronto Stock Exchange ("TSX") under the symbol HGY.UN.
The Fund is expected to automatically convert into an actively managed
exchange traded fund ("ETF") by no later than July 31, 2012.
The Fund's investment objectives are to provide holders of units with:
(i) exposure to the price of gold bullion hedged to the Canadian
dollar, less the Fund's fees and expenses; and (ii) tax-efficient
monthly distributions, initially expected to be $0.0542 per unit ($0.65
per annum to yield 6.5% on the issue price of $10.00 per unit). It is
initially expected that monthly distributions received by investors
will consist primarily of return of capital.
The Fund seeks to achieve its investment objectives through exposure to
a portfolio consisting of securities and other instruments that derive
their value from the price of gold bullion (the "Gold Portfolio"). The Gold Portfolio is managed by JovInvestment Management Inc. (the
"Portfolio Manager"). The Portfolio Manager writes at-the-money covered call options on
approximately, but not more than, 33% of the securities in the Gold
Portfolio. Currently, the Gold Portfolio is comprised primarily of
exchange traded funds that hold directly, and only, gold bullion and
their related covered call options.
The syndicate of agents for the offering was led by BMO Capital Markets,
CIBC and National Bank Financial Inc. and includes RBC Capital Markets,
Scotia Capital Inc., Canaccord Genuity Corp., HSBC Securities (Canada)
Inc., GMP Securities L.P., Raymond James Ltd., Dundee Securities
Corporation, Mackie Research Capital Corporation, Macquarie Private
Wealth Inc., MGI Securities Inc., Rothenberg Capital Management Inc.
and Wellington West Capital Markets Inc.
About AlphaPro Management Inc. (www.HAPETFs.com)
AlphaPro is an innovative financial services company specializing in
actively managed exchange traded funds with assets under management of
approximately $570 million in assets under management as of December
31, 2010. AlphaPro is a subsidiary of BetaPro Management Inc.
("BetaPro"). BetaPro is Canada's largest provider of leveraged, inverse
leveraged and inverse ETFs. BetaPro manages approximately $2.6 billion
in assets as of December 31, 2010. BetaPro is a subsidiary of Jovian
Capital Corporation (JOV:TSX).
SOURCE ALPHAPRO MANAGEMENT INC.
For further information:
Ken McCord, President, AlphaPro Management Inc., (416) 933-5746