Outlook bullish on commodities, equities and the Canadian Dollar
TORONTO, Jan. 16 /CNW/ - BetaPro Management Inc. ("BetaPro"), the manager
of the Horizons BetaPro Exchange Traded Funds, has released the results of its
Q1 2009 Advisor Sentiment Survey of 400 Canadian investment advisors.
The survey shows that advisor confidence in gold and oil remains positive
for the first quarter 2009. Advisors have been consistently bullish on gold
bullion for the last eight consecutive quarters, with two-thirds of the
advisors continuing this positive outlook. The sentiment on crude oil has seen
a significant bullish shift, up 15% since Q4 2008, reflected by over 66% of
the 400 advisors polled, managing more than $20 billion in assets and
representing a significant cross-section of the industry.
Even within the current commodity markets' volatile conditions, there is
clear optimism in both the commodities and the gold and resource equity
stocks, with a 69% bullish outlook on global gold companies. There is
significantly less bullish sentiment on financials, U.S. and emerging markets.
"The positive outlook on commodities and global gold and mining equities
is consistent with the strong performance of the S&P/TSX Global Gold Index, up
15.65% in the fourth quarter 2008, and only a slight decline in the gold
bullion," said Howard Atkinson, President of BetaPro. "This sentiment
indicates that advisors are confident that the equity and commodity markets
will rebound. Despite the poor performance of crude oil in Q4 2008, a 57.93%
drop, advisors remain upbeat going into the New Year. The expected commodity
market rebound makes bonds a less attractive investment, as evident in the
unusually high bearish sentiment on the U.S. 30 Year Bond. A full 50% of the
advisors are bearish on bonds, which demonstrates that they expect long-term
interest rates to head higher."
Advisor caution over the current U.S. market uncertainty and recession is
reflected in the bullish view on the Canadian dollar versus the U.S. dollar.
Two-thirds of advisors surveyed expect the Canadian dollar to appreciate
vis-à-vis the U.S. dollar during the first quarter.
As it relates to the Exchanged Traded Funds ("ETFs") market, the survey
results show that advisors are warming to the shift towards actively managed
ETFs. Over 90% of the advisors polled are either bullish or neutral on active
ETFs, such as the new Horizons AlphaPro Managed S&P/TSX 60(R) ETF (HAX: TSX),
managed by AlphaPro Management Inc. These actively managed ETFs are changing
the ETF landscape by achieving long-term capital growth through broad
diversification in a single portfolio, at a lower cost than actively managed
The Horizons BetaPro ETFs have grown by over 200% in the last 12 months
and are one of Canada's largest and most frequently traded family of ETFs.
Horizons BetaPro ETFs are a unique series of investment tools which allow
investors to profit or protect in bull and bear markets by providing 2 times
daily or inverse daily exposure to 14 key equity, bond, currency and commodity
benchmarks. BetaPro, the manager of the Horizons BetaPro ETFs, is the sole
provider of leveraged and inverse leveraged funds in Canada.
About the Sentiment Survey
BetaPro Management Inc. conducts the only publicly disseminated quarterly
sentiment survey of Canadian investment advisors. The survey quantitatively
measures advisors' quarterly outlook as it relates to 14 key benchmarks
covering equities, bonds, currency and commodities. Full survey results are
available at http://www.hbpetfs.com/sentimentSurvey.asp.
About BetaPro Management Inc.
Horizons BetaPro Exchange Traded Funds are managed by BetaPro Management
Inc., Canada's sole provider of investment tools allowing investors to profit
when the market is rising or falling, or to reduce their risk by hedging their
existing market exposure. BetaPro is a subsidiary of Jovian Capital
Corporation and currently manages approximately $1.9 billion amongst 28 ETFs.
About AlphaPro Management Inc.
AlphaPro Management Inc., the manager of the Horizons AlphaPro Exchange
Traded Funds ("HAP ETFs"), is an innovative financial services company
specializing in actively managed ETFs. HAP ETFs are used by investors and
investment professionals as an alternative to more costly traditional
investment vehicles. In addition to lower cost, HAP ETFs offer intraday
liquidity and tax efficiency. AlphaPro is a subsidiary of BetaPro Management
All Horizons BetaPro ETFs use leveraged investment techniques that
magnify gains and losses and result in greater volatility in value. All
Horizons BetaPro ETFs are subject to active investor risk. Commissions,
trailing commissions, management fees and expenses all may be associated with
ETF investments. Mutual funds and ETFs are not guaranteed, their values change
frequently and past performance may not be repeated. Please read the
prospectus before investing.
For further information:
For further information: Howard Atkinson, CFA, CIMA President, BetaPro
Management Inc., (416) 777-5167, firstname.lastname@example.org; Joanne Kearney,
Fleishman-Hillard Canada, (416) 645-8180, email@example.com