Horizons ETFs Announces Estimated 2015 Annual Capital Gains Distributions

TORONTO, Dec. 4, 2015 /CNW/ - Horizons ETFs Management (Canada) Inc. ("Horizons ETFs") announces today the estimated non-cash capital gains to be distributed to unitholders of certain of the exchange traded funds (the "ETFs") managed by it and its affiliate AlphaPro Management Inc. for the 2015 tax year as indicated in the table below. ETFs not listed in the table are not expected to have a non-cash capital gains distribution for the 2015 tax year. With respect to the Horizons BetaPro family of leveraged, inverse, inverse leveraged and volatility ETFs as well as the Horizons benchmark ETFs, this is expected to be the ninth consecutive year with no capital gains distributions. This includes the Horizons S&P/TSX 60TM Index ETF (HXT/HXT.U:TSX) and the Horizons S&P 500® ETF (HXS/HXS.U:TSX), which have both completed 5 full calendar years of operations since their inception without any capital gains distributions to unitholders.

Please note that these are estimated amounts only. Circumstances may arise which could cause these estimates to change before the ETF's applicable tax year ends on December 15, 2015 or December 31, 2015.

Each of the ETFs is required to distribute any net income and capital gains that it has earned in the year. The final annual capital gains distributions will not be paid in cash but will be reinvested and reported as taxable distributions, and will be used to increase each unitholder's adjusted cost base for the respective ETF. These estimated amounts are for the annual capital gains distributions and do not include any estimates of the regular monthly or quarterly cash distributions, as applicable, including those capital gains that may form part of the monthly and/or quarterly distributions.

Horizons ETFs expects to announce the final year-end income and capital gains distribution amounts, as well as regular monthly or quarterly distribution amounts, on or about December 18 and 21, 2015. The ex-dividend date for these distributions is anticipated to be December 29, 2015, for all unitholders of record on December 31, 2015.  In early 2016, the tax characteristics of all distributions for 2015 for the ETFs will be reported to brokers via CDS.


Management Inc.

ETF Name






Capital Gain

per Unit as of

Dec. 3, 2015

Net Asset

Value per Unit

as of

Dec. 3, 2015



Gains as a %

of NAV as of

Dec. 3, 2015

Horizons Active Diversified Income ETF









Horizons Seasonal Rotation ETF









Horizons Active Global Dividend ETF









Horizons Managed Global Opportunities ETF(1)













Horizons Active US Floating Rate Bond (USD) ETF(2)














Class E and Advisor Class units of Horizons Managed Global Opportunities ETF began trading on August 26, 2015. Class F units of the ETF, a non-reporting class of units only available through purchase by way of an offering memorandum, were first issued on September 23, 2015.  The distributions attributable to each class of units have been prorated from their respective launch dates.


Distributions, if any, for Horizons Active US Floating Rate Bond (USD) ETF are declared and paid in U.S. dollars, including those listed under the Canadian dollar traded ticker HUF.  The approximate Canadian dollar equivalent distribution rate for HUF is $0.239 per unit. For unitholders who hold Canadian dollar traded HUF, distribution payments will typically be converted to Canadian dollars by the unitholder's account holder.

Reasons for the larger estimated capital gains distribution for:


Horizons Active US Floating Rate Bond (USD) ETF's functional currency is in US dollars. The ETF will typically hedge any non-US dollar exposure in its portfolio back to the US dollar. Approximately 25% of the ETF's net assets are held in Canadian dollar denominated securities and was hedged back to the US dollar throughout 2015. As the Canadian dollar depreciated by approximately 13% versus the US dollar, the gains realized on these hedges have resulted in the estimated capital gains distributable to unitholders.

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 $5.3 billion of assets under management and with 70 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 Financial Group.

Certain  statements  may  constitute  a  forward  looking  statement,  including  those  identified  by  the  expressions "estimate" or "expect" and similar expressions (including grammatical variations thereof) to the extent they relate to the ETFs or Horizons ETFs. The forward-looking statements are not historical facts but reflect the ETFs, the ETF's managers or Horizons ETFs 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 the ETFs' forward looking statements. These forward-looking statements are made as of the date hereof and the ETFs 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.

Commissions, trailing commissions, management fees and expenses all may be associated with investments in the ETFs. The ETFs are not guaranteed, their values change frequently and past performance may not be repeated. Please read the prospectus before investing.

SOURCE Horizons ETFs Management (Canada) Inc.

For further information: Martin Fabregas, Investor Relations, (416) 601-2508 or 1-866-641-5739


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