Horizons Emerging Marijuana Growers Index ETF provides exposure to burgeoning marijuana-producer stocks
TORONTO, Feb. 14, 2018 /CNW/ - Horizons ETFs Management (Canada) Inc. ("Horizons ETFs") is pleased to announce the launch of the Horizons Emerging Marijuana Growers Index ETF ("HMJR"). Units of the exchange traded fund ("ETF") will begin trading today on the Aequitas NEO Exchange ("NEO Exchange") under the ticker symbol HMJR.
HMJR seeks to replicate, to the extent possible, the performance of the Emerging Marijuana Growers Index (the "Index"), net of expenses. The Index was designed to provide exposure to the performance of a basket of primarily North American publicly-listed, small-capitalization companies, primarily focused on the cultivation, production and/or distribution of marijuana. Stocks within the Index generally must have a market capitalization greater than $50 million but less than $500 million for initial inclusion.
"HMJR is the first ETF in Canada to give investors direct exposure to blossoming smaller-cap marijuana cultivation and distribution companies," said Steve Hawkins, President and Co-CEO of Horizons ETFs. "We believe the companies poised to benefit the most from the rapidly expanding legalization of marijuana globally, particularly in the recreational markets of Canada and certain U.S. states, are the growers and cultivators of the product."
Stocks in the Index are rebalanced quarterly on a market-capitalization basis, and are capped so that no single stock can exceed 8% of the weight of the Index when rebalanced. While HMJR is North American-focused, the Index may include up to 20% issuers that are in developed markets outside North America. Any weight in excess of the 20% threshold allotted for non-North American issuers will be redistributed proportionally among North American Index components with a weight less than 8%.
HMJR is Horizons ETFs' second marijuana-focused ETF. Last April, the firm launched the world's first marijuana ETF – the Horizons Marijuana Life Sciences Index ETF (HMMJ) broadly considered by ETF analysts as Canada's best ETF launch of 2017. "HMMJ gives investors broad diversified exposure to the Marijuana sector, while HMJR provides more direct, often referred to as 'pure-play' exposure to the sector, by focusing on the smaller, emerging producers," Mr. Hawkins explained. "Another key difference is HMJR will directly invest in companies that have U.S. marijuana operations."
HMJR has closed its initial offering of units and will begin trading on the NEO Exchange when the market opens this morning.
About Horizons ETFs Management (Canada) Inc. (www.HorizonsETFs.com)
Horizons ETFs Management (Canada) Inc. is an innovative financial services company and offers one of the largest suites of exchange traded funds in Canada. The Horizons ETFs product suite includes a broadly diversified range of solutions for investors of all experience levels to meet their investment objectives in a variety of market conditions. Horizons ETFs currently has more than $10 billion of assets under management and 82 ETFs listed on the Toronto Stock Exchange. Horizons ETFs Management (Canada) Inc. is a member of the Mirae Asset Global Investments Group.
Commissions, management fees and applicable sales taxes all may be associated with an investment in the Horizons Emerging Marijuana Growers Index ETF and the Horizons Marijuana Life Sciences Index ETF (the "ETFs") managed by Horizons ETFs Management (Canada) Inc. The ETFs are not guaranteed, their values change frequently and past performance may not be repeated. The prospectuses contain important detailed information about the ETFs. Please read the relevant prospectus before investing.
Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to a future outlook and anticipated distributions, events or results and may include statements regarding future financial performance. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "anticipate", "believe", "intend" or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Horizons ETFs undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law.
HMJR is not sponsored, promoted, sold or supported in any other manner by Solactive AG nor does Solactive AG offer any express or implicit guarantee or assurance either with regard to the results of using the Index and/or Index trade name or the Index Price at any time or in any other respect. The Index is calculated and published by Solactive AG. Solactive AG uses its best efforts to ensure that the Index is calculated correctly. Irrespective of its obligations towards the Issuer, Solactive AG has no obligation to point out errors in the Index to third parties including but not limited to investors and/or financial intermediaries of the financial instrument. Neither publication of the Index by Solactive AG nor the licensing of the Index or Index trade name for the purpose of use in connection with the financial instrument constitutes a recommendation by Solactive AG to invest capital in HMJR nor does it in any way represent an assurance or opinion of Solactive AG with regard to any investment in HMJR.
SOURCE Horizons ETFs Management (Canada) Inc.
For further information: For investor inquiries: 1-866-641-5739 (toll-free) or (416) 933-5745, [email protected]; For press or other inquiries: Mark Noble, Senior Vice-President and Head of Sales Strategy, Horizons ETFs Management (Canada) Inc., (416) 640-8254, [email protected]