VANCOUVER, Nov. 18, 2014 /CNW/ - INK Research Corp. ("INK"), Canada's leading independent financial information firm providing insider news and knowledge, is pleased to announce that it has launched the INK Canadian Insider Index (the "Insider Index"). This broad stock market index is designed to measure the performance of 50 growth and value stocks listed on the Toronto Stock Exchange ("TSX") that have positive insider ownership and buying characteristics.
The Insider Index employs the proprietary INK Edge® V.I.P. screening process that uses valuations, insider commitment and price momentum factors to identify eligible stocks. The Insider Index, using these proprietary factors, reflects the returns of TSX listed growth and value stocks which are selected based on their insider ownership.
Insider buying generally refers to the level of ownership activity of a publicly traded company by its own employees, officers and directors. Historically, insider activity has been considered by analysts to be a strong predictor of future performance.
Horizons ETFs Management (Canada) Inc. ("Horizons ETFs") has licensed the Insider Index from INK and has filed a preliminary prospectus dated November 17, 2014, in respect to a public offering of Class A units of the Horizons Cdn Insider Index ETF ("Horizons HII").
The investment objective of Horizons HII is to seek to replicate, to the extent possible, the performance of the Insider Index, net of expenses. The Insider Index is designed to provide exposure to the performance of 50 TSX-listed growth and value stocks with significant insider buying and ownership. Horizons HII will invest and hold the equity securities of the constituents in substantially the same proportion as the Insider Index.
The Insider Index uses an equal-weight methodology and is ordinarily rebalanced on a semi-annual basis. In contrast to a market-capitalization weighted methodology, the Insider Index seeks to provide the benefit of buying low and selling high at each rebalancing.
"INK has found that by combining insider characteristics with value and growth factors, there is an opportunity to outperform broad market-capitalization based indexes", says INK CEO Ted Dixon. "Is a stock a true value or growth stock? Insider buying can sometimes help answer this question, since insiders may be best able to interpret the prospects of a company."
INK is making the Insider Index available free of charge to brokerage, financial and news websites for quotation and display. Live data can be sourced through Bloomberg (INKCINP), Thomson Reuters (.INKCINP), or via request by contacting INK via the INK indexing website index.inkresearch.com. The INK site provides historical backtest performance of the Insider Index going back almost 10 years as well as its key characteristics, current constituents and announcements.
About INK Research Corp.
INK provides Insider News and Knowledge to investors. We launched our business to provide commercial monitoring and research on insider trading reports in Canada and have since expanded our coverage to include US markets. Our services, which are available through subscription, strive to give investors, analysts, advisors and institutions an edge through better access and understanding of insider reports. For more information visit INKResearch.com.
INK Edge® and INK Research® are registered trade-marks owned by INK Research Corp.
INK is not an investment advisory service, a financial planner, an investment advisor nor a securities advisor. INK does not purport to tell people, or suggest to people, what they should buy or sell for themselves. Nothing herein should be construed as investment advice or an offer to sell securities or an offer of services in jurisdictions where INK does not have the necessary licenses.
A preliminary prospectus containing important information relating to the Class A units of Horizons HII has been filed with securities commissions or similar authorities in all provinces and territories of Canada. The preliminary prospectus is still subject to completion or amendment. Copies of the preliminary prospectus may be obtained from your registered financial advisor. There will not be any sale or any acceptance of an offer to buy the Class A units of Horizons HII until a receipt for the final prospectus has been issued.
Image with caption: "INK Research Corp. (CNW Group/INK Research)". Image available at: http://photos.newswire.ca/images/download/20141118_C4124_PHOTO_EN_8194.jpg
SOURCE: INK Research
For further information: Ted Dixon, CEO, INK Research Corp., 604-669-4465#333 (o), [email protected]