Canadian bank earnings season began with BMO and BNS reporting Q1 results. This morning, Rob Wessel was on BNN Bloomberg discussing his key takeaways (see video below).

• Top performing Canadian bank ETF since inception²
• Equal-weight exposure to Canada’s “Big Six” banks with modest 25% cash leverage
• Higher yield and enhanced long-term growth potential
• Similar volatility to individual Canadian banks

Footnotes:

1. An estimate of the annualized yield an investor would receive if the most recent distribution remained unchanged for the next 12 months, stated as a percentage of the price per unit on January 31, 2024; 2. Since inception on October 14, 2020, as at January 31, 2024. Based on a universe of seven Canadian bank ETFs that trade on the Toronto Stock Exchange, including unlevered and covered call strategies. Effective April 14, 2023, the investment objective of the Hamilton Enhanced Canadian Bank ETF (HCAL) was changed to equal weight exposure from its prior mean reversion approach. In certain markets, the current approach is expected to outperform the prior; 3. Growth of $10,000 based on total returns of the Solactive Equal Weight Canada Banks Index (SOLCBEW) vs 1.25x SOLCBEW, since March 16, 2007, as at December 29, 2023. Source: Bloomberg, Solactive AG, Hamilton ETFs; 4. Standard deviation since October 14, 2020, at December 29, 2023. Source: Bloomberg, Hamilton ETFs