Hamilton Canadian Bank
Mean Reversion Index ETF

  • Ticker HCA
  • Yield % 4.58

A smarter way to invest in Canadian banks

Toronto skyline evening

Highlights:

Exposure to Canada’s “Big Six” banks using a mean reversion strategy with monthly rebalancing

Potential for higher long-term returns and lower downside volatility

The Solactive Canadian Bank Mean Reversion Index TR has outperformed an equal weight portfolio of Canada’s banks –especially in turbulent times

Monthly distributions

What is Mean-Reversion?

Mean reversion is one of the most popular themes in Canadian bank investing, given the individual Canadian banks have tended to perform similarly over time.

HCA attempts to take advantage of these tendencies by rebalancing the portfolio monthly and investing 80% of the portfolio in the 3 banks which have recently underperformed, and 20% in the 3 banks which have outperformed.

FUND OBJECTIVE

 

The fund is designed to closely track the returns of the Solactive Canadian Bank Mean Reversion Index TR, which applies a variable-weight, mean reversion trading strategy to Canada’s “Big Six” banks, with monthly rebalancing.

Performance

  • TICKER HCA
  • NAV $19.10
  • CHANGE +$0.26
  • YIELD 4.58%
  • ASSETS $65.1M

Solactive Canadian Bank Mean Reversion Index TR vs Equal Weight Canadian Banks

Value of $100 invested since inception of Solactive Canadian Bank Mean Reversion Index TR (SOLCBMRT; Jan 1, 1990) vs equal weight portfolio of Canada’s “Big 5” banks, as at Sept 30, 2020. Source: Bloomberg, Solactive AG

  • Overview
  • Distributions
  • Documents

Top Holdings

As at October 31, 2020

tickernameweight
RYRoyal Bank of Canada27%
TDToronto-Dominion Bank27%
NANational Bank of Canada27%
BMOBank of Montreal7%
BNSBank of Nova Scotia7%
CMCanadian Imperial Bank of Commerce7%

Fund Details

 

All Hamilton ETFs are available on the Toronto Stock Exchange (TSX) and can be used in DRIP, RRSP, RRIF, DPSP, RDSP, RESP and TFSA portfolios.
TickerHCA (CAD)
ExchangeToronto Stock Exchange (TSX)
CUSIP40704K100
Inception DateJune 26, 2020
Investment StyleIndex-based, mean reversion strategy
BenchmarkSolactive Canadian Bank Mean Reversion Index
Assets$65.1M CAD*
Yield4.58%*
DistributionsMonthly
EligibilityRRSP, DRIP, RRIF,
DPSP, RDSP,
RESP, TFSA
Management Fee0.45%
AdministratorHorizons ETFs Management (Canada) Inc.
AuditorKPMG LLP

Distributions

HCA distributions are paid monthly in cash, or if the unitholder has enrolled in the dividend reinvestment plan (DRIP), reinvested in additional units of the ETF.
Ex-Dividend DatePaidFrequencyAmount
2020-11-272020-12-10Monthly$0.072
2020-10-292020-11-12Monthly$0.072
2020-09-302020-10-13Monthly$0.070
2020-08-282020-09-11Monthly$0.070
2020-07-302020-08-13Monthly$0.070

You can view public filings for the Hamilton Canadian Bank Mean Reversion Index ETF on SEDAR.

Press Releases

View the latest HCA Press Releases

ETF Facts

HCA Fact Sheet (2020-05-11) English Français

Prospectus

HCA Prospectus (2020-05-11) English Français

Latest Portfolio Summary

Q3 2020 Portfolio Summary (2020-09-30) Download

Independent Review Committee

2019 Annual Report to Securityholders (2020-03-04) Download

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