Hamilton Canadian Bank
1.25x Leverage ETF

  • Ticker HCAL
  • Yield % 6.60

Now trading: Get more from investing in Canadian banks

HCAL | Canadian Bank 1.25x Leverage ETF

Highlights:

Higher yields with enhanced return potential as sector recovers from credit cycle

Exposure to Canada’s “Big Six” banks with 25% leverage

Historical volatility of Canadian banks times 1.25 is materially lower than U.S. banks

A GOOD FIT FOR INVESTORS WHO WANT:

Higher growth potential, higher dividends

Exposure to mean reversion, a strategy with historical index outperformance vs. equal weight and covered call strategies

Monthly distributions

FUND OBJECTIVE

The fund invests in HCA — which is designed to closely track the returns of the Solactive Canadian Bank Mean Reversion Index TR, investing in Canadian banks — while adding 25% leverage provided by a Canadian financial institution. Unlike other ETFs that utilize leverage, HCAL does not use derivatives.

Performance

  • TICKER HCAL
  • NAV $15.67
  • CHANGE -$0.33
  • YIELD 6.60%
  • ASSETS $10.0M

Unlevered Mean Reversion vs. “Big-5” Canadian Banks (Equal Weight)

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 September 30, 2020

tickernameweight
HCAHamilton Canadian Bank Mean Reversion Index ETF125%

Leverage is via cash borrowing (not derivatives), provided by a Canadian financial institution.

HCA Holdings

Hamilton Canadian Bank Mean Reversion Index ETF (HCA) invests in Canada’s “big six” banks
NameWeight
Scotia26.8%
TD26.8%
Royal26.8%
CIBC6.7%
BMO6.7%
National6.7%

Fund Details

 

All Hamilton ETFs are available on the Toronto Stock Exchange (TSX) to retail and accredited investors, and can be used in DRIP RRSP, RRIF, DPSP, RDSP, RESP and TFSA portfolios.
TickerHCAL (CAD)
ExchangeToronto Stock Exchange (TSX)
CUSIP40704L108
Inception DateOctober 14, 2020
Investment StyleIndex-based, mean-reversion strategy + leverage
IndexSolactive Canadian Bank Mean Reversion Index
Leverage1.25x
Assets$10.0M CAD*
Yield6.60%*
DistributionsMonthly
EligibilityRRSP, DRIP, RRIF,
DPSP, RDSP,
RESP, TFSA
Management Fee0.65%
AdministratorHorizons ETFs Management (Canada) Inc.
AuditorKPMG LLP

Distributions

HCAL 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
2020-10-292020-11-12Monthly$0.087

You can view public filings for the Hamilton Canadian Bank 1.25x Leverage ETF on SEDAR.

Press Releases

View the latest HCAL Press Releases

ETF Facts

HCAL Fact Sheet (2020-10-07) English Français

PROSPECTUS

HCAL Prospectus (2020-10-07) English Français

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