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Horizons ETFs to Launch First Marijuana ETF

28/03/17 - 12:00 am

The Horizons Medical Marijuana Life Sciences ETF will begin trading on April 5, 2017

TORONTO – March 28, 2017 – Horizons ETFs Management (Canada) Inc. (“Horizons ETFs”) is pleased to announce that it has filed its final prospectus to launch the Horizons Medical Marijuana Life Sciences ETF (“HMMJ”). Units of the exchange traded fund (“ETF”) have been conditionally approved for listing by the Toronto Stock Exchange (“TSX”) and are slated to begin trading on April 5, 2017, under the ticker symbol HMMJ.

HMMJ will be the first ETF that offers direct exposure to North American-listed stocks that are involved with medical marijuana bioengineering and production. HMMJ is an index (or passively managed) ETF, which seeks to replicate, to the extent possible, the performance of the North American Medical Marijuana Index (“the Index”), net of expenses. The Index is designed to provide exposure to the performance of a basket of North American publicly traded companies with significant business activities in the marijuana industry.

“The medical marijuana industry is rapidly growing in North America as legislators allow or consider allowing more legal uses of marijuana and marijuana-related products, particularly medical marijuana usage,” said Steve Hawkins, President and Co-CEO of Horizons ETFs. “HMMJ is a way for investors to directly access the medical marijuana and life sciences industry through a transparent, low-cost ETF that holds a diversified basket of companies.”

The North American Medical Marijuana Index is designed to be a liquid and investable index of equity securities of publicly listed life sciences companies, and other firms, with business activities in the marijuana industry. The Index selects from a current universe of publicly-listed North American companies that have operations that may include one or more of biopharmaceuticals, medical manufacturing, distribution, bioproducts and other ancillary businesses to the marijuana industry.

Only stocks that meet minimum asset and liquidity thresholds are eligible for inclusion in the Index. Stocks in the Index are rebalanced quarterly on a market-capitalization basis, and capped so that no single stock can exceed 10% of the weight of the Index when rebalanced.

“Given the recent high returns generated by medical marijuana companies, investors are clearly attracted to the industry,” said Mr. Hawkins. “We feel that the methodology of the North American Medical Marijuana Index will maximize the risk/reward opportunity for investors by ensuring the companies in the Index meet important liquidity and asset requirements, so that the stocks in the Index are the leaders in the Medical Marijuana industry.”

HMMJ will close the initial offering of units to its designated broker after the close of business on April 4, 2017, prior to its initial listing of units on the TSX on April 5, 2017.

About Horizons ETFs Management (Canada) Inc. 
Horizons ETFs Management (Canada) Inc. and its affiliate AlphaPro Management Inc. are innovative financial services companies offering the Horizons ETFs family of exchange traded funds. The Horizons ETFs family includes a broadly diversified range of investment tools with solutions for investors of all experience levels to meet their investment objectives in a variety of market conditions. Horizons ETFs has more than $7 billion of assets under management. With 76 ETFs listed on the Toronto Stock Exchange, the Horizons ETFs family makes up one of the largest families of ETFs in Canada. Horizons ETFs Management (Canada) Inc. and AlphaPro Management Inc. are members of the Mirae Asset Global Investments Group.

For more information:
Mark Noble, Head of Sales Strategy
Horizons ETFs Management (Canada) Inc.
(416) 640-8254
[email protected]
 

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