The ETFs are designed to provide daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to either: (i) a multiple or inverse (opposite) multiple of the daily performance of a specified Underlying Index; or (ii) the single inverse (opposite) of the daily performance of a specified Underlying Index. The ETFs do not seek to achieve their stated investment objective over a period of time greater than one day. In order to achieve its investment
objective, each ETF may invest in equity securities, interest bearing accounts and T-Bills and/or other financial instruments, including derivatives. See “Other Material Facts – Index Information”.
Double ETFs
The following table sets out the Underlying Index and Daily Objective of each Double ETF. A more detailed description of the specific investment objective and strategies of each Double ETF follows this summary. The fundamental investment objective of an ETF may not be changed except with the approval of Unitholders of the ETF.
Double ETFs Underlying Index Daily Objective
Horizons HXU S&P/TSX 60™ Index 200% of the daily performance of
its Underlying Index
Horizons HXD S&P/TSX 60™ Index 200% of the inverse of the daily
performance of its Underlying Index
Horizons HFU S&P/TSX Capped Financials Index™ 200% of the daily performance of its Underlying Index
Horizons HFD
S&P/TSX Capped Financials Index™ 200% of the inverse of the daily performance of its Underlying Index
Horizons HEU S&P/TSX Capped Energy Index™ 200% of the daily performance of its Underlying Index
Horizons HED S&P/TSX Capped Energy Index™ 200% of the inverse of the daily performance of its Underlying Index
Horizons HGU S&P/TSX Global Gold Index™ 200% of the daily performance of its Underlying Index
Horizons HGD S&P/TSX Global Gold Index™ 200% of the inverse of the daily performance of its Underlying Index
Horizons HSU S&P 500® 200% of the daily performance of
its Underlying Index
Horizons HSD S&P 500® 200% of the inverse of the daily
performance of its Underlying Index
Horizons HQU NASDAQ-100 Index® 200% of the daily performance of
its Underlying Index
Horizons HQD NASDAQ-100 Index® 200% of the inverse of the daily
performance of its Underlying Index
Horizons HXU Investment Objective
Horizons HXU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the S&P/TSX 60™ Index.
If Horizons HXU is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as the S&P/TSX 60™ Index when this Underlying Index rises on a given day. Conversely, Horizons HXU’s net asset value should lose approximately twice as much, on a percentage basis, as the S&P/TSX 60™ Index when this Underlying Index declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HXU takes positions in equity securities and/or other financial instruments that, in combination, should have similar daily return characteristics as two times (200%) the S&P/TSX 60™ Index. In order to achieve this objective, the total underlying notional value of these instruments and/or securities will typically not exceed two times the total assets of the ETF. As such, Horizons HXU employs absolute leverage. Assets not invested in financial instruments or equity securities may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HXU typically uses the price of the S&P/TSX 60™ Index as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HXD Investment Objective
Horizons HXD seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the daily performance of the S&P/TSX 60™ Index.
If Horizons HXD is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as any decrease in the S&P/TSX 60™ Index when this Underlying Index declines on a given day. Conversely, Horizons HXD’s net asset value should lose approximately twice as much, on a percentage basis, as any increase in the S&P/TSX 60™ Index when this Underlying Index rises on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HXD takes positions in equity securities and/or other financial instruments that, in combination, should have similar daily return characteristics as two times (200%) the inverse (opposite) of the S&P/TSX 60™ Index. In order to achieve this objective, the total underlying notional value of these instruments and/or securities will typically not exceed two times the total assets of the ETF. As such, Horizons HXD employs absolute leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HXD typically uses the price of the S&P/TSX 60™ Index as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HFU Investment Objective
Horizons HFU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the S&P/TSX Capped Financials Index™.
If Horizons HFU is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as the S&P/TSX Capped Financials Index™ when the S&P/TSX Capped Financials Index™ rises on a given day. Conversely, Horizons HFU’s net asset value should lose approximately twice as much, on a percentage basis, as the S&P/TSX Capped Financials Index™ when the S&P/TSX Capped Financials Index™ declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HFU invests in financial instruments that have similar daily return characteristics as two times (200%) the S&P/TSX Capped Financials Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HFU employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HFU typically uses the price of the S&P/TSX Capped Financials Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective.
Horizons HFD Investment Objective
Horizons HFD seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the daily performance of the S&P/TSX Capped Financials Index™.
If Horizons HFD is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as any decrease in the S&P/TSX Capped Financials Index™ when the S&P/TSX Capped Financials Index™ declines on a given day. Conversely, Horizons HFD’s net asset value should lose approximately twice as much, on a percentage basis, as any increase in the S&P/TSX Capped Financials Index™ when the S&P/TSX Capped Financials IndexTM rises on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HFD invests in financial instruments that have similar daily return characteristics as two times (200%) the inverse (opposite) of the S&P/TSX Capped Financials Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the
total assets of the ETF. As such, Horizons HFD employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HFD typically uses the price of the S&P/TSX Capped Financials Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HEU Investment Objective
Horizons HEU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the S&P/TSX Capped Energy Index™.
If Horizons HEU is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as the S&P/TSX Capped Energy Index™ when the S&P/TSX Capped Energy Index™ rises on a given day. Conversely, Horizons HEU’s net asset value should lose approximately twice as much, on a percentage basis, as the S&P/TSX Capped Energy Index™
when the S&P/TSX Capped Energy Index™ declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HEU invests in financial instruments that have similar daily return characteristics as two times (200%) the S&P/TSX Capped Energy Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HEU employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HEU typically uses the price of the S&P/TSX Capped Energy Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HED Investment Objective
Horizons HED seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the daily performance of the S&P/TSX Capped Energy Index™.
If Horizons HED is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as any decrease in the S&P/TSX Capped Energy Index™ when the S&P/TSX Capped Energy Index™ declines on a given day. Conversely, Horizons HED’s net asset value should lose approximately twice as much, on a percentage basis, as any increase in the S&P/TSX Capped Energy Index™ when the S&P/TSX Capped Energy Index™ rises on a given day.
See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HED invests in financial instruments that have similar daily return characteristics as two times (200%) the inverse (opposite) of the S&P/TSX Capped Energy Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HED employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HED typically uses the price of the S&P/TSX Capped Energy Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HGU Investment Objective
Horizons HGU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the S&P/TSX Global Gold Index™.
If Horizons HGU is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as the S&P/TSX Global Gold Index™ when the S&P/TSX Global Gold Index™ rises on a given day. Conversely, Horizons HGU’s net asset value should lose approximately twice as much, on a percentage basis, as the S&P/TSX Global Gold Index™ when the S&P/TSX Global Gold Index™ declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HGU invests in financial instruments that have similar daily return characteristics as two times (200%) the S&P/TSX Global Gold Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HGU employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HGU typically uses the price of the S&P/TSX Global Gold Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HGD Investment Objective
Horizons HGD seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the daily performance of the S&P/TSX Global Gold Index™.
If Horizons HGD is successful in meeting its investment objective, its net asset value should gain approximately twice as much, on a percentage basis, as any decrease in the S&P/TSX Global Gold Index™
when the S&P/TSX Global Gold Index™ declines on a given day. Conversely, Horizons HGD’s net asset value should lose approximately twice as much, on a percentage basis, as any increase in the S&P/TSX Global Gold Index™ when the S&P/TSX Global Gold Index™ rises on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HGD invests in financial instruments that have similar daily return characteristics as two times (200%) the inverse (opposite) of the S&P/TSX Global Gold Index™. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HGD employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or reverse repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HGD typically uses the price of the S&P/TSX Global Gold Index™ as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HSU Investment Objective
Horizons HSU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the S&P 500®. Horizons HSU is denominated in Canadian dollars. Any U.S. dollar gains or losses as a result of the ETF’s investment will be hedged back to the Canadian dollar to the best of the ETF’s ability.
If Horizons HSU is successful in meeting its investment objective, its net asset value should gain approximately two times as much, on a percentage basis, as the S&P 500®, when the S&P 500® rises on a given day. Conversely, Horizons HSU’s net asset value should lose approximately two times as much, on a percentage basis, as the S&P 500® when the S&P 500® declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HSU invests in financial instruments that have similar daily return characteristics as two times (200%) the daily performance of the S&P 500®. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HSU employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HSU typically uses the S&P 500® as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HSD Investment Objective
Horizons HSD seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the inverse (opposite) of the
daily performance of the S&P 500®. Horizons HSD is denominated in Canadian dollars. Any U.S. dollar gains or losses as a result of the ETF’s investment will be hedged back to the Canadian dollar to the best of the ETF’s ability.
If Horizons HSD is successful in meeting its investment objective, its net asset value should gain approximately two times as much, on a percentage basis, as the S&P 500® when the S&P 500® falls on a given day. Conversely, Horizons HSD’s net asset value should lose approximately two times as much, on a percentage basis, as the S&P 500® when the S&P 500® rises on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HSD invests in financial instruments that have similar daily return characteristics as two times (200%) the inverse (opposite) of the daily performance of the S&P 500®. In order to achieve this objective, the total underlying notional value of these instruments will typically not exceed two times the total assets of the ETF. As such, Horizons HSD employs leverage. Assets not invested in financial instruments may be invested in debt instruments or money market instruments with a term not to exceed 365 days, or repurchase agreements with a term not to exceed 30 days. See “Investment Strategies”.
Value of the Underlying Index
Horizons HSD typically uses the S&P 500® as determined at approximately 4:00 p.m. (EST) as the reference for its daily investment objective. See “Other Material Facts – Index Information”.
Horizons HQU Investment Objective
Horizons HQU seeks daily investment results, before fees, expenses, distributions, brokerage commissions and other transaction costs, that endeavour to correspond to two times (200%) the daily performance of the NASDAQ-100 Index®. Horizons HQU is denominated in Canadian dollars. Any U.S. dollar gains or losses as a result of the ETF’s investment will be hedged back to the Canadian dollar to the best of the ETF’s ability.
If Horizons HQU is successful in meeting its investment objective, its net asset value should gain approximately two times as much, on a percentage basis, as the NASDAQ-100 Index®, when the NASDAQ-100 Index® rises on a given day. Conversely, Horizons HQU’s net asset value should lose approximately two times as much, on a percentage basis, as the NASDAQ-100 Index® when the NASDAQ-100 Index® declines on a given day. See “Overview of the Sectors that the ETFs Invest In”.
Principal Investment Strategy
Horizons HQU invests in financial instruments that have similar daily return characteristics as two times
Horizons HQU invests in financial instruments that have similar daily return characteristics as two times