Exchange Bulletin
Horizons Active US Dividend ETF (HAU, HAU.A) To Trade On Toronto Stock Exchange
Horizons Active US Dividend ETF (the “ETF”) - An application has been granted for the original listing in the Industrial category of 990,000 Class E units (the “Class E Units”) and 25,000 Advisor Class units (the “Advisor Class Units”) of the ETF (collectively, the “Units”), all of which will be issued and outstanding upon completion of an initial public offering (the “Offering”).
Listing of the Units will become effective at 5:01 p.m. on Tuesday, February 24, 2015 in anticipation of the Offering closing prior to the opening of business on Wednesday, February 25, 2015. The Units will be posted for trading at the opening of business on Wednesday, February 25, 2015, upon confirmation of the closing.
The ETF is authorized to issue an unlimited number of Units, each of which represents an equal, undivided interest in the net assets of the ETF. Units of the ETF are being issued and sold on a continuous basis and there is no maximum number of Units that may be issued.
Registrations and transfers of Units will be effected through the book-entry only system administered by CDS Clearing and Depository Services Inc. (“CDS”). Beneficial owners of Units will not have the right to receive physical certificates evidencing their ownership of the Units. Units must be purchased, transferred and surrendered for redemption only through a CDS participant.
Additional information on the Units may be found in the prospectus dated January 29, 2015 (the “Prospectus”), which is available at www.SEDAR.com. Capitalized terms not otherwise defined herein are as defined in the Prospectus.
Class E Units
| Stock Symbol: "HAU" | CUSIP: 44052M 20 5 | Trading Currency: CDN$ |
Advisor Class Units
| Stock Symbol: "HAU.A" | CUSIP: 44052M 10 6 | Trading Currency: CDN$ |
| Designated Market Maker: | National Bank of Canada |
| Other Markets: | None |
| Head Office Address: | 26 Wellington Street East Suite 700 Toronto, Ontario M5E 1S2 |
| Website: | www.horizonsetfs.com |
| Email Address: | info@alphapro.com |
| Head Office Telephone Number: | (416) 933-5745 |
| Fax Number: | (416) 777-5181 |
| Investor Relations: | Martin Fabregas Tel.: (416) 601-2508 mfabregas@horizonsetfs.com |
| Chief Financial Officer: | Julie Stajan |
| Secretary: | Steven J. Hawkins |
| Incorporation: | The ETF is an open-ended mutual fund established under the laws of the Province of Ontario on January 29, 2015 pursuant to an amended and restated master declaration of trust. |
| Manager and Trustee: | AlphaPro Management Inc. |
| Fiscal Year End: | December 31 |
| Nature of Business: | The investment objective of the ETF is to seek long-term returns consisting of regular dividend income and modest long-term capital growth. The ETF invests primarily in equity and equity related securities of U.S. companies or companies with a substantial presence in the United States listed on a U.S. exchange. |
| Transfer Agent & Registrar: | CST Trust Company at its principal office in Toronto. |
| Class E and Advisor Class Units: | The only difference between Class E Units and Advisor Class Units is that a higher Management Fee is charged to the Advisor Class Units and such higher fee reflects the Service Fee paid to registered dealers by the Manager. No Service Fee is paid to registered dealers in respect of Class E Units. As a result, the net asset value per Class E Unit of the ETF will not be the same as the net asset value per Advisor Class Unit of the ETF. |
| Conversion of Units: | Unitholders may convert Advisor Class Units into Class E Units or Class E Units into Advisor Class Units. To do so, Units must be surrendered and the Unitholder’s CDS participant must deliver to CDS (at its office in the City of Toronto) on behalf of the Unitholder a written notice of the Unitholder’s intention to convert during the period from the first day of a month until 5:00 p.m. (Toronto time) on the last business day prior to the 16th day of such month. Units surrendered for conversion will be converted on the last Trading Day of that Month (the “Monthly Conversion Date”). For each Advisor Class Unit or Class E Unit so converted, a Unitholder will receive a number of Class E Units or Advisor Class Units equal to the net asset value per Advisor Class Unit or Class E Unit as of the Monthly Conversion Date divided by the net asset value per Class E Unit or Advisor Class Unit as of the Monthly Conversion Date. |
| Distributions and Automatic Reinvestment: | It is anticipated that the ETF will make distributions to its Unitholders on a monthly basis. Such distributions will be paid in cash, unless a Unitholder is participating in the Reinvestment Plan. The ETF will determine and announce at least annually the amount to be distributed during the following annual period based upon the Manager’s estimate of distributable cash flow of the ETF for the annual period. The ETF may make additional distributions in any given year. The ETF will ensure that all of its income (including net realized capital gains), as computed for tax purposes, will be distributed to Unitholders to such an extent that the ETF will not be liable for ordinary income tax thereon. Such distributions will be paid in cash unless a Unitholder is participating in the Reinvestment Plan. |
| Initial Issuance of Units: | Pursuant to the Prospectus, 990,000 Class E Units and 25,000 Advisor Class Units will be issued at a subscription price of $10.00 per Unit. |
