ETF Sage
Canadian ETF knowledgebase
ETF Sage
Canadian ETF knowledgebase
The fund 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) daily performance of the NASDAQ 100 Index.
Horizons HQD 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.
The NASDAQ 100 Index includes 100 of the largest domestic and international non-financial securities listed on the NASDAQ Stock Market based on market capitalization.
The Fund utilizes a Forward Agreement structure to gain exposure to the target portfolio.
Be aware that the forward structure adds additional costs to the ETF. These costs are not included in the MER.
| Fundamentals | |
|---|---|
| Category (main) | Inverse Leveraged (2x Bear) USA Equity Large Cap |
| Category (other) | Inverse Leveraged (2x Bear) |
Underlying Index  |
NASDAQ 100 Index |
| ETF Structure | Passive type. Inverse Leveraged (2x). Endeavours to return 2x (200%) the inverse (opposite) daily Index return before fees/costs |
| Asset Class |
Equity |
| Sub-Asset Class | Large Cap |
| Region |
USA |
| Issuer | Horizons ETFs (Canada) |
| ETF Home Page | Available here |
| Fund Facts | |
|---|---|
| Inception Date | June 18, 2008 |
| Total Holdings |
Unknown |
Distribution Frequency  |
None |
| Leverage |
Yes 2x (200%) [Inverse] |
| Significant Currency Exposure
|
Yes |
| Currency Hedging
|
Unknown |
| Fees | |
|---|---|
| Management Fee |
1.15% |
| Management Expense Ratio (MER) |
1.28% * |
| Forward Structure Costs | 0.50% |
* 2011, 2010 (1.34%)
| Trading Information | |
|---|---|
| Ticker | HQD |
| Exchange |
TSX (Toronto Stock Exchange) |
| Currency |
CAD |
| Eligibility | |
|---|---|
| Eligibility * |
RRSP, RRIF, RESP, TFSA, DPSP, RDSP |
| DRIP available ** |
No |
| PACC Plan available ** |
No |
| SWP available ** |
No |
* Always check eligibility with your plan operator as plans and accounts can differ
** Not all brokers can facilitate these plans. Check with your broker.
To view the TSX or Morningstar fund page for this ETF click on the Fund Data menu tab or below:
Leveraged ETFs expose you to significantly greater risk than non-leveraged ETFs - the greater the leverage, the greater the risk.
Before buying an ETF that employs leverage ensure you understand the additional risks the leverage exposes you to and how that leverage is employed.
These ETFs are reset/rebalanced daily. Consequently they will not and should not be expected to replicate the return (or 2x, inverse or inverse 2x) of their underlying index over any period of time other than daily.
The returns of leveraged ETFs over periods longer than one day will likely differ in amount and possibly direction from the performance of their underlying index for the same period. This effect becomes more pronounced as the volatility of the underlying index increases.
Investors should monitor investments in leveraged ETFs on a daily basis.
Typically leveraged ETFs are held for small periods only, frequently a single day.
Do not invest in leveraged ETFs unless you fully understand the risks involved and how your particular ETF works. You should have a high risk tolerance and ability to bear risk - if you don't, avoid leveraged ETFs.