The Canadian bank index is at roughly the same level it was two years ago – a very rare event[1]. Coming out of COVID, the sector rallied to a new peak in February 2022 when inflationary concerns took the index down over 20% in the following months, to levels it has remained on and off since. Part of the reason Canadian bank stocks have not risen…
Insights: Hamilton ETFs
Hamilton ETFs Announces Filing of Final Prospectus for Canada’s First Covered Call Bond ETF and Expansion of its Suite of Yield Maximizer ETFs
TORONTO, September 8, 2023 – Hamilton Capital Partners Inc. (“Hamilton ETFs“) is pleased to announce that it has obtained a receipt from the Ontario Securities Commission for the final prospectus of three new products within its suite of yield maximizer ETFs: Hamilton U.S. Bond Yield Maximizer ETF (HBND), Hamilton Technology Yield Maximizer ETF (QMAX) and Hamilton U.S. Equity Yield Maximizer ETF (SMAX). The Toronto Stock Exchange…
Video: Canadian Banks – Weathering the Storm (15 min)
Watch our latest Q&A video update on the Canadian banks with Rob Wessel. In this 15-minute video, Rob provides our key takeaways from Q2 earnings, thoughts on depressed valuations, and potential risks/catalysts for the sector moving forward. Disclaimer: Commissions, management fees and expenses all may be associated with an investment in exchange traded funds (ETFs) managed by Hamilton ETFs.…
Hamilton ETFs Permanently Reduces Management Fee for Hamilton Canadian Bank Equal-Weight Index ETF (TSX Ticker: HEB)
TORONTO, May 24, 2023 – Hamilton Capital Partners Inc. (“Hamilton ETFs”) is pleased to announce a permanent reduction in the management fee for Hamilton Canadian Bank Equal-Weight Index ETF (“HEB”). Launched on April 4, 2023, HEB seeks to deliver attractive monthly income, while providing exposure to an equal-weight portfolio of the Big-6 Canadian banks. Hamilton ETFs is now pleased to confirm a permanent reduction in the…
HYLD – Adding QQCC, USCC / Reducing QYLD, RYLD, XYLD; Change in Distribution
The objective of our ETFs, HDIV and HYLD, is to provide “attractive monthly income”. To accomplish this, we aim to create higher income ETF versions of the S&P/TSX 60 and S&P 500, respectively. Given the sector mix of the S&P/TSX 60 and the S&P 500 are highly complementary, and the two equity markets have related but different drivers, we believe there are benefits to holding a…
Video: Canadian Banks – What’s Next?
Watch our 15-minute Q&A video below with Rob Wessel on the Canadian banks, where we discuss key issues including macro volatility, depressed valuations, and recent events in the U.S. CLICK HERE for information on HEB, the lowest-fee Canadian bank ETF. Disclaimer: Commissions, management fees and expenses all may be associated with an investment in exchange traded funds (ETFs) managed by Hamilton ETFs. Please read the…
HDIV and HYLD – Performance Update; (Still) Working Well Together
In this insight, we provide an update on the performance of the Hamilton Enhanced Multi-Sector Covered Call ETF (HDIV) and the Hamilton Enhanced U.S. Covered Call ETF (HYLD). While the objective of each ETF is to generate “attractive monthly income”, we hope each ETF will pay higher monthly income while generating similar and highly correlated returns to the large benchmark indices of Canada (for HDIV) and…
Hamilton ETFs Launches Hamilton Canadian Bank Equal-Weight Index ETF, Canada’s Lowest Cost Canadian Bank ETF
TORONTO, April 3, 2023 – Hamilton Capital Partners Inc. (“Hamilton ETFs”) is pleased to announce the launch of Hamilton Canadian Bank Equal-Weight Index ETF (“HEB”). HEB seeks to deliver attractive monthly income, while providing exposure to an equal-weight portfolio of the Big-6 Canadian banks. With a management fee of 19 basis points[1], HEB currently has the lowest management fee of any Canadian-bank focused ETF in Canada[2].…
Hamilton ETFs Announces Unitholder Approval for Proposed Investment Objective Change for Hamilton Enhanced Canadian Bank ETF
TORONTO, February 15, 2023 – Hamilton Capital Partners Inc. (“Hamilton ETFs”) is pleased to announce the results of the special meeting (the “Meeting”) for Hamilton Enhanced Canadian Bank ETF (TSX: HCAL) (the “ETF”) that was held today, February 15, 2023. As previously announced, the Meeting was convened for unitholders to consider and vote upon a proposal to change the investment objective of the ETF (the “Investment…
HDIV and HYLD – Working Together (as Shown in One Chart)
Before we talk about HDIV/HYLD, we wanted to highlight the launch of the Hamilton Canadian Financials Yield Maximizer ETF, or HMAX. This covered call ETF is ~75% Canadian banks and has an initial target yield of 13%+, paid monthly. This materially higher yield will be supported by an options coverage ratio of ~50% (higher than most covered call ETFs) and writing options at-the-money (versus out-of-the money).…
HDIV – Adding HMAX, Selling ZWB for Higher Yield and Lower Fees
Our overall goal for the Hamilton Enhanced Multi-Sector Covered Call ETF (HDIV) and the Hamilton Enhanced U.S. Covered Call ETF (HYLD, HYLD.U) is to create higher income ETF versions of the S&P/TSX 60 and S&P 500, respectively. As part of these two funds, we have modest cash leverage of 25%, the purpose of which is to help mitigate the yield/return trade-off inherent in covered call strategies,…
Canadian Banks: Opportunities and Risks in 2023
The Canadian banks had a very tough 2022 falling 8.9% – just the 5th decline in the last 20 years, which includes financial crisis years of 2007 and 2008[1] (the sector even rose 3.8% in 2020, despite COVID). The main reason for the decline last year was falling price-to-earnings multiples caused by the market’s concern that global central banks could cause a recession by aggressively raising…