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BetaPro Canadian Gold Miners 2x Daily Bull ETF T.HGU

Alternate Symbol(s):  HZNSF

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 Solactive Canadian Gold Miners Index. If HGU is successful in meeting its investment objective, its net asset value should gain approximately twice as much on a given day, on a percentage basis, as the Solactive Canadian Gold Miners Index when this Underlying Index rises on that given day. Conversely, HGUs net asset value should lose approximately twice as much on a given day, on a percentage basis, as the Solactive Canadian Gold Miners Index when this Underlying Index declines on that given day. 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, HGU employs leverage.


TSX:HGU - Post by User

Comment by Valentine_MSon May 04, 2013 6:30am
133 Views
Post# 21338871

RE: I called Horizon, here is how this ETF works

RE: I called Horizon, here is how this ETF works

The index is down to 44% of where it was 18 months ago.  ABX is 37% - the index is out performing ABX. ABX is the largest component. 

It is important to understand HGU only tracks the index movement short term, the rebalancing daily and management  fees erode value (over the same period as above hgu is at 17%!).  Despite this I consider it an excellent way to trade a volatile group of stocks that exhibit strong trends, just don’t expect to buy and hold.

Most days hgu will track closely,  Friday was before the share consolidation so people did not want to hold overnight and at one point it was 1.3% undervalued as there was a huge block just thrown at the market in the late afternoon.  It ended the day at 0.28% undervalued – i.e. one penny.

https://www.horizonsetfs.com/pub/en/ETFs.aspx
(look under leveraged for hgu)

https://www.horizonsetfs.com/pub/en/etfs/?etf=HGU&tab=overview

 

 

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