Horizons HMMJ ETF RebalancedHmmm...is this a sign that the message is finally starting to get out?
Hmmm...the sentiment in the sector is changing?
Hmmm...starting to wake up and smell the coffee?
Horizons ETFs has completed its final marijuana ETFs rebalance of 2019
TORONTO – December, 30, 2019 – Horizons ETFs Management (Canada) Inc. (“Horizons ETFs”) has completed the quarterly rebalance of the constituent holdings of the Horizons Marijuana Life Sciences Index ETF (“HMMJ”:TSX), the Horizons US Marijuana Index ETF (“HMUS”:NEO) and the Horizons Emerging Marijuana Growers Index ETF (“HMJR”:NEO).
TOP HOLDINGS
HMMJ is the world’s first ETF offering direct exposure to North American-listed securities that have significant business activities in the marijuana industry. Amid contraction within the marijuana sector, seven constituents were removed from HMMJ’s portfolio:
Deletions
| Company Name | Ticker | Exchange |
| Heritage Cannabis Holdings Corp | CANN | Canadian Securities Exchange |
| Emerald Health Therapeutics | EMH | TSX Venture Exchange |
| Eve & Co Inc | EVE | TSX Venture Exchange |
| Fsd Pharma Inc | HUGE | Canadian Securities Exchange |
| 48North Cannabis Corp | NRTH | TSX Venture Exchange |
| Radient Technologies Inc | RTI | TSX Venture Exchange |
| Zenabis Global Inc | ZENA | Toronto Stock Exchange |
HMMJ is an index (or passively managed) ETF, which seeks to replicate, to the extent possible, the performance of the North American Marijuana Index, net of expenses. This index is designed to provide exposure to the performance of a basket of North American publicly listed life sciences companies with significant business activities in the marijuana industry. The North American Marijuana Index selects from a current universe of companies that have operations that may include one or more of biopharmaceuticals, medical manufacturing, distribution, bioproducts and other ancillary businesses related to the marijuana industry. Securities within HMMJ’s index generally have a market capitalization of greater than CAD $75 million.
“The performance of the Marijuana sector in Q4 was quite disappointing. As a result, the market capitalization of a number of HMMJ’s holdings fell below their minimum inclusion threshold, leading to their removal from the index and the ETF,” said Steve Hawkins, President and CEO of Horizons ETFs. “Within HMMJ’s portfolio, this has resulted in the survival of the fittest: HMMJ’s holdings are now more concentrated on companies that are maintaining a strong position within the cannabis industry, despite difficult market conditions.”
Rebalancing of the North American Marijuana Index, and consequently HMMJ, occurs each calendar quarter. At that point, all stocks eligible for inclusion are generally re-weighted by their respective market capitalization. The holdings of HMMJ and its current portfolio weights are regularly updated and available at https://www.HorizonsETFs.com/HMMJ.
On September 20, 2019 the Top Ten Looked Like This Canopy was 1st with a 10.06% weight
Aurora was 2nd with a 9.69% weight
Cronos was 3rd with a 8.82% weight
Tilray Inc was 4th with a 8.04% weight
GW Pharma was 5th with a 7.64% weight
Aphria was 6th with a 7.34% weight
Scotts Miracle was 7th with a 6.84% weight
Charlottes Web was 8th with a 5.82% weight
HEXO was 9th with a 4.68% weight
TGOD was 10th with a 2.66% weight
Cheers,
CentreIce