TORONTO, Sept. 4, 2024 /CNW/ - Evolve Funds Group Inc. ("Evolve" or the "Manager") is pleased to announce that Evolve Canadian Utilities Enhanced Yield Index Fund ("UTES" or the "Fund") has closed its initial offering of units and will begin trading on the Toronto Stock Exchange ("TSX") today under the ticker symbol: UTES.
UTES seeks to replicate, to the extent reasonably possible before fees and expenses, up to a 1.25 times multiple of the performance of the Solactive Canada Utility Index, or any successor thereto (the "Index"), while mitigating downside risk. The Evolve Fund invests primarily in the equity constituents of the Index. To enhance yield, as well as to mitigate risk and reduce volatility, the Evolve Fund will employ a covered call option writing program at the discretion of the Manager.
"With over $7 billion in assets, we are excited to announce another addition to our growing lineup of covered call funds," says Raj Lala, President and CEO at Evolve ETFs. "Utilities are a staple in Canadian portfolios, offering stable dividends, low volatility, and long-term growth potential. In today's market environment, characterized by economic uncertainty, market volatility, and declining interest rates, we believe utilities can be a valuable addition to client portfolios. UTES will employ our actively managed covered call strategy and modest 25% leverage to provide investors with enhanced, tax-efficient income."
The following chart sets out the TSX ticker symbol for the ETF Units of the Fund:
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TSX Ticker Symbol
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Unhedged ETF Units
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Evolve Canadian Utilities Enhanced Yield Index Fund
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UTES
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About Evolve Funds Group Inc.
With over $7 billion in assets under management, Evolve is one of Canada's fastest growing ETF providers since launching its first ETF in September 2017. Evolve specializes in bringing innovative ETFs to Canadian investors. Evolve's suite of ETFs provide investors with access to: (i) index-based income strategies; (ii) long term investment themes; and (iii) some of the world's leading investment managers. Established by a team of industry veterans with a proven track record of success, Evolve creates investment products that make a difference. For more information, please visit www.evolveetfs.com.
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Commissions, trailing commissions, management fees and expenses all may be associated with exchange traded funds (ETFs). Please read the prospectus before investing. There are risks involved with investing in ETFs. Please read the prospectus for a complete description of risks relevant to the ETF. Investors may incur customary brokerage commissions in buying or selling ETF units. Investors should monitor their holdings, as frequently as daily, to ensure that they remain consistent with their investment strategies.
Certain statements contained in this news release constitute forward-looking information within the meaning of Canadian securities laws. Forward-looking information may relate to a future outlook and anticipated distributions, events or results and may include statements regarding future financial performance. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "anticipate", "believe", "intend" or other similar expressions concerning matters that are not historical facts. Actual results may vary from such forward-looking information. Evolve undertakes no obligation to update publicly or otherwise revise any forward-looking statement whether as a result of new information, future events or other such factors which affect this information, except as required by law.
SOURCE Evolve Funds Group Inc.
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