Horizons’s Active U.S. Dividend ETF begins trading today on the TSX.
HAU is an actively managed ETF that seeks to provide regular dividend income and modest long-term capital growth by investing in high-quality dividend paying U.S. companies or companies with a substantial presence in the U.S. At the discretion of its sub-advisor, Guardian Capital, HAU may hedge some or all of its non-Canadian dollar currency exposure back to the Canadian dollar.
Guardian Capital’s Srikanth Iyer, managing director, head of systematic strategies, and Fiona Wilson, portfolio manager, will take on lead portfolio management responsibilities for HAU.
“The analysis of a company’s cash flow and the way it uses its cash flow in a shareholder friendly manner will be, over the next decade, the most important criteria in evaluating performance,” says Iyer. “As a result, companies previously not known for their dividends and cash flow, like the technology sector, will become the mainstays of strong balance sheets and sustainable dividend yields.”