Horizons ETFs Management (Canada) Inc. is resuming new subscriptions for units of the BetaPro S&P 500 VIX Short-Term Futures Inverse ETF. The ETF trades on the Toronto Stock Exchange under the ticker symbol HVI.
When markets dropped in early February and turned volatile, Horizons halted trading on HVI. It suspended new subscriptions of fund units on Feb. 27, because the manager didn’t expect HVI to meet its stated investment objective after the close of trading that day.
In a release, Horizons says that since the close of trading on Feb. 27, the performance of HVI has corresponded to approximately one-half times the inverse (opposite) of the daily performance of the S&P 500 VIX Short-Term Futures Index. Further, HVI’s performance is expected to continue to correspond to approximately one-half times the inverse of the index’s daily performance.
In accordance with the declaration of trust of HVI, and in accordance with applicable securities law, Horizons intends to call a special meeting of unit holders of HVI as soon as practicable to amend the fund’s investment objective. Horizons will provide unit holders with additional information about the meeting “in due course,” says the release.