TORONTO, Jan. 11, 2022 /CNW/ – Evolve Funds Group Inc. (“Evolve” or “the Manager“) is pleased to announce the Evolve European Banks Enhanced Yield ETF (“EBNK“) has closed its initial offering of units and will begin trading on the Toronto Stock Exchange (“TSX“) today under the ticker symbols: EBNK (CAD Hedged Units), EBNK.B (CAD Unhedged Units) and EBNK.U (USD Unhedged Units).
“European banks were one of the top performing sectors in Europe last year and posted their best returns since 2009,” says Raj Lala, President and CEO at Evolve ETFs. “The sector is currently trading at steep discounts relative to pre-COVID levels and other regions like the US. Improving economic growth, higher earnings expectations, and lifted dividend restrictions have continued to attract assets to the sector in early 2022. Given current valuations, European banks may offer investors diversification benefits and potentially more upside than North American counterparts.”
The investment objective of EBNK seeks to replicate, to the extent reasonably possible before fees and expenses, the performance of the Solactive European Bank Top 20 Equal Weight Index Canadian Dollar Hedged, or any successor thereto, while writing covered call options on up to 33% of the portfolio securities, at the discretion of the Manager. The level of covered call option writing may vary based on market volatility and other factors.
The Solactive European Bank Top 20 Equal Weight Index Canadian Dollar Hedged measures the performance of equity securities of the largest European banks on an equally-weighted basis, and hedges foreign currency exposure back to Canadian dollars.
The initial composition of the Index as well as any ongoing adjustments upon rebalancing are based on certain criteria, including only the top 20 Constituent Issuers with the largest market capitalization that have been classified under the following FactSet Sector: Major and Regional Banks. The composition of the Index is rebalanced quarterly.
The following chart sets out the TSX ticker symbol for the Units of the Evolve ETF:
|Evolve ETF||CAD Hedged Units||CAD Unhedged Units||USD Unhedged Units|
|Evolve European Banks Enhanced Yield ETF||EBNK||EBNK.B||EBNK.U|
For more information, visit https://evolveetfs.com/ebnk/.
About Evolve Funds Group Inc.
With over $2 billion in assets under management, Evolve is one of Canada’s fastest growing ETF providers since launching its first ETF in September 2017. Evolve is a leader in thematic ETFs and specializes in bringing disruptive innovation ETFs to Canadian investors. Evolve’s suite of ETFs provide investors with access to: (i) long term investment themes; (ii) index-based income strategies; 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.
Commissions, management fees and expenses all may be associated with exchange traded funds (ETFs). ETFs are not guaranteed, their values change frequently and past performance may not be repeated. There are risks involved with investing in ETFs. Please read the prospectus for a complete description of risks relevant to ETFs. Investors may incur customary brokerage commissions in buying or selling ETF. Please read the prospectus before investing.
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.