Horizons ETFs has announced the launch of the Horizons Intl Developed Markets Equity Index ETF. The new exchange traded fund offers tax-efficient, low-cost, indirect exposure to the MSCI EAFE Index.
Units of the new ETF began trading Sept. 27 on the Toronto Stock Exchange under the ticker symbol HXDM. The management fee is 0.20 per cent.
Measures the performance of large- and mid-cap securities
Horizons HXDM seeks to replicate the performance of the Horizons EAFE Futures Roll Index net of expenses, stated Horizons ETFs in an announcement. The MSCI EAFE Index is designed to measure the performance of large- and mid-cap securities across 21 developed markets outside of North America, which include major markets such as Australia, Continental Europe, Japan and the U.K.
HXDM uses Horizons ETFs' innovative total return index ("TRI") structure to replicate the returns of the Index. This structure is designed to enhance the after-tax performance benefits of the ETF.
Number one asset class for ETF inflows
"International developed market equity exposure, i.e. outside of North America, has been the number one asset class for ETF inflows in 2017," said Steve Hawkins, President and Co-CEO of Horizons ETFs. "With HXDM, investors can access exposure to the returns of big international names like Unilever, Nestle and Shell without taxation eroding returns. This is the advantage of the TRI structure."