An anonymous representative of Horizons ETFs Management reports
HORIZONS ETFS ANNOUNCES TEMPORARY SUSPENSION OF NEW SUBSCRIPTIONS FOR SHARES OF HOU AND HOD
In response to the extreme volatility in crude oil markets, Horizons ETFs Management (Canada) Inc. will not be accepting new subscriptions for shares of BetaPro Crude Oil 2x Daily Bull ETF and BetaPro Crude Oil -2x Daily Bear ETF.
The manager accepted all subscriptions received this morning before the 9:30 a.m. deadline and has now suspended new subscriptions for shares of the exchange-traded funds until further notice. Redemptions will continue to be accepted in the normal course.
The manager anticipates that purchases of new shares of the exchange-traded funds at the available offer prices on the secondary market are not expected to be reflective of the underlying net asset values per share. The manager anticipates that the secondary market will continue to provide holders of shares with a forum to sell shares at a price reflective of the applicable net asset value per share.
It is imperative to note that shares of the exchange-traded funds could be expected to trade at a substantial premium to their net asset value while subscriptions of shares are suspended. As a result, the manager strongly discourages investors from purchasing shares of the exchange-traded funds at this time.
The manager will advise as soon as there are any further developments with respect to the exchange-traded funds.
© 2020 Canjex Publishing Ltd. All rights reserved.