Horizons ETFs has announced that it plans to close and liquidate its US-listed Horizons Cadence Hedged US Dividend Yield ETF (USDY US), which will see its last day of trading on 24 August 2018.
The last day of trading in the fund is scheduled for 24 August 2018.
Co-managed by Cadence Capital Management, the fund is an actively managed multi-factor ETF that invests in US large-cap dividend payers while offering downside protection through the use of an option overlay strategy. It has a net expense ratio of 0.68%.
USDY was launched on Cboe BZX in February of this year and has accumulated nearly $35 million in assets under management which is certainly amongst the higher AUM levels of ETFs that get scheduled for closure.
Horizons is owned by Asia-based financial services business Mirae Asset Global Investments which bought a majority stake in the firm in November 2011. Mirae further anchored its presence in the US with the recent acquisition of Global X.
Horizons said the closure was “due to a change in business strategy”.
The other funds in Horizons’ US-listed stable of ETFs include the $18m Horizons DAX Germany ETF (DAX US), the $54m Horizons S&P 500 Covered Call ETF (HSPX US) and the $310m Horizons Nasdaq-100 Covered Call ETF (QYLD US).