Hamilton Capital launches U.S. mid-cap financials ETF

Morningstar Canada 5 September, 2017 | 11:00PM

Hamilton Capital Partners Inc., which specializes in global financial services, has launched a third exchange-traded fund, Hamilton Capital U.S. Mid-Cap Financials (USD). It began trading today on the Toronto Stock Exchange under the symbol HFMU.U.

Like Hamilton Capital's two other ETFs, the newest offering is actively managed. It will invest primarily in U.S. financial-services companies with market capitalizations from US$500 million to US$20 billion. It also has the flexibility to invest in non-U.S. financial companies.

"We believe HFMU.U's combination of U.S. mid-cap financials stand to benefit from rising rates, improving GDP, ongoing sector consolidation, and exposure to faster growing states and regions," said Rob Wessel, managing partner of Toronto-based Hamilton Capital, in a Sept. 1 release.

Within the financial sector, the portfolio managers may invest in a full range of industries, including but not limited to, commercial and investment banks, insurance companies, brokerages, asset managers, exchanges, real estate investment trusts and other investment companies.

The ETF's management fee is 0.85%, not including operating expenses.

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