HZRZF ETF — Holdings & Analysis

The BetaPro Canadian Gold Miners -2x Daily Bear ETF (HZRZF) is designed to deliver twice the inverse of the daily performance of Canadian gold mining companies.

With assets under management of $0.01 billion and a high expense ratio of 2.22%, HZRZF is a leveraged fund, making it unsuitable for long-term buy-and-hold strategies. The fund's returns are linked to the daily movements of Canadian gold mining stocks, offering a way for investors to potentially profit from short-term declines in the sector.

BetaPro Canadian Gold Miners -2x Daily Bear ETF (HZRZF) ETF — Price, Holdings & Analysis

The BetaPro Canadian Gold Miners -2x Daily Bear ETF (HZRZF) is designed to deliver twice the inverse of the daily performance of Canadian gold mining companies. With assets under management of $0.01 billion and a high expense ratio of 2.22%, HZRZF is a leveraged fund, making it unsuitable for long-term buy-and-hold strategies. The fund's returns are linked to the daily movements of Canadian gold mining stocks, offering a way for investors to potentially profit from short-term declines in the sector.

ETF Overview

The fund seeks investment results that correspond to 2x inverse of the daily performance of its underlying index, which is designed to measure the performance of Canadian companies active in the gold mining industry and are classified as producers of gold and gold-related products. The fund is market-cap-weighted, with individual constituents capped at 25% of the index weight. As a levered fund, it is not a buy-and-hold investment and should not be expected to provide index leverage returns greater than a one-day period.

HZRZF provides a leveraged inverse exposure to Canadian gold mining companies. The ETF aims to deliver twice the inverse of the daily performance of its underlying index, which tracks Canadian firms involved in gold production. The fund uses a market-cap-weighted approach, capping individual holdings at 25% to limit concentration. Due to its leveraged nature, HZRZF is designed for short-term tactical trading rather than long-term investment. It resets daily, meaning that its performance over periods longer than one day can deviate significantly from the stated 2x inverse objective. This ETF is best suited for sophisticated investors with a high-risk tolerance who actively monitor their positions and understand the complexities of leveraged ETFs. The fund's country exposure is heavily concentrated in 'Other' at 98.3%.

Risk Metrics

HZRZF carries significant risks due to its leveraged nature and sector concentration. As a 2x inverse ETF, it is designed for daily performance and is subject to the effects of compounding, which can lead to unexpected results over longer periods. The high expense ratio of 2.22% further erodes returns, especially if held for extended periods. The fund's focus on Canadian gold mining companies exposes it to sector-specific risks, such as fluctuations in gold prices, regulatory changes, and geopolitical events affecting the mining industry. The fund's small AUM of $0.01 billion may pose liquidity risks. Past performance does not guarantee future results.

Expense Ratio

2.22%

How Is the Fund Allocated?

Country	Weight
Other	98.3%

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iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio

Questions & Answers

What is HZRZF and what does it track?

The BetaPro Canadian Gold Miners -2x Daily Bear ETF (HZRZF) is an exchange-traded fund that seeks to provide twice the inverse of the daily performance of an index composed of Canadian gold mining companies.

What is the expense ratio for HZRZF?

The expense ratio for HZRZF is 2.22%. This means that for every $10,000 invested in the fund, $222 is deducted annually to cover operating expenses.

This is considerably higher than the average expense ratio for equity ETFs, which is around 0.44%.

What are the top holdings in HZRZF?

As an inverse ETF, HZRZF does not directly hold positions in the underlying companies. Instead, it uses financial instruments to achieve its inverse exposure.

The underlying index that HZRZF tracks is designed to measure the performance of Canadian companies active in the gold mining industry. The fund is market-cap-weighted, with individual constituents capped at 25% of the index weight. The fund's country exposure is heavily concentrated in 'Other' at 98.3%.

Is HZRZF a good long-term investment?

HZRZF is generally not considered suitable for long-term investment due to its leveraged and inverse nature. The fund is designed to deliver twice the inverse of the daily performance of Canadian gold mining companies.

Due to the daily reset mechanism, its performance over periods longer than one day can deviate significantly from the stated objective.

How does HZRZF compare to similar ETFs?

HZRZF stands out from traditional gold mining ETFs due to its inverse and leveraged structure. Most gold mining ETFs provide direct exposure to gold mining companies, while HZRZF aims to deliver twice the inverse of their daily performance.

Its expense ratio of 2.22% is significantly higher than most unleveraged gold mining ETFs.

Does HZRZF pay dividends?

As a leveraged inverse ETF focused on gold miners, HZRZF is not structured to pay dividends. The fund's objective is to provide leveraged inverse exposure to the daily performance of its underlying index, rather than generating income.

Therefore, investors should not expect to receive dividend payments from HZRZF. Any potential returns would come from correctly anticipating and profiting from short-term declines in the Canadian gold mining sector.