Hamilton Capital Global Bank ETF (HBG/HBG.U)

  • Actively-managed portfolio of global banks in ~15 countries
  • 20.1% outperformance vs. Global Banks Index (CAD) with lower drawdowns since inception
  • Annualized return of ~14% (since inception)
  • Consensus portfolio-weighted EPS growth of 17.9% (2019E)
  • Dividend yield of 1.32% (quarterly distributions)
  • Managed by portfolio management team with over 60 years’ experience
  • Scroll down for HBG Manager Commentary
Targeted Attributes
  • Similar portfolio beta to the North American banks
  • Favourable valuation and positive growth trends in consensus EPS growth and dividends
  • Lower concentrations/correlations
  • Diversified by position and geography
Performance 1 Mo 3 Mo 6 Mo YTD 1 Yr SI1
Hamilton Capital Global Bank ETF (3.2%) (3.0%) (2.2%) (0.8%) 0.9% 13.9%

1. Performance is annualized since inception on January 22, 2016, as at September 30, 2018.
2. KBW Global Banks Index (GBKXN) translated to CAD.

HBG Manager Commentary

HBG: Notes from Chicago – What the Banks Said About the Canadian Banks/M&A (Part 1) (Oct 10, 2018)

HBG: Notes from Chicago – Three Takeaways from the Windy City Banks (Part 2) (Oct 10, 2018)

HBG/HFY: Outperforming Almost Everything (in a Sea of Red) (Oct 5, 2018)

HBG: Up ~4% YTD Despite Sea of Red Globally; U.S. Bank Portfolio Outgrows U.S. Bank Peers for the 9th Consecutive Quarter (July 31, 2018)

Notes from Texas: Lone Star Shines Brighter (June 21, 2018)

HBG: U.S. Banks: Will Mid-Cap Bank M&A Accelerate Post-Dodd-Frank Rollback (3 Deals in 3 Weeks)? (May 28, 2018)

Notes from Spain: Improving Backdrop for the Banking Sector (May 28, 2018)

HBG‘s U.S. Bank Portfolio Posts 39% EPS Growth Y/Y; Outgrowing U.S. Bank Peers for the 8th Consecutive Quarter (May 15, 2018)

HBG: U.S./Canadian Banks: Using CWB to Highlight Benefits of U.S. Mid-Cap Exposure (Mar 6, 2018)

+ More commentary
HBG Historical NAV

The chart of Historical NAV does not represent performance of HBG. The chart shows the daily movements of the NAV and has been adjusted to reflect historical distributions.

Geographic Exposures3

Top 10 Holdings3
# Ticker Name Country Weight
1 SIVB SVB Financial Group (CA) United States 3.2%
2 HDB HDFC Bank Ltd India 3.0%
3 CABK CaixaBank Spain 3.0%
4 FNB F.N.B. Corporation (PA) United States 3.0%
5 IBKC Iberiabank Corp (LA) United States 2.9%
6 STL Sterling Bancorp (NY) United States 2.9%
7 WAL Western Alliance Bancorp (AZ) United States 2.8%
8 CSGN Credit Suisse Group Switzerland 2.8%
9 BMSX Banco Santander Mexico Mexico 2.6%
10 DNB DNB ASA Norway 2.5%

3. As at September 30, 2018, as a percent of net asset value.


The investment objective of Hamilton Capital Global Bank ETF (“HBG”) is to seek long-term total returns consisting of long-term capital appreciation and regular dividend income from an actively managed portfolio comprised primarily of equity securities of banks and other deposit-taking institutions located anywhere around the globe.

HBG will seek to achieve its investment objective by investing in a portfolio of equity securities across the global banking sector. By investing worldwide, the Portfolio Adviser aims to take advantage of the most attractive opportunities in global banking, while reducing country-specific and concentration risks. The ETF’s portfolio is anticipated to include approximately 40-60 banks and other deposit-taking institutions, from over 10 countries, with a geographic split of roughly 50% U.S./Canada, 25% Europe and 25% other countries. However, the number of positions and percentages by region may vary based on the Portfolio Adviser’s assessment of the most attractive risk/reward opportunities. For certain markets, investments will be made predominantly in American Deposit Receipts (“ADRs”). HBG’s investments may be selected from any country, subsector or capitalization level of the global banking sector.  The Portfolio Adviser may, at its discretion, hedge some or all of the ETF’s non-Canadian dollar currency exposure.

The Portfolio Adviser’s investment strategies will consider both top-down themes as well as bottom-up analysis. Top-down themes may include, but are not limited to, favourable gross domestic product (“GDP”) growth, inflation and interest rate trends, fiscal and monetary policies, and regulatory trends. The Portfolio Adviser’s bottom-up investment process is primarily based on fundamental research, as well as quantitative and technical factors. Investment decisions are ultimately based on an understanding of a company, its business, and its expected outlook, including earnings growth, asset quality, capital and reserves, as well as business mix and dividend policy. The Portfolio Adviser will monitor and review HBG’s investments on an ongoing basis to try to ensure the best relative values are identified.

Ex-Dividend Date Record Date Payment Date Payment Amount Type Distribution Frequency
2018-09-27 2018-09-28 2018-10-11 $0.06500 Cash Quarterly
2018-06-28 2018-06-29 2018-07-12 $0.08000 Cash Quarterly
2018-03-28 2018-03-29 2018-04-11 $0.10000 Cash Quarterly
2017-12-28 2017-12-29 2018-01-11 $0.14000 Cash Quarterly
2017-12-28 2017-12-29 n/a $0.46824 Non-cash Annually
2017-09-28 2017-09-29 2017-10-12 $0.09000 Cash Quarterly
2017-06-28 2017-06-30 2017-07-13 $0.12500 Cash Quarterly
2017-03-29 2017-03-31 2017-04-12 $0.10500 Cash Quarterly
2016-12-28 2016-12-30 n/a $0.14183 Non-cash Annually
2016-12-28 2016-12-30 2017-01-12 $0.11500 Cash Quarterly
2016-09-28 2016-09-30 2016-10-13 $0.11500 Cash Quarterly
2016-06-28 2016-06-30 2016-07-13 $0.11000 Cash Quarterly
2016-03-29 2016-03-31 2016-04-12 $0.03000 Cash Quarterly

The estimated annualized yield is 1.18%*. Please review the documents below for further details.

Pre-authorized cash contribution (PACC) Enrollment Form for HBG

HCP Distribution Reinvestment Plan

* Calculated using the September 17, 2018 net asset value per unit.


2018-09-21   Hamilton Capital Announces September 2018 Distributions (CNW)

2018-06-22   Hamilton Capital Announces Launch of Canadian Dollar Units of Hamilton Capital U.S. Mid-Cap Financials ETF (USD) and June 2018 Distributions (CNW)

2018-03-20   Hamilton Capital Announces March 2018 Distributions (CNW)

2017-12-29   Hamilton Capital Confirms December 2017 Annual Capital Gains Distributions (CNW)

2017-12-19   Hamilton Capital Announces December 2017 Distributions (CNW)

2017-09-20   Hamilton Capital Announces September 2017 Distributions (CNW)

2017-09-01   Hamilton Capital Launches Hamilton Capital U.S. Mid-Cap Financials ETF (USD) (HFMU.U) (CNW)

2017-06-21   Hamilton Capital Announces HBG, HFY June 2017 Distributions (CNW)

2017-03-22   Hamilton Capital Announces HBG, HFY March 2017 Distributions (CNW)

2016-12-30   Hamilton Capital Confirms 2016 Annual Capital Gains Distribution for HBG (CNW)

2016-12-19   Hamilton Capital Announces HBG December 2016 Distribution (CNW)

2016-12-13   Howard J. Atkinson Joins Board of Hamilton Capital (CNW)

2016-09-21   Hamilton Capital Announces HBG September 2016 Distribution (CNW)

2016-06-21   Hamilton Capital Announces HBG June 2016 Distribution (CNW)

2016-03-21   Hamilton Capital Announces HBG March 2016 Distribution (CNW)

2016-02-01   Hamilton Capital Global Bank ETF (HBG) – Additional Portfolio Disclosure (CNW)

2016-01-22   Hamilton Capital Launches Canada’s First Global Bank ETF (CNW)

2016-01-14   Hamilton Capital products among a crowded field of ETF hopefuls (Globe and Mail)


To view the filings of the Hamilton Capital Global Bank ETF (HBG) on SEDAR, please click here.

ETF Facts

2018-08-09   HBG/HBG.U Summary (English)  |  (French)


2018-08-09   Prospectus (English)  |  (French)

Financial Statements

2018-06-30   Interim Financial Statements (English)  |  (French)

2017-12-31   Annual Financial Statements (English)  |  (French)

2017-06-30   Interim Financial Statements (English)  |  (French)

Quarterly Summary of Investment Portfolio

2018-03-31   2018Q1 Summary of Investment Portfolio

Independent Review Committee

2018-03-01   2017 Annual Report to Securityholders

Disclaimer: A prospectus containing important information relating to these securities has been filed with the securities commissions or similar authorities in certain jurisdictions of Canada. Copies of the prospectus may be obtained from etf@hamilton-capital.com, www.hamilton-capital.com or on the SEDAR website (www.sedar.com).

Commissions, trailing commissions, management fees and expenses all may be associated with an investment in exchange traded products managed by Hamilton Capital Partners Inc. (the “Hamilton Products”). The Hamilton Products are not guaranteed, their values change frequently and past performance may not be repeated. The prospectus contains important detailed information about the Hamilton Products. Please read the prospectus before investing.

Are you an accredited investor?

Products offered by Hamilton Capital Partners Inc. have a minimum subscription amount of $150,000, unless you meet the definition of an "accredited investor" under National Instrument 45-106 Prospectus and Registration Exemptions.

If you meet the definition of an "accredited investor", you may invest a minimum of $25,000. Please consult the offering documents to determine your qualification status. Investment Advisors should consult their company's internal policies.

The Subscriber must be (and will be at the time the Subscription is executed) an accredited investor under National Instrument 45-106 Prospectus and Registration Exemptions ("NI 45-106")

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