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HXS-U

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Analysis and statistics

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About

HXS-U.TO represents the Horizons US Large Cap Equity ETF (USD Hedged). This is an exchange-traded fund (ETF) listed on the Toronto Stock Exchange (TSX) that seeks to replicate, to the extent possible, the performance of the Solactive US Large Cap CAD Hedged Index, net of expenses. The fund invests primarily in U.S. large-capitalization equity securities while hedging the U.S. dollar exposure back to Canadian dollars. This hedging strategy aims to protect Canadian investors from fluctuations in the exchange rate between the U.S. and Canadian currencies. The ticker symbol HXS-U.TO specifically denotes the USD version of this CAD hedged ETF.
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Factors

HXS-U.TO tracks the S&P 500 index, denominated in USD, but trades on the TSX in CAD. Underlying Index Performance: The S&P 500's movements directly impact HXS-U.TO. Positive index performance typically increases the ETF's price, and vice-versa.

Currency Exchange Rates: The USD/CAD exchange rate is critical. A stronger USD versus CAD will increase the CAD value of the USD-denominated S&P 500 holdings, raising the ETF's price. A weaker USD will have the opposite effect.

Supply and Demand: General market sentiment towards US equities and ETFs can affect buying and selling pressure, impacting the price. High demand increases the price, while high selling pressure reduces it.

Management Fees and Expenses: While HXS-U.TO aims for cost efficiency, management fees and operating expenses are factored into its NAV and, consequently, its market price, though the impact is relatively small.

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