Bet On A Recovery In Canadian Stocks With This ETF

Global equity markets came under tremendous selling pressure at the start of this year due to a range of issues. An economic slowdown in China, uncertainty over the future of rate hikes from the Federal Reserve and negative interest rates announced by several developed world central banks led to negative sentiment. However, risk assets, including equities, have bounced back sharply over the past one month.

The Canadian benchmark index, S&P/TSX Composite Index, also struggled at the begening of the year. However, the index has bounced back sharply since mid-February and in fact, it is now showing gains for the year. The benchmark index is up more than 2.6% for the year now.

With the Canadian benchmark index gaining momentum, it is a good time to consider Horizons BetaPro S&P/TSX 60 Bull Plus (ETF) (TSX: HXU). The ETF seeks daily investment results that endeavor to correspond to two times the daily performance of the S&P/TSX 60 Index. This means that when the Canadian benchmark index is gaining momentum, HXU will generate two times its returns. Indeed, over the last one month, as the benchmark index has rebounded, HXU has returned almost 11%.

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