Evolve Plans to Launch the Evolve Big Six Canadian Banks UltraYield Index ETF

Executive Summary

• Evolve Funds Group Inc. filed a preliminary prospectus with Canadian securities regulators to list the “Evolve Big Six Canadian Banks UltraYield Index ETF” (TSX: SIXY) on the Toronto Stock Exchange.
• SIXY will provide investors modestly levered, equal‑weighted exposure to Canada’s six major banks combined with a covered‑call strategy and aim for up to 1.33 × performance of the Solactive Equal Weight Canada Banks Index.
• Distributions are planned to be paid at least twice per month, with the potential for more frequent payouts.

Key Details

• Fund Name & Ticker: Evolve Big Six Canadian Banks UltraYield Index ETF (TSX: SIXY).
• Objective: Replicate up to a 1.33 × multiple of the Solactive Equal Weight Canada Banks Index (or successor index) after fees and expenses.
• Portfolio Composition: Equal‑weighted holdings of RBC, TD, BMO, Scotiabank, CIBC, and National Bank of Canada.
• Leverage & Derivatives: Modest leverage to be achieved via cash borrowings and/or derivatives, as permitted under securities legislation.
• Income Strategy: Covered‑call option writing program at the manager’s discretion; call writing intensity may vary with market conditions.
• Distribution Frequency: Cash distributions intended to be paid at least twice per month, with possible more frequent payouts.
• Regulatory Status: Preliminary prospectus filed in all Canadian provinces and territories; final prospectus pending approval before any sales can occur.
• Manager: Evolve Funds Group Inc., $8 billion AUM, specializes in innovative ETF solutions for Canadian investors.

Notable Quotes

“We're excited to announce the filing of a preliminary prospectus for SIXY, the first sector‑focused addition to our UltraYield lineup,” said Raj Lala, President and CEO at Evolve.
“SIXY provides investors with exposure to Canada's Big Six banks, while enhancing yield through a covered call strategy and modest leverage, with distributions paid twice per month.”