Technology ETFs for Growth Opportunity and Income Seekers

TSX-listed tech ETFs deliver exposure to this
growth sector plus high passive income

3

Technology ETFs from Harvest access the tech sector by investing in its leaders.

They deliver the growth prospects of large-cap tech stocks with high monthly income.

Harvest Tech Achievers
Growth & Income ETF

%

Current Yield (as of 2024/04/30)

Harvest Tech Achievers
Enhanced Income ETF

%

Current Yield (as of 2024/04/30)

Why Technology? Why Harvest?

The technology sector has been a market growth driver for over a decade.

Large-Cap Tech Outpaces Growth of Broader Markets Over Time

S&P 500 vs S&P 500 Information Technology Sector – 2013-2024
Source: S&P Global as at April 30, 2024

Technology has become intertwined with global economic growth. Almost every modern industry relies on technology to generate value.

We use these technologies every day, to shop, work, and play.

Today, the biggest tech companies lead the sector, generating value from technologies and needs like cybersecurity, cloud computing, and AI.

They have become strong businesses, with solid financials, histories of growth, and frequent dividend payment.

Technology ETFs from Harvest capture the world’s technology leaders in their stock portfolios.

Large-Cap Tech Companies have Raised Dividends Over Time

Total Annual Dividends Paid by S&P 500 Technology Companies
Source: Harvest ETFs, Bloomberg. As at December 31, 2023

Evolutionary and Revolutionary Themes

Capturing value from major innovations.

Cloud Infrastructure

Artificial Intelligence

Big Data

Virtual/Augmented Reality

Communications

Cyber Security

Investing in Large-Cap Tech Companies

HTA & HTAE deliver exposure to a portfolio of 20 large-cap tech companies diversified across key sub-sectors.

Crowdstrike Logo
Synopsys Logo
Crowdstrike Logo
Synopsys Logo

As at February 29, 2024

A Tech + Income Strategy

HTA and HTAE have a high income component. They pay monthly cash distributions generated through an active and flexible covered call strategy. That income delivers the following benefits:

      • High annualized yields paid as monthly distributions
      • Downside protection via options premiums
      • Volatility monetization
      • Consistent monthly cashflows

The Harvest Tech Achievers Enhanced Income ETF (HTAE) adds roughly 25% leverage to its investment in HTA, delivering higher income and an elevated risk-return profile.

HTA and HTAE offer Canadian investors leading tech stocks with high income.

Tech Dominates the S&P 500

Did you know the Information Technology Sector now accounts for more than 25% of the S&P 500 index? And that doesn’t even include companies like Amazon, which are classified as consumer discretionary.

S&P 500 Breakdown

Source: Harvest ETFs, Bloomberg. As at March 28, 2024

Key Facts

As at 2024/05/17

TICKER

HTA

TSX
CURRENCY

CAD

Hedged
NAV

$18.20

Updated Daily
MKT PRICE CLOSE

$18.18

Updated Daily
NET AUM*

$615.41M

Updated Daily

MGMT STYLE

Active

With Covered Calls
CASH DISTRIBUTION

Monthly

Frequency
LAST DISTRIBUTION

$0.1200

Cash, Per Unit
CURRENT YIELD

7.92%

Updated Daily
DISTRIBUTION

$7.7111

Total, Since Inception**

Key Facts

As at 2024/05/17

TICKER

HTAE

TSX
CURRENCY

CAD

Hedged
Underlying ETF
NAV

$16.55

Updated Daily
MKT PRICE CLOSE

$16.56

Updated Daily
NET AUM*

$62.49M

Updated Daily

MGMT STYLE

Active

With Covered Calls
Underlying ETF
CASH DISTRIBUTION

Monthly

Frequency
LAST DISTRIBUTION

$0.1300

Cash, Per Unit
CURRENT YIELD

9.42%

Updated Daily
HOLDING

HTA

Underlying ETF

Key Facts

As at 2024/05/17

TICKER

HTA

TSX
CURRENCY

CAD

Hedged
NAV

$18.20

Updated Daily
MKT PRICE CLOSE

$18.18

Updated Daily
NET AUM*

$615.41M

Updated Daily
MGMT STYLE

Active

With Covered Calls
CASH DISTRIBUTIONS

Monthly

Frequency
LAST DISTRIBUTION

$0.1200

Cash, Per Unit
CURRENT YIELD

7.92%

Updated Daily
DISTRIBUTION

$7.7111

Total, Since Inception**

Key Facts

As at 2024/05/17

TICKER

HTAE

TSX
CURRENCY

CAD

Hedged
Underlying ETF
NAV

$16.55

Updated Daily
MKT PRICE CLOSE

$16.56

Updated Daily
NET AUM*

$62.49M

Updated Daily

MGMT STYLE

Active

With Covered Calls
Underlying ETF
CASH DISTRIBUTION

Monthly

Frequency
LAST DISTRIBUTION

$0.1300

Cash, Per Unit
CURRENT YIELD

9.42%

Updated Daily
HOLDING

HTA

Underlying ETF

An Award Winning ETF

At the end of 2023 HTA was named the Best Sector Equity Fund over 5 years – for its “U” class units by the Canadian LSEG Lipper Awards.

This recognition from a global industry leader validates the thesis behind HTA as a Canadian Technology ETF: that combining industry leaders with covered call option income can result in strong performance.

Meet the Manager

James Learmonth, CFA

James Learmonth is the Senior Portfolio Manager at Harvest ETFs and the lead manager for HTA and HTAE. James brings over two decades of experience, covering a wide range of equities and covered call options trading strategies. In addition to Harvest’s technology strategies, James currently leads portfolio management of Harvest’s Global Brands and US banking strategies and plays a key role in the execution of our covered call options trading.

Harvest Technology Insights

Disclaimer

Harvest Tech Achievers Growth & Income ETF

The Fund originally commenced operations as a TSX listed closed-end fund on May 26, 2015 and converted into an exchange-traded fund on June 22, 2017. Commissions, management fees and expenses all may be associated with investing in Harvest Exchange Traded Funds (managed by Harvest Portfolios Group Inc.). Please read the relevant prospectus before investing. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and do not take into account income taxes payable by any securityholder that would have reduced returns. The funds are not guaranteed, their values change frequently and past performance may not be repeated. Distributions are paid to you in cash unless you request, pursuant to your participation in a distribution reinvestment plan, that they be reinvested into the Class A or Class U units of the Fund. If the Fund earns less than the amounts distributed, the difference is a return of capital. Tax, investment and all other decisions should be made with guidance from a qualified professional.

* Represents aggregate AUM of all classes denominated in Canadian dollars.

** Inception Date: Class A is 2015/05/26; Class B is 2020/03/12; Class U is 2017/06/22.

*** Notional non-cash distributions are paid annually (if any). There is no impact on net asset value per unit. The notional distribution is added to the cost base of the ETF and is taxable if not held in a registered account (RSP/RIF/TFSA and RESP).

† The first year of Calendar Year Performance presents the rate of return from commencement of operations to December 31 of that year.

Source: Bloomberg. Average statistics calculated based on portfolio weighted average. Dividend yield (gross) based on Bloomberg indicated 12 month yield of portfolios positions and does not represent the distribution yield paid to investors. The above information is for illustrative purposes only, is estimated and unaudited.

# For illustrative purposes only. The chart above only shows the market value per unit of Harvest Tech Achievers Growth & Income ETF ("HTA") using the daily market close on the TSX and identifies the monthly cash distributions paid by HTA on a cumulative basis. The cash distributions are not compounded or treated as reinvested, and the chart does not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder. The chart is not a performance chart and is not indicative of future market values of HTA or returns on investment in HTA, which will vary.

Commissions, management fees and expenses all may be associated with investing in Harvest Exchange Traded Funds (managed by Harvest Portfolios Group Inc.) The ETFs are not guaranteed, their values change frequently and past performance may not be repeated. Please read the relevant prospectus before investing. Tax, investment and all other decisions should be made with guidance from a qualified professional.

Harvest Tech Achievers Enhanced Income ETF

Commissions, management fees and expenses all may be associated with investing in Harvest Exchange Traded Funds (managed by Harvest Portfolios Group Inc.) The ETFs are not guaranteed, their values change frequently and past performance may not be repeated. Please read the relevant prospectus before investing. Tax, investment and all other decisions should be made with guidance from a qualified professional.

* Represents aggregate AUM of all classes denominated in Canadian dollars.

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