What are High Income Shares?
Harvest High Income Shares (As at 2024/08/30)
High Income Shares seek to pay high and tax-efficient monthly income from a covered call strategy while participating in the long-term growth opportunity of the stock.
Harvest Enhanced High Income Shares (As at 2024/08/30)
Enhanced High Income Shares seek to pay higher monthly income from a covered call strategy and the application of modest leverage.
* Initial distribution as announced on August 21, 2024 to be paid on October 9, 2024.
Why Harvest High Income Shares?
Harvest High Income Shares consistently deliver high income every month. Our team has over six decades of combined investment management experience. High Income Shares combine top US stocks with trusted expertise to generate high, tax efficient income.
Own Top US Stocks + High Monthly Income
HHIS generate high income every month by employing an active covered call writing strategy on top of carefully selected US stocks.
High, Tax Efficient Income Available in USD/CAD
HHIS offer investors currency options with both CAD and USD units available.
Available in Enhanced Series
Harvest also offers Enhanced High Income Shares, which offer modest leverage (at around 25%) for higher income and growth potential.
Michael Kovacs
President & CEO
Q&A with Michael Kovacs on High Income Shares
Why did you choose to launch Harvest High Income Shares?
We launched Harvest High Income Shares to provide a vehicle that aims to generate consistent high monthly cash distributions by investing in select stocks that are widely held and have been top performers on the US market – Amazon, Microsoft, NVIDIA, and Eli Lilly. Harvest High Income Shares enable investors to access the long-term growth potential of these equities while benefiting from our proven covered call writing strategy to deliver consistent and high income every month.
What type of investor is best suited to own HHIS?
There are two types of investors suited to this strategy, i) Those who want to own positions in an individual company while being able to collect a high level of income due to the covered call writing and, ii) those who may already own one of the selected stocks and like the idea of using the covered call strategy to reduce risk while adding income.
How will Harvest High Income Shares deliver value to Unitholders?
Harvest High Income Shares will deliver value to shareholders by overlaying an active covered call writing strategy on these four equities. Our portfolio management team will write covered calls on up to 50% of the stock in order to generate high monthly cash distributions.
We also offer Enhanced High Income Shares with modest leverage (Around 25%) for even higher income and return potential.
What are the benefits of owning Harvest High Income Shares versus investing directly in US stocks?
Harvest High Income Shares are Canadian traded securities available in both Canadian or US dollar units. Investors in HHIS can participate in long-term growing businesses through ownership of the select stock, while Harvest’s covered call writing strategy is able to provide an attractive, tax-efficient monthly yield.
Where Can I Go to Invest?
Contact a Financial Advisor
Consult with your financial advisor to explore how Harvest funds may fit your investing objectives.
Buy Online
Invest in Harvest funds online through any leading brokerage platform with access to Canadian stock exchanges.
Ready to Invest?
Buying and selling our ETFs is simple: Investors can trade through their self-directed account, or contact their discount broker or financial advisor.
Below are links to some of the self directed brokerage firms available in Canada.
Use and access of third-party websites is at your own risk. Harvest ETFs is not responsible for financial advice, content, functionality or any other aspect of third-party sites. Harvest ETFs is not affiliated with any of these on-line financial service firms. Harvest ETFs will not be compensated by these firms when you place a trade or open an account. The listing of the on-line financial services firms above is not a recommendation or endorsement. By accessing the above websites, you are leaving the Harvest ETFs website and going to a 3rd party site that is independent of Harvest ETFs. Canadian investors may only purchase or trade Harvest ETFs through registered investment dealers, including but not limited to, the online brokerage firms listed above.
Frequently Asked Questions
Why are Harvest High Income Shares ETFs unique products?
What type of investor is best suited to own Harvest High Income Shares ETFs?
A Harvest High Income Shares ETFs are designed for investors in two major groups:
- Investors who want to own positions in an individual Top US company while being able to collect a high level of income due to covered call writing
- Investors who may already own one of the selected stocks and like the idea of using the covered call strategy to reduce risk while adding income
What are the benefits of owning Harvest High Income Shares ETFs versus investing directly in US stocks?
Harvest High Income Shares (HHIS) ETFs are Canadian issued and traded securities with units available in both Canadian and US dollar units. Investors in any of the HHIS ETFs can participate in a Top US company’s long-term growth, and benefit from Harvest’s covered call writing strategy that’s used to provide an attractive, tax-efficient monthly income.
HHIS offers a more affordable way to gain sizable exposure to these expensive US stocks. There are also Harvest Enhanced High Income Shares ETFs with modest leverage.
What are the Harvest High Income Shares ETFs’ management fees?
The management fee on Harvest High Income Shares ETFs and Harvest Enhanced High Income Shares ETFs is 0.40%.
How often will I receive income from Harvest High Income Shares ETFs?
The distribution frequency is set to monthly. Our portfolio management team will write covered calls on up to 50% of the stock in to generate high monthly cash distributions. We also offer Enhanced High Income Shares with modest leverage (Around 25%) for even higher income and return potential.
Disclaimer
Commissions, management fees and expenses all may be associated with investing in Harvest High Income Shares ETFs managed by Harvest Portfolios Group Inc. (the “Funds” or a “Fund”). Please read the relevant prospectus before investing. The Funds’ returns are not guaranteed, their values change frequently, and past performance may not be repeated. Tax investment and all other decisions should be made with guidance from a qualified professional.
Distributions are paid to you in cash unless you request, pursuant to your participation in a distribution reinvestment plan, that they be reinvested into Class A and Class U units of the Fund. If a Fund earns less than the amounts distributed, the difference is a return of capital.
Certain statements included in this communication constitute forward-looking statements (“FLS”, including, but not limited to, those identified by the expressions "expect", "intend", "will" and similar expressions to the extent they relate to the Funds. The FLS are not historical facts but reflect the Harvest’s and the portfolio manager of the Funds current expectations regarding future results or events. These FLS are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Although Harvest and the portfolio manager of the Funds believe that the assumptions inherent in the FLS are reasonable, FLS are not guarantees of future performance and, accordingly, readers are cautioned not to place undue reliance on such statements due to the inherent uncertainty therein. The Funds, Harvest and the portfolio manager of the Funds undertake no obligation to update publicly or otherwise revise any FLS or information whether as a result of new information, future events or other such factors which affect this information, except as required by law.