(HFIN) Hamilton Enhanced Canadian - Ratings and Ratios

The Hamilton Enhanced Canadian Financials ETF (HFIN) is designed to provide amplified exposure to the Canadian financial services sector by tracking 1.25 times the Solactive Canadian Financials Equal-Weight Index TR. This index comprises an equal weighting of the top 12 largest Canadian financial services companies, thereby diversifying the investment within the sector. To further enhance growth potential and yield, the ETF utilizes a modest 25% cash leverage.

From a performance perspective, HFIN has shown a positive trend, as indicated by its moving averages (SMA20: $21.35, SMA50: $20.78, SMA200: $19.29). The ETFs last price is $21.75, near its 52-week high of $21.80, suggesting strong recent performance. The Average True Range (ATR) of 0.17, or 0.76%, indicates relatively moderate volatility.

Key Performance Indicators (KPIs) to monitor for HFIN include its tracking error relative to the Solactive Canadian Financials Equal-Weight Index TR, the impact of leverage on its returns, and the overall health of the Canadian financial services sector. The ETFs Assets Under Management (AUM) stand at $239.34M CAD, indicating a reasonable scale. Investors should also consider the expense ratio and how it affects net returns. Given its focus and leverage, HFIN may be more suited to investors with a higher risk tolerance seeking exposure to the Canadian financial sector.

To evaluate HFINs potential, its essential to analyze the underlying indexs constituent stocks, their financial health, and the macroeconomic factors influencing the Canadian financial services sector. The equal-weighting approach can help mitigate the risk associated with any single stock, but the use of leverage amplifies both potential gains and losses. Therefore, understanding the sectors outlook and the ETFs management strategy is crucial for making informed investment decisions.