Toronto-based Horizons Exchange Traded Funds Inc. Thursday announced the launch of Advisor Classes for two of its exchange traded funds.

The Advisor Classes are a new class of the firm’s existing ETFs. Advisors will be directly compensated with a service fee on a trailing quarterly basis. The only difference between the Advisor Classes and existing Class E units is that the Advisor Classes charge higher management fees that include the service fees paid to the advisor. The purchase and sale process for the Advisor Classes is identical to that of any other ETF listed on the Toronto Stock Exchange.

The two new Advisor Classes began trading Thursday on the TSX. Horizons Income Plus ETF (TSX:HAP.A) and Horizons Tactical Bond ETF (TSX:HAF.A) both feature service fees of 0.50% annually.

IE