First Canadian-Listed Carbon Credit ETF To Begin Trading Today

Canada has finally received its first ETF related to the carbon credit space. Horizons ETF Managers this morning announced the launch of the Horizons Carbon Credits ETF (TSX: CARB), which will trade on the Toronto Stock Exchange.

The exchange traded fund aims to provide investors with exposure to carbon credits via the fund owning carbon credit futures. The fund operates by following the Horizons Carbon Credits Rolling Futures Index, which is focused on investments in cap and trade carbon allowances.

More specifically, the index follows the daily returns of European Union Allowance emission futures contracts. Additional carbon credit futures contracts will be followed once they meet liquidity requirements on developed market exchanges. The European Union Allowance credits reportedly represented 90% of the total global value of carbon dioxide markets in 2021, with the global value of the entire space reported at 683 billion Euros last year.

While there are no previous carbon credit related ETF’s trading in Canada currently, there are four such ETF’s trading on US exchanges, which include KraneShares Global Carbon Strategy ETF (NYSE: KRBN), iPath Series B Carbon ETN (NYSE: GRN), KraneShares European Carbon Allowance Strategy ETF (NYSE: KEUA), and the KraneShares California Carbon Allowance Strategy ETF (NYSE: KCCA). They currently trade with AUM’s ranging from US$1.86 billion to US$34.5 million.

The Horizons Carbon Credits ETF is currently slated to begin trading this morning on the TSX. Details on the size of the ETF at launch were not provided.


The author has no securities or affiliations related to any organization mentioned. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

2026 Could Be Gold’s Biggest Year Yet!? | Ryan King – Equinox Gold

Gold Is Screaming Higher While Currencies Burn | Simon Ridgway – Rackla Metals

We Have the Highest-Grade Antimony Deposit in North America!? | Jim Atkinson -Antimony Resources

Recommended

Canadian Copper Secures $8 Million Lead Order From Ocean Partners As Part Of Larger Funding Round

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Related News

Horizons ETFs HOU, HOD To Resume Subscriptions May 5, Manager Discourages Against Purchasing Shares

Horizons ETFs this morning announced that its BetaPro Crude Oil Daily Bull ETF (TSX: HOU)...

Monday, May 4, 2020, 10:06:51 AM

Horizons ETFs Warns Investors Of Termination Rights On HOD, HOU

Horizons ETFs issued what essentially amounts to a warning this morning related to its BetaPro...

Monday, April 27, 2020, 08:26:22 AM

Horizon’s To Consolidate Shares Of HOU ETF Due To Volatility

Horizons ETF’s last night announced that it will be consolidating its BetaPro Crude Oil 2x...

Thursday, April 23, 2020, 09:37:54 AM

Horizons ETFs HOU, HOD To Rollover To September Crude Oil Contracts

It appears that futures market exchange operators are getting frustrated with that of current crude...

Tuesday, April 28, 2020, 09:19:55 AM

Horizons ETFs To Merge HMUS, HMJR Funds

The marijuana-focused ETF marketplace is about to get slightly smaller again. Today, unitholders of the...

Wednesday, February 19, 2020, 06:11:00 PM