TORONTO, Sept. 13,
2024 /CNW/ - TD Asset Management Inc. ("TDAM") today
announced notional non-cash reinvested distribution ("Notional
Distribution") for TD Active U.S. Enhanced Dividend CAD Hedged ETF
("TUEX"). A Notional Distribution occurs when a distribution from a
TD ETF is made in the form of units, and then immediately
consolidated with the units held prior to the distribution, so that
the total number of units held after the distribution is identical
to the number of units held prior to the distribution.
The Notional Distribution has been made to all TUEX unitholders
of record as indicated in the table below:
Fund
Name
|
Ticker
Symbol
|
Record
Date
|
Non-Cash
Distribution
Per Unit
|
TD Active U.S. Enhanced
Dividend CAD Hedged ETF
|
TUEX
|
May 31, 2024
|
$4.30513
|
Up until May 31, 2024, the TD
Active U.S. Enhanced Dividend CAD Hedged ETF did not qualify as a
mutual fund trust under the Income Tax Act (Canada) (the "Tax Act"). TUEX was considered a
unit trust, as such term is defined under the Tax Act. For
purposes of the "mark-to-market" rules contained in the Tax Act
because more than 50% of the market value of TUEX was held by one
or more financial institutions, TUEX was considered a financial
institution for the purposes of the Tax Act. As of May 31, 2024, TUEX qualifies as a mutual fund
trust under the Tax Act.
The Tax Act contains special rules for determining the income of
financial institutions, including, but not limited to, the
realization of all unrealized gains or losses on mark-to-market
property held by the financial institution on income account at the
end of any given tax year. In acknowledging this change of status,
TUEX was required to recognize a deemed year-end for tax purposes
and distribute any net income and net realized capital gains earned
or realized up until the deemed year end (reflected by the record
date indicated above).
In early 2025, the tax characteristics of all 2024 distributions
for TUEX will be reported to brokers via the Canadian Depository
for Securities ("CDS").
For more information regarding TD ETFs, visit
TDAssetManagement.com.
About TD Asset Management Inc.
TD Asset Management (TDAM), a member of TD Bank Group, is a
North American investment management firm. TDAM offers investment
solutions to corporations, pension funds, endowments, foundations
and individual investors. Additionally, TDAM manages assets on
behalf of almost 2 million retail investors and offers a broadly
diversified suite of investment solutions including mutual funds,
professionally managed portfolios and corporate class funds. Asset
management businesses at TD manage $461
billion in assets. Aggregate statistics are as of
June 30, 2024 for TDAM and Epoch
Investment Partners, Inc. TDAM operates in Canada and Epoch Investment Partners, Inc.
operates in the United States.
Both entities are affiliates and are wholly-owned subsidiaries of
The Toronto-Dominion Bank.
Commissions, management fees and expenses all may be associated
with investments in exchange- traded funds (ETFs). Please read the
prospectus and ETF Facts before investing. ETFs are not guaranteed,
their values change frequently and past performance may not be
repeated. ETF units are bought and sold at market price on a stock
exchange and brokerage commissions will reduce returns.
TD ETFs are managed by TD Asset Management Inc., a wholly-owned
subsidiary of The Toronto-Dominion Bank.
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Toronto-Dominion Bank or its subsidiaries.
SOURCE TD Asset Management Inc.