HORIZONS BETAPRO MSCI EMERGING MARKETS (HJU Bull Plus ETF, HJD Bear Plus ETF) As of April 30, 2013 ETF Snapshot Launch Date: July 9, 2008 CUSIP: 44045Q206 / 44045M114 Exchange: TSX Ticker: HJU,HJD Assets Under Management (4/30/2013): $5,123,864 ‡ Management Fee: 1.15% Benchmark: MSCI Emerging Markets Index Investment Manager: Horizons Investment Management Inc. Sub-Advisor: ProShares Advisors LLC Bloomberg Index Ticker CMDYEMER RSP and TFSA Eligible Yes ‡ As of April 30, 2013 Horizons BetaPro Exchange Traded Funds (HBP ETFs), a unique series of alternative Exchange Traded Funds (ETFs), are designed to help investors achieve their investment goals in all market conditions. HBP ETFs go beyond traditional index funds. Horizons BetaPro Bull Plus ETFs seek twice the daily performance of a specified underlying index or benchmark, before fees, expenses, distributions, brokerage commissions and other transaction costs. Horizons BetaPro Bear Plus ETFs seek twice the inverse daily returns of a specified underlying index or benchmark, before fees, expenses, distributions, brokerage commissions and other transaction costs. Combined, the HBP ETFs allow investors to profit or protect in all market environments. Investment Objective The Horizons BetaPro MSCI Emerging Markets Bull Plus ETF (HBP MSCI Emerging Markets Bull+ ETF) and the Horizons BetaPro MSCI Emerging Markets Bear Plus ETF (HBP MSCI Emerging Markets Bear+ ETF) seek daily investment results equal to 200% the daily performance, or inverse performance, of the MSCI ® Emerging Markets Index, before fees and expenses. Created by Morgan Stanley Capital International (MSCI), the MSCI Emerging Markets ® Index is a float-adjusted market capitalization index that is designed to measure equity market performance in global emerging markets. As of May 2005, it consisted of indices in 26 emerging economies: Argentina, Brazil, Chile, China, Colombia, Czech Republic, Egypt, Hungary, India, Indonesia, Israel, Jordan, Korea, Malaysia, Mexico, Morocco, Pakistan, Peru, Philippines, Poland, Russia, South Africa, Taiwan, Thailand, Turkey and Venezuela. Investment Strategy The HBP MSCI Emerging Markets Bull+ ETF and the HBP MSCI Emerging Markets Bear+ ETF take positions in financial instruments and/or equity securities to seek daily investment results, before fees and expenses, that correspond to twice the daily performance or inverse performance of the MSCI Emerging Markets Index. HBP ETFs are rebalanced daily, so risk is limited to the initial invested capital. As a result, 200%/-200% benchmark tracking over a longer period is dependent upon the extent of compounding and the underlying benchmark volatility. Performance 1 Mo 3 Mo 6 Mo YTD 1 Yr 3 Yr 5 Yr SIR * HJU 1.83 % -5.22 % 10.04 % -6.06 % 4.81 % -5.53 % -- -19.49 % HJD -3.12 % 2.72 % -13.41 % 2.98 % -17.81 % -21.09 % -- -41.17 % Benchmark: 1.19 % -2.10 % 5.98 % -2.39 % 4.48 % 2.76 % -- -- * Performance since inception on July 9, 2008 These ETFs do not seek to meet their investment objectives over any period other than daily Growth of $10,000 Bull Plus ETF (HJU $3,524 at 4/30/2013) Bear Plus ETF (HJD at 4/30/2013) $0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000 Jan09 Jan10 Jan11 Jan12 Jan13 -150K -100K -50K 0K 50K 100K