Name: Horizons BetaPro Crude Oil Bull ETF
Symbol: TSE:HOU

Oil hit yet another peak today, reaching $120 US a barrel. Oil is up 25% since the beginning of the year, and it’s only April. Analysts expect prices to rise to $130 in the very near future. Unfortunately for individuals like you and me, there is little we can do to combat skyrocketing fuel costs. We still need to put gas in our cars and buy fruits shipped in from Mexico. So now here’s an idea – wouldn’t it be nice to be able to profit from rising oil prices?

No, I’m not talking about opening a gas station. I introduce to you HOU: a crude oil bull ETF (exchange-traded fund). HOU is managed by Horizons BetaPro and tracks crude oil futures contracts on the NYMEX. Since it’s highly unlikely for an individual investor to buy or write futures contracts, this oil ETF is the best way for you to control the commodity and benefit from any gains.

HOU trades on the TSE and is therefore denominated in Canadian dollars (any US gains or losses are hedged back into Canadian dollars). Since it’s inception on Jan. 16, 2008, HOU has risen a staggering 68.5%! (See chart below) With rising demand in emerging economies like India and China and further political unrest in OPEC producing countries like Nigeria, crude oil prices are expected to continue climbing in the foreseeable future.

HOU: Year To Date Chart
http://ca.finance.yahoo.com

Sources:
www.theglobeandmail.com
www.hbpetfs.com