ProShares to Split ETFs
September 20th 2012 at 9:15am by John Spence
Leveraged and inverse exchange traded fund provider ProShares on Thursday announced share splits on two of its ETFs and reverse share splits on nine of its ETFs.
The moves will not change the value of a shareholder’s investment.
The firm said two ETFs will split shares 2-for-1: ProShares Ultra Nasdaq Biotechnology (NasdaqGM: BIB) and ProShares Short VIX Short-Term Futures ETF (NYSEArca: SVXY).
“The splits will decrease the price per share of each fund with a proportionate increase in the number of shares outstanding. For example, for the 2-for-1 splits, every pre-split share held by a shareholder will result in the receipt of two post-split shares, which will be priced at half of the net asset value … of a pre-split share,” ProShares said in a press release.
The splits will apply to shareholders of record as of the close of the markets on Oct. 2.
Also, ProShares said nine ETFs will reverse split shares 1-for-4:
The reverse splits will apply to shareholders of record as of the close of the markets on Oct. 4, ProShares said.
The reverse splits will increase the price per share of each fund with a proportionate decrease in the number of shares outstanding.
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