RevneueShares announced a stock split for three of their exchange traded funds (ETFs) that will take place on Nov. 3. The ETF provider is aiming at a per-share drop in price in an effort to up the daily trading volume.
IndexUniverse reports that the move will lower the share price on each ETF by half, and double the number of outstanding shares. Share splits are primarily a function of accounting. They’re generally seen as a sign of success, as most stocks and ETFs like to trade under $100 to keep them attractive and affordable.
After the close of trading on Nov. 5, each ETF shareholder will receive the additional shares on the new split-adjusted basis, for trading on Nov. 6, but additional shares will not hit shareholder accounts until Nov. 11.
The provider takes a revenue-based approach to its equities weightings, and they have a total of $39 million in assets since launching last February.
The ETFs are:
- RevenueShares Large Cap Fund (RWL)
- RevenueShares Mid Cap Fund (RWK)
- RevenueShares Small Cap Fund (RWJ)
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