ALPS, the exchange traded funds distributor, said three ETFs distributed under the VelocityShares brand will be closed later this month.
The VelocityShares Emerging Asia DR ETF (NasdaqGM: ASDR), VelocityShares Emerging Market DR ETF (NasdaqGM: EMDR) and the VelocityShares Russia Select DR ETF (NasdaqGM: RUDR) will close to new investors on Nov. 18 and liquidate on Nov. 21, according to a statement issued by ALPS.
The three ETFs debuted in April 2013.
“The decision to close the Funds was made by the ALPS ETF Trust’s Board of Trustees after consultation with ALPS Advisors, Inc., the investment advisor to the Funds. On consideration of current market conditions, as well as prospects for growth in the Funds’ assets, the Board determined that it was in the best interests of the Funds and their shareholders to liquidate the Funds’ shares, which are listed on the NASDAQ,” according to the statement.
Last month, Janus Capital (NYSE: JNS), the mutual fund manager that recently hired bond legend Bill Gross, announced it is acquiring VelocityShares for $30 million. [Janus Gets in on ETFs With VelocityShares Buy]
Founded in 2009, VelocityShares is managed by Nick Cherney, Richard Hoge and Steve Quinn.
Well-known VelocityShares ETNs include the VelocityShares 3x Inverse Silver ETN (NYSEArca: DSLV), VelocityShares Daily 3x Inverse Natural Gas ETN (NYSEArca: DGAZ) and the VelocityShares 3x Long Natural Gas ETN (NYSEArca: UGAZ).
The VelocityShares closures bring the number of exchange traded products closed this year to about 55.
ETF Trends editorial team contributed to this post.
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