Van Eck Global’s Market Vectors unit, the exchange traded funds issuer know for its lineup of international, commodity and municipal bond funds, is bolstering its income offerings with the acquisition of two master limited partnership ETFs.
In a statement out Monday, Van Eck Global said it is acquiring the Yorkville High Income MLP ETF (NYSEArca: YMLP) and the Yorkville High Income Infrastructure MLP ETF (NYSEArca: YMLI). Van Eck Global expects the reorganization process to begin late in the third quarter of 2015 and the transaction to be finalized in the fourth quarter of this year, according to the statement. Terms of the deal were not disclosed.
Both ETFs track Solactive indexes. YMLI track the Solactive High Income Infrastructure MLP Index. That ETF debuted in February 2013 and now has nearly $53 million in assets under management. YMLI’s 30-day SEC yield is a whopping 6%, according to issuer data.
YMLP follows the Solactive High Income MLP Index. That ETF is over three years old and has nearly $193 million in assets under management. The 30-day SEC on YMLP is 12.4%, according to Yorkville data.
“MLPs are an important segment of the energy market. The attractive yield characteristics of MLPs make these ETFs a natural extension of our focus on income-oriented investing and we’re excited to make this asset class available to investors,” said Van Eck CEO Jan Van Eck in the statement.
Market Vectors has previously acquired other issues to bolster its lineup. In 2011, the firm acquired the HOLDRs ETFs, giving it access to several well-known sector and industry funds, including the Market Vectors Biotech ETF (NYSEArca: BBH), Market Vectors Oil Service ETF (NYSEArca: OIH) and the Market Vectors Retail ETF (NYSEArca: RTH).
Yorkville High Income Infrastructure MLP ETF
