VanEck, which had $47.8 billion in assets under management as January 31, 2019, said it is closing three of its exchange traded funds.
The three ETFs being closed by VanEck are the VanEck Vectors Generic Drugs ETF (NasdaqGM: GNRX), VanEck Vectors Poland ETF (NYSEArca: PLND) and the VanEck Vectors Pre-Refunded Municipal Index ETF (CBOE: PRB).
“Shareholders of the Funds may sell their shares of each Fund on its relevant listing exchange until market close on April 5, 2019 (transaction fees from their broker-dealer may be incurred),” according to a statement issued by VanEck. “The Funds’ shares will no longer trade on the relevant listing exchanges after market close on April 5, 2019, and the shares will subsequently be de-listed. Shareholders who continue to hold shares of any of the Funds on the Funds’ liquidation date, which is expected to be on or about April 12, 2019, will receive a liquidating distribution of cash in the cash portion of their brokerage accounts equal to the amount of the net asset value of their shares.”
PRB is the largest of those three ETFs with $14.7 million in assets as of March 5, 2019. PLND was next with $13.5 million in assets.
“Proceeds from the liquidation are currently scheduled to be sent to shareholders on or about April 12, 2019. For tax purposes, shareholders will generally recognize a capital gain or loss equal to the amount received for their shares over their adjusted basis in such shares. The Funds will stop accepting creation orders from Authorized Participants on April 5, 2019,” according to VanEck.
Last year, 186 ETFs were closed in the U.S., up from 134 in 2017.
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