ATLANTA--(BUSINESS WIRE)--GreenHaven announced today the launch of the GreenHaven Coal Fund (NYSE-ARCA: TONS), the first Exchange Traded Product (“ETP”) designed to offer investors with exposure to daily changes in the price of coal futures contracts. The Fund’s prospectus and information about the Fund can be found at www.greenhavenfunds.com.
“As the first single-commodity coal ETP, TONS offers investors access to a global market that before now has generally been accessible only to institutions and traditional coal companies” said Cooper Anderson, Chief Financial Officer of GreenHaven Coal Services, LLC, the Fund’s sponsor. “Coal is an asset class that helps to generate one-third of the world’s electricity, and TONS is designed to provide investors and hedgers alike with exposure to daily changes in the price of coal futures.”
The Fund’s investment strategy is to provide investors with exposure to the daily change in the price of coal futures contracts in a cost-effective manner, and to permit participants in the coal or other industries to hedge the risk of losses in their coal-related transactions. The Fund will seek to achieve its investment objective by purchasing Rotterdam coal futures contracts that are traded via the CME Group, Inc. trading platforms to the greatest extent possible, without being leveraged or exceeding relevant position limits. The Fund’s portfolio will be traded with a view to reflecting the performance of coal futures contracts, whether coal futures are rising, falling or flat over any particular period.
In recognition of the launch of the GreenHaven Coal Fund, executives from GreenHaven are scheduled to ring the NYSE Opening Bell on March 4, 2015.
The GreenHaven Coal Fund has filed a registration statement (including a prospectus) with the Securities and Exchange Commission (“SEC”) for the offering of its shares. A copy of the prospectus may be obtained by contacting the Fund’s marketing agent and distributor, ALPS Distributors, Inc., at 1-800-320-2577. Alternatively, the Fund’s prospectus may be obtained by visiting EDGAR on the SEC website at: www.sec.gov.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
GreenHaven currently provides investors with two commodity-based Exchange Traded Products. GreenHaven Continuous Commodity Index Fund (NYSE Arca: GCC) is an ETP designed to provide investors with broad based, diversified commodity exposure by using futures contracts to track the Thomson Reuters Equal Weight Continuous Commodity Total Return Index (“CCI-TR”). The CCI-TR is an equal weighted index of 17 commodities. Because of the equal waiting, GCC offers significant exposure to grains, livestock and soft commodities and a lower energy weighting than many of its peers. GreenHaven Coal Fund (NYSE Arca: TONS) is the first ETP designed to offer investors with exposure to daily changes in the price of coal futures contracts. The TONS portfolio will be traded with a view to reflecting the performance of Rotterdam coal futures contracts, whether coal futures are rising, falling or flat over any particular period.
This material must be accompanied or preceded by a prospectus. Please read the prospectus carefully before investing.
Investing involves risk, including possible loss of principal. Transactions in shares of our Funds will result in brokerage commissions and generate tax consequences. Shares of our Funds may be sold throughout the day on the NYSE-Arca through any brokerage account. However, shares may only be created or redeemed directly from the Fund by Authorized Participants in large creation/redemption units. There can be no assurance that an active trading market for shares of a Fund will develop or be maintained.
Investing in commodity futures subjects our Funds to the risks of the applicable commodities markets, which could result in substantial fluctuations in the price of a Fund’s shares.
Commodities and futures generally are volatile and are not suitable for all investors.
Neither the GreenHaven Continuous Commodity Index Fund nor the GreenHaven Coal Fund is a mutual fund or any other type of Investment Company within the meaning of the Investment Company Act of 1940, and is not subject to regulation thereunder.
ALPS Distributors, Inc., is the distributor and the marketing agent of the Fund.