NEW YORK--(BUSINESS WIRE)--Van Eck Global, one of the largest providers of exchange traded funds (“ETFs”) in the U.S. and worldwide with more than $31 billion in assets under management as of June 30, 2015, announced today that it plans to close and liquidate four Market Vectors ETFs.
On September 3, 2015, the Board of Trustees of Market Vectors ETF Trust approved the liquidation and dissolution of the following funds (the “Funds”):
|Market Vectors MSCI Emerging Markets Quality ETF|
|Market Vectors MSCI Emerging Markets Quality Dividend ETF|
|Market Vectors MSCI International Quality ETF|
|Market Vectors MSCI International Quality Dividend ETF|
Shareholders of the Funds may sell their holdings on NYSE Arca Inc. (“NYSE Arca”) until market close on September 18, 2015, and they may incur typical transaction fees from their broker-dealer. The Funds’ shares will no longer trade on NYSE Arca after market close on September 18, 2015, 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 October 28, 2015, will receive a liquidating distribution of cash in the cash portion of their brokerage accounts equal to the amount of the net asset value (“NAV”) of their shares. Proceeds from the liquidation are currently scheduled to be sent to shareholders on or about October 28, 2015, although this may occur prior to or later than this date. 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.
In addition, shareholders who hold shares of the Funds may receive a final distribution of net income and capital gains earned by the Funds and not previously distributed prior to liquidation.
The final tax status of distributions made by the Funds, including the liquidating distribution, will be provided to shareholders with the year-end tax reporting for the Funds (including any portion which may be treated as a return of capital for tax purposes, reducing a shareholder’s basis in such shares).
For more information, please call 888.MKT.VCTR or visit vaneck.com.
About Van Eck Global
Founded in 1955, Van Eck Global was among the first U.S. money managers to help investors achieve greater diversification through global investing. Today, the firm continues this tradition by offering innovative investment choices in specialized asset classes such as hard assets, emerging markets, and precious metals, including gold. Van Eck offers a broad array of Market Vectors ETFs spanning broad-based and specialized asset classes, and is one of the largest providers of ETPs in the U.S. and worldwide. The Firm has offices around the world and managed approximately $31.1 billion in investor assets as of June 30, 2015.
Market Vectors ETFs (“the Funds”) are subject to elevated risks, including those associated with investments in foreign securities, in particular emerging markets issuers, which include, among others, greater market volatility, the availability of less reliable financial information, higher transactional and custody costs, taxation by foreign governments, decreased market liquidity, political instability, and restrictions on foreign ownership. The Funds are also subject to risks associated with Asian issuers, as investment in securities of issuers in Asia involves risks and special considerations not typically associated with investment in the U.S. securities markets. To the extent that the Funds are concentrated in certain sectors, the Funds will be susceptible to loss due to adverse occurrences affecting those respective sectors. “Quality” is a measure of certain historical variables used by the Index Provider and is not intended to imply a judgment about the future performance of any Index constituent or the Index as a whole. Dividends are not guaranteed as securities can fall out of favor with the market or issuer policies and capital resources with regard to dividends may change.
Fund shares are not individually redeemable and will be issued and redeemed at their NAV only through certain authorized broker-dealers in large, specified blocks of shares called “creation units” and otherwise can be bought and sold only through exchange trading. Creation units are issued and redeemed principally in kind. Shares may trade at a premium or discount to their NAV in the secondary market.
The NAV of a Market Vectors ETF is determined at the close of each business day, and represents the dollar value of one share of the fund; it is calculated by taking the total assets of the Fund, subtracting total liabilities, and dividing by the total number of shares outstanding. The NAV is not necessarily the same as the ETF's intraday trading value. Market Vectors ETF investors should not expect to buy or sell shares at NAV.
Investing involves substantial risk and high volatility, including possible loss of principal. An investor should consider the investment objective, risks, charges and expenses of a Fund carefully before investing. Please refer to the prospectus for complete risk information. To obtain a prospectus and summary prospectus, which contains this and other information, call 888.MKT.VCTR or visit vaneck.com. Please read the prospectus and summary prospectus carefully before investing.
Van Eck Securities Corporation, Distributor, 666 Third Avenue, New York, NY 10017