RED BANK, N.J.--(BUSINESS WIRE)--WBI Investments, Inc., a leading provider of wealth-building strategies targeting an optimal blend of bear market protection and bull market return, today announced that it will close and liquidate two exchange-traded funds with plans to launch additional funds of the Absolute Shares Trust.
WBI’s commitment to responding to investors’ needs includes a regular review of its product lineup, which has led to a decision to liquidate the following funds: WBI BullBear Global High Income ETF (WBIH) and WBI BullBear Global Rotation ETF (WBIR) (each a “Fund” and, collectively, the “Funds”). WBI intends to launch new fund(s) nearly concurrently with the liquidations.
June 7, 2019 will be the Funds’ last full day of trading on NYSE Arca, Inc. (“NYSE Arca”). Effective as of the close of business on June 7, 2019, the Funds will no longer accept orders for the purchase of Creation Units. Beginning when the Funds commence the liquidation of their portfolios, the Funds may not pursue their respective investment objectives or, with certain exceptions, engage in normal business activities, and each Fund may hold cash and securities that may not be consistent with that Fund’s investment objective and strategy.
The liquidation date for the Funds will be on or about June 14, 2019 (“Liquidation Date”). NYSE Arca is expected to halt trading in shares of each Fund after the market close on June 7, 2019. There can be no assurance that there will be a market for the purchase or sale of Fund shares during the time between the market close on June 7, 2019 and the Liquidation Date, because Fund shares will not be traded on NYSE Arca. Shareholders of each Fund may sell their shares of the Fund on NYSE Arca until the market close on June 7, 2019, and may incur customary transaction fees from their broker-dealer in connection with such sales. Prior to the Liquidation Date, Authorized Participants may continue to submit orders to the Funds for the redemption of Creation Units.
In connection with the liquidations, any shares of a Fund outstanding on the Liquidation Date will be automatically redeemed as of the close of business on the Liquidation Date without the imposition of customary redemption transaction fees. The proceeds of any such redemption will be equal to the net asset value of such shares after the Fund has paid or provided for all of its charges, taxes, expenses and liabilities, including certain operational costs of liquidating the Fund. The distribution to shareholders of these liquidation proceeds will occur as soon as practicable, and will be made to all Fund shareholders at the time of the liquidations.
Although the liquidations are not expected to be taxable events for the Funds, for taxable shareholders, the automatic redemption of shares of the Funds on the Liquidation Date will generally be treated as a sale that may result in a gain or loss for federal income tax purposes. Please consult your personal tax advisor about the potential tax consequences.
For additional information about the liquidations, shareholders of the Funds may call (855) WBI-ETFS or (855) 924-3837, or by sending an email request to email@example.com.
For over three decades, WBI’s goal has been to help investors stay comfortably invested by aiming to reduce risk to capital. Our value driven investment process and risk-managed SMA and ETF strategies can help investors navigate both bull and bear markets.
An investment in the Fund is subject to investment risk, including the possible loss of principal amount invested. An investment in the Fund varies with the success and failure of the Sub-Advisor’s investment strategies and the Sub-Advisor's research, analysis, and determination of portfolio securities. The investment process includes the use of proprietary models and analysis that rely on third-party data and, if inaccurate, could adversely affect the Fund performance. In addition, the Fund is subject to market risk, dividend risk, growth risk, value risk, debt security risk, foreign and emerging market securities risk, high-yield security risk, master limited partnership risk, small- and medium-sized companies risk, portfolio turnover risk, securities business risk, and trading price risk.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a current prospectus with this and other information about the Fund please visit our website at www.wbishares.com or call 1-800-772-5810. Read the prospectus carefully before investing.
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